VANCOUVER, British Columbia, May 09, 2023 (GLOBE NEWSWIRE) -- B2Gold Corp. (TSX: BTO, NYSE AMERICAN: BTG, NSX: B2G) (“B2Gold” or the “Company”) announces its operational and financial results for the first quarter of 2023. All dollar figures are in United States dollars unless otherwise indicated.
2023 First Quarter Highlights
Total gold production of 266,856 ounces in Q1 2023, exceeding expectations to start 2023 : Total gold production of 266,856 ounces, including 16,137 ounces of attributable production from Calibre Mining Corp. ("Calibre"). The Fekola Mine produced 165,864 ounces in the quarter, benefitting from a favorable mine phasing sequence to start 2023, with Phase 6 of the Fekola pit providing high-grade ore to the process plant. All B2Gold operations are on track to meet or exceed annual production guidance ranges. On April 27, 2023, Fekola produced its three millionth ounce of gold, five years and seven months from construction completion.
Total consolidated cash operating costs of $600 per gold produced in Q1 2023, well below the annual guidance range (between $670 and $730 per ounce) : Total consolidated cash operating costs (see “Non-IFRS Measures”) (including estimated attributable results for Calibre) of $600 per gold ounce produced during the quarter. Consolidated cash operating costs from the Company’s three operating mines of $576 per gold ounce produced.
Total consolidated all-in sustaining costs of $1,060 per gold ounce sold in Q1 2023, well below the annual guidance range (between $1,195 and $1,255 per ounce) : Total consolidated all-in sustaining costs (see “Non-IFRS Measures”) (including estimated attributable results for Calibre) of $1,060 per gold ounce sold. Consolidated all-in sustaining costs from the Company’s three operating mines of $1,049 per gold ounce sold, lower than expected as a result of lower cash operating costs and the timing of sustaining capital expenditures that are expected to be incurred later in 2023.
Attributable net income of $0.08 per share; Adjusted attributable net income of $0.10 per share in Q1 2023 : Net income attributable to the shareholders of the Company of $86.0 million ($0.08 per share); adjusted net income (see “Non-IFRS Measures”) attributable to the shareholders of the Company of $106 million ($0.10 per share).
Operating cash flow before working capital adjustments of $0.21 per share in Q1 2023 : Cash flow provided by operating activities before working capital adjustments (see “Non-IFRS Measures”) was $223 million ($0.21 per share) in the first quarter of 2023.
Robust financial position : At March 31, 2023, the Company had cash and cash equivalents of $674 million and working capital (defined as current assets less current liabilities) of $804 million.
Q1 2023 dividend of $0.04 per share declared : The Company remains in a strong net positive cash position and paid a first quarter dividend of $0.04 per common share on March 17, 2023 (annualized rate of $0.16 per common share).
Completed acquisition of Sabina Gold and Silver Corp. (“Sabina”) : Subsequent to the quarter end, the Company completed the acquisition of Sabina on April 19, 2023, resulting in the Company acquiring Sabina’s 100% owned Back River Gold District located in Nunavut, Canada by issuing approximately 216 million B2Gold common shares as consideration.
Subsequent to completion of the acquisition of Sabina, B2Gold completed its inaugural winter ice road season and extinguished certain of Sabina’s construction financing obligations: B2Gold completed its inaugural winter ice road season and received all critical materials that were necessary to maintain the schedule for construction completion of the mill in the first quarter of 2025. As well, the Company extinguished certain of Sabina's construction financing obligations with payments totalling $111 million as follows: senior secured debt facility for a $2 million payment, gold prepay facility for a $1 million payment, the entire gold metal off take agreement for a $62 million payment, and one-third of the gold stream arrangement for a $46 million payment.
Significant exploration program approved at the Back River Gold District for 2023: B2Gold has approved a $20 million exploration budget for the balance of 2023 to complete approximately 25,000 meters (“m”) of drilling. Infill and greenfield drilling will be focused in proximity to existing deposits at the Goose Project, as well as following up on regional targets identified at the George, Boulder, Boot and Del projects.
Preliminary Fekola Complex optimization study indicates significant opportunity to increase gold production and resource utilization : The Company is progressing an engineering study of a Fekola Regional stand-alone mill and oxide processing facilities (expected to be located on the Anaconda Area). Construction of a stand-alone oxide mill would constitute Phase II of the Fekola Regional Development Plan. The engineering study will be based on processing 4 million tonnes per annum (“Mtpa”) of saprolite and transitional (oxide) resources. From January 2022 through March 31, 2023, the Company has completed approximately 120,000 m of drilling at the Anaconda Area, which included infill drilling to upgrade a significant portion of the Inferred oxide resources to the Indicated category, as well as extending both oxide and sulphide resources in the area. An updated Anaconda Area Mineral Resource estimate is currently underway and scheduled to be completed by the end of the second quarter of 2023. Consequently, to allow for incorporation of this updated Mineral Resource estimate into the engineering study, results of the study are now expected in the fourth quarter of 2023. The Company’s optimization study analysis indicates that the combined Fekola Mine and Fekola Regional processing facilities could have the potential to produce more than 800,000 ounces of gold per year from the Fekola Complex, subject to delineation of additional mineral resources and development, completion of feasibility studies, and the receipt of all necessary regulatory approvals and permits.
Closed investment into Snowline Gold Corp. (“Snowline”), acquiring a 5.0% equity interest : In March 2023, closed an equity investment into Snowline, giving B2Gold ownership of approximately 5.0% of the issued and outstanding common shares of Snowline. Snowline is advancing the Rogue project in the Yukon, Canada.
First Quarter 2023 Results
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