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B2Gold (TSX:BTO) said today it had record quarterly total gold production of 264,862 ounces in Q1.
Revenue was up 44% to $380 million, also a record.
The quarterly consolidated cash flow provided by operating activities from the company's three operating mines was $216 million, also a record. Cash-flow was up $130 million or 151% over the first quarter of 2019.
The jump in gold production over the first quarter of 2019 was driven by the Fekola Mine in Mali, which had a strong start to the year with record quarterly gold production of 164,011 ounces, well-above budget by 9% (14,011 ounces) and 49% (53,662 ounces) higher compared to the first quarter of 2019. Fekola's significant increase in gold production over the first quarter of 2019 was mainly due to expansion of the Fekola mining fleet and optimization of the pit designs and mine plan for 2020, which have provided access to higher grade portions of the Fekola deposit earlier than anticipated in previous mine plans.
Consolidated all-in-sustaining-costs for the first quarter of 2020 were $695 per ounce sold, $110 lower than AISC in the first quarter of 2019. The favourable budget variance resulted from lower-than-budgeted cash operating costs and lower-than-budgeted sustaining capital and exploration expenditures (mainly due to timing and expected to be incurred later in 2020).
At the end of the first quarter of 2020, B2Gold's Calibre announced the temporary suspension of its Nicaraguan operations due to COVID-19. B2Gold has a 34% share of Calibre's production.
The company said it doesn't anticipate any other work stoppages due to COVID-19.
By Michael McCrae
For Kitco News
