VANCOUVER, BC, November 3, 2020 /CNW/ - B2Gold Corp. (TSX: BTO) (NYSE AMERICAN: BTG) (NSX: B2G) ("B2Gold" or the "Company") is pleased to announce strong operational and financial results for the third quarter and first nine months of 2020. The Company previously released its gold production and gold revenue results for the third quarter and first nine months of 2020. All dollar figures are in United States dollars unless otherwise indicated.

2020 Third Quarter Highlights
•Consolidated gold production of 248,733 ounces from the Company's three operating mines, above budget by 1% (2,929 ounces) and a significant increase of 17% (35,455 ounces) over the third quarter of 2019 (excluding discontinued operations of El Limon and La Libertad)
•Total gold production of 263,813 ounces (including 15,080 ounces of attributable production from Calibre Mining Corp. ("Calibre"))
•Record quarterly consolidated gold revenue of $487 million, a significant increase of $176 million (57%) over the third quarter of 2019 (excluding discontinued operations)
•Record quarterly consolidated cash flow provided by operating activities from the Company's three operating mines of $301 million, a significant increase of $133 million (79%) over the third quarter of 2019
•Consolidated cash operating costs (see "Non-IFRS Measures") of $411 per ounce produced, below budget by $17 per ounce (4%), and consolidated all-in sustaining costs ("AISC") (see "Non-IFRS Measures") of $766 per ounce sold, below budget by $31 per ounce (4%) (excluding estimated attributable results for Calibre)
•Net income of $277 million (including a net impairment reversal for the Masbate Mine of $122 million); net income attributable to the shareholders of the Company of $263 million ($0.25 per share); adjusted net income (see "Non-IFRS Measures") attributable to the shareholders of the Company of $161 million ($0.15 per share)
•The Fekola Mine continues to operate unimpeded and no operational days have been lost due to the recent political developments and demonstrations in Mali
•No Lost-Time-Injury ("LTI") incidents at the Company's operating mines, extending the number of days without an LTI to 255 days for Fekola, 684 days for Masbate and 918 days for Otjikoto as at September 30, 2020
•On August 5, 2020, the Company announced a 100% increase of its quarterly dividend to $0.04 per share (or an expected $0.16 per share on an annualized basis), which was reflected in the third quarter dividend paid on September 30, 2020
•On September 10, 2020, the Company announced the successful commissioning of the Fekola mill expansion to 7.5 million tonnes per annum ("Mtpa") (an increase of 1.5 Mtpa from an assumed base rate of 6 Mtpa), ahead of the scheduled completion date of September 30, 2020; the Fekola mill has the potential to run above the annualized throughput rate of 7.5 Mtpa and analysis is currently underway to determine the optimum throughput rate
•B2Gold maintains a strong financial position and liquidity; during the third quarter of 2020, the Company fully repaid the outstanding Revolving Credit Facility ("RCF") balance of $425 million with the full amount of the $600 million RCF now undrawn and available

2020 First Nine Months Highlights
•Record year-to-date consolidated gold production from the Company's three operating mines of 738,939 ounces, well above budget by 4% (26,412 ounces) and a significant increase of 19% (116,229 ounces) over the first nine months of 2019 (excluding discontinued operations)
•Total gold production of 770,268 ounces (including 31,329 ounces of attributable production from Calibre)
•Record year-to-date consolidated gold revenue of $1.3 billion, a significant increase of $467 million (56%) over the first nine months of 2019 (excluding discontinued operations)
•Record year-to-date consolidated cash flow provided by operating activities of $755 million, a significant increase of $408 million (118%) over the first nine months of 2019
•Consolidated cash operating costs of $388 per ounce produced, well below budget by $33 per ounce (8%), and consolidated AISC of $726 per ounce sold, well below budget by $77 per ounce (10%) (excluding estimated attributable results for Calibre)
•Net income of $498 million (including a net impairment reversal for the Masbate Mine of $122 million); net income attributable to the shareholders of the Company of $460 million ($0.44 per share); adjusted net income attributable to the shareholders of the Company of $368 million ($0.35 per share)
•For full-year 2020, the Company forecasts total consolidated gold production to come in towards the midpoint of its guidance range of between 1,000,000 and 1,055,000 ounces, with total consolidated cash operating costs expected to be at or below the low end of its guidance range of between $415 and $455 per ounce and total consolidated AISC to be at the lower end of its guidance range of between $780 and $820 per ounce
•Based on current assumptions, including a gold price of $1,900 per ounce for the balance of 2020, the Company expects to generate cashflows from operating activities of more than $900 million in 2020

The Company continues to address the COVID-19 pandemic and minimize its potential impact at B2Gold's operations. B2Gold places the safety and well-being of its workforce and all stakeholders as the highest priority and continues to encourage input from all its stakeholders as the situation evolves. The Company has implemented several measures and introduced additional precautionary steps to manage and respond to the risks associated with COVID-19 to ensure the safety of B2Gold's employees, contractors, suppliers and surrounding communities where the Company works while continuing to operate. The Company is continually updating these plan and response measures based on the safety and well-being of its workforce, the severity of the pandemic in areas where it operates, global response measures, government restrictions and extensive community consultation. The Company is working closely with national and local authorities and continues to closely monitor each site's situation, including public and employee sentiment to ensure that stakeholders are in alignment with continued safe operation of its mines.

