B2Gold Reports Strong Fourth Quarter and Full-Year 2019 Results & Record 2019 Annual Gold Production of 980,219 Oz; Declares Dividend for First Quarter 2020.

 
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VANCOUVER: B2Gold Corp. (TSX: BTO, NYSE AMERICAN: BTG, NSX: B2G) ("B2Gold" or the "Company") is pleased to announce its operational and financial results for the fourth quarter and full-year ending December 31, 2019. The Company previously released its gold production and gold revenue results for the fourth quarter and full-year 2019, in addition to its production and budget guidance for 2020 (see news release dated 1/15/2020). In 2020, the Company is forecasting total gold production of between 1,000,000 and 1,055,000 ounces. All dollar figures are in United States dollars unless otherwise indicated.

2019 Fourth Quarter Highlights

Consolidated gold production of 234,416 ounces (including 6,010 ounces from discontinued operations)(1) and total gold production of 245,140 ounces (including 10,724 attributable ounces from Calibre)(2)

Consolidated gold revenues from continuing operations of $314 million (an increase of $83 million or 36% over the fourth quarter of 2018) on sales of 211,800 ounces; adjusted consolidated gold revenues (see "Non-IFRS Measures") of $324 million on sales of 218,437 ounces, including gold sales from the discontinued operations

Consolidated cash operating costs (see "Non-IFRS Measures") of $467 per ounce produced ($479 per ounce sold); consolidated all-in sustaining costs ("AISC") (see "Non-IFRS Measures") of $882 per ounce sold

Consolidated cash flow provided by operating activities of $145 million (including $2 million from discontinued operations), an increase of $71 million or 96% over the fourth quarter of 2018

Net income attributable to the shareholders of the Company of $177 million ($0.17 per share); adjusted net income (see "Non-IFRS Measures") attributable to the shareholders of the Company of $69 million ($0.07 per share)

In December 2019, the Fekola Mine exceeded one million ounces of gold production (since the commencement of ore processing in September 2017), achieving this milestone a full year ahead of the original production schedule

On January 21, 2020, B2Gold announced positive results from the updated preliminary economic assessment ("Gramalote PEA") for the Gramalote Ridge deposit at the joint venture Gramalote Project in Colombia and plans to complete a final feasibility study by December 31, 2020

On February 27, 2020, B2Gold's Board of Directors declared a quarterly cash dividend of $0.01 per common share, payable on March 23, 2020 to shareholders of record as of March 9, 2020

2019 Full-Year Highlights

Record annual consolidated gold production of 969,495 ounces (including 118,379 ounces from discontinued operations) or 980,219 ounces (including 10,724 attributable ounces from Calibre), which exceeded the upper end of the Company's guidance range (of between 935,000 and 975,000 ounces), and marks the eleventh consecutive year that B2Gold achieved record annual consolidated gold production

Annual gold production from the Fekola Mine, Masbate Mine and Otjikoto Mine all exceeded the upper end of their respective 2019 production guidance range

Consolidated gold revenues from continuing operations of $1,156 million (an increase of $105 million or 10% over 2018) on sales of 827,800 ounces; adjusted consolidated gold revenues (see "Non-IFRS Measures") of $1,318 million on sales of 943,465 ounces, including gold sales from discontinued operations

Consolidated cash operating costs of $512 per ounce produced ($519 per ounce sold), beating guidance (of between $520 and $560 per ounce); consolidated AISC of $862 per ounce sold, near the mid-point of the guidance range (of between $835 and $875 per ounce)

Consolidated cash flow provided by operating activities of $492 million (including $43 million from discontinued operations)

Net income attributable to the shareholders of the Company of $293 million ($0.29 per share); adjusted net income attributable to the shareholders of the Company of $238 million ($0.23 per share)

On March 26, 2019, the Company announced positive results from the Expansion Study Preliminary Economic Assessment for the Fekola Mine ("Fekola PEA"), including significant estimated increases in average annual gold production to over 550,000 ounces per year during the five-year period 2020-2024, and is proceeding with an expansion project to increase Fekola's processing throughput by 1.5 million tonnes per annum ("Mtpa") to 7.5 Mtpa, scheduled to be completed by the end of the third quarter of 2020

Following a very successful year for exploration in 2019, B2Gold is planning another year of aggressive exploration in 2020 with a budget of approximately $51 million

For 2020, B2Gold remains well positioned for continued strong operational and financial performance with production guidance of between 1,000,000 and 1,055,000 ounces of gold (including attributable ounces of between 45,000 and 50,000 from Calibre) with forecast cash operating costs of between $415 and $455 per ounce and AISC of between $780 and $820 per ounce

