B2Gold Corp. (TSX:BTO) (NYSE MKT:BTG) (NSX:B2G) (“B2Gold” or the
“Company”) is pleased to announce the maiden Mineral Resource
estimate for the Anaconda area of the Fekola Project located in
southwestern Mali and new exploration drill results from beneath
the saprolite and for Anaconda. This initial Inferred Mineral
Resource estimate is 21.59 million tonnes at 1.11 g/t gold for
767,000 ounces. The estimate is reported within a series of pit
shells and above a 0.35 g/t gold cutoff grade. This
saprolite-hosted gold mineralization remains open and B2Gold’s
Exploration group is continuing to explore the edges of the known
zones, and test for additional saprolite hosted mineralized zones
and Fekola-style mineralization within the bedrock.
Highlights
- The Anaconda Mineral Resource includes the Anaconda, Adder,
Cobra, Cascabel, Mamba and Boomslang zones which occur as
flat-lying to slightly dipping mineralized zones within saprolite
and saprock. This resource occurs near surface and remains open
along strike
- At present, the combined Anaconda-Adder saprolite zone extends
over 4.5 kilometres along strike and up to 500 metres wide at
Anaconda and up to 200 metres wide at Adder. Within these zones,
mineralized saprolite varies from several metres to over 40 metres
thick, with an average true thickness of approximately 13.5
metres
- A conceptual engineering study is underway for Anaconda to
determine the economics of mining and processing the soft saprolite
material. Initial results indicate the potential for a standalone
operation
- The 2016 exploration program identified several bedrock
structures, below the saprolite, that may have weathered to create
the extensive zones of saprolite-hosted gold mineralization. These
mineralized bedrock structures have the potential to host new
additional Fekola-style zones. Further drilling is ongoing to test
these zones
- Recent significant drill results at the Kiwi zone to the north
of the projected Fekola pit, containing up to 2.14 g/t over 25
metres in FSER_173
Anaconda Resource Estimation
Details
The effective date of the Mineral Resource
estimate is March 22, 2017. A total of 2,007 drill holes (107,048
metres of drilling) were used in the estimate. Of the total, there
are 1,629 aircore drill holes (66,550 metres), 266 reverse
circulation (“RC”) holes (31,778 metres) and 112 diamond drill core
(“DD”) holes (8,720 metres). Much of the area is drilled at
40-metre by 40-metre spacing with local areas infilled to 20-metres
by 20-metres and some areas drilled to 80-metres by 80-metres. A
twin drilling program of 37 pairs of aircore to RC or aircore to DD
were completed and results between aircore and DD and RC twins were
comparable. Additionally, three 20-metre by 20-metre areas were
infill drilled at 5-metre by 5-metre drill spacing with diamond
drill core to test for grade continuity and to compare core results
versus aircore and RC.
March 2017 Saprolite Inferred Mineral
Resource Estimate Statement
(Base case is highlighted)
Gold Cutoff Grade (g/t) |
Tonnes |
Gold Grade (g/t) |
Contained Metal (Ounces) |
0.2 |
32,340,000 |
0.83 |
866,000 |
0.3 |
26,170,000 |
0.97 |
815,000 |
0.35 |
21,590,000 |
1.11 |
767,000 |
0.4 |
17,500,000 |
1.28 |
718,000 |
0.5 |
13,700,000 |
1.51 |
664,000 |
0.6 |
12,540,000 |
1.60 |
644,000 |
0.7 |
12,050,000 |
1.64 |
634,000 |
0.8 |
11,500,000 |
1.68 |
621,000 |
0.9 |
10,640,000 |
1.74 |
597,000 |
1.0 |
9,720,000 |
1.82 |
569,000 |
Notes to accompany Mineral Resource Table:
- Mineral Resources have an effective date of March 22, 2017 and
are reported on a 100% ownership basis
- The Qualified Person for the estimate is Tom Garagan, P.Geo.,
B2Gold’s Senior Vice President of Exploration
- Resources are reported within a conceptual Lerchs-Grossmann pit
shell assuming the following parameters: gold price of US$1400/oz.,
gold recovery of 95%, mining cost of US$1.75/t, processing cost of
US$8.10/t mill feed, G&A cost of US$2.75/t mill feed, and 35
degree pit slope angles
- Inferred Mineral Resources are reported at a cutoff grade of
0.35 g/t gold
- Mineral Resources have been classified using the 2014 CIM
Definition Standards for Mineral Resources and Mineral Reserves.