2020 Third Quarter and First Nine Months Operational Results and Development

Consolidated gold production from the Company's three operating mines in the third quarter of 2020 was 248,733 ounces, above budget by 1% (2,929 ounces) and a significant increase of 17% (35,455 ounces) over the third quarter of 2019 (excluding discontinued operations) with solid performances from all of the Company's operations. The significant increase in gold production over the third quarter of 2019 was driven by the Fekola Mine in Mali, which continued its very strong operational performance with gold production of 152,535 ounces, above budget by 2% (2,535 ounces), and 36% (40,214 ounces) higher compared to the third quarter of 2019. Fekola's significant increase in gold production over the third quarter of 2019 was mainly due to the expansion of the Fekola mining fleet and optimization of the pit designs and mine plan for 2020, which have provided access to higher grade portions of the Fekola deposit earlier than anticipated in previous mine plans. The Otjikoto Mine in Namibia also had a solid third quarter of 2020, producing 42,591 ounces of gold, 2% (985 ounces) above budget. The Masbate Mine in the Philippines continued to perform well through the third quarter of 2020 despite a 6-day mill shutdown following an earthquake on August 18, 2020, producing 53,607 ounces of gold, substantially in-line with budget (of 54,198 ounces), and 4% higher (2,061 ounces) compared to the third quarter of 2019. Including attributable ounces from Calibre (15,080 ounces), the Company's total gold production in the third quarter of 2020 was 263,813 ounces.

For the third quarter of 2020, consolidated cash operating costs were $411 per ounce produced ($414 per ounce sold), below budget by $17 (4%) per ounce and well below the third quarter of 2019 by $32 (7%) per ounce (excluding discontinued operations), reflecting the strong operating results from all of the Company's operations. Including estimated attributable results for Calibre, the Company's total cash operating costs were $435 per ounce produced ($437 per ounce sold).

For the third quarter of 2020, consolidated AISC were $766 per ounce sold, below budget by $31 per ounce (4%) and slightly above the third quarter of 2019 (1%) (excluding discontinued operations). The favourable budget variance reflected lower-than-budgeted cash operating costs, higher-than-budgeted gold ounces sold, lower-than-budgeted general and administrative costs and lower-than-budgeted sustaining capital expenditures ($13 million), partially offset by higher-than-budgeted royalties (as a result of higher gold prices). The Company expects total sustaining capital expenditures for full-year 2020 to be approximately $11 million under budget. Including estimated attributable results for Calibre, the Company's total AISC for the third quarter of 2020 were $785 per ounce sold.

Consolidated gold production for the first nine months of 2020 was a year-to-date record 738,939 ounces, 4% (26,412 ounces) above budget and 19% (116,229 ounces) higher than the first nine months of 2019 (excluding discontinued operations). Including attributable ounces from Calibre (31,329 ounces), the Company's total gold production in the first nine months of 2020 was 770,268 ounces.

For the first nine months of 2020, consolidated cash operating costs were $388 per ounce produced ($391 per ounce sold), well below budget by $33 (8%) per ounce and significantly lower than the first nine months of 2019 by $63 (14%) per ounce (excluding discontinued operations). Including estimated attributable results for Calibre, the Company's total cash operating costs were $405 per ounce produced ($409 per ounce sold).

For the first nine months of 2020, consolidated AISC were $726 per ounce sold, well below both budget by $77 (10%) per ounce and the first nine months of 2019 by $42 (5%) per ounce (excluding discontinued operations). Including estimated attributable results for Calibre, the Company's total AISC for the first nine months of 2020 were $740 per ounce sold.

B2Gold remains well positioned for continued strong operational and financial performance in 2020. For full-year 2020, the Company forecasts total consolidated gold production (including attributable ounces from Calibre) to come in towards the midpoint of its production guidance range of between 1,000,000 and 1,055,000 ounces. Consolidated cash costs are expected to remain low in 2020, and the Company expects to be at or below the low end of its guidance range for total consolidated cash operating costs of between $415 and $455 per ounce and at the lower end of its guidance range for total consolidated AISC of between $780 and $820 per ounce.

The Company's expansion and development projects also progressed well through the third quarter of 2020:
•At Fekola, on September 10, 2020, the Company announced the successful commissioning of the Fekola mill expansion to 7.5 Mtpa (an increase of 1.5 Mtpa from an assumed base rate of 6 Mtpa), approximately one month ahead of the scheduled completion date of September 30, 2020. The Fekola mill has the potential to run above the annualized throughput rate of 7.5 Mtpa and analysis is currently underway to determine the optimum throughput rate. Remobilization of the Fekola solar plant construction group began in mid-September 2020 (following a temporary suspension of construction activities in April 2020 due to COVID-19) and will continue to ramp up as camp space becomes available. The target date for completion of the solar plant is the end of the first quarter of 2021 but has the potential to be delayed by several months as COVID restrictions are limiting the available workforce and site support.


