B2Gold’s Otjikoto gold mine in Namibia produced 35,068 ounces in Q3 2022, lower than planned mainly due to delays in bringing the Wolfshag Underground mine into production.
This was after the Namibian mine produced 31,417 ounces of gold in the second quarter of 2022, 2,027 ounces (6%) below budget.
The Canada listed miner is banking on the underground mine to significantly increase gold production in the fourth quarter of 2022 when mining reaches a higher-grade zone in the Otjikoto pit and stope ore production commences from the Wolfshag Underground mine.
“Project delays were due to issues achieving development rates in prior periods, which have been addressed through appointing a new development contractor in April 2022,” President and Chief Executive Officer, Clive Johnson said.
“Mined ore tonnage and grade continue to reconcile well with Otjikoto’s resource model, with production forecast to significantly increase in the fourth quarter of 2022 when mining reaches a higher grade zone in the Otjikoto pit and with stope ore production commencing from the Wolfshag Underground mine.”
B2Gold appointed Byrnecut, an international specialist underground mining contractor, on a N$1.6 billion development and production contract for the Wolfshag Underground Mine.
The Otjikoto Mine is now expected to produce towards the lower end of guidance of between 165,000 and 175,000 ounces of gold in 2022 according to the gold miner.
The Namibian mine on Tuesday announced that it had returned to full production after it reinstated approximately 160 workers who were suspended after embarking on an unsanctioned industrial action.
The B2Gold board approved the underground mining project in December 2019 and is estimated to contain 210,000 ounces of gold in 1.2 million tonnes of ore, which will be extracted over four years and expected to realise N$5.9 billion (US$ 403.2 million) in revenue.
Total gold production of B2Gold Corp in the third quarter of 2022 came in at 227,016 ounces, down 27% compared to Q3 2021 and less than planned due to challenges at Fekola and Otjikoto, against anticipated total gold production of between 990,000 to 1,050,000 ounces targeted for 2022.
B2Gold is an international senior gold producer headquartered in Vancouver, Canada, operating gold mines in Mali, Namibia and the Philippines and numerous exploration and development projects in various countries including Mali, Colombia, Burkina Faso, Finland and Uzbekistan.
B2Gold Namibia is a 90% owned subsidiary of B2Gold Corp, with the remaining 10% owned by EVI Mining Company Limited, a Namibian, broad-based economic empowerment group.