Mineral Resources that are not Mineral Reserves do not have
demonstrated economic viability
- Due to the uncertainty that may be attached to Inferred Mineral
Resources, it cannot be assumed that all or any part of an Inferred
Mineral Resource will be converted to Indicated or Measured Mineral
Resources as a result of continued exploration
- Figures are rounded and may not sum
Regolith model, including bases of laterite,
saprolite and saprock, was built in 3D from detailed drill hole
logging of weathering intensity and lithology. Mineralization zones
at nominal grade thresholds of 0.2 g/t gold and 0.6 g/t gold were
built in 3D and were used to control the gold grade estimates.
Gold assays were capped prior to compositing to
two metres, with capping at 2.5 g/t for the 0.2 g/t shell, 16 g/t
for the 0.6 g/t shell and 2.0 g/t for laterite. Capping levels were
based on statistics and spatial consideration of the high-grade
assays. Block model gold grades were estimated into 20-metre by
20-metre by 2-metre blocks using Ordinary Kriging. Composite
sharing across the mineralization zone and laterite contacts was
not warranted.
A total of 1,641 bulk density measurements using
the water-displacement method on dried laterite, saprolite and
saprock samples were completed at the project site. The average
densities used for tonnage and contained metal estimates are 2.07
t/m3 for laterite, 1.44 t/m3 for saprolite and 1.90 t/m3 for
saprock.
Inferred Mineral Resources are supported by a
nominal drill hole spacing of 80-metres by 80-metres; however, 90%
of the reported resource has been drilled to the tighter 40-metre
by 40-metre drill spacing.
The block model estimates were checked against
input composite data visually on screen and on paper plots.
Additional checks completed include swath plots, and comparison of
original and declustered composites versus kriged block model
results by domain.
West African Exploration
Update
In April 2017, the Company’s Board of Directors
approved an additional $7 million worth of proposed exploration
expenditures, which increases the West African exploration budget
to approximately $27 million for 2017. These additional funds will
allow for the advancement of prospects that are currently over and
above the focus of ongoing exploration programs.
Mali Exploration Results
Drilling is currently underway at the Kiwi zone,
which is located directly to the north of, and along strike of, the
current Fekola Deposit pit boundary. The Kiwi zone sits above the
Fekola Deeps zone, and is open to the north, where previous deeper
drilling had intersected wide zones of good-grade mineralization
(see below). Prior to the Kiwi drilling, the Company assumed the
Fekola Deeps zone could have the potential to be mined from
underground in later years. If the Kiwi zone continues to intercept
gold mineralization at depth, then the potential would be to extend
the Fekola pit to the north and mine a portion of Kiwi and Fekola
Deeps by open pit. Recent highlights from Kiwi zone drilling
include:
Hole ID |
Zone |
From (m) |
To (m) |
Length (m) |
Gold (g/t) |
Horizon |
FSER_172 |
Kiwi |
3.00 |
22.00 |
19.00 |
1.43 |
Regolith |
and |
Kiwi |
22.00 |
38.00 |
16.00 |
1.47 |
Rock |
FSER_173 |
Kiwi |
21.00 |
46.00 |
25.00 |
2.14 |
Rock |
FSER_174 |
Kiwi |
28.00 |
52.00 |
24.00 |
1.19 |
Rock |
FSER_175 |
Kiwi |
10.00 |
28.00 |
18.00 |
1.64 |
Regolith |
and |
Kiwi |
29.00 |
46.00 |
17.00 |
1.86 |
Rock |
FSER_176 |
Kiwi |
0.00 |
33.00 |
33.00 |
0.92 |
Regolith |
and |
Kiwi |
33.00 |
42.00 |
9.00 |
1.33 |
Rock |
FSER_177 |
Kiwi |
6.00 |
29.00 |
23.00 |
0.99 |
Regolith |
and |
Kiwi |
34.00 |
39.00 |
5.00 |
1.22 |
Rock |
FSER_178 |
Kiwi |
22.00 |
44.00 |
22.00 |
1.81 |
Rock |
FSER_179 |
Kiwi |
7.00 |
25.00 |
18.00 |
1.94 |
Regolith |
and |
Kiwi |
25.00 |
32.00 |
7.00 |
2.38 |
Rock |
FSER_181 |
Kiwi |
7.00 |
25.00 |
18.00 |
1.19 |
Regolith |
FKD_201 |
Kiwi |
238.40 |
244.75 |
6.35 |
2.21 |
Rock |
Drilling continues on the Kiwi zone.
