Q4 2022 B2Gold Corp Earnings Call
Thank you Clark.
Speaker 1: Thanks, Clive.
Speaker 2: So I'll start with the quarter and then comment a little bit on the full year results. So for the quarter, I think the story for Q4 is that our operations came through and delivered on the sort of forecast that we were going to have a big Q4.
Speaker 2: I think if you may recall by the end of Q3, we were close to budget, but there were some delays in production at both for call-up because of water in the pit that was dewatered and then resolved at the start of the fourth quarter. And then some delays in Ocecoa just with accessing the Wolfshake underground. So that led to a big forecast Q4 to get to the end.
Speaker 2: catch up on some of the high grade that we weren't able to mine and Q3 is originally scheduled. So good news is we delivered on it. In terms of results of that delivered, gold revenues were 592 million, so that was based on the sale of 339,000 ounces, which is a bit higher than we'd budgeted to sell, and that's really a function of how high the production was. So if you look at production for the queue, from our three operating mines, we had 333,000 ounces. 35,000 ounces higher than budget and it's a quarterly record for our operations. And if you include our sheer caliber results, we had 368,000 ounces, which is almost 40,000 ounces.
Speaker 2: catch up on some of the high grade that we weren't able to mine and Q3 is originally scheduled. So good news is we delivered on it. In terms of results of that delivered, gold revenues were 592 million, so that was based on the sale of 339,000 ounces, which is a bit higher than we'd budgeted to sell, and that's really a function of how high the production was. So if you look at production for the Q, from our three operating mines, we had 333,000 ounces, 35,000 ounces higher than budget, and it's a quarterly record for our operations. And if you include our sheer caliber results, we had 368,000 ounces, which is almost 40,000 ounces higher than budget.
Speaker 2: The leader in that outperformance was Fekola, 244,000 ounces in a quarter, 37,000 ounces higher than budget. Quarterly rockboard, and like I said, it came mainly from processing that higher grade material out of Phase VI of the Fekola pit, some of which we can't process in Q3. Fekola basically continued to outperform all around. The processing facilities are still putting more material through them than, I guess, the nameplate. And the mill feed grade was higher, so positive on all aspects of Fekola production. This value is 49,000 ounces. It's pretty much right on budget. There were slightly lower gold for coverage during the quarter due to the nature of the higher ratio of sulfide and transitional ore versus budget, but that was offset by higher than expected feed grade, so it came in right on budget. Or just a coat of 60,000 ounces, a little below budget, and that's really just a function of the timing to get into the Woolcheck underground. We got into the Woolcheck underground, started producing.
Speaker 2: and go there a little later in Q4. So that's running well now, but we're slightly under budget in the queue. How did that factor into the operating results? Well, for the consolidated cash costs from all operations, including our share of caliber, $468 per ounce, very close to budget overall. The COLA was pretty much in line with budget. It had slightly higher costs, but also record production. So it came in on budget. Ms. Batty was a bit higher. Ms. Batty cash costs for the Q were $872 versus a budget of 752. And that's, production was online. So it's really just a factor of inflation-driven higher costs, not almost exclusively, but mainly driven by fuel costs, which were higher for Ms. Batty in the period. And Ojikoda was $465 and that's just $46 below budget. And that's really just a function of the timing of getting into the underground, the lower underground mining costs that were a little later.
Speaker 2: Including our share of caliber, we came in at 1,028,000 ounces, slightly above the midpoint of our guidance range, consolidated of 990 to 1050,000 ounces. Good news, right in the range or in the upper half of it.
Speaker 2: Individually, Ficola came in 599,000 ounces. Couldn't quite get it to that 600,000. We'll have to talk to Bill about that later. That was right at the top end of its annual guidance range of 570 to 600,000 ounces.
Speaker 2: Ms. Batty came in 213,000 ounces, slightly below the revised guidance range we had of 215 to 225. But remember it was at the upper end of our original guidance range of 205 to 215,000 ounces. And note your code, 162,000 ounces, slightly below our revised guidance range of 165 to 175. And that again was just a function of the timing of getting into the Wiltshire Underground material and the wrap up of operations there. But overall very pleased that we came in above the midpoint of our guidance range for the year. On the cash cost known sustaining cost side, as guided, I think we came in for the cash costs, consolidated from all ops including caliber, $660 per ounce. So right at the top end of our original guidance range.
