B2Gold Reports Q1 2026 Results
News Release B2Gold Reports Q1 2026 Results
Strong operating performance across all operations led to higher than expected gold production, lower than expected costs, and robust free cash flow in the first quarter of 2026
Vancouver, BC, May 6, 2026 – B2Gold Corp. (TSX: BTO, NYSE AMERICAN: BTG, NSX: B2G) (“B2Gold” or the “Company”) is pleased to announce its operational and financial results for the first quarter of 2026. All dollar figures are in United States dollars unless otherwise indicated.
2026 First Quarter Highlights
- Gold production of 237,763 ounces: Total gold production in the first quarter of 2026 was 237,763 ounces. All operations exceeded expected production in the first quarter.
- Consolidated cash operating costs of $1,005 per gold ounce produced: Consolidated cash operating costs (see “Non-IFRS Measures”) were $1,005 per gold ounce produced ($846 per gold ounce sold) during the first quarter of 2026. Cash operating costs per ounce produced for the first quarter of 2026 were better than expected mainly as a result of higher than expected gold production.
- Consolidated all-in sustaining costs of $1,964 per gold ounce sold: Consolidated all-in sustaining costs (see “Non-IFRS Measures”) were $1,964 per gold ounce sold during the first quarter of 2026. Consolidated all-in sustaining costs for the first quarter of 2026 were better than expected as a result of lower than anticipated production costs, higher than planned gold ounces sold, and lower than expected sustaining capital expenditures.
- Attributable net income of $0.15 per share; adjusted attributable net income of $0.19 per share: Net income attributable to the shareholders of the Company of $200 million, or $0.15 per share; adjusted net income (see “Non-IFRS Measures”) attributable to the shareholders of the Company of $260 million, or $0.19 per share.
- Operating cash flow before working capital adjustments of $386 million and free cash flow of $362 million: Cash flow provided by operating activities before working capital adjustments of $386 million, and free cash flow (see “Non-IFRS Measures”) of $362 million in the first quarter of 2026.
- Strong financial position and liquidity: At March 31, 2026, the Company had cash and cash equivalents of $479 million and working capital (defined as current assets less assets classified as held for sale and current liabilities) of $171 million. During the first quarter of 2026, the Company repaid a net $75 million on the Company's $800 million revolving credit facility (“RCF”). Subsequent to quarter end, on April 24, 2026, the Company repaid the full outstanding $75 million balance on the RCF, leaving the full $800 million available for future draw downs.
- Leadership transition: On February 23, 2026, the Company announced that, as part of the Company's leadership succession planning, Mr. Clive Johnson has decided to retire from his role as President, Chief Executive Officer (“CEO”) and Director of the Company effective June 4, 2026. The Board of Directors named Mike Cinnamond, Senior Vice President, Finance and Chief Financial Officer of B2Gold, to succeed Mr. Johnson as President and CEO and replace Mr. Johnson on the Board of Directors. In recognition and appreciation of his unique and important role as a founder and his invaluable contributions to the Company, Mr. Johnson will be named Chair Emeritus of B2Gold.
Repurchased $80 million of shares under the Company's normal course issuer bid •
(“NCIB”): During the first quarter of 2026, the Company repurchased 16 million shares for $80 million under the prior NCIB. Subsequent to quarter end, the Company repurchased and cancelled an additional 4 million shares for $18 million.
- Renewed the Company's NCIB for 10% of the public float: On April 1, 2026, the Toronto Stock Exchange accepted the notice of B2Gold's intention to renew its NCIB. The renewed NCIB commenced on April 3, 2026 and will expire no later than April 2, 2027. The renewed TSX approval allows the Company to purchase up to 132,662,594 common shares of B2Gold representing 10% of the public float as of March 20, 2026.
- Sold 70% interest in Fingold Ventures Ltd. (“Fingold”) to Agnico Eagle Mines Ltd. (“Agnico Eagle”) for $325 million: On April 23, 2026, B2Gold announced that it had closed the sale of its 70% interest in Fingold to Agnico Eagle for cash consideration of $325 million.