Fekola Deeps
(Previously released)
Hole ID |
Section (N) |
From |
To |
Length (m) |
Gold (g/t) |
FKD_148 |
1388240 |
421.30 |
454.30 |
33.00 |
2.90 |
incl. |
|
440.30 |
446.30 |
6.00 |
7.97 |
FKD_179 |
1388413 |
488.60 |
507.60 |
19.00 |
3.88 |
and |
|
515.50 |
529.19 |
13.69 |
1.95 |
FKD_181 |
1388612 |
425.20 |
470.58 |
45.38 |
4.77 |
incl. |
|
425.20 |
434.60 |
9.40 |
10.70 |
and |
|
438.60 |
444.80 |
6.20 |
9.23 |
FKD_182 |
1388350 |
457.30 |
473.10 |
15.80 |
2.98 |
incl. |
|
467.25 |
472.10 |
4.85 |
4.41 |
FKD_183 |
1388275 |
445.10 |
479.30 |
34.20 |
3.27 |
incl. |
|
463.00 |
471.00 |
8.00 |
8.33 |
FKD_184 |
1388500 |
490.00 |
515.05 |
25.05 |
2.37 |
incl. |
|
499.70 |
508.00 |
8.30 |
3.54 |
For the remainder of 2017, in addition, drilling
will continue to explore multiple targets along the Fekola trend
and adjacent to and under the saprolite-hosted gold resources at
Anaconda. A sample of recent bedrock drill results under the
saprolite hosted gold zones are as follows:
Anaconda
Hole ID |
From (m) |
To (m) |
Length (m) |
Gold (g/t) |
MSR_132 |
42.00 |
63.00 |
21.00 |
6.84 |
and |
142.00 |
164.00 |
22.00 |
1.19 |
MSD_007 |
16.00 |
35.80 |
19.80 |
1.65 |
Incl. |
28.70 |
35.80 |
7.10 |
3.65 |
MSD_009 |
105.00 |
118.00 |
13.00 |
1.53 |
MSR_169 |
32.00 |
45.00 |
13.00 |
2.77 |
Incl. |
37.00 |
45.00 |
8.00 |
4.26 |
MSR_171 |
45.00 |
56.00 |
11.00 |
1.56 |
MSR_173 |
27.00 |
42.00 |
15.00 |
4.37 |
MSR_217 |
35.00 |
46.00 |
11.00 |
1.69 |
MSD_040* |
89.80 |
101.60 |
11.80 |
1.60 |
and |
142.40 |
158.80 |
8.40 |
1.98 |
MSD_106* |
48.10 |
68.15 |
20.05 |
1.05 |
*indicates new drill results
Mamba
Hole ID |
From (m) |
To (m) |
Length (m) |
Gold (g/t) |
MSR_247 |
74.00 |
84.00 |
10.00 |
2.22 |
MSR_239 |
58.00 |
68.00 |
10.00 |
1.76 |
MSD_046 |
149.60 |
155.30 |
5.70 |
2.90 |
and |
243.66 |
253.10 |
9.44 |
4.26 |
MSR_228* |
171.00 |
181.20 |
10.20 |
1.32 |
*indicates new drill results
Cascabel
Hole ID |
From (m) |
To (m) |
Length (m) |
Gold (g/t) |
MSD_040 |
89.80 |
101.60 |
11.80 |
1.60 |
and |
142.40 |
158.80 |
8.40 |
1.98 |
MSD_106 |
48.10 |
68.15 |
20.05 |
1.05 |
MSR_259 |
122.00 |
130.00 |
8.00 |
1.27 |
MSR_228 |
171.00 |
181.20 |
10.20 |
1.32 |
MSR_259* |
122.00 |
130.00 |
8.00 |
1.27 |
MSR_243* |
137.00 |
149.00 |
12.00 |
1.10 |
incl |
138.00 |
145.00 |
5.00 |
1.97 |
and |
165.00 |
178.00 |
13.00 |
1.66 |
incl |
166.00 |
170.00 |
4.00 |
3.75 |
*indicates new drill results
Burkina Faso
Drilling is ongoing at the Toega prospect in
Burkina Faso. Three drill rigs are currently on site with the
objectives of expanding known mineralization at Toega and stepping
out to test for additional mineralization at other targets in the
region. Highlights from recent drilling include NKDD030, which
intersected 22.40 metres at 5.20 g/t gold, from 242.00 metres. A
maiden Mineral Resource estimate for Toega is scheduled for
completion in the third quarter of 2017.