Speaker 2: 620 to 660. So I'd stress that that was the original guidance stretch. We didn't re-guide on the cash costs over all consolidated basis. So we're pleased that even in a period of higher inflation, higher costs, definitely higher fuel costs, with all mining companies have seen, we still managed to come in at the operating of our original range. And similar story for the all-in sustaining cost side. There we came in, consolidated all operations, including caliber, $1033 an ounce. So pretty much within a range of.
Speaker 2: $1,010 to $1,050 per ounce. And what we saw there was cash costs at the higher end of the range, good solid production, and then the benefit of some offsets and fuel derivatives that let us come in overall within the all-unsustaining cost range. So the operating results, we're pleased to be able to report that we had our guidance basically on all measures. So that was good. A few comments on the operations overall. First of all, I'd like to just throw out there how we're going to be describing and reporting the results from our modeling operations.
Speaker 2: So there'll be the Focola Mine, so we'll report that separately. That'll be Focola Mine, which is everything from the Med and Andy Permit, which includes Focola, Pitt right now, and Cardinal. And then we're gonna separately Focola Regional, and that Focola Regional will be the production from all other licenses, so Bentaco, Mancoto, Bacalobi, and Dendoco. And collectively, we're calling the Focola Mine and Focola Regional the Focola Complex. So if you get confused about the different pieces, that's the way it's gonna go. So I just wanted to throw that out there for you.
Speaker 2: At Focola, you can see in our budget, we put our budget out earlier in January , and you can see that we're already in phase one of Focola Regional Development, which is developing the infrastructure and the roads and some of the facilities so that we can start trucking material from the first of those Focola Regional licenses, in this case, Bontaco, later in 2023. So that's ongoing. Then you'll see in our recently announced SABENA acquisition. So,
Speaker 2: what we're gonna do is, in addition to Ficola Regional Phase 1, it will be Ficola Regional Phase 2. Ficola Regional Phase 2 will be a report that we think will be out by mid-year where we're doing a study to see if it makes sense, which we think it does, to build a second mill somewhere in those other licenses, probably on the Manicota license. And that mill would process saprolite oxide material of which we have an abundance in those other licenses. So our goal with Ficola Phase 1 to continue as we have now in the budget, then to be able to absorb the continued construction of the GOOSE project with the Sabina acquisition with a goal of bringing that online by the first quarter of 2025. And then once we have this.
Speaker 2: Ficola Phase II study, the regional study for that second mill, and if we decide it's a go decision, then to schedule that around, making sure that we get the GOOSE project completed and often running by the first quarter of 25, so you'll see us move into that second Phase II Ficola construction a bit later in the process. And Bill, I think, can talk a bit more about the overall scheduling and timing. A couple other comments, Grammalati. Grammalati project, as we announced before, we decided jointly with our partners at AIG to begin a sales process on Grammalati, and so that process is being started, so it's underway. So we'll provide updates on that in due course. Then really just comment on a couple other things in the results, so net income for the period, the tribunal of the shareholders of the company, $157 million, or 15 cents per share EPS. Adjusted EPS was 11 cents a share based on adjusted net income of $121 million. And for the full year, earnings to the tribal shareholders of the company, $253 million, or 24 cents per share EPS, and adjusted EPS of 25 cents per share based on adjusted net income.
Speaker 2: of $264 million. Can I just comment on the cash flows. For the three months you see it was a big cash flow generator for us because of the weighting of that higher grade and the production that we had. So cash flow from operations, 270 million for the queue, was 25 cents per share. And then for the year, cash flow from operations just under 600 million, 596 million or 56 cents per share. So we're pleased with that result. On the cap or on the financing side, if you look for the year, 170 million outflow for dividends. So we're maintaining that dividend of four cents per share US per quarter or 16 cents per share annualized. And what I would comment on at this point on the dividend, it's our intention, even as we absorb the cap actual requirements for Focola regional phase one, completing GOOS with the Sabine acquisition, the construction there, and then Focola phase two, it's our intent to keep paying dividend at the current rate if gold prices stay where we are, to keep maintain our current dividend rate and work our way around those complex needs.
