B2Gold (NYSEAMERICAN:BTG) reported third-quarter 2026 gold production of approximately 193,000 ounces and lowered its full-year cost forecast, as management pointed to progress at its Goose and Fekola operations.
Revenue was $836 million on sales of approximately 195,000 ounces at an average realized price of $4,287 per ounce. Free cash flow was $48 million, while operating cash flow before working capital adjustments totaled $387 million.
President and CEO Mike Cinnamond said the company expects a stronger fourth quarter, driven primarily by increased crushing capacity at Goose following the completion of the first phase of upgrades after quarter-end. Management also expects ore production from Fekola Regional to begin in early 2027.
Profit and cost outlook
Net income attributable to shareholders was $409 million, or $0.31 per share. The result included a $253 million impairment reversal at the Fekola Complex following receipt of the Fekola Regional permit, as well as $40 million in unrealized derivative gains and $14 million in insurance recoveries, Chief Financial Officer Michael McDonald said.
Adjusted net income was $183 million, or $0.14 per share. That figure included $47 million in realized losses on gold collar contracts during the quarter, McDonald said.
The quarter was B2Gold’s first full period of sales at spot gold prices after it completed deliveries under its gold prepayment arrangements in June. Executives gave differing descriptions of when the remaining collar contracts would end: Cinnamond said the last was scheduled to roll off in January 2027, while McDonald said the contracts finish in December 2026.
B2Gold lowered its 2026 consolidated all-in sustaining cost guidance to $2,230 to $2,410 per ounce sold, a reduction of more than $100 per ounce at the midpoint. McDonald attributed the improvement to strong performance at Masbate and Otjikoto and lower expected costs at Fekola.
At Masbate, the company cut its all-in sustaining cost forecast to $1,250 to $1,400 per ounce sold from $1,430 to $1,580. At Otjikoto, it lowered the range by $200 to $1,630 to $1,780. Fekola’s forecast fell to $2,350 to $2,500 from $2,670 to $2,820, largely because of lower royalties than originally assumed, McDonald said.
B2Gold ended the quarter with $294 million in cash and cash equivalents and approximately $705 million available under its revolving credit facility. It returned $59 million to shareholders through dividends and repurchases during the quarter, including $33 million in buybacks.
Goose ramp-up and crusher upgrades
Goose produced approximately 40,000 ounces in the third quarter while B2Gold worked on its fixed crushing plant and commissioned a mobile crusher. Chief Operating Officer Bill Lytle said throughput averaged approximately 3,200 tons per day after the first phase of the fixed-plant upgrade was commissioned in mid-October.
Peter Montano, vice president of operations, said the mobile crusher provides flexibility above that baseline and that the mill has successfully been tested at up to 4,000 tons per day. The fixed crusher is an all-weather facility, while the mobile unit has been covered for winter operations, he said.
The second phase of crusher upgrades is planned for the second quarter of 2027 and will require a 10-week shutdown of the fixed crusher. B2Gold plans to build a stockpile of crushed ore and continue using the mobile crusher during the shutdown. Montano said 3,200 tons per day would be a reasonable throughput assumption for that quarter.
Once the upgrades are completed around mid-2027, B2Gold expects the crusher to consistently deliver an average of 4,000 tons per day, supporting its target of 300,000 ounces of annual production at Goose, Lytle said.
Goose’s third-quarter all-in sustaining costs were affected by approximately 10,000 ounces produced but not yet sold, as well as $29 million in costs for a mobile crusher and remediation following a fire, McDonald said. He said B2Gold is targeting steady-state costs slightly above $2,000 per ounce based on its current mine plans and sequencing.
Fekola Regional and other projects
Fekola produced approximately 78,000 ounces in the quarter as open-pit activity shifted toward a waste-stripping campaign expected to continue through most of 2027. The company received the Menankoto exploitation permit in August and began stripping at Fekola Regional shortly after the third quarter ended.
Lytle said Fekola Regional is expected to add approximately 150,000 ounces annually at steady state from 2028 onward. For the 2027 ramp-up, Cinnamond suggested roughly half that amount as a rule of thumb, with formal guidance expected in early February. He described finalizing a tolling agreement for the operation as mainly an administrative exercise.
Elsewhere, Cinnamond said development at Otjikoto’s Antelope deposit was progressing and that B2Gold was examining potential mine-life extensions at Masbate. At Goose, the company reported a high-grade exploration discovery named Tattuk, which he described as its first new discovery there since acquiring the project.
At Colombia’s Gramalote project, B2Gold continues permit modifications and resettlement work. Cinnamond said the company expects to revisit a construction decision or other next steps in the second half of 2027.
About B2Gold (NYSEAMERICAN:BTG)
B2Gold Corp. is a Canadian gold producer headquartered in Vancouver, British Columbia. Founded in 2007, the company explores for, develops and operates gold mines, with gold bullion as its principal product.
B2Gold’s operations and projects span several regions, including Mali, Namibia, the Philippines and Canada. Its portfolio includes the Fekola, Otjikoto and Masbate mines, as well as the Goose project in Nunavut.
In addition to producing gold, B2Gold conducts mineral exploration and evaluates opportunities to expand or develop its properties.
