B2Gold says the Otjikoto Mine in Namibia produced 44,940 ounces of gold, mainly due to improved processed high-grade ore mined from the Wolfshag underground mine.
The Otjikoto Mine is expected to produce between 190,000 and 210,000 ounces of gold in 2023.
The Canadian company says that for the third quarter of 2023, mill feed grade at Otjikoto was 1.66 g/t, mill throughput was 0.86 million tonnes, and gold recovery averaged 98.4%.
“Production from the Wolfshag underground mine remained consistent during the third quarter of 2023, averaging over 1,259 tonnes per day at an average grade of 5.55 g/t,” B2Gold says in its third quarter 2023 results.
As of the beginning of 2023, B2Gold says, the Probable Mineral Reserve estimate for the Wolfshag deposit includes 203,000 ounces of gold in 1.1 million tonnes of ore at an average grade of 5.55 g/t gold.
The open pit mining operations at the Otjikoto Mine are scheduled to ramp down in 2024 and conclude in 2025 while processing operations will continue until 2031 when economically viable stockpiles are forecast to be exhausted.
Underground operations, however, are projected to continue until 2026, potentially extending operations if the ongoing exploration program successfully identifies more underground mineral deposits.
B2Gold spent US$13m, consisting of US$9m for deferred stripping in the Otjikoto pit and US$3m for Wolfshag underground mine development.
The cash operating costs were US$785 per gold ounce produced and US$744 per ounce of gold sold.
B2Gold says cash operating costs per ounce produced for the third quarter of 2023 were lower than expected due to higher production and a weaker Namibian dollar.
“For the first nine months of 2023, Otjikoto’s cash operating costs per ounce and all-in sustaining costs per ounce were below expectations due to a weaker Namibia dollar,” the company says.
B2Gold expects Otjikoto’s cash operating costs per ounce for 2023 to be between US$545 and US$605 per ounce (original guidance range of between US$590 and US$650 per ounce) and all-in sustaining costs to be between US$950 and US$1,010 per ounce (original guidance range of between US$1,080 and US$1,140 per ounce).
B2Gold holds a 90% interest in Otjikoto Gold Mine.