Speaker 2: Looking at investing activities for the year, 389 million, pretty close to budget overall on the operating sustaining side. We found that although there was a big catch up of sustaining capex in Q4, overall for the year we came pretty close to budget. We finished the year, $651 million in the bank. We're pretty much debt free. We have some outstanding project, our equipment loans and leases and some office leases, but we're pretty much debt free overall. So we've got 600 million drawn on our line of credit. We've got another 200 million available in the according feature. That's $800 million available in that line. And so if you combine that with the 651 million cash we finished the year with, we've got total liquidity at the balance sheet date of somewhere between 1.4 and 1.5 billion. So it's that kind of liquidity. We got, breathe.
Speaker 2: syndicated banks that we deal with. We've got great partner with Caterpillar and who's been involved in all of our projects in the last few years. And lots of tools in our toolbox to be able to see our way through funding those major CapEx items that I mentioned. Fekola Regional Phase 1, Sabina acquisition, getting that completed and getting the GOES project built on time, as scheduled by the first quarter of 25 and then moving. Also funding Fekola Regional Phase 2. So I think we're in great shape overall, capital-wise and like I said, to also maintain that dividend at the current rates. So I think those were the main items I was gonna focus on or comment on as part of the overall results. So with that, I'll hand it back to Clive. Great, thanks Mike. Obviously we're very pleased with those results. So I'm gonna talk a little bit about the...
Speaker 3: Sabine acquisition, I think everyone's aware of it. Now this was a friendly all-share offer to Sabine, which represented at the time of signing the deal was a 45% premium to the Sabine share price at the time. And we're very pleased with the market response I would say so far. Both sets of shareholders, the B2 Gold and also the Sabine shareholder responded very well to this deal. And we do think it's a win-win deal, which is what we've done and accomplished for many of our transactions in the past where we can bring our strength to bear to an excellent project. Sabine represents, we do some very high-grade, fully permitted projects, very attractive economics, very attractive exploration upside. Also ready to go with an excellent team. I think that we continue to be very impressed with the work that was done by Sabine and their close relationship with the work they've been doing with our Inuit partner and the light owner.
Speaker 3: in the back of every region. We look forward very much to working with both Sabina and our Indian partners in terms of what they've already built on, which is a great platform to launch this project. It's in the construction already. We've talked about that a lot in our conference calls before, and some of the research just picked up on that, but we're comfortable with the schedule, we're comfortable with the projected capital cost, and this is gonna be a team effort working to work with our well-regarded, very successful construction, exploration, development, production teams, working with this very strong team at Sabina that Bruce will call has done a very good job of getting the project to in construction at this point. The deal itself to us was a very accretive deal. We had the opportunity, we were trading at one.
Speaker 3: point times now when they were trading at point four times that asset value. So we were able to pay a significant premium yet stay within our parameters of the creative deal. I want to just talk a little bit about that because I think that there's been a lot of criticism for what are considered to be large premiums in the deal such as this. At the end of the day we don't get to perturb or obsess with premiums, we're about value. So this project we assessed a value that we were prepared to offer to the City of Sherwood's of 1.1 million dollars Canadian of our shares. As I said that represents a significant premium to the deal but the fact of the matter is the premium was significant because of the fact that where there's stock into trading and obviously very difficult of the gold market generally for equities isn't great right now but it's also particularly difficult for single asset development companies or exploration companies. So we were able to offer what we think was a fair value, a good deal for the Sherwood's of Sabina and also stay within our parameters and what is in a creative deal to us.
