B2Gold maintains ore production at its Wolfshag underground mine will commence soon, and will complement the open pit ore supply at Otjikoto.
“As a result of the timing of higher-grade ore mining, Otjikoto’s gold production is expected to be significantly weighted to the second half of 2022 when mining is scheduled to reach the higher-grade portions of Phase 3 of the Otjikoto Pit and ore production ramps up at the Wolfshag underground mine,” the miner said in its latest Responsible Mining Reports.
B2Gold said the mine had performed well during the first quarter of 2022, producing 35 061 ounces of gold, a 5% (1 803 ounces) above budget, with processed tonnes, grade and recoveries all slightly better than budget.
“Going by projections, the mine is set to produce between 175 00 and 185 000 ounces in the fourth quarter of 2022. For the first half of 2022, Otjikoto’s gold production is expected to be between 65,000 – 70,000 ounces, which is expected to increase significantly to between 110,000 – 115,000 ounces during the second half of 2022,” the company said in the report.
B2Gold has awarded Byrnecut, an international specialist underground mining contractor, a N$1.6 billion development and production contract for the underground Mine.
The underground mining project was approved by the B2Gold Board in December 2019 and is estimated to contain 210 000 ounces of gold contained in 1.2 million tonnes of ore, which will be extracted over a period of four years from January 2022 to August 2025.
During this period, it is expected that the project will realise revenue of N$5.9 billion (US$ 403.2 million) at a gold price of US$1,500 per ounce, with an incremental All-in sustaining cost (ASIC) of US$609 per ounce.
B2Gold is a low-cost international senior gold producer headquartered in Vancouver, Canada, operating gold mines in Mali, Namibia, and the Philippines.