Based on current assumptions, including a gold price of $1,500 per ounce, the Company expects to generate cashflows from operating activities of approximately $700 million in 2020 and to repay the remaining outstanding balance of its revolving credit facility ("RCF") of $200 million in 2020

Based on current operating plans, over a five-year outlook from 2020 to 2024, annual consolidated gold production is forecast to average 950,000 ounces with AISC averaging $825 per ounce

(1)

On October 15, 2019, B2Gold and Calibre Mining Corp. ("Calibre") completed the transaction where B2Gold restructured its interests in, and Calibre acquired, the El Limon and La Libertad mines. Accordingly, for the period from January 1, 2019 to October 14, 2019, for financial reporting purposes, the Company has classified the El Limon and La Libertad mines' production and results as discontinued operations.

(2)

Commencing from October 15, 2019, B2Gold applies the equity method of accounting for its ownership interest in Calibre (approximately 34%) and reports its attributable share of Calibre production ounces as part of its total production results.

2019 Full-Year and Fourth Quarter Operational Results

For B2Gold, 2019 was another solid year of operational performance, with the achievement of B2Gold's eleventh consecutive year of record annual consolidated gold production. For full-year 2019, B2Gold's consolidated gold production was an annual record 969,495 ounces (including 118,379 ounces from discontinued operations). Including attributable ounces from Calibre (10,724 ounces for the stub period October 15, 2019 to December 31, 2019), consolidated gold production was 980,219 ounces, exceeding the upper end of the Company's guidance range (of between 935,000 and 975,000 ounces). The Fekola Mine in Mali continued to outperform expectations in 2019 and exceeded the upper limit of its increased production guidance range (of between 445,000 and 455,000 ounces) with gold production of 455,810 ounces. The Masbate Mine in the Philippines delivered another very strong year in 2019, producing an annual record 217,340 ounces of gold, also exceeding the upper limit of its guidance range (of between 200,000 and 210,000 ounces). In addition, the Otjikoto Mine in Namibia had another solid year in 2019, producing 177,966 ounces of gold, also exceeding the upper limit of its guidance range (of between 165,000 and 175,000 ounces).

In the fourth quarter of 2019, B2Gold's consolidated gold production was 234,416 ounces (including 6,010 ounces from discontinued operations). Including attributable ounces from Calibre (10,724 ounces for the stub period October 15, 2019 to December 31, 2019), the Company's total gold production for the fourth quarter of 2019 was 245,140 ounces. Gold production from the Company's continuing operations exceeded budget in the fourth quarter of 2019 by approximately 13,000 ounces, mainly due to the continued higher throughput at Fekola and high-grade ore production from the Wolfshag Pit at Otjikoto.

The Company's full-year 2019 consolidated cash operating costs (including discontinued operations and the Company's attributable share of Calibre's results) were $512 per ounce produced ($519 per ounce sold), beating guidance (of between $520 and $560 per ounce). Consolidated AISC (including discontinued operations and the Company's attributable share of Calibre's results) were $862 per ounce sold, near the mid-point of the guidance range (of between $835 and $875 per ounce).

In the fourth quarter of 2019, consolidated cash operating costs (including discontinued operations and the Company's attributable share of Calibre's results) were $467 per ounce produced ($479 per ounce sold), in-line with or slightly lower than plan, and consolidated AISC were $882 per ounce sold. AISC for the fourth quarter of 2019 included timing differences related to the catch up of budgeted sustaining capital at Fekola and pre-stripping costs for Wolfshag Phase 3 at Otjikoto, both of which were delayed from earlier quarters in 2019. AISC for the fourth quarter of 2019, also included higher than budgeted royalties and production taxes (approximately $4 million) due to higher than budgeted realized gold prices and production.

Looking forward to 2020, B2Gold remains well positioned for continued strong operational and financial performance with consolidated gold production forecast to be in the range of between 955,000 and 1,005,000 ounces. Including the Company's share (34%) of attributable ounces projected from Calibre's El Limon and La Libertad mines (of between 45,000 and 50,000 ounces), the Company's total gold production is expected to be between 1,000,000 and 1,055,000 ounces in 2020.

With higher gold production forecast for 2020, continued cost controls and the sale of the Company's higher-cost Nicaraguan mines completed, the Company's consolidated cash operating costs per ounce and AISC per ounce are both projected to further...

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