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: First Quarter 2019 Earnings, click here for B2Gold's Management Discussion & Analysis for the quarter ended March 31, 2019, and click here for B2Gold's Consolidated Financial Statements, for the three months ended March 31, 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 has recently completed an expansion project for the upgrade of the processing plant from 6.5 million tonnes per annum ("Mtpa") to 8.0 Mtpa. With the expansion now fully commissioned and online, Masbate's annual gold production is projected to average approximately 200 Koz/y during the mining phase and above 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:

Fourth Quarter ("Q4") 2018 Performance Snapshot:

  • Gold production(3) was 51,555 oz
  • Cash operating costs were $594 /oz
  • AISC were $832 /oz

Full-Year ("FY") 2018 Performance Snapshot: 

  • Gold production(3) was 216,498 oz
  • Cash operating costs were $548 /oz
  • AISC were $744 /oz

2019 Guidance: 

  • Gold production(3) is expected to be between 200 Koz - 210 Koz
  • Cash operating costs are expected to be between $625 - $665 /oz 
  • AISC are expected to be between $860 - $900 /oz

Click here for Q4 & FY 2018 Earnings news release, dated March 12, 2019

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 December 31, 2018):

Q4 2018 Production, Cash Costs, Revenue & Sales:
Q4 2018 gold production 51,555 oz
Q4 2018 cash operating costs $594 /oz
Q4 2018 AISC $832 /oz
Q4 2018 gold revenue $61,616
Q4 2018 gold sales 50,000 oz
Q4 2018 average realized gold price $1,232 /oz
FY 2018 Production, Cash Costs, Revenue & Sales:
FY 2018 gold production 216,498 oz
FY 2018 cash operating costs $548 /oz
FY 2018 AISC $744 /oz
FY 2018 gold revenue $283,366
FY 2018 gold sales 223,500 oz
FY 2018 average realized gold price $1,268 /oz
Q4 2018 Processing: 
Q4 2018 tonnes of ore milled 1.72 M
Q4 2018 grade 1.29 g/t
Q4 2018 recovery 72.1%
FY 2018 Processing:
FY 2018 tonnes of ore milled 6.96 M
FY 2018 grade 1.29 g/t
FY 2018 recovery 75.2%
2019 Guidance:  
2019 E gold production 200 Koz - 210 Koz
2019 E cash operating costs $625 - $665 /oz
2019 E AISC $860 - $900 /oz
2019 E tonnes of ore milled (budget) 8 M
2019 E grade (budget) 1.07 g/t (average)
2019 E recovery (budget) 75.2%
2019 exploration budget $4 M
General Information:
Location The Philippines
Mine type Open pit
Metals mined Gold
Ownership(4) 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)(5) 845
Local employee workforce(5) 98%
Mineral Reserve & Resource Estimates (Contained Gold) – 100% Project Basis:
Probable Mineral Reserves(6) 2.16 Moz
Indicated Mineral Resources(6) 3.47 Moz
Inferred Mineral Resources(6) 0.52 Moz

Supporting Documents:

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

  • Click here for 'B2Gold Reports Positive 2018 Fourth Quarter/Annual Results; Record Annual Gold Production of 953,504 Oz, Revenue of $1.2 B & Operating Cash Flows of $451 M ($0.46/share); Cash Operating Costs of $495/oz & AISC of $758/oz' news release, dated March 12, 2019

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

  • Click here for Q4 & FY 2018 Management’s Discussion & Analysis ("MD&A")(7)
  • Click here for Q4 & FY 2018 Financial Statements(7)
  • Click here for Annual Information Form ("AIF") 2019, dated March 20, 2019(7)
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 Q4 2018 and FY 2018 production results, and 2019 annual production guidance are presented on a 100% basis.
  4. MGP: B2Gold holds its project interest through indirectly-owned subsidiaries. B2Gold has a 40% interest in Filminera Resource Corporation ("Filminera") and a 100% interest in Phil. Gold Processing & Refining Corporation ("PGPRC"). The remaining 60% interest in Filminera is held by a Philippines-registered company, Zoom Mineral Holdings Inc. ("Zoom") that is owned by a Philippine shareholder. Filminera owns the majority of the Masbate Gold Project tenements and is responsible for the mining, environmental, social and community relations on the Masbate Gold Project site. Refer to pages 31-32 in the Company's AIF, dated March 20, 2019, for more details - click here.
  5. Refer to pages 43 and 76 in the Company's 'Responsible Mining Report 2017 – Raising the Bar' (click here), dated June 8, 2018.
  6. Refer to respective notes in the 'Mineral Resource & Mineral Reserve Estimates' section below.
  7. Also available on SEDAR 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 the Company's most recent AIF, dated March 20, 2019 - click here and are based on the assumptions, qualifications and procedures set out therein.

Mineral Resource & Mineral Reserve Estimates – 100% Project Basis:

Probable Mineral Reserves Statement:

Area Tonnes
(x 1,000)
Gold Grade
(g/t Au)
Contained Gold
Ounces (x 1,000)
North 7,300 1.18 280
South 41,700 0.95 1,280
Stockpiles         32,500 0.58 610
Total Probable Reserves 81,500 0.82 2,160
Notes (Click to expand)
  1. Mineral Reserves have been classified using the CIM Standards (refer to the Company's AIF, dated March 20, 2019 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% project 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. B2Gold has a 40% interest in Filminera, which owns the majority of the Masbate Gold Project tenements. Please see heading "Property Description, Location, and Access" for a further discussion of the foregoing.
  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 63% to 86%), selling costs of $54.11/ oz., and operating cost estimates of US$1.50/t to $1.80/t mined (mining), US$9.57/t processed (processing) and US$1.84–3.45/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 7.7% increase in tonnes, a 6.6% reduction in grade and a 0.7% reduction in ounces when compared to the Mineral Resource model.
  7. Mineral Reserves are reported at cutoffs that range from 0.41–0.54 g/t Au.
  8. North and South designations refer to locations north and south of the Guinobatan River, respectively.

Masbate Indicated Mineral Resources Statement:

Mineral Resources are reported inclusive of Mineral Reserves.

Area Tonnes
(x 1,000)
Gold Grade
(g/t Au)
Contained Gold
Ounces (x 1,000)
South 76,800 0.96 2,360
North 15,000 1.05 510
ROM Stockpile 400 1.23 20
LG Stockpile 32,100 0.57 590
Total Indicated 124,300 0.87 3,470

Masbate Inferred Mineral Resources Statement:

Area Tonnes
(x 1,000)
Gold Grade
(g/t Au)
Contained Gold
Ounces (x 1,000)
South 15,000 0.91 440
North 2,900 0.85 80
Total Inferred 18,000 0.90 520
Notes (Click to expand)
  1. Mineral Reserves have been classified using the CIM Standards (refer to the Company's AIF, dated March 20, 2019 click here for additional information regarding these Mineral Reserves). 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% project 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. B2Gold has a 40% interest in Filminera, which owns the majority of the Masbate Gold Project tenements. Please see heading "Property Description, Location, and Access" for a further discussion of the foregoing. 
  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 63% to 86%), and operating cost estimates of US$1.50–$1.80/t mined (mining), US$9.57/t processed (processing) and US$1.84–US$3.45/t processed (general and administrative). 
  7. Mineral Resources are reported at an average cutoff of 0.4 g/t Au.
  8. North and South designations refer to locations north and south of the Guinobatan River, respectively.

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