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Last Trade - 22/09/20

Sector
Basic Materials
Size
Large Cap
Market Cap £5.33bn
Enterprise Value £5.27bn
Revenue £1.13bn
Position in Universe 926th / 6387

B2Gold keen on any African assets new Barrick may sell - CEO

Fri 12th October, 2018 5:10pm
By Susan Taylor
    TORONTO, Oct 12 (Reuters) - Canada's B2Gold Corp  BTO.TO  is
interested in any West African assets that Barrick Gold Corp
 ABX.TO  may put up for sale after its acquisition of African
miner Randgold Resources Ltd  RRS.L , B2Gold's chief executive
said.
    B2Gold, whose stock rose as much as 3 percent on Friday
following better-than-expected quarterly production results, is
"definitely interested" in any projects considered noncore under
the new Barrick, CEO Clive Johnson said in an interview.
    Under Barrick's $6.1 billion all-stock deal to buy Randgold,
the companies have said they will focus on their biggest and
best assets globally and consider selling others.  urn:newsml:reuters.com:*:nL4N1WA2BU
    "If there are opportunities in West Africa that don't
perhaps fit the new Barrick model, in terms of the size of
project, or other things, then we'd be keen to look," Johnson
said late on Thursday.
    Ideally, the Vancouver-based miner wants projects it can
develop to produce about 200,000 ounces of gold annually for at
least 10 years, as opposed to already-built mines. It seeks 
investments with an approximate 20 percent rate of return at
gold prices of $1,200-$1,250 an ounce, Johnson said.
    Randgold has mines and projects in Mali, Ivory Coast, the
Democratic Republic of Congo and Senegal, while Barrick has
mines in Tanzania and Zambia.
    Johnson does not expect Barrick's acquisition to spark other
such transactions and said B2Gold has not been approached by any
larger miners interested in taking it over.
    "I think it will be pretty unlikely for a big company to
come and make a premium offer for a company like ours," he said.
"People have memories of the last 15 years - we've seen so many
deals done where they've become negative."    
    B2Gold itself is open to making acquisitions, after being on
the sidelines since its $570 million stock purchase of
Australia's Papillon Resources in late 2014, he said.
    That deal landed Fekola, a large, low-cost mine in Mali that
helped B2Gold forecast total output at the high end of a
920,000-960,000 ounce range.  urn:newsml:reuters.com:*:nFWN1WR16C
    "We're going to come out in a few weeks and announce to the
world that we think that Fekola's geologic resource is a lot
bigger than we bought and therefore there's this potential to
expand," Johnson said.
    At the end of 2017, there were probable reserves of 2.92
million ounces of gold at the mine. B2Gold is also studying a
plan to expand the mine and mill.
    B2Gold also five operating mines, two development projects
and exploration in Mali, Burkina Faso, Namibia, Nicaragua,
Colombia and the Philippines

 (Reporting by Susan Taylor in Toronto
Editing by Matthew Lewis)
 ((susan.taylor1@thomsonreuters.com
+1 416 941 8083
Reuters Messaging:
susan.taylor1.thomsonreuters.com@reuters.net))
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