Projects

Masbate Mine – The Philippines (1)

Please note that this page is currently being updated. Please click here for B2Gold's most recent news release re: Fourth Quarter & Full-Year 2018 Earnings, click here for B2Gold's Management Discussion & Analysis for the year ended December 31, 2018, and click here for B2Gold's Consolidated Financial Statements, December 31, 2018 and 2017.

To access B2Gold’s most recent Summary of Mineral Reserve & Mineral Resource Estimates, please click here for the Annual Information Form (“AIF”) , dated March 19, 2019, and click here for the Form 40-F, dated March 20, 2019.

The Masbate Gold Project ("MGP") is located on Masbate Island in the Philippines. The Masbate Mine is located approximately 360 km southeast of the country's capital, Manila. Click here for mine/project location map. 

B2Gold acquired the Masbate Mine through a merger with CGA Mining Limited in January 2013. Prior to the completion of the merger agreement, B2Gold’s engineering team identified several areas of the operations that could be improved or optimized. Work commenced almost immediately following the closing of the agreement and included transitioning from contract mining to self-mining and making a series of upgrades to the processing plant. This, and other optimization projects, resulted in an increased average annual gold production and a significant reduction in cash operating costs(2) and all-in-sustaining costs (“AISC”)(2), compared to the original mine plan. Other projects included replacing and upgrading the original SAG mill, as well as initiating systems and training programs, which resulted in a more efficient and safer mine site. The Company continues to optimize operations at Masbate and is currently expanding the mill to increase throughput from 6.8 million tonnes per annum (“Mtpa”) to 8 Mtpa, which will maintain gold production at approximately 200 Koz/y during the mining phase and, on average, at a further 100 Koz/y when the low-grade stockpiles are processed at the end of the open-pit mine life. Click here for Masbate Mine overview. 

Recent Updates:

Third Quarter ("Q3") 2018 Performance Snapshot:

  • Gold production(3) was 57,542 oz29% above budget
  • Cash operating costs were $528 /oz25% below budget
  • AISC were $675 /oz26% below budget

Year-to-date ("YTD") 2018 Performance Snapshot: 

  • Gold production(3) was 164,943 oz, 22% above budget
  • Cash operating costs were $534 /oz25% below budget
  • AISC were $717 /oz23% below budget

Click here for B2Gold's Q3 & YTD 2018 Earnings news release, dated November 6, 2018

Looking Forward: 

  • Masbate Mine is expected to produce between 200 Koz - 210 Koz of gold in 2018(3,4), at cash operating costs of between $545 - $595 /oz(5) and AISC of between $780 - $830 /oz(5)
  • Masbate Mill Expansion Study:
    • Mill expansion is underway – expected to be on line in early 2019
    • Increasing throughput from 6.8 Mtpa to 8 Mtpa
    • Projected to maintain average annual gold production at approx. 200 Koz/y during the mining phase  
    • On average, a further 100 Koz/y from processing low-grade stockpiles at the end of the open-pit mine life

Click here for Masbate Exploration & Development section

Health, Safety & Environment: 

  • Safety performance: As at September 30, 2018, achieved 1,083 days without a lost-time injury
  • Click here for B2Gold's 2017 Responsible Mining Report, Raising the Bar

Click here for Masbate Mine overview

Mine/Project Location Map:

Mine Overview (as at September 30, 2018):

