Barrick Gold Corp. has acquired the Mill Canyon property in Nevada for $24 million from Victoria Gold Corp., effectively expanding by some 7,000 acres the area it owns in the vicinity of its Cortez gold mine project.

The Cortez gold mine project is one of the lowest-operating yet largest-producing assets of the world's largest gold miner. Holding reserves placed at 14.5 million ounces, the Cortez gold mine project generated 1.4 million ounces of gold in 2011, with a cash cost of $245 each. Barrick already owns some 230,000 acres around the Cortez gold mine project.

The acquisition of the additional number of acres confirms Barrick Gold Corp.'s refocusing strategy that instead of pursuing major acquisitions around the world, it would rather develop and improve its existing pipeline.

Currently, 45 per cent of the Toronto-based gold mining company's global gold production is found in North America, primarily from Nevada.

The Mill Canyon property also happened to have the gold miner's most promising recent discovery, the Goldrush gold mine project, which was said to contain a resource of more than 7 million ounces.

Barrick Gold Corp. has a portfolio of 26 operating mines, and projects in five continents.

Barrick Gold Corp. will pay Victoria Gold Corp. $19 million outright for the Mill Canyon property, as well as interests in the neighboring Santa Fe property. It will pay Victoria Gold Corp. an additional $5 million once the right to back into a joint venture by Newmont Mining Corp. into the property terminates and has been removed.

Newmont Mining Corp. holds a back-in entitlement that allows it to merit a 50 per cent interest in the Mill Canyon property. The property involves rights when Victoria Gold Corp. in 2003 bought from Newmont Mining Corp.