Speaker 3: The market response so far suggests that the market seems to understand that. And as I said, there's good widespread approval for the deal. I'm going to pass it over to Randall Chapman right now just to talk a little bit about the timing of the deal from that perspective. Thanks Clive. As you know, we signed the deal last week. The parties are working hard towards a schedule and it currently looks like we were going to a Sabina shareholder meeting in the middle of April . The interim court hearing would be just prior to that time. Working backwards from there, that would be in a circular going out probably around the middle of March. And that would get us to a completion date about the third week of April . So I expect on the ordinary course of a BC plan arrangement, we would be done by the end of April for sure. And in the meantime, we've had lots of conversation with Bruce and that we have, we're very much on the same page, which is maintaining the schedule that they're on now. A lot of important things are coming up now with the winter road and all those initiatives. So the idea for both sides is to maintain the schedule and do the work required as we move to close this deal to make sure that Bruce and his team are continuing on with the development they've been doing and wherever we can do to support and help. This is also a great exploration opportunity, I think we would say as well, as this project has some tremendous potential in the Black River District, very large property and some
Speaker 3: some excellent geology and excellent drill results, suggesting that not only is GOOSE open down plunge, but there's another nearby zone called GEORGE, which has a silicate resource so far. I think about 700,000 ounces isn't very much open, but also our geologist eyes really light up, as I know Bruce's team feels the same way when you think about the potential of this whole district. There's been some very good drill intercepts quite a long distance away from GOOSE, and various, I said, have not had extensive drilling. So one of the things that we do bring to the party is our approach to exploration and our ability to fund exploration. So as part of our plan here, we would be able to crank up exploration starting as soon as we can, to test not only the down plunge potential of GOOSE and GEORGE, how big does that get, but also all these other targets. So understandably, when I've been where, we've been where Bruce has been before in our careers, you're trying to get a mine financing built in a typical circumstance, so your focus is obvious on everything you can do to continue to advance the project, and they've done a great job of that. Exploration isn't on a high priority list to spend at that stage. So I think that's a real advantage, and of course, the Sabina shareholders, as the deal closes, getting our shares, we'll see the benefits from each of those shares of this project as we work together to make it a great line. The exploration upside, also of course, this industry-leading dividend that we're paying would also be the Sabina shareholders as they become each of those shareholders. So strategically, this is a very good fit, we believe, a very good fit for B2 GO, going forward. You know, you might talk about our plans to expand for COLA, the potential there is in two stages, one that's underway, the truck is after the door down at the total mill, and the next stage that we have this report in June is positive, which we expect it will be, through the second mill, on the horse end.
Speaker 3: and it could be somewhere in 250, 300 million of capital investment for that. But the potential there between those two phases would be to add up 200,000 ounces of low production to Ficola, which would take this 800,000 ounce a year level. What we continue to expect to be low cost production. So that's a great asset and it's far from over in terms of the amount of exploration we're continuing to do now, not only in some ways, but in this spectacular recent results, deeper in the sulfide, particularly in the Mamba zone to the north. So that fits in very well strategically and the Goose River, the Goose Lake Mine, rather, is the potential, as we've seen in disclosure, to produce 300,000 ounces of gold a year, starting in, currently scheduled for the first quarter of 2025. So if you put those two together, there's half a million ounces of production, annual production growth in the not too distant future here with the prime existing assets as the deal closes for the B2 gold. That's a great growth profile, plus all the exploration and other things that we're doing. We're very focused on that as we've always been when we acquire a project. And in this case, you won't see us doing any significant mergers and acquisitions for the foreseeable future. We really like the growth profile. Obviously, this is some geographic diversification for us as well.
Speaker 3: which we were keen on and I know our shoulders were as well. So this is part of the strategy that's been going on for 12, 13 years now. Our creative acquisitions with good exploration upside, building the mines, very good construction work to be done, and in this case, in conjunction with the Sabina team. And it fits right in our wheelhouse with our northern experience as well. Of course, with two projects from the Bina days in the north of Russia, along the construction team, some of the key members there are available to assist and move forward. So strategically, it's a very good fit in our strategy going forward to be to maintain our extraordinary financial strength, which allows us to do this to a frankening and continue to grow the company. But be very focused on the assets we have in house. And as I said, the growth profile to us looks very exciting. We're very pleased with this new opportunity. And with that, I think we'll open up to questions.
Speaker 4: Thank you. As a reminder to ask a question, please press star 11 on your telephone and wait for your name to be announced. So withdraw your question, please press star 11 again. One moment while we wait. While we compile the Q&A roster. Today's first question will come from the line of the Vovaya Sabib with Scotiabank. Your line is open. Thanks operator. Congrats. Clive and B2 team on ending 2022 on a strong note. Clive just a couple of questions from me. Starting off with the picot of complex in the press. And I think.
Speaker 1: Mike Silliman has also talked about the companies expecting the construction timeline for Pecola regional standalone oxide mills will be scheduled to allow for completion of the approved project in Q1 of 2025. So am I thinking of this correctly that Anaconda standalone mill construction then would commence in early 2025? And does Pecola complex production still achieve 800,000 ounces in 2026? Yeah I think I'll pass it over to Bill to respond to that. Before I do that was in my notes but I missed one of the things I want to really emphasize because I think it's been some people have missed it we're not going to try and build two significant mills.