- Agreed to Nunavut collaboration agreement with Agnico Eagle: On April 20, 2026, the Company announced that B2Gold and Agnico Eagle agreed to enter into a collaboration agreement focused on knowledge sharing and cooperation across their respective operations in Nunavut, Canada (the “Nunavut Collaboration Agreement”). The agreement is intended to leverage the complementary experience, best practices and expertise of both companies operating in northern arctic environments. The agreement will not involve any transfer of ownership interests or integration of activities and is non-exclusive in nature.
- Q2 2026 dividend of $0.02 per share declared: On May 6, 2026, B2Gold's Board of Directors declared a cash dividend for the second quarter of 2026 of $0.02 per common share (or an expected $0.08 per share on an annualized basis), payable on June 23, 2026, to shareholders of record as of June 10, 2026.
First Quarter 2026 Results
Three months ended March 31, 2026 2025
| Gold revenue ($ in thousands) | 1,158,655 | 532,107 |
| Net income ($ in thousands) | 205,550 | 62,564 |
| Earnings per share – basic(1) ($/ share) | 0.15 | 0.04 |
| Earnings per share – diluted(1) ($/ share) | 0.14 | 0.04 |
| Cash provided by operating activities ($ thousands) | 539,481 | 178,788 |
| Average realized gold price ($/ ounce) | 4,193 | 2,892 |
| Adjusted net income(1)(2) ($ in thousands) | 259,877 | 121,850 |
| Adjusted earnings per share(1)(2) – basic ($) | 0.19 | 0.09 |
| Free cash flow(2) ($ in thousands) | 361,800 | (6,925) |
| Consolidated operations results: | ||
| Gold sold (ounces) | 276,346 | 183,998 |
| Gold produced (ounces) | 237,763 | 192,752 |
| Production costs ($ in thousands) | 233,838 | 161,994 |
| Cash operating costs(2) ($/ gold ounce sold) | 846 | 880 |
| Cash operating costs(2) ($/ gold ounce produced) | 1,005 | 832 |
| Total cash costs(2) ($/ gold ounce sold) | 1,403 | 1,113 |
| All-in sustaining costs(2) ($/ gold ounce sold) | 1,964 | 1,533 |
(1) Attributable to the shareholders of the Company.
(2) Non-IFRS measure. For a description of how these measures are calculated and a reconciliation of these measures to the most directly comparable measures
specified, defined or determined under IFRS and presented in the Company’s financial statements, refer to “Non-IFRS Measures”.
Liquidity and Capital Resources
B2Gold continues to maintain a strong financial position and liquidity. At March 31, 2026, the Company had cash and cash equivalents of $479 million (December 31, 2025 - $380 million) and working capital (defined as current assets less assets classified as held for sale and current liabilities) of $171 million (December 31, 2025 - $68 million). During the first quarter of 2026, the Company repaid a net $75 million on the Company's $800 million RCF, leaving $725 million remaining available for future draw downs. Subsequent to March 31, 2026, on April 24, 2026, the Company repaid the full outstanding $75 million balance on the RCF.
Second Quarter 2026 Dividend
On May 6, 2026, B2Gold’s Board of Directors declared a cash dividend for the second quarter of 2026 (the “Q2 2026 Dividend”) of $0.02 per common share (or an expected $0.08 per share on an annualized basis), payable on June 23, 2026, to shareholders of record as of June 10, 2026.
The Company currently has a Dividend Reinvestment Plan (“DRIP”). For the purposes of the Q2 2026 Dividend, the Company has determined that no discount will be applied to calculate the Average Market Price (as defined in the DRIP) of its common shares issued from treasury. Beneficial shareholders who wish to participate in the DRIP should contact their financial advisor, broker, investment dealer, bank, financial institution, or other intermediary through which they hold common shares for instructions on how to enroll in the DRIP.
This dividend is designated as an “eligible dividend” for the purposes of the Income Tax Act (Canada). Dividends paid by B2Gold to shareholders outside Canada (non-resident investors) will be subject to Canadian non-resident withholding taxes.
