B2Gold lowers Fekola guidance for 2024
Mon Aug 12 2024
Precious metals miner B2Gold has reduced its production guidance for the year, on the back of lower-than-expected output from its Fekola mine, in Mali.
The Canada-headquartered miner is forecasting total output of 800 000 oz to 870 000 oz, including 20 000 oz from the now-sold Calibre Mining, for 2024. The previous forecast range of 860 000 oz to 940 000 oz included 40 000 oz to 50 000 oz of attributable production from Calibre, which B2Gold sold in June.
The Fekola mine’s production is expected to reduce by about 50 000 oz in the full year, B2Gold said last week, explaining that output would be impacted by a delay in mining higher-grade ore from Phase 7 of the Fekola pit, owing to equipment availability issues. Mining and processing of these ounces has been pushed to the first half of 2025.
Fekola produced 111 583 oz of gold in the second quarter of 2024, which was slightly below expectations. For the full year, the mine was forecast to produce between 420 000 oz and 450 000 oz, compared with the original guidance of between 470 000 oz and 500 000 oz. B2Gold also increased Fekola’s all-in sustaining cost (AISC) guidance to between $1 510/oz and $1 570/oz.
Overall, B2Gold produced 212 508 oz in the second quarter, including 8 267 oz of attributable production from Calibre, at an AISC of $1 267/oz.
The miner posted an attributable net loss of $24-million, $0.02 a share, in the second quarter. The loss was primarily the result of a noncash impairment of the Fekola complex. Adjusted net income for the three months is $78-million, or $0.06 a share.