KEY POINTS
- Drill results extend high-grade zones at Nuvuyak and Mammoth.
- Bonanza grades at Umwelt boost confidence in initial production.
- The first gold was delayed to Q2 2024 due to construction challenges.
B2Gold Corp. (TSX: BTO; NYSE: BTG) announced promising drill results from its Goose project in Nunavut. The project is under construction and expected to deliver its first gold in the second quarter of 2024.
The company said on Wednesday that the findings indicate potential for a longer mine life and a larger resource base.
Drill results at Nuvuyak and Mammoth show strong potential
At the Nuvuyak deposit, drill hole 24GSE-683Z1 intercepted 28.8 meters grading 6.39 grams of gold per tonne, including a high-grade section of 23.49 grams over 6.5 meters. The results extend high-grade mineralization by 150 meters north-northwest, affirming the continuity of high-grade zones.
Additionally, drilling at the Mammoth target, located 450 meters up-plunge from Nuvuyak, yielded 11 meters at 17.45 grams of gold per tonne, with a standout interval of 68.61 grams over 2.5 meters. These findings suggest strong underground mining potential and could enhance future production.
At the Umwelt deposit, planned as an anchor for early production, infill drilling continued to uncover high-grade gold. Hole 24GSE-671 intersected 11.1 meters grading 27.28 grams of gold per tonne, while hole 24GSE-684B returned 22.8 meters at 29.49 grams, including an exceptional interval of 301 grams over 0.7 meters.
“These results bolster confidence in the high-grade continuity at Umwelt, supporting the initial production plan and suggesting higher-than-anticipated early yields,” CEO Clive Johnson said.
The first production at Goose has been delayed by three months due to equipment availability, weather challenges, and construction priorities. The updated capital estimate has risen 23% since January, reaching $1.54 billion, driven by investments to improve reliability and logistics costs.
Cost increases and timeline changes reshape Goose’s production outlook
According to The Northern Miners, B2Gold expects Goose to produce 120,000–150,000 ounces in 2025 and an average of over 310,000 ounces annually from 2026 to 2031.
B2Gold’s $28-million drilling campaign at Goose covers 25,126 meters, including nine regional targets across the Back River district. At the Llama deposit, drill hole 24GSE-663 intercepted 28 meters grading 14.34 grams per tonne, showing potential at depth. The company aims to continue exploration next year to expand the resource pipeline.
Goose hosts proven and probable reserves totalling 3.6 million ounces of gold at grades exceeding 6 grams per tonne, ranking it among the highest-grade undeveloped open-pit projects globally.
B2Gold acquired the Goose project through its $1.1 billion acquisition of Sabina Gold & Silver in 2022, positioning the company to capitalize on the high-grade Back River Gold District.