The declaration and payment of future dividends and the amount of any such dividends will be subject to the determination of the Board, in its sole and absolute discretion, taking into account, among other things, economic conditions, business performance, financial condition, growth plans, expected capital requirements, compliance with B2Gold's constating documents, all applicable laws, including the rules and policies of any applicable stock exchange, as well as any contractual restrictions on such dividends, including any agreements entered into with lenders to the Company, and any other factors that the Board deems appropriate at the relevant time. There can be no assurance that any dividends will be paid at the intended rate or at all in the future.
For more information regarding the DRIP and enrollment in the DRIP, please refer to the Company's website at https://www.b2gold.com/investors/stock_info/.
This news release does not constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction nor will there be any sale of these securities in any province, state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such province, state or jurisdiction.
The Company has filed a registration statement relating to the DRIP with the U.S. Securities and Exchange Commission that may be obtained under the Company's profile on the U.S. Securities and Exchange Commission's website at http://www.sec.gov/EDGAR or by contacting the Company using the contact information at the end of this news release.
Operations
Fekola Complex - Mali
Three months ended March 31, 2026 2025
| Gold revenue ($ in thousands) | 734,850 | 254,667 |
| Gold sold (ounces) | 152,356 | 87,808 |
| Average realized gold price ($/ ounce) | 4,823 | 2,900 |
| Tonnes of ore milled | 2,546,948 | 2,446,671 |
| Grade (grams/ tonne) | 1.56 | 1.31 |
| Recovery (%) | 91.7 | 91.5 |
| Gold production (ounces) | 117,450 | 93,805 |
| Production costs ($ in thousands) | 111,003 | 89,025 |
| Cash operating costs(1) ($/ gold ounce sold) | 729 | 1,014 |
| Cash operating costs(1) ($/ gold ounce produced) | 950 | 965 |
| Total cash costs(1) ($/ gold ounce sold) | 1,590 | 1,350 |
| All-in sustaining costs(1) ($/ gold ounce sold) | 1,955 | 1,937 |
| Capital expenditures ($ in thousands) | 47,085 | 64,003 |
| Exploration ($ in thousands) | — | — |
(1) Non-IFRS measure. For a description of how these measures are calculated and a reconciliation of these measures to the most directly comparable measures
specified, defined or determined under IFRS and presented in the Company’s financial statements, refer to “Non-IFRS Measures”.
The Fekola Complex is comprised of the Fekola Mine (Medinandi permit hosting the Fekola and Cardinal open pits and Fekola underground), owned 80% by B2Gold and 20% by the State of Mali, and Fekola Regional (Anaconda Area comprised of the consolidated Menankoto permit and the Dandoko permit), which will be owned 65% by B2Gold and 35% by the State of Mali. Fekola Regional is located approximately 20 kilometers (“km”) from the Fekola Mine.
For the first quarter of 2026, production from the Fekola Mine was 117,450 ounces of gold, higher than expected due to higher than planned throughput. For the first quarter of 2026, mill feed grade was 1.56 grams per tonne (“g/t”), mill throughput was 2.55 million tonnes, and gold recovery averaged 91.7%.
The Fekola Mine’s cash operating costs (refer to “Non-IFRS Measures”) for the first quarter of 2026 were $950 per ounce produced ($729 per gold ounce sold). Cash operating costs per ounce produced for the first quarter of 2026 were in line with expectations as higher than anticipated gold production was mostly offset by higher than planned mining costs resulting from changes in the mining sequence.
All-in sustaining costs (refer to “Non-IFRS Measures”) for the first quarter of 2026 were $1,955 per gold ounce sold, lower than expected. All-in sustaining costs per gold ounce sold for the first quarter of 2026 were lower than anticipated due to higher gold ounces sold, lower than planned sustaining capital expenditures and slightly lower than expected royalties expense per gold ounce sold as a result of a lower than budgeted realized gold price. The lower sustaining capital expenditures for the first quarter of 2026 were mainly a result of timing of expenditures and are expected to be incurred later in 2026.