Speaker 3: at the same time and never have in our history, we're not going to start out. That's part of the focus that we talked about. So the way the schedule looks out and Bill can respond, the whole idea is to schedule this in so we can do both and we can be very focused on both phases of expansion of the coal, but in between those phases, the construction at GOOSE. So, with you Bill. Yeah, thanks, Blyde. So I think it's important really to understand where we're at in the permitting schedule for all this stuff. So if you think about the Anaconda phase one that's been permitted, that's in construction. We see that coming online really in Q3 of this year. So let's assume that that one happens. We just took the executive out there and everyone was quite impressed with where we're at. So that, that one's done. We think that one's a given. Now you've got the, the, uh, the Back River project, which is fully permitted. All of their equipment is coming to site and basically the, a lot of the foundational work, the groundwork has already been done. So in, when, when the ice road opens up here, they'll start dragging material down the road and they're going to start doing rebar, concrete work, all this stuff, try and get the, try and get the, uh, mill weathered in this year. So they're basically, they're, they're quite a bit ahead of where Anaconda's at. So you can imagine a scenario where they, we stand up the, stand up the mills or stand up the buildings with all the concrete and rebar and steel that, that then that's what happens in Q23. Now in Q24, they'll be building,
Speaker 3: they'll be installing the mills and everything into the buildings for Q1 2025 commissioning. So you can imagine at the Phase 2 Anaconda stuff, what we're proposing is there will be a study completed at the end of Q2, which is on schedule. That will allow us really to kind of sequence what happens after in 2024. So you can see that the rebar people, the concrete people, they're going to be available in 2024. So I don't say that we're going to move away from it and that it won't happen in 26. You can see a path where those guys could get into the Anaconda Regional Mill in 2024 and 2025, a two-year build, and hit the schedule right at 2026. So you see 23, Phase 1 coming on, 25 Q1, Back River coming on, sometime between 26 and 27. Still yet to be defined because the study's not out yet, but the Phase 2 Anaconda Mill coming on. That's how we see it. Got it, Bill. Thanks for that clarification. And just my second question just relates to that particular complex study that you just talked about that's expected in Q2.
Speaker 1: Will the study specifically look at the standalone mill at Anaconda only or this includes Pecola underground as well and then kind of general optimization of the Pecola complex? Right, so we were just talking about this morning, the Anaconda, the phase two study really looks at the Anaconda mill as part of the overall complex. It doesn't include the underground stuff for sure because that's within the Pecola complex, but we are looking at additional sources of saprolite, right? Do you bring in dendocio? What happens with baculobi? All that stuff, we're starting to figure out where it all goes. So it really is a regional look and of course there is the zero alternative where you wouldn't do it. We don't see that as real, but that is part of the study. Got it. Thanks for that Bill. And just my last question, just switching gears to Maspate. Now Maspate is expected to produce about 180,000 ounces this year. How should we be looking at Maspate kind of near and long term? Should we be expecting production to remain at current levels over the next three to five years?
Speaker 1: And maybe if you can just give us a little bit of color on the exploration opportunity there to improve and increase the current mind life. Yeah, so I'll do the first part and then I guess we could do the second part. So what we did is we took a look at really the capital costs of replacing the fleet. And that's how we went from that we had a real short, high output mind life. And then instead we went as you just said, this three to five years at kind of that 175, 185. And that's what we're going to see for sure. We've kind of normalized it by bringing back or reducing some of the capital costs for the fleet, which brought it down from 200,000 ounces, but of course extended that period. And then you see, I think it's six or seven years on the low grade stockpile after that kind of into 100,000 ounces. So as far as what we see as far as exploration, I don't know. Yeah. So the exploration drilling at Mesdadi is essentially beneath the existing fits. The, it's an island.