•At Otjikoto, development of the Wolfshag underground mine continues to progress on schedule. In the third quarter of 2020, the mining contractor was mobilized, and development of the portal and primary underground ramp has now commenced. Stope ore production is expected to commence in early 2022, in-line with original estimates.


•At the Gramalote Project, feasibility work continued as planned from the recommencement of drilling on May 11, 2020, with infill resource drilling completed on August 21, 2020. During the third quarter of 2020, work continued to advance for infrastructure design, process plant design, pit design and social initiatives. Resource modelling is anticipated to be completed in November 2020 at which time the final phase of the Gramalote Feasibility Study work will proceed based upon updated resources. The Gramalote Feasibility Study is expected to be completed in the first quarter of 2021.

2020 Third Quarter and First Nine Months Financial Results

Consolidated gold revenue in the third quarter of 2020 was a quarterly record of $487 million from the Company's three operating mines on sales of 253,200 ounces at an average price of $1,924 per ounce, compared to $311 million on sales of 208,900 ounces at an average price of $1,488 per ounce in the third quarter of 2019 (excluding discontinued operations). Compared to the third quarter of 2019, consolidated gold revenue increased significantly by 57% ($176 million), of which 36% related to the increase in the average realized gold price and 21% to the increase in gold ounces sold (mainly due to the higher gold production).

For the third quarter of 2020, cash flow provided by operating activities was a quarterly record of $301 million compared to $168 million in the third quarter of 2019. This significant increase of $133 million (79%) reflected the significant increase in gold revenue, as a result of higher realized gold prices and sales.

For the third quarter of 2020, net income was $277 million compared to $66 million for the third quarter of 2019. In the third quarter of 2020, the Company identified a higher sustained long-term gold price as an indicator of impairment reversal for the Masbate Mine resulting in a net impairment reversal of $122 million (pre-tax $174 million impairment reversal less $52 million deferred tax expense). Net income attributable to the shareholders of the Company was $263 million ($0.25 per share) compared to $56 million ($0.05 per share) for the third quarter of 2019. Adjusted net income attributable to shareholders of the Company was $161 million ($0.15 per share) compared to $85 million ($0.08 per share) in the third quarter of 2019.

Consolidated gold revenue for the first nine months of 2020 was a year-to-date record of $1.3 billion on sales of 749,800 ounces at an average price of $1,746 per ounce, compared to $842 million on sales of 616,000 ounces at an average price of $1,367 per ounce in the first nine months of 2019 (excluding discontinued operations). Compared to the first nine months of 2019, consolidated gold revenue increased significantly by 56% ($467 million), of which 34% related to the increase in the average realized gold price and 22% to the increase in gold ounces sold.

For the first nine months of 2020, cash flow provided by operating activities was a year-to-date record of $755 million, a significant increase of $408 million (118%) compared to the first nine months of 2019, as a result of higher realized gold prices and sales.

For the first nine months of 2020, net income was $498 million compared to $133 million for the first nine months of 2019. Net income attributable to the shareholders of the Company was $460 million ($0.44 per share) compared to $116 million ($0.11 per share) for the first nine months of 2019. Adjusted net income attributable to the shareholders of the Company was $368 million ($0.35 per share) compared to adjusted net income of $154 million ($0.15 per share) for the first nine months of 2019.

Liquidity and Capital Resources

B2Gold maintains a strong financial position and liquidity. During the third quarter of 2020, the Company fully repaid the outstanding RCF balance of $425 million with the full amount of the $600 million RCF now undrawn and available. In addition, at September 30, 2020, the Company had cash and cash equivalents of $365 million (December 31, 2019 - $141 million) and working capital of $356 million (December 31, 2019 - $242 million).

Due to the Company's strong net positive cash position, strong operating results and the current higher gold price environment, B2Gold's quarterly dividend rate was increased in the third quarter of 2020 by 100% to $0.04 per common share (or an annualized rate of $0.16 per common share), which was reflected in the third quarter dividend paid on September 30, 2020.

Based on current assumptions, including an average gold price of $1,900 per ounce for the balance of 2020, the Company expects to generate cashflows from operating activities of more than $900 million in 2020. The Company's ongoing strategy is to continue to maximize profitable production from its mines, grow its mineral reserves, utilize cash flow to continue the dividend payment, further advance its pipeline of development and exploration projects and evaluate growth opportunities.

Operations

Mine-by-mine gold production in the third quarter and first nine months of 2020 (including the Company's approximate 34% share of Calibre's production) was as follows:

Mine
Q3 2020 Gold Production(ounces) First Nine Months 2020 Gold Production(ounces)
2020 Annual Guidance
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