Capital expenditures for the Fekola Mine in the first quarter of 2026 totalled $47 million primarily consisting of $25 million for deferred stripping, $9 million for mobile equipment rebuilds and $5 million for Fekola underground development. Capital expenditures for Fekola Regional in the first quarter of 2026 totalled $16 million, primarily related to mobile equipment purchases.
The Fekola Complex is expected to produce between 410,000 and 460,000 ounces of gold in 2026 at cash operating costs of between $1,060 and $1,160 per ounce produced and all-in sustaining costs of between $2,670 and $2,820 per ounce sold. Fekola Regional is anticipated to contribute between 60,000 and 80,000 ounces to the Fekola Complex gold production in 2026 through the trucking of open pit ore to the Fekola mill once the exploitation permit has been received. The Company expects to meet the Fekola Complex production guidance range for the year, provided an exploitation permit for Fekola Regional is received by the end of June 2026. All-in sustaining cost guidance for the Fekola Complex is based on an assumed realized gold price of $5,000 per ounce for 2026, resulting in total budgeted royalties and production taxes of approximately $410 million or approximately $910 per ounce sold. Each $100 per ounce change in the gold price is expected to impact the Fekola Complex all-in sustaining costs by approximately $23 per ounce.
Goose Mine - Canada
Three months ended March 31, 2026 2025
| Gold revenue ($ in thousands) | 219,527 | — |
| Gold sold (ounces) | 44,445 | — |
| Average realized gold price ($/ ounce) | 4,939 | — |
| Tonnes of ore milled | 180,184 | — |
| Grade (grams/ tonne) | 7.92 | — |
| Recovery (%) | 93.5 | — |
| Gold production (ounces) | 42,876 | — |
| Production costs ($ in thousands) | 64,278 | — |
| Cash operating costs(1) ($/ gold ounce sold) | 1,446 | — |
| Cash operating costs(1) ($/ gold ounce produced) | 1,653 | — |
| Total cash costs(1) ($/ gold ounce sold) | 1,540 | — |
| All-in sustaining costs(1) ($/ gold ounce sold) | 2,806 | — |
| Capital expenditures ($ in thousands) | 70,675 | — |
| Exploration ($ in thousands) | 6,418 | — |
(1) Non-IFRS measure. For a description of how these measures are calculated and a reconciliation of these measures to the most directly comparable measures
specified, defined or determined under IFRS and presented in the Company’s financial statements, refer to “Non-IFRS Measures”.
The Back River Gold District consists of eleven mineral claims blocks along an 80 km belt and contains the most advanced asset in the district, the 100% owned Goose Mine.
B2Gold acknowledges our partner the Kitikmeot Inuit Association (“KIA”), who has played a critical role for many years to ensure the development of a successful gold mining operation at the Goose Mine. Respect and collaboration with the KIA is central to the license to operate in the Back River Gold District and the Company will continue to prioritize developing the district in a manner that recognizes Inuit priorities, addresses concerns and brings long-term socio-economic benefits to the Kitikmeot Region. B2Gold looks forward to continuing to build on its strong collaboration with the KIA and Kitikmeot communities. With its significant gold resource endowment, the Back River Gold District is expected to be a large, long life mining complex.
For the first quarter of 2026, production from the Goose Mine was 42,876 ounces of gold, higher than expected. Gold production in the first quarter of 2026 was higher than anticipated as higher grade and gold recovery more than offset the lower throughput. For the first quarter of 2026, mill feed grade was 7.92 g/t, mill throughput was 0.18 million tonnes, and gold recovery averaged 93.5%.
The Goose Mine's cash operating costs (refer to “Non-IFRS Measures”) for the first quarter of 2026 were $1,653 per gold ounce produced ($1,446 per gold ounce sold), lower than expected. Cash operating costs per ounce produced for the first quarter of 2026 were lower than anticipated due to lower than planned underground mining and site general costs.