Speaker 5: And the regional potential around Masbaki itself, it's not that we don't have any targets, but they're not as prolific as we have, say, at Vukolo or Back River. It's a fairly advanced mine site. What we are doing in the Philippines is this year, we are setting up a 100% owned Philippine exploration entity. And we're looking at
Speaker 3: other opportunities within the Philippines leveraging of our position and our presence in the country. So that's something that is seeing a lot more attention in the Philippines. We've seen a really positive response from the, you were making progress before where the previous government has shown that the gold mining or open-grid mining could be responsible, done responsible for the Philippines and our success and some others. And that's gotten even more positive within recent elections with the government that is very much keen on foreign investment and very, very keen on more investment in mining, mining exploration, mining development. So we're very pleased with that and encouraged by the government to do a look at more development and exploration opportunities going forward. So we're better to build another gold mine than in the country that you've already, to have one in. So that's gonna be, that's a new focus for us. And this is partly a reflection of the opportunities in the Philippines that we see in an extremely.
Speaker 1: mineralized 7,000 islands, not all mineralized, I suppose. But also that combined with the government that's really encouraging, successful for investors like ours to increase our investment, which we're open to initially starting through exploration. Okay, so that's it for me guys, and thanks for taking my questions. Thanks, Eliz. Thank you. One moment for our next question. And that will come from the line of Carrie McRury with the Santa Cord Genuity. Your line is open.
Speaker 1: Hi, good morning guys just a couple of follow ups on anaconda. Can you just remind me what's required from a permitting standpoint for the anaconda phase 2 and sort of what timeline. Is around that yeah, so I'll certainly answer it from the operational side and if you want to talk about it from the. Financial stability side, but so on the permitting side, we're currently working through a feasibility document, which would be submitted that that's what is coming out at the end of Q2. Based on that, of course, and the, we assume that we'll get a construction permit and I just want to. Reiterate the desire of the government to make this project go. We were just down there where we met with the minister of minds and that was really 1 of the 1st questions out of his mouth was how quickly can you guys put this in the operation? We will support it and go as fast as the law allows. So, we don't see any issues.
Speaker 2: with getting the permit for that. And certainly the government is interested in us doing this as quickly as possible. Yeah, on the, I guess on the various agreement sites, so each of the licenses, we've got four other licenses there. Each of them needs to have the mining license granted. And then we put in place the mining convention and the shareholders agreement with the state. So same as we did for FICOLA. We're working on that right now. The first one being Bantaco. So that we can bring some of that Bantaco material into the plan this year. So I think we're gonna, we'll use that as a template. They're all gonna be under the 2019 mining code, we believe. And once we get Bantaco, and then we're gonna have the template for the others. And the one thing that's different for these licenses than when we did for COLA, we're also gonna have tolling agreements because we're gonna have potentially five licenses and up to two mills to process material from those licenses. So we'll have to have a little bit of interaction between the licenses.
Speaker 2: as well, but same as usual, under the 2019 code, we'll get a mining convention that'll stabilize the taxes, the tax regime, and I guess the overall operating regime that those will be built and operated under. And as business as usual, we learned a lot from doing it for FICOLA, so I think we'll find it a quicker process this time around. So at FICOLA, Maine, the government owns 20%, I think at Anaconda, 10% currently with the option for 10%. Are those discussions going to happen as well this year as part of this feasibility process? Yeah, they'll happen in conjunction with feasibility, the mining code lays out that each party will have an evaluation done, and then they'll negotiate what they think. At evaluation, they can agree between themselves, which is exactly what we did for FICOLA.
Speaker 1: And then the state, we expect the state will take the second 10 percent as before, so it will be 20 percent. To go on the others, that's what we expect to see. But that happens as each feasibility is filed and the valuations agreed. Great, then maybe just one more on Sabina. I know this is probably a moving target, but like, can you talk about how much Sabina has funded of the cat-back to date and sort of high level, what sort of cat-back's numbers should we be thinking about for the two as Sabina for the rest of this year? I can't say how much they funded. We haven't seen their latest numbers. Remember, right now, the row is opening up, so that number is changing on a daily basis. What I will tell you is that when we did the due diligence and we look at this thing, we kind of, we looked at what they were doing and we looked at the potential to, move the underground forward, which they obviously had looked at as well. And I think they had 640, Canadian in their study. We think the number is 800, is what we threw in ours. So we think the number somewhere between,
Speaker 3: 750 and 850, but in our study we put 800 in Canadian. Yeah, there's a lot of updates that they'll come out with in terms of updating from that original feasibