B2gold Corp. · TSX:BTO
B2gold — Investor Presentation (December 2019)
41 slides from B2gold's investor presentation, December 2019
Slide 1: The World's New Senior Gold Producer
ACQUIRE | DISCOVER | FINANCE | BUILD | OPERATE ACQUIRE | DISCOVER | FINANCE | BUILD | OPERATE THE WORLD’S NEW SENIOR GOLD PRODUCER December 2019 THE WORLD’S NEW SENIOR GOLD PRODUCER TSX: BTO NYSE AMERICAN: BTG NSX: B2G
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT 2 Tom Garagan, Senior Vice President of Exploration, a Qualified Person as defined by National Instrument 43-101, has approved the scientific and technical information concerning B2Gold Corp. ("B2Gold") discussed in this presentation. All amounts in this presentation are express
Slide 3: Mine & Project Locations
~ Mes “ VT WaNCoUVvER ee 2¥ YBURKINA FASO “ : \. 7 Ki k r COLOMBIA or GLIA HEE A Gratgalote JV 9 "Tne NAMIBIA * P 444 Ofjikoto A44 Producing Mine A Development Project 4 Exploration Project 9 THE PHILIPPINES 444 Masbate
Slide 4: Corporate Overview
CORPORATE OVERVIEW 4 The World’s New Senior Gold Producer Successful history of exploration success, accretive COMBINED EXECUTIVE EXPERIENCE acquisitions, production growth and political risk management +280 YEARS of working together for Bema Gold and B2Gold Ongoing commitment to the highest standar
Slide 5: Managing Political Risk and Succeeding
MANAGING POLITICAL RISK 5 B2Gold’s Competitive Advantage/Keys to Success PROVEN TRACK RECORD B2GOLD’S GUIDING OF BEMA GOLD AND B2GOLD BUSINESS PRINCIPLES: MANAGING POLITICAL RISK FAIRNESS | RESPECT TRANSPARENCY | ACCOUNTABILITY AND SUCCEEDING IN COUNTRIES AROUND THE WORLD Always delivering on our pr
Slide 6: Strong & Profitable Production Profile
STRONG & PROFITABLE PRODUCTION PROFILE 6 Annual Gold Production Growth (oz) Fekola Mine, Mali Nicaraguan mines 1,005,000 4 – 1,050,000 Otjikoto Mine, Namibia Consolidated all-in sustaining costs (“AISC”)/oz1 Masbate Mine, The Philippines La Libertad Mine, Nicaragua El Limon Mine, Nicaragua 1. Refer
Slide 7: Consolidated 5-Year Outlook: 2020 - 2024
CONSOLIDATED 5-YEAR OUTLOOK: 2020 - 2024 7 Consolidated gold production averaging 950 Koz/y based on current operating plans1 Operating plans include2: • Fekola mining and processing expansions • Fekola solar plant • Otjikoto-Wolfshag underground mine AISC3 averaging under $825/oz 1. Assumes an indi
Slide 8: Share Price Performance: Past 10 Years
SHARE PRICE PERFORMANCE: PAST 10 YEARS 8 B2Gold vs. Gold Price & TSX Global Gold Index BTO Gold Price TSX Global Gold Index Credit: Canaccord Genuity (December 11, 2019) Source: Bloomberg (December 14, 2009 — October 11, 2019) All price performance shown is in US dollars
Slide 9: Health & Safety Performance: By Year
HEALTH & SAFETY PERFORMANCE: BY YEAR 9 Results: 0.8 YTD 2019: FREQUENCY BENCHMARKS/TARGETS Otjikoto: 0 lost-time-injury 0.7 (“LTI”) and Severity (+4.6 million work hours) 0.6 552 days without an LTI 0.5 Masbate: 0 LTI and Severity (200 K HOURS) (+5.6 million work hours) 0.4 317 days without an LTI 0
Slide 10: Responsible Mining
RESPONSIBLE MINING 10 Raising the Bar CEPA, the Philippines Otjikoto Solar Plant, Namibia New Fadougou village, Mali The Philippines THE PHILIPPINES: NAMIBIA: MALI: THE JANTZI INDEX: • Capsay Egg Producers Association • Development workshop • AFECK1 Project – ‘Skills for • B2Gold has been added to t
