B2Gold releases 2025 production guidance, cuts dividend
B2Gold Corp. [BTO-TSX, BTG-NYSE American, B2G-NSX] has announced its gold production and revenue results for the fourth quarter and full-year 2024, as well as its production and cost targets for 2025
The company also announced the reduction of its intended quarterly dividend rate from $0.04 per common share ($0.16 per share on an annualized basis) to $0.02 per common share ($0.08 per share annualized.)
The move is driven by funding requirements for projects that include the completion of the Goose Mine in Nunavut, development of the Antelope deposit at the Otjikoto Mine in Namibia and de-risking activities at the Gramalote project in Colombia.
The company is targeting production of between 970,000 and 1.07 million ounces in 2025. That’s up from 804,778 ounces on 2024 (including 19,664 attributable production from Calibre Mining Corp. [CXB-TSX, CXBMF-OTC]) which came in at the low end of the company’s 2024 guidance range.
The expected increase in gold production relative to 2024 is predominantly due to output from the Fekola Complex in Mali, including the scheduled mining and processing of higher-grade ore from the Fekola Phase 7 and Cardinal pits made accessible by the meaningful deferred stripping campaign that was undertaken throughout 2024, the contribution from Fekola Regional starting in mid-2025, and the commencement of the Goose Project by the end of the second quarter of 2025, partially offset by the scheduled conclusion of open pit mining activities at the Otjikoto Mine in the third quarter of 2025.
B2Gold shares eased 4.7% or 17 cents to $3.44 and trade in a 52-week range of $4.84 and $3.18.
The Goose Project is located on B2Gold’s 100%-owned Back River Gold District in Nunavut, Canada, 520 kilometres northeast of Yellowknife.
The company said its initial Goose Project life of mine plan is to be released at the end of the first quarter of 2025, based on updated mineral reserves.
Goose will be the first mine in the district. B2 Gold estimates that once in commercial production, the Goose mine will produce approximately 310,000 ounces of gold annually over the first full five years.
The company continues to estimate that gold production in calendar 2025 will be between 120,000 ounces and 150,000 ounces. The total Goose Project construction and mine development cash expenditure estimate before first production remains at $1.54 billion.
B2Gold said it is planning another year of extensive exploration in 2025 with a budge of $61 million. The company said a significant focus will be on exploration at the Back River Gold District, with the goal of enhancing and growing the significant resource base at the Goose Project and surrounding regional targets. A total of $32 million is budgeted for exploration at the Back River Gold District this year, of which $21 million is planned for the more advanced Goose Project. A total of 12,000 metres of drilling will target extensions of the Llama and Umwelt deposits, the highest-grade resources at the Goose Project.