Q3 2018 Production, Cash Costs, Revenue & Sales:
Q3 2018 gold production 57,542 oz
Q3 2018 cash operating costs $528 /oz
Q3 2018 AISC $675 /oz
Q3 2018  gold revenue $78,756
Q3 2018  gold sales 65,100 oz
Q3 2018  average realized gold price $1,210 /oz
YTD 2018 Production, Cash Costs, Revenue & Sales:
YTD 2018 gold production 164,943 oz
YTD 2018 cash operating costs $534 /oz
YTD 2018 AISC $717 /oz
YTD 2018  gold revenue $221,750
YTD 2018  gold sales 173,500 oz
YTD 2018  average realized gold price $1,278 /oz
Q3 2018 Processing: 
Q3 2018 tonnes of ore milled 1.76 M
Q3 2018 grade 1.39 g/t
Q3 2018 recovery 73.0%
YTD 2018 Processing:
YTD 2018 tonnes of ore milled 5.24 M
YTD 2018 grade 1.29 g/t
YTD 2018 recovery 76.2%
2018 Guidance:  
2018 E gold production 200 Koz - 210 Koz
2018 E cash operating costs $545 - $595 /oz
2018 E AISC $780 - $830 /oz
2018 E tonnes of ore milled (budget) 6.80 M (average)
2018 E grade (budget) 1.26 g/t (average)
2018 E recovery (budget) 65.9% (average)
2018 exploration budget $5 M
2019 Guidance:
2019 E gold production(3) 190 Koz - 200 Koz
General Information:
Location Philippines
Mine type Open pit
Metals mined Gold
Ownership(6) B2Gold: Filminera/PGPRC/Zoom
Processing plant Carbon-in-leach process
Power Heavy fuel oil power plant with diesel powered back-up (100% self-generated)
Number of employees (not including contractors) 845
Local employee workforce 98%
Mineral Reserve & Resource Estimates (Contained Gold):
Probable Mineral Reserves (100% attributable)(7) 2.42 Moz
Indicated Mineral Resources (100% attributable)(7) 3.41 Moz
Inferred Mineral Resources (100% attributable)(7) 0.19 Moz

Supporting Documents:

For the latest details and news releases pertaining to the Masbate Mine:

  • Click here for 'B2Gold Corp. Reports Positive Third Quarter 2018 Results; Quarterly Operating Cash Flows Increase by $101 M (240%) to $143 M on Record Gold Production and Significantly Reduced All-In Sustaining Costs' news release, dated November 6, 2018

For a more detailed overview of the Fekola Mine, please refer to the following, most recent company documents:

  • Click here for Q3 & YTD 2018 Management’s Discussion & Analysis ("MD&A")(8)
  • Click here for Q3 & YTD 2018 Financial Statements(8)
  • Click here for Annual Information Form ("AIF") 2018, dated March 23, 2018(8)
Footnotes (Click to expand)
  1. The disclosure contains forward-looking statements. Refer to the Legal section of the website (click here) for caution regarding forward-looking statements and the basis for presentation of mineral reserves, mineral resources and other technical disclosures.
  2. Refer to “Non-IFRS measures” in the Company’s most recently filed MD&A. Click here for MD&A..
  3. B2Gold’s Q3 2018 and YTD 2018 production results, and 2018 and 2019 annual production guidance are presented on a 100% basis.
  4. Guidance revised: Click here for 'B2Gold Reports Record Third Quarter 2018 Gold Production; Quarterly Gold Production Increase of 78% to 242,000 oz as Gold Revenues Increase by 110% ($170 M) to $324 M Over the Same Period in 2017' news release, dated October 11, 2018
  5. Guidance revised: Click here for 'B2Gold Corp. Reports Positive Third Quarter 2018 Results; Quarterly Operating Cash Flows Increase by $101 M (240%) to $143 M on Record Gold Production and Significantly Reduced All-In Sustaining Costs' news release, dated November 6, 2018
  6. MGP: B2Gold holds its project interest through indirectly-owned subsidiaries. B2Gold has a 40% interest in Filminera Resources Corporation ("Filminera") and a 100% interest in Philippine Gold Processing & Refining Corporation ("PGPRC"). The remaining 60% interest in Filminera is held by a Philippines-registered company, Zoom. Mineral Holdings Inc. (“Zoom”). Refer to pages 29-30 in the Company's AIF, dated March 23, 2018, for more details - click here
  7. Refer to respective footnotes in Summary of Mineral Reserve and Mineral Resource Estimates  - click here and /or see 'Mineral Resource & Mineral Reserve Estimates' section below.
  8. Also available on SEDAR and at www.sedar.com and on the U.S. Securities and Exchange Commission’s website at www.sec.gov.

Certain portions of the following information are derived from and based on the technical report entitled “Masbate Gold Operation, Republic of the Philippines, NI 43-101 Technical Report on Operations” (click here) that has an effective date of December 31, 2016, and was prepared by Tom Garagan, P. Geo., Ken Jones, P.E., Kevin Pemberton, P.E. and John Rajala, P.E., and from our most recent AIF, dated March 28, 2018 - click here for AIF, and are based on the assumptions, qualifications and procedures set out therein.