Quality assurance and quality control (QA/QC)
measures on assaying and sample preparation include regular
insertion of certified reference, field duplicate and blank sample
materials prior to submission of samples to the laboratory. QA/QC
sample insertion rates are 1:35 for standards and blanks. QA/QC
data are reviewed on a continuous basis and before data are
imported into the database. Comprehensive QA/QC reports are
generated and reviewed monthly by senior staff. Data imported into
the project database are subject to validation, which includes
checks on surveys, collar coordinates, lithology data, and assay
data. Sample security measures include moving all samples from the
drill site to the Toega and Fekola camp yards at the end of each
drill shift, and tracking of sample shipments using
industry-standard procedures.
About B2Gold Corp.
Headquartered in Vancouver, Canada, B2Gold Corp.
is one of the fastest-growing intermediate gold producers in the
world. Founded in 2007, today, the Company has four operating
mines, one mine under construction and numerous exploration
projects in various countries, including Nicaragua, the
Philippines, Namibia, Mali, Burkina Faso and Finland. Construction
of the Company’s Fekola Mine in southwest Mali is approximately
three months ahead of schedule and on budget, and is projected to
commence production on October 1, 2017. As a result, the Company is
well positioned to maintain its low-cost structure and growth
profile.
Based on current assumptions and updates to
B2Gold’s current year guidance and long-term mine plans, the
Company is projecting consolidated gold production in 2017 of
between 545,000 and 595,000 ounces (including estimated
pre-commercial production from the Fekola Mine of between 45,000
and 55,000 ounces); and in 2018 significantly increasing to between
900,000 and 950,000 ounces, with the inclusion of the anticipated
first full-year of commercial production at the Fekola Mine.
On Behalf of B2GOLD
CORP.“Clive T. Johnson”President
and Chief Executive Officer
This news release includes certain
"forward-looking information" and "forward-looking statements"
(collectively "forward-looking statements") within the meaning of
applicable Canadian and United States securities legislation,
including, but not limited to, statements regarding the Company’s
growth, continued exploration, Mineral Resource estimates,
including Inferred Mineral Resource estimate for the Anaconda area
of Fekola, the potential for a standalone operation based on
initial results of an engineering study, continued drilling along
the Fekola trend and Anaconda and the results thereof, potential to
advance further prospects due to increased exploration budget,
anticipated completion of the Toega Mineral Resource estimate in Q3
of 2017, production estimates, the Company’s future cost structure
and anticipated timing of construction and production at Fekola.
All statements in this news release that address events or
developments that we expect to occur in the future are
forward-looking statements. Forward-looking statements are
statements that are not historical facts and are generally,
although not always, identified by words such as "expect", "plan",
"anticipate", "project", "target", "potential", "schedule",
"forecast", "budget", "estimate", "intend" or "believe" and similar
expressions or their negative connotations, or that events or
conditions "will", "would", "may", "could", "should" or "might"
occur. All such forward-looking statements are based on the
opinions and estimates of management as of the date such statements
are made. Forward-looking statements necessarily involve
assumptions, risks and uncertainties, certain of which are beyond
B2Gold's control, including risks associated with the volatility of
metal prices and our common shares; risks and dangers inherent in
exploration, development and mining activities; uncertainty of
reserve and resource estimates; risk of not achieving production,
cost or other estimates; risk that actual production, development
plans and costs differ materially from the estimates in our
feasibility studies; risks related to hedging activities and ore
purchase commitments; the ability to obtain and maintain any
necessary permits, consents or authorizations required for mining
activities; uncertainty about the outcome of negotiations with the
Government of Mali; risks related to environmental regulations or
hazards and compliance with complex regulations associated with
mining activities; the ability to replace mineral reserves and
identify acquisition opportunities; unknown liabilities of
companies acquired by B2Gold; ability to successfully integrate new
acquisitions; fluctuations in exchange rates; availability of
financing and financing risks; risks related to operations in
foreign countries and compliance with foreign laws; risks related
to remote operations and the availability adequate infrastructure,
fluctuations in price and availability of energy and other inputs
necessary for mining operations; shortages or cost increases in