Slide 11: 2019 Consolidated Guidance
2019 CONSOLIDATED GUIDANCE 11 Projected Gold Production, Costs, Gold Revenue & Cash Flows from Operating Activities Gold production1: Projected gold revenue: 935 Koz - 975 Koz $1.3 B 2,3 approx. Cash operating costs2: Projected cash flows from $520 - $560/oz operating activities: $500 M 3 approx. AI
Slide 12: YTD 2019 & Q3 2019 Consolidated
YTD 2019 & Q3 2019 CONSOLIDATED 12 Gold Production & Costs GOLD PRODUCTION: 2019 GUIDANCE1: YTD 2019 CASH OPERATING COSTS2: 935 Koz - 975 Koz $560 (/oz sold) $531 (/oz sold) $520 - $560 (/oz) 5 % $29/oz BUDGET ACTUAL 2019 GUIDANCE BELOW Q1 2019: BUDGET YTD 2019 AISC2: 230,859 oz $909 (/oz sold) $855
Slide 13: Profitable Production Results: Shareholder Returns
PROFITABLE PRODUCTION RESULTS 13 Shareholder Returns Q3 2019 gold revenue1: On November 5, 2019, B2Gold declared its $382 M on gold sales of 256,670 oz at an first dividend: average price of $1,489/oz • Quarterly dividend of $0.01 per share will be paid on December 13, 2019 Q3 2019 cash flows from o
Slide 14: Strong Financial, Liquidity & Cash Position
STRONG FINANCIAL, LIQUIDITY & CASH POSITION 14 Debt reduction in 2018: Revolving credit facility (“RCF”): • Was $700 M1 at December 31, 2017 $600 M • Reduced to $480 M at December 31, 2018 Current undrawn capacity: $300 M ($400 M if $200 M is repaid in 2019) Accordion feature: Estimated debt reducti
Slide 15: Fekola Mine: Mali
FEKOLA MINE: MALI 15 Open Pit GOLD PRODUCTION: 2019 Q1 2019: GUIDANCE4: YTD 2019: 445 Koz - 455 Koz 110,349 oz Fekola was ABOVE YTD 2019: budget by 7% 336,567 oz Ownership 80% Q3 2019: Q2 2019: 2019 exploration budget $20.5 M (all Mali) 112,321 oz 113,897 oz 2019 capex $136 M1 2020 E production 600
Slide 16: Masbate Mine: The Philippines
MASBATE MINE: THE PHILIPPINES 16 Open Pit 2019 GOLD PRODUCTION: GUIDANCE: Q1 2019: 200 Koz - 210 Koz 57,481 oz YTD 2019: Masbate was ABOVE YTD 2019: budget by 9% 166,599 oz Q3 2019: Q2 2019: 51,546 oz 57,572 oz 2019 exploration budget $4 M CASH OPERATING COSTS: AISC: 15% 2019 capex $38 M 14% BELOW B
Slide 17: Otjikoto Mine: Namibia
OTJIKOTO MINE: NAMIBIA 17 Open Pit 2019 GOLD PRODUCTION: GUIDANCE: Q1 2019: 32,712 oz YTD 2019: 165 Koz - 175 Koz Otjikoto was ABOVE YTD 2019: budget by 4% 119,544 oz • Full-year 2019 gold production is scheduled to Q3 2019: Q2 2019: be significantly weighted 49,411 oz 37,421 oz towards SH 2019 Owne
Slide 18: Proven Construction Team
PROVEN CONSTRUCTION TEAM 18 Successfully Constructed 5 Mines for Bema Gold & B2Gold on Schedule & on Budget 2001 2007 2010 2014 2017 Julietta Mine, Kupol Mine, La Libertad Mine, Otjikoto Mine, Fekola Mine, Russia Russia Nicaragua Namibia Mali (Bema Gold) (Bema Gold) (B2Gold) (B2Gold) (B2Gold)
Slide 19: Fekola Expansion
FEKOLA EXPANSION 19 2015 – 2020 • Original feasibility study • Mill construction and expansion • Completed preliminary study to • Construction commenced last throughput completed. Additional capex expand Fekola mill from 6 month and is expected to be approx. $18 M million tonnes per annum completed
Slide 20: Fekola Mine: Schematic Long Section
FEKOLA MINE 20 Fekola Deposit: Schematic Long Section (West-Facing)