All-in sustaining costs (refer to “Non-IFRS Measures”) for the first quarter of 2026 were $2,806 per gold ounce sold, lower than expected. All-in sustaining costs for the first quarter of 2026 were lower than anticipated due to higher gold ounces sold, and lower than planned sustaining capital expenditures. The lower sustaining capital expenditures for the first quarter of 2026 were mainly a result of timing of expenditures and are expected to be incurred later in 2026. Higher than expected gold ounces sold in the first quarter of 2026 were the result of both higher production and shipment timing.
Capital expenditures in the first quarter of 2026 totalled $71 million primarily consisting of $23 million of ongoing site construction activities, $17 million for deferred stripping, $10 million for Umwelt underground development, $11 million for site infrastructure and civil projects and approximately $3 million for mobile equipment purchases.
On April 17, 2026, the Company announced that a fire had occurred in certain areas of the crushing circuit at the Goose Mine in the evening of April 16, 2026. No injuries were reported and no medical treatment was required related to the fire. The fire damage was localized to the crushing circuit area. There was no damage or impact to the mill or power facility. A preliminary revised mill processing plan has been developed for the second quarter of 2026 based on the use of the existing mobile crushers to feed crushed ore directly to the fine ore stockpile while repairs to the crushing circuit related to the fire are completed. An additional mobile crusher has been sourced and is expected to be transported to site in the second quarter of 2026 to supplement the existing mobile crushers currently at the Goose Mine. The Company estimates that repairs will be completed in the third quarter of 2026 at a cost of approximately $7 million.
These repairs will coincide with first phase of the upgrades to the Goose Mine crushing circuit comprised of the previously announced addition of a run-of-mine bin and apron feeder, plus a new larger jaw crusher and rock breaker. These repairs are scheduled to be implemented in the third quarter of 2026. The total cost of the first phase of crushing circuit upgrades is expected to be approximately $11 million. B2Gold reiterates its previously disclosed estimate that the Goose Mine crushing circuit will be able to operate at an average daily capacity of approximately 3,200 tonnes per day by the end of the third quarter of 2026, as a result of the first phase of upgrades. Additionally, based on the studies conducted to date, the Company has identified a second phase of crushing circuit upgrades, that are scheduled to be implemented in the first half of 2027, in order to increase the name-plate capacity of the crushing circuit and enable it to run at an average rate of 4,000 tonnes per day. The total cost of the second phase of crushing circuit upgrades is anticipated to be between $20 million and $30 million, which will be further refined upon completion of detailed engineering that is already underway. The second phase of crusher upgrades include the installation of larger cone crushers, additional surge bins and feeders to optimize crusher performance, and upgraded conveyors to support higher throughput.
The Goose Mine is expected to produce between 170,000 and 230,000 ounces of gold in 2026, at cash operating costs of between $1,610 and $1,810 per ounce and all-in sustaining costs of between $2,670 and $2,970 per ounce. All-in sustaining cost guidance for the Goose Mine is based on an assumed realized gold price of $5,000 per ounce for 2026, resulting in total budgeted royalties and production taxes of approximately $16 million, or approximately $75 per ounce sold. Due to the impact to the crushing circuit related to the fire, production in the second quarter is expected to continue at a lower level than previously anticipated due to lower throughput rates of crushed ore. The previous internal forecast for gold production at the Goose Mine was approximately 29,000 ounces in the second quarter of 2026. The Company now forecasts gold production in the second quarter of 2026 of between 18,000 to 20,000 ounces, a reduction of approximately 10,000 ounces. Over the medium term, B2Gold still expects gold production to average 300,000 ounces per year at the Goose Mine.
Goose Mine Opportunities
On April 20, 2026, the Company announced that B2Gold and Agnico Eagle have agreed to enter into a collaboration agreement related to their respective gold mining operations located in Nunavut, Canada. The Nunavut Collaboration Agreement is expected to establish a framework for the two companies to share operational knowledge and best practices across key areas, including mining and processing operations in arctic environments, logistics and procurement, operational planning, exploration planning, human resources, health and safety and environmental management. The Nunavut Collaboration Agreement is intended to enhance operational effectiveness while supporting responsible mining in Nunavut, reflecting both companies’ shared commitment to continuous improvement, sustainability and constructive engagement and partnership with local communities and stakeholders.
