Central banks may translate into more gold reserves in this year

Barrick Gold Corp., The world's largest gold producer, is expecting the central banks will translate this year into gold more foreign exchange reserves amid fears associated with the U.S. national currency, writes The Wall Street Journal. Chief Financial Officer Jamie Sokalski said in an interview that last year there was a "complete transformation" policies of central banks that had previously been accumulating reserves in dollars, and now are starting to buy more gold to diversify their reserves. Many analysts believe that this trend will continue this year. Central banks "are concerned about what kind of reserves they keep in U.S. dollars," said a spokesman for Barrick. "There are not many alternatives," - he added. Thus he does not expect Barrick how much gold the central banks can buy. Gold Mining Company is closely monitoring the value of currencies, particularly the U.S., on which the price of gold production, as well as the cost of the production of this precious metal. When, for example, the dollar weakened against major currencies, the price of gold and, accordingly, revenue Barrick, rising as investors begin to look for alternative ways of investment. The Canadian company reports a profit in dollars, while about 40% of gold production in North America. At the same time weakening dollar could lead to an increase in operating expenses Barrick in countries from Papua New Guinea and to Argentina. About a third of the company's expenses can be expressed in other currencies, with a huge portion - in the Australian currency, said D. Sokal. In order to protect the company from a sharp rise in costs, Barrick is considering the possibility of transition in the calculations for the Australian dollar. In addition to the Australian dollar company is looking closely at the Chilean peso. In early 2013 Barrick plans to launch in Chile, a major gold mining project on the border with Argentina. Costs to develop the field at $ 3 billion, while much of the investment is calculated in pesos. On materials the Interfax-Ukraine