Slide 21: Exploration Update: Fekola & Regional Targets
EXPLORATION UPDATE 21 Fekola & Regional Targets Infill drilling completed in Q3 2019 to upgrade the Inferred ounces (19%) to Indicated at the Fekola deposit – further infill drilling is ongoing Step out drilling completed to further extend the Fekola deposit to the north where it remains open to the
Slide 22: Exploration Update: Anaconda Area, Mali
EXPLORATION UPDATE 22 Anaconda Area: Mali A 24,863 m drill program has been completed at the Anaconda area which is 20 km from the Fekola Mine and is primarily focused on the Mamba zone The initial stage of the program extended the Mamba shallow saprolite mineralized zone by approx. 600 m to more th
Slide 23: Mamba Schematic Long Section
MAMBA SCHEMATIC LONG SECTION 23
Slide 24: Anaconda: Mali
ANACONDA: MALI 24 Several scoping level plant designs were completed for different processing concepts and throughput rates: • Plant designed for just saprolite – a number of scenarios have been developed for different Mineral Resource assumptions • Plant suitable for processing saprolite that could
Slide 25: Gramalote Project: Colombia (i)
GRAMALOTE PROJECT: COLOMBIA (i) 25 B2Gold 50%: AngloGold Ashanti (“AGA”) 50% Located 120 km northeast of Medellin in the Antioquia District – a region known to be pro-mining The deposit consists of the main Gramalote resource and 2 smaller deposits, Trinidad and Monjas West Excellent infrastructure
Slide 26: Gramalote Project: Colombia (ii)
GRAMALOTE PROJECT: COLOMBIA (ii) 26 B2Gold 50%: AGA 50% This budget will fund 42,500 metres of infill drilling and 7,645 metres of geotechnical drilling focusing on the Gramalote Pit – drilling has commenced and is scheduled for completion in May 2020 Feasibility work will include an updated Mineral
Slide 27: 2019/2020 Catalysts
2019/2020 CATALYSTS 27 Fekola: • New Mineral Resource: Q4 2019 • Updated 2020 mine plan: Q1 2020 Gramalote: • Infill drilling recommenced: Q4 2019 • Updated preliminary economic assessment (“PEA”): Q1 2020 • Feasibility study: Q4 2020 Otjikoto: • Wolfshag underground mining decision: Q4 2019
Slide 28: Appendix
28 APPENDIX
Slide 29: B2Gold Board of Directors
B2GOLD BOARD OF DIRECTORS 29 CLIVE JOHNSON ROBERT CROSS ROBERT GAYTON JERRY KORPAN President, Chairman Director Director CEO & Director BONGANI MTSHISI KEVIN BULLOCK GEORGE JOHNSON ROBIN WEISMAN Director Director Director Director
Slide 30: Unsurpassed Executive Team Experience
UNSURPASSED EXECUTIVE TEAM EXPERIENCE 30 +280 Years of Combined Experience Working Together for Bema Gold & B2Gold CLIVE JOHNSON ROGER RICHER MIKE CINNAMOND TOM GARAGAN DENNIS STANSBURY BILL LYTLE IAN MACLEAN DALE CRAIG President, EVP, General Counsel SVP Finance & CFO SVP Exploration SVP Engineerin
Slide 31: 2019 Exploration Summary
2019 EXPLORATION SUMMARY 31 Programs & Budgets Mali International Anaconda area Greenfields and other projects Follow up drilling on the Mamba zone where Continue to pursue grassroots exploration recent drilling has extended the saprolite discoveries through internally-generated property mineralizat
Slide 32: Fekola Expansion Technical Report