Significant exploration potential remains across the Back River Gold District, with a total of $46 million budgeted for exploration in 2026. The Company's exploration programs have historically been successful in upgrading Inferred Mineral Resources to Indicated Mineral Resources, and the Company is optimistic that it can successfully upgrade a significant portion of the Inferred Mineral Resources in 2026.
In addition, work continues on the optimization study for the Goose Mine, including the potential installation of a SAG mill to be paired in conjunction with the existing 4,000 tpd ball mill, which could expand mill throughput capacity up to 6,000 tpd. This study is also expected to reflect two additional value drivers for the Goose Mine related to the potential reduction in carbon taxes paid over the life of the mine, and a reduction in the annual amount of fuel consumed as a result of equipment optimizations.
Once the study is completed, the Company will assess whether to pursue the mill expansion. This assessment is expected to include consideration of whether the Company should postpone any expenditures to increase Goose Mine milling capacity in favor of potential future capital development at the George Property and other Back River Gold District regional targets.
In connection with this assessment, B2Gold will also be reviewing any regulatory requirements and engaging with the KIA and local communities to ensure any proposed optimization of the Goose Mine provides benefits to all stakeholders.
Masbate Mine – The Philippines
Three months ended March 31, 2026 2025
| Gold revenue ($ in thousands) | 229,326 | 129,393 |
| Gold sold (ounces) | 46,926 | 44,450 |
| Average realized gold price ($/ ounce) | 4,887 | 2,911 |
| Tonnes of ore milled | 2,289,948 | 2,278,032 |
| Grade (grams/ tonne) | 0.95 | 0.83 |
| Recovery (%) | 75.6 | 75.9 |
| Gold production (ounces) | 52,908 | 46,369 |
| Production costs ($ in thousands) | 29,115 | 38,016 |
| Cash operating costs(1) ($/ gold ounce sold) | 620 | 855 |
| Cash operating costs(1) ($/ gold ounce produced) | 656 | 833 |
| Total cash costs(1) ($/ gold ounce sold) | 881 | 1,021 |
| All-in sustaining costs(1) ($/ gold ounce sold) | 1,254 | 1,206 |
| Capital expenditures ($ in thousands) | 15,919 | 7,733 |
| Exploration ($ in thousands) | 408 | 420 |
(1) Non-IFRS measure. For a description of how these measures are calculated and a reconciliation of these measures to the most directly comparable measures
specified, defined or determined under IFRS and presented in the Company’s financial statements, refer to “Non-IFRS Measures”.
The Masbate Mine in the Philippines continued its strong performance with the first quarter of 2026 gold production of 52,908 ounces, higher than expected. Gold production in the first quarter of 2026 was higher than anticipated primarily as a result of higher ore grade due to favorable grade variance in ore mined from the Main Vein and Blue Quartz pits. For the first quarter of 2026, mill feed grade was 0.95 g/t, mill throughput was 2.29 million tonnes, and gold recovery averaged 75.6%.
The Masbate Mine's cash operating costs (see “Non-IFRS Measures”) for the first quarter of 2026 were $656 per ounce produced ($620 per gold ounce sold). Cash operating costs per ounce produced for the first quarter of 2026 were lower than expected as a result of higher than anticipated gold production as well as lower operating costs due primarily to lower than expected mining and processing costs.
All-in sustaining costs (refer to “Non-IFRS Measures”) for the first quarter of 2026 were $1,254 per gold ounce sold. All-in sustaining costs per gold ounce sold for the first quarter of 2026 were lower than expected as a result of lower than anticipated production costs per gold ounce sold.
Capital expenditures in the first quarter of 2026 totalled $16 million, primarily consisting of $9 million in mobile equipment purchases and rebuilds, $2 million for the solar plant, and $2 million for tailings storage facility construction projects.
