CHAMWE KAIRA
B2Gold has said the Otjikoto Mine, in which the company holds a 90% interest, has continued to outperform during the third quarter of this year, producing 52 131 ounces of gold.
The production was above expectations and this was as a result of higher than anticipated mill feed grade and higher than expected mill throughput.
For the third quarter, mill feed grade was 1.88 grams per tonne, mill throughput was 0.87 million per tonne, and gold recovery averaged 98.8%. Ore production from the Wolfshag underground mine for the third quarter of 2024 averaged over 1 800 tonnes per day at an average grade of 3.64 grams per tonne.
The Otjikoto Mine’s cash operating costs for the third quarter of 2024 were US$$740 per gold ounce produced (US$742 per ounce gold sold). Cash operating costs per gold ounce produced for the third quarter were lower than anticipated due to higher than expected gold production in the third quarter.
B2Gold said all-in sustaining costs for the third quarter of 2024 were US$896 per gold ounce sold.
“All-in sustaining costs for the third quarter of 2024 were lower than expected as a result of lower than expected cash operating costs and higher gold ounces sold, partially offset by higher gold royalties due to a higher than anticipated average realized gold price,” the company said.
Capital expenditures for the third quarter of 2024 totaled US$1 million for Wolfshag underground mine development.
The Otjikoto Mine is expected to produce between 185,000 and 205,000 ounces of gold in 2024 at cash operating costs of between US$685 and US$745 per ounce and all-in sustaining costs at or below the lower end of its guidance range of between US$960 and US$1 020 per ounce.
Following the release of an initial Inferred mineral resource estimate for the Springbok Zone, the southernmost shoot of the recently discovered Antelope deposit, located approximately three km south of the Otjikoto Phase 5 open pit at the Otjikoto Mine in the second quarter, the company has commenced a preliminary economic assessment, which is expected to be completed in the first half of 2025.
Subject to receipt of a positive assessment and permit, mining of the Springbok Zone, coupled with the exploration potential of the greater Antelope deposit, could begin to contribute to gold production at Otjikoto in 2026.
B2Gold added that the Antelope deposit has the potential to supplement the processing of low-grade stockpiles at the Otjikoto Mine through 2031, with the goal of increasing gold production levels to over 100 000 ounces per year from 2026 through 2031.
