B2gold Corp. · TSX:BTO
B2gold — Investor Presentation (March 2014)
39 slides from B2gold's investor presentation, March 2014
Slide 1: A Profitable Growth-Oriented Intermediate Gold Producer
A PROFITABLE GROWTH-ORIENTED INTERMEDIATE GOLD PRODUCER MARCH 2014 1
Slide 2: Cautionary Statement
Cautionary Statement This presentation includes certain “forward-looking statements” within the meaning of applicable securities laws. All statements, other than statements of historical fact, included herein including, without limitation, statements relating to B2Gold’s future operating or financia
Slide 3: About B2Gold
About B2Gold Growing Profitable Gold Producer Three producing gold mines Fully funded growth from existing assets Strong Record of Operational Execution Strong Financial Position Good Access to Capital Proven Management Team Former management and technical teams of Bema Gold Strong
Slide 4: Projected Production
Projected Production 700 605 585 Annual Production (k oz Gold)(1) 600 555 170 500 140 170 410 400 366 (2) 200 200 200 220 300 169 200 158 (2) 58 65 65 65 65 49 100 139 145 150 150 150 109 0 2012 2013 2014 2015 2016 2017 La Libertad Limon Masbate Otjikoto Nicaragua Nicaragua Philippines Namibia (1) B
Slide 5: Share Capital
Share Capital Ownership Breakdown Million Shares (1) (% Basic) Total Shares Issued and Outstanding 674.7 Stock Options held by Executive founders and 0 Chairman Stock Options and Restricted Share Units 43 6.5% Total Shares Fully Diluted 717.7 Shares Held by Directors and Officers 36.6 5.4% Market Ca
Slide 6: 2013 Fourth Quarter and Full Year Production
2013 Fourth Quarter and Full Year Production 2013 Fourth Quarter Highlights • Record quarterly gold production of 105,577 ounces at cash operating costs of $638 per ounce, a production increase of 138% over Q4 2012 • Record gold sales of 106,185 ounces • Gold revenue of $138.1 million, an increase o
Slide 7: 2014 Guidance
2014 Guidance Projected consolidated gold production of 395,000 – 420,000 ounces at an average operating cash cost of $667 - $695 per ounce Projected all-in sustaining costs of approx. $1,025- $1,125 per ounce Scheduled to complete construction of the Otjikoto mine in Namibia in Q4 2014, first
Slide 8: Mining in Nicaragua
Mining in Nicaragua Long mining history with a strong Mining Law Rated the safest country in Central America Modern infrastructure and easily accessible Democratic Republic since 1990. Government supportive of foreign investment Tax regime – 3% NSR and 30% Net Profits Tax Currency pegged
Slide 9: Nicaraguan Gold Production
Nicaraguan Gold Production La Libertad Mine (100%) Open pit mine 2013 record gold production of 138,726 ounces at cash operating costs of $563 per ounce 2014 budgeted gold production of 143,000 – 150,000 ounces 2014 budgeted cash operating costs of $545 - $565 per ounce 2014 capex budget o
Slide 10: La Libertad 2014 Exploration Overview
LA LIBERTAD 2014 Exploration Overview LA LIBERTAD Mt Gold (g/t) Gold Oz P&P 11.88 1.7 648,000 M&I 4.66 3.14 471,000 2014 Budget INF 4.99 2.14 343,000 $ 4.25 million Reserves EXCLUSIVE of Resources 10,500 m SOCHTR 13-001 19.9 g/t Au / 1.5m Cerro Quiroz N-S vein target Socorro / Chamarro EIA permit st
Slide 11: Masbate Mine, The Philippines
Masbate Mine, The Philippines Long Mining History Good Mining Investment Climate and Strong Mineral Potential Favourable Investment/Tax regime, 30% corporate tax , 2% excise tax; income tax holiday for B2Gold until June 2015, could be extended to 2017 Government has endorsed the B2Gold / CGA