The Masbate Mine is expected to produce between 170,000 and 190,000 ounces of gold in 2026 at cash operating costs of between $900 and $1,000 per ounce produced and all-in sustaining costs of between $1,430 and $1,580 per ounce sold. Gold production at the Masbate Mine is expected to be relatively consistent throughout 2026. All-in sustaining cost guidance for the Masbate Mine is based on an assumed realized gold price of $5,000 per ounce for 2026, resulting in total budgeted royalties and production taxes of approximately $45 million or approximately $240 per ounce sold.
Otjikoto Mine - Namibia
Three months ended March 31, 2026 2025
| Gold revenue ($ in thousands) | 155,102 | 148,047 |
| Gold sold (ounces) | 32,619 | 51,740 |
| Average realized gold price ($/ ounce) | 4,755 | 2,861 |
| Tonnes of ore milled | 736,566 | 843,057 |
| Grade (grams/ tonne) | 1.06 | 1.96 |
| Recovery (%) | 98.1 | 98.8 |
| Gold production (ounces) | 24,529 | 52,578 |
| Production costs ($ in thousands) | 29,442 | 34,953 |
| Cash operating costs(1) ($/ gold ounce sold) | 903 | 676 |
| Cash operating costs(1) ($/ gold ounce produced) | 896 | 594 |
| Total cash costs(1) ($/ gold ounce sold) | 1,094 | 790 |
| All-in sustaining costs(1) ($/ gold ounce sold) | 1,327 | 916 |
| Capital expenditures ($ in thousands) | 7,213 | 3,607 |
| Exploration ($ in thousands) | 1,295 | 1,831 |
(1) Non-IFRS measure. For a description of how these measures are calculated and a reconciliation of these measures to the most directly comparable measures specified, defined or determined under IFRS and presented in the Company’s financial statements, refer to “Non-IFRS Measures”.
The Otjikoto Mine in Namibia, in which the Company holds a 90% interest, produced 24,529 ounces of gold in the first quarter of 2026, higher than expected. The higher than anticipated production in the first quarter of 2026 is primarily due to higher than expected average ore grade partially offset by slightly lower than planned throughput due to some mill repairs in the period. For the first quarter of 2026, mill feed grade was 1.06 g/t, mill throughput was 0.74 million tonnes, and gold recovery averaged 98.1%.
Cash operating costs (refer to “Non-IFRS Measures”) for the first quarter of 2026 were $896 per gold ounce produced ($903 per ounce gold sold). Cash operating costs per ounce produced for the first quarter of 2026 were lower than expected as a result of higher than anticipated gold production and lower than planned underground mining costs.
All-in sustaining costs (refer to “Non-IFRS Measures”) for the first quarter of 2026 were $1,327 per gold ounce sold. All-in sustaining costs per gold ounce sold were lower than expected as a result of lower than anticipated cash costs per ounce sold and lower than planned sustaining capital expenditures. The lower sustaining capital expenditures for the first quarter of 2026 were mainly a result of timing of expenditures and are expected to be incurred later in 2026.
Capital expenditures for the first quarter of 2026 totalled $7 million, consisting mainly of $4 million for Antelope development and $3 million for Wolfshag underground development.
The Otjikoto Mine is expected to produce between 70,000 and 90,000 ounces of gold in 2026 at cash operating costs of between $1,200 and $1,300 per ounce produced and all-in sustaining costs of between $1,830 and $1,980 per ounce sold. All-in sustaining cost guidance for the Otjikoto Mine is based on an assumed realized gold price of $5,000 per ounce for 2026, resulting in total budgeted royalties and production taxes of approximately $17 million or approximately $200 per ounce sold.
Gramalote Project Development
The Gramalote Project is located in central Colombia, approximately 230 km northwest of Bogota and 100 km northeast of Medellín, in the Province of Antioquia, which has expressed a positive attitude towards the development of responsible mining projects in the region. Following consolidation of the ownership in 2023, B2Gold completed a detailed review of the Gramalote Project, including the highergrade core of the resource, facility size and location, power supply, mining and processing options, tailings design, resettlement, potential construction sequencing and camp design to identify potential cost savings to develop a medium-scale project.
