"The money raised in the bought deal offering will be used to eliminate all fixed-price gold hedges within the next year and part of its floating gold contracts.

The world's biggest gold miner is issuing 81.2 million common shares at $36.95 each in a deal with a syndicate of underwriters led by RBC Capital Markets, Morgan Stanley & Co., J.P. Morgan Securities and Scotia Capital.

2 of those banks are 18 million ounces short of the 26.5 million short position on gold and Barrick's gold in the ground is probably the only way to deliver.