Mineral Resource & Mineral Reserve Estimates:

Probable Mineral Reserves Statement:

Area Tonnes
(t)
Gold Grade
(g/t Au)
Contained Gold
Ounces (oz)
Contained Gold
Kilograms (kg)
South 45,720,000 0.97 1,424,000 44,300
North 11,520,000 1.11 411,000 12,800
ROM Stockpile 620,000 1.12 22,000 700
LG Stockpile 30,650,000 0.57 562,000 17,500
Total 88,520,000 0.85 2,420,000 75,300
Footnotes (Click to expand)
  1. Mineral Reserves have been classified using the Canadian Institute of Mining (“CIM”) Standards (refer to the Company's AIF, dated March 23, 2018 (click here for additional information regarding these Mineral Reserves)).
  2. All tonnage, grade and contained metal content estimates have been rounded; rounding may result in apparent summation differences between tonnes, grade, and contained metal content.
  3. Mineral Reserves are reported on a 100% attributable basis. Pursuant to the ore sales and purchase agreement between Filminera and PGPRC, B2Gold’s wholly-owned subsidiary, PGPRC has the right to purchase all ore from the Masbate Gold Project.
  4. The Qualified Person for the reserve estimate is Kevin Pemberton, P.E., who is B2Gold’s Chief Mine Planning Engineer. 
  5. Mineral Reserve estimates assume an open-pit mining method, gold price of US$1,250/oz, modeled metallurgical recovery (resulting in average LoM metallurgical recoveries by pit that range from 65% to 82%), and operating cost estimates of US$1.50/t to $1.60/t mined (mining), a variable ore mining differential cost by pit (average cost is US$0.17), US$8.45/t processed (processing) and US$2.50–3.83/t processed (general and administrative).
  6. Dilution and ore loss were applied through block averaging such that at a cut-off of 0.49 g/t Au, there is a 7% increase in tonnes, a 6% reduction in grade and no change in ounces when compared to the Mineral Resource model.
  7. Mineral Reserves are reported at cutoffs that range from 0.44–0.52 g/t Au.
  8. North and South designations refer to locations north and south of the Guinobatan River, respectively.

Masbate Indicated Mineral Resources Statement:

Area Tonnes
(t)
Gold Grade
(g/t Au)
Contained Gold
Ounces (oz)
Contained Gold
Kilograms (kg)
South 71,440,000 0.97 2,226,000 69,200
North 17,710,000 1.05 600,000 18,700
ROM Stockpile 620,000 1.12 22,000 700
LG Stockpile 30,650,000 0.57 562,000 17,500
Total 120,430,000 0.88 3,411,000 106,100

Masbate Inferred Mineral Resources Statement:

Area Tonnes
(t)
Gold Grade
(g/t Au)
Contained Gold
Ounces (oz)
Contained Gold
Kilograms (kg)
South 4,850,000 0.87 136,000 4,200
North 2,350,000 0.76 58,000 1,800
Total 7,200,000 0.84 193,000 6,000
Footnotes (Click to expand)
  1. Mineral Resources have been classified using the CIM Standards (refer to the Company's AIF, dated March 23, 2018 (click here for additional information regarding these Mineral Resources)). 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. 
  2. All tonnage, grade and contained metal content estimates have been rounded; rounding may result in apparent summation differences between tonnes, grade, and contained metal content.
  3. Mineral Resources are reported on a 100% attributable basis. Pursuant to the ore sales and purchase agreement between Filminera and PGPRC, B2Gold’s wholly-owned subsidiary, PGPRC has the right to purchase all ore from the Masbate Gold Project.
  4. The Qualified Person for the resource estimate is Tom Garagan, P.Geo., who is B2Gold’s Senior Vice President, Exploration.
  5. The Qualified Person for the stockpile estimate is Kevin Pemberton, P.E., who is B2Gold’s Chief Mine Planning Engineer.
  6. Mineral Resource estimates assume an open-pit mining method, gold price of US$1,400/oz, modeled metallurgical recovery (resulting in average LoM metallurgical recoveries by pit that range from 65% to 82%), and operating cost estimates of US$1.50-$1.60/t mined (mining), a variable ore mining differential cost by pit (average cost is US$0.17), US$8.45/t processed (processing) and US$2.50–3.83/t processed (general and administrative). 
  7. Mineral Resources are reported at an average cutoff of 0.43 g/t Au.
  8. North and South designations refer to locations north and south of the Guinobatan River, respectively.

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