On July 14, 2025, the Company announced the results of a 2025 Gramalote Feasibility study which demonstrated that the Gramalote Project has a meaningful production profile, favorable metallurgical characteristics and positive project economics. The study assumes a mill with an annual processing rate of 6.0 million tonnes per annum, an initial open pit mine life of 11 years, and a processing life of 13 years. The study shows average annual grade processed over the first five years of 1.23 g/t, with a life of mine grade of 0.96 g/t and average annual gold production over the first five years of 227,000 ounces of gold per year, with life of mine average annual gold production of 177,000 ounces per year. Financial results include all-in sustaining costs of $985 per ounce over the life of the project, with an after-tax net present value of $941 million and an internal rate of return of 22.4% assuming a $2,500 per ounce gold price. A long-term gold price assumption of $3,300 per ounce results in an after-tax net present value of $1,716 million and an internal rate of return of 33.5%.
Due to the desired modifications to the processing plant and infrastructure locations, a Modified Work Plan and Modified Environment Impact Study are required. The Modified Work Plan was submitted in December 2025 and the Modified Environmental Impact Study was submitted in March 2026, with completion of the modification process expected to take approximately twelve months. In conjunction with these permit modifications, resettlement construction is under way and the Company expects to complete a significant portion of its resettlement objectives by the end of 2026, in accordance with its existing resettlement plan. Assessment and optimization of the Gramalote Project remains ongoing.
The Gramalote Project has a budget of $61 million for 2026, to continue to de-risk the project, including $35 million to advance resettlement programs, establish coexistence programs for small miners, work on health, safety and environmental projects and continue to work with the government and local communities on social programs.
Outlook
The Company is pleased with its very positive first quarter of 2026 operating and financial results. Consolidated production was 237,763 ounces of gold with the Fekola, Goose, Masbate and Otjikoto mines all surpassing expectations. The higher than expected production helped drive significantly lower than planned consolidated cash operating and all-in sustaining cost performance. Consolidated gold production for 2026 is expected to be between 820,000 and 970,000 ounces.
The execution of the Company’s operating plan for 2026 includes completing phase one of the planned Goose Mine crusher upgrades as well as commencement of mining at Fekola Regional upon receipt of an exploitation permit. In tandem with delivery of these planned objectives, the Company expects 2026 to be a significant year for free cash flow growth, including $362 million of free cash flow generated in the first quarter of 2026. On April 23, 2026, the Company completed the sale of its 70% interest in Fingold, which holds several claims in Northern Finland, in exchange for $325 million in cash, further strengthening the Company's financial position. The Company is well placed to complete its budgeted capital and exploration activities for 2026, manage its financial commitments and continue to return capital to its shareholders. In addition to paying a dividend at a yield consistent with its peer group, the Company has continued to repurchase shares under its NCIB program. The Company has already repurchased 20 million shares to date in 2026 for a total of $98 million, and expects to repurchase further amounts as the year progresses.
The Company's operations continue to maintain normal levels of fuel supplies despite global challenges. Fuel supply at the Fekola Complex in Mali has been uninterrupted and remains at normal levels. The Company is in the process of expanding the Fekola Mine's diesel storage capabilities by approximately 20%. The fuel supply at the Goose Mine for 2026 and the first quarter of 2027 was purchased during the third quarter of 2025 and delivery down the winter ice road was completed in April 2026. For the Masbate Mine in the Philippines, the Company has been able secure a guaranteed supply contract for the next three months. The Otjikoto Mine in Namibia draws power from the national grid and has significantly decreased its diesel consumption with the move to underground mining in the fourth quarter of 2025. The Company's solar projects at the Fekola, Masbate and Otjikoto mines provide these operations with a source of power that is not impacted by changes in fuel prices. The Company has approximately 36% of its remaining 2026 fuel needs hedged at or below budget prices.