necessary equipment, supplies and labour; regulatory, political and
country risks; risks related to reliance upon contractors, third
parties and joint venture partners; challenges to title or surface
rights; dependence on key personnel and ability to attract and
retain skilled personnel; the risk of an uninsurable or uninsured
loss; adverse climate and weather conditions; litigation risk;
competition with other mining companies; changes in tax laws;
community support for our operations including risks related to
strikes and the halting of such operations from time to time; the
final outcome of the audit by the DENR in relation to our Masbate
Gold Project; as well as other factors identified and as described
in more detail under the heading "Risk Factors" in B2Gold's most
recent Annual Information Form and B2Gold's other filings with
Canadian securities regulators and the U.S. Securities and Exchange
Commission (the "SEC"), including the Form 40-F, which may be
viewed at www.sedar.com and www.sec.gov, respectively. The
list is not exhaustive of the factors that may affect the Company's
forward-looking statements. There can be no assurance that such
statements will prove to be accurate, and actual results,
performance or achievements could differ materially from those
expressed in, or implied by, these forward-looking statements.
Accordingly, no assurance can be given that any events anticipated
by the forward-looking statements will transpire or occur, or if
any of them do, what benefits or liabilities B2Gold will derive
therefrom. The Company's forward-looking statements reflect current
expectations regarding future events and operating performance and
speak only as of the date hereof and the Company does not assume
any obligation to update forward-looking statements if
circumstances or management's beliefs, expectations or opinions
should change other than as required by applicable law. For the
reasons set forth above, undue reliance should not be placed on
forward-looking statements.
Tom Garagan, P.Geo., B2Gold’s Senior Vice
President of Exploration, a qualified person under National
Instrument 43-101, has approved the scientific and technical
information contained in this news release. As Senior Vice
President of Exploration, Tom Garagan supervises all work.
The disclosure in this news release regarding
mineral properties was prepared in accordance with Canadian
National Instrument 43-101 (“NI 43-101”), which differs
significantly from the mineral reserve disclosure requirements of
the SEC set out in Industry Guide 7. In particular, NI 43-101
permits companies to use the term “resources”, which are not
“reserves”. Under U.S. standards, companies are not normally
permitted to disclose mineralization that does not constitute
“reserves” in filings with the SEC. Accordingly, while Mineral
Resources are recognized and required to be disclosed by NI 43-101,
the SEC’s disclosure standards normally do not permit companies to
disclose Mineral Resources in their filings with the SEC. In
addition, the definitions of “reserves” and related terms under NI
43-101 and the SEC’s Industry Guide 7 differ significantly. Under
SEC standards, mineralization may not be classified as a “reserve”
unless the determination has been made that the mineralization
could be economically and legally produced or extracted at the time
the reserve determination is made. Among other things, all
necessary permits would be required to be in hand or issuance
imminent in order to classify mineralized material as reserves
under the SEC standards. Investors are specifically cautioned not
to assume that any part or all of “Measured Mineral Resources”,
“Indicated Mineral Resources” or “Inferred Mineral Resources” will
ever be converted into a higher category, including SEC defined
mineral reserves. Investors should also understand that “Inferred
Mineral Resources” have a great amount of uncertainty as to their
existence and great uncertainty as to their economic and legal
feasibility. It cannot be assumed that all or any part of an
“Inferred Mineral Resource” exists or is economically or legally
mineable. Further, while NI 43-101 permits companies to disclose
economic projections contained in preliminary economic assessments
and pre-feasibility studies, which are not based on “reserves”,
U.S. companies are not normally permitted to disclose economic
projections for a mineral property in their SEC filings prior to
the establishment of “reserves”. For the above reasons, information
contained in this news release regarding mineral properties is not
comparable to similar information made public by companies that
report in accordance with U.S. standards.
For more information on B2Gold please visit the Company website at www.b2gold.com or contact:
Ian MacLean
Vice President, Investor Relations
604-681-8371
imaclean@b2gold.com
Katie Bromley
Manager, Investor Relations & Public Relations
604-681-8371
kbromley@b2gold.com
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