CHAMWE KAIRA
Open-pit mining operations at the Otjikoto Mine are set to conclude in 2025, while processing operations will continue until economically viable stockpiles are exhausted in 2032.
B2Gold, which holds a 90% interest in the mine, disclosed in its financial results that underground operations under the current mine plan are projected to continue into 2027.
There is potential to extend underground operations if ongoing exploration identifies additional mineral deposits.
Located between Otavi and Otjiwarongo, the Otjikoto Mine had a strong performance in 2024, producing 198,142 ounces of gold.
This figure is near the midpoint of its guidance range of 185,000 to 205,000 ounces.
For the year ended December 31, 2024, the mill feed grade was 1.87 grams per tonne (g/t), mill throughput was 3.34 million tonnes, and gold recovery averaged 98.6%.
In the fourth quarter of 2024, the Otjikoto Mine produced 52 452 ounces of gold. For the fourth quarter of 2024, mill feed grade was 2.10 g/t, mill throughput was 0.79 million tonnes, and gold recovery averaged 98.6%.
Ore production from the Wolfshag underground mine for the fourth quarter of 2024 averaged over 1 650 tonnes per day at an average gold grade of 3.61 g/t gold.
In February, the company announced positive Preliminary Economic Assessment (PEA) results for the Antelope deposit at the Otjikoto Mine. The Antelope deposit, comprised of the Springbok Zone, the Oryx Zone, and a possible third structure, Impala, subject to further confirmatory drilling, is located approximately 4 km southwest of the existing Otjikoto open pit.
“Based on the positive results from the PEA, B2Gold believes that the Antelope deposit has the potential to become a small-scale, low-cost, underground gold mine that can supplement the low-grade stockpile production during the period of 2028 to 2032 and result in a meaningful production profile for Otjikoto into the next decade.”
The PEA for the Antelope deposit indicates an initial mine life of five years and total production of 327 000 ounces averaging approximately 65 000 ounces per year over the life of mine.
In combination with the processing of existing low-grade stockpiles, production from the Antelope deposit has the potential to increase Otjikoto Mine production to approximately 110,000 ounces per year for 2029 through 2032.
The company has approved an initial budget of up to US$10 million for 2025 to de-risk the Antelope deposit development schedule by advancing early work planning, project permits, and long lead orders.
The Otjikoto Mine is expected to produce between 165,000 and 185,000 ounces of gold in 2025 at cash operating costs of between US$695 and US$755 per ounce and all-in sustaining costs of between US$980 and US$1 040 per ounce.