Slide 12: Masbate Gold Mine
Masbate Gold Mine Flagship gold mine in the Philippines, produced approximately 741,000 ounces by the end of 2013 Open pit gold mine, excellent infrastructure Projected initial 15 year mine life, expansion studies underway 2013 attributable gold production of 169,396 ounces at cash operating
Slide 13: Mining in Namibia
Mining in Namibia ANGOLA Population of 2.3 million (2011 World Bank estimate) Strong history of mining Mining plays vital role in the Namibian economy Stable Government Encourages foreign investment Mining corporate tax rate 37.5%, NSR 3% WALVIS BAY Favourable tax treatment on capital
Slide 14: Otjikoto Mine
Otjikoto Mine(1) Open pit gold mine with an initial life of mine (“LOM”) of 12 years based on the probable mineral reserves Probable open pit mineral reserves for the main Otjikoto ore body are 29.4 million tonnes at 1.4 g/t gold containing 1.34 million ounces of gold(2) , strip ratio of 5.6:1
Slide 15: Otjikoto Construction
Otjikoto Construction Batch Plant Office 15 15 15
Slide 16: Otjikoto Construction
Otjikoto Construction Tailings Pond Construction Camp Truck Carrying Waste Leach Tank 16 16
Slide 17: Otjikoto Project Map
Otjikoto Project Map Wolfshag Zone 17 17
Slide 18: Otjikoto Project Map
Otjikoto Project Map Wolfshag Zone 18 18 18
Slide 19: Volta Resources
Volta Resources Kiaka Project Burkina Faso Properties 2014 Budget $ 3.6 million 20,000 m 19 19
Slide 20: Kiaka Project
Kiaka Project (1)(2) • One of the largest undeveloped gold resources in West Africa • Volta Prefeasibility Study based on 12 million tonnes per annum plant, producing 340,000 ounces per year for 10.3 years • 153.3 million tonnes at 0.99 g/t gold for 4.86 million ounces in Measured and Indicated Cate
Slide 21: Gramalote Project, Colombia
Gramalote Project, Colombia B2Gold (49%) / AngloGold (51%) B2Gold recently announced a Preliminary Economic Assessment New Measured and Indicated Resource of 132.7 million tonnes grading 0.63 g/t for 2.6 million ounces of gold New Inferred Resource of 239.7 million tonnes grading 0.44 g/t for
Slide 22: CSR Activities
CSR Activities Global CSR budget of $15 million for 2014 Namibia Namibia Nicaragua 22
Slide 23: Growth Strategy
Growth Strategy • Optimize production at existing mines • Cost Control • Brownfields exploration • Potential expansion • Complete Otjikoto mine construction • Infill drilling of Wolfshag Zone • Advance development projects • Gramalote project • Kiaka Project • Accretive acquisitions • Increased oppo
Slide 24: Appendix
Appendix 24
Slide 25: Mine Statistics – La Libertad
Mine Statistics – La Libertad 2013 Actual 2013 Guidance 2014 Guidance Processed (Tonnes) 2,015,000 2,096,000 2,226,000 Grade Au (g/t) 2.29 2.19 2.17 Recovery (%) 93.8 92.0 94 Ounces Au Produced 138,726 131,000 – 137,000 143,000 – 150,000 Cash Operating Cost 563 560 - 590 545 - 565 ($/oz Produced) 25
Slide 26: Mine Statistics – El Limon
Mine Statistics – El Limon 2013 Actual 2013 Guidance 2014 Guidance Processed (Tonnes) 445,000 433,400 502,000 Grade Au (g/t) 4.46 4.30 4.36 Recovery (%) 91.42 91.81 92.64 Ounces Au Produced 58,191 54,000 - 58,000 62,000 - 70,000 Cash Operating Cost 652 715 - 745 650 - 675 ($/oz Produced) 26
Slide 27: Mine Statistics – Masbate
Mine Statistics – Masbate 2013 Actual 2013 Guidance 2014 Guidance Processed (Tonnes) 5,889,273 6,233,000 6,441,000 Grade Au (g/t) 1.07 1.08 1.15 Recovery (%) 83.2 79.5 82.45 Ounces Au Produced 169,396 175,000 – 185,000 190,000 – 200,000 Cash Operating Cost 788 825 - 875 765 - 800 ($/oz Produced) 27
Slide 28: Strong Record of Operational Execution
Strong Record of Operational Execution Gold production (koz) 500 400 395-420 300 200 150-160 158 360-380 374 100 130-140 145 120-130 109 0 2013 2013 2014 2010 2010 2011 2011 2012 2012 1H2013 2013 Guidance 1H 2013 Actual 2013E Guidance Guidance Actual Guidance Actual Guidance Actual Guidance Gui danc
Slide 29: Recent Financing
Recent Financing • Convertible Senior Subordinated Notes closed on August 23, 2013 • Proceeds: US$258.75 million • Terms: 3.25% for a five year term, due in 2018 • Conversion price of US$3.93 per share • B2Gold will have an option, upon conversion, to repay the notes in cash • Potential total share
Slide 30: Investing in Nicaragua
Investing in Nicaragua(1) Nicaragua started in 2007 with the lowest percentage of growth in the region - by 2011 and 2012 it had the highest percentage Foreign Direct Investment saw a 222% growth rate from 2006 to the end of Q3 2012 According to the Latin Business Chronicle, in 2011 the index
Slide 31: Limon Exploration
Limon Exploration 2014 Targets 31
Slide 32: Primavera Concession, Nicaragua
Primavera Concession, Nicaragua Joint Venture with Calibre Mining Primavera Project, Gridded Gold Soil Data Area of drilling 32 32
Slide 33: Masbate
MASBATE Mt Gold (g/t) Gold Oz PAJO NORTH P&P 103.9 0.97 3,226,400 Pajo North Rock chip values to: 13.4 g/t Au M&I 91.5 0.78 2,307,200 INF 72.3 0.69 1,598,400 Pajo Zone PAJO SOUTH Pajo South Trench values to: Reserves EXCLUSIVE of Resources PAJO 1.85 g/t Au / 15.4 m PHRC057 1.42 g/t Au / 26.5 m Masba
Slide 34: Volta Resources – Kiaka Deposit
Volta Resources – Kiaka Deposit Typical Cross Section 200m 34
Slide 35: Exploration Budgets 2014
OLD COUNTRY PROJECT BUDGET Brownfields | Greenfields | DRILLING (m) B2GOLD - LATIN AMERICA NICARAGUA LA LIBERTAD 4,254,410 | 3,446,072 808,338 10,500 EL LIMON 4,318,460 | 4,016,168 302,292 10,700 TREBOL 251,547 251,547 PAVON 749,447 749,447 2,000 PROSPERIDAD 195,979 195,979 C. AMERICA RECON | 300,00
Slide 36: Reserves and Resources
Reserves and Resources (1) As of December 31st, 2012(7) Proven and Probable Mineral Reserves (1) Mine Tonnes Gold Grade (g/t) Contained Gold Ounces La Libertad (2) 11,883,000 1.70 648,000 Limon (2) 1,376,000 4.82 213,000 Masbate (3) 103,923,000 0.97 3,227,000 Otjikoto (4) 26,462,000 1.42 1,207,000 T
Slide 37: Reserves and Resources Con't
Reserves and Resources Con’t(1) As of December 31st , 2012(7) Inferred Mineral Resources (1) Mine Tonnes Gold Grade (g/t) Contained Gold Ounces La Libertad(2) 4,993,000 2.14 343,000 El Limon(2) 761,000 4.52 111,000 Masbate (3) 72,318,000 0.69 1,599,000 Otjikoto (4) 2,055,000 1.48 98,000 Otjikoto - W
Slide 38: Technical Reports
Technical Reports Libertad: “Technical Report on the Orosi Mine, Nicaragua: 2008 Exploration Program and Mineral Resource Estimate, San Juan Zone”, March 14, 2009, William N. Pearson, Ph.D., P.Geo., Graham Speirs, P.Eng. Jabali Zone : “NI 43-101 Technical Report - Jabali Project Mineral Resource
Slide 39: Contact Details
Contact Details B2Gold Corp. 3100 - 595 Burrard Street P.O. Box 49143 Vancouver BC V7X 1J1, Canada Tel: +604 681 8371 Fax: +604 681 6209 investor@b2gold.com www.b2gold.com Clive Johnson President, CEO +604 681 8371 Ian MacLean Vice President, Investor Relations +604 681 8371 39