FEKOLA EXPANSION TECHNICAL REPORT1,2 32 Highlights Assuming an effective date of January 1, 2019, a gold • Forecast expansion capital payback period of less price of $1,300/oz and a discount rate of 5%, project than 1 year economics highlights from the Expansion Study PEA include: • Estimated proces
Slide 33: Fekola Expansion: Update
FEKOLA EXPANSION: UPDATE 33 Detailed engineering and design activities have been completed All major long-lead items have been ordered Construction commenced last month and is scheduled to be completed by Q3 2020 The processing upgrade will focus on: • Increased ball mill power • Upgrades to the cyc
Slide 34: Nicaraguan Assets: Restructuring Ownership
NICARAGUAN ASSETS: RESTRUCTURING OWNERSHIP 34 B2Gold & Calibre Mining Joined Forces On October 15, 2019, B2Gold completed the sale of El Limon and La Libertad mines, the Pavon Gold Project and additional mineral concessions in Nicaragua to Calibre Mining Calibre acquired the Nicaraguan assets for an
Slide 35: Corporate Social Responsibility (CSR) Awards
CORPORATE SOCIAL RESPONSIBILITY (“CSR”) AWARDS 35 Commitment to the Highest Standards of CSR Text Herethe Philippines Masbate, B2Gold nursery, Nicaragua Mangrove reforestation program, the Philippines Otjikoto Nature Reserve, Namibia 2019 Gawad Kaligtasan at Kalusugan 2017 Exporter of the Year (CSR)
Slide 36: Probable Mineral Reserve
PROBABLE MINERAL RESERVE1 36 As of December 31, 2018 Country Mine Tonnes (t) Gold Grade (g/t Au) Contained Gold Ounces (oz) Mali Fekola 43,000,000 2.38 3,290,000 The Philippines Masbate 81,500,000 0.82 2,160,000 Namibia Otjikoto 19,800,000 1.54 980,000 La Libertad* 1,100,000 2.01 70,000 Nicaragua El
Slide 37: Notes to Mineral Reserve
NOTES TO MINERAL RESERVE 37 1. Mineral Reserves have been classified using the Canadian Institute of Mining, Metallurgy and Petroleum ("CIM"). All tonnage, grade and contained metal content estimates have been rounded; rounding may result in apparent summation differences between tonnes, grade, and
Slide 38: Measured & Indicated Mineral Resource
MEASURED & INDICATED MINERAL RESOURCE1 38 As of December 31, 2018 Country Mine or Project Tonnes (t) Gold Grade (g/t Au) Contained Gold Ounces (oz) Measured Burkina Faso Kiaka 33,700,000 1.09 1,180,000 Total Measured Mineral Resources – 100% Project Basis 1,180,000 Indicated Mali Fekola 87,100,000 1
Slide 39: Inferred Mineral Resource
INFERRED MINERAL RESOURCE1 39 As of December 31, 2018 Country Mine or Project Tonnes (t) Gold Grade (g/t Au) Contained Gold Ounces (oz) Fekola 26,500,000 1.61 1,370,000 Mali Anaconda 21,600,000 1.11 770,000 The Philippines Masbate 18,000,000 0.90 520,000 Namibia Otjikoto 4,200,000 2.27 310,000 La Li
Slide 40: Notes to Mineral Resource
NOTES TO MINERAL RESOURCE 40 1. Mineral Resources have been classified using the CIM Standards. Mineral Resources are reported inclusive of those Mineral Resources that have been modified to Mineral Reserves. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability
Slide 41: Contact Details
41 CONTACT DETAILS B2Gold Corp. Clive Johnson Suite 3100, 595 Burrard Street President, CEO & Director P.O. Box 49143 +1 604 681 8371 Vancouver, BC Canada, V7X 1J1 Ian MacLean Vice President, Investor Relations Tel: +1 604 681 8371 +1 604 681 8371 Toll Free: +1 800 316 8855 Fax: +1 604 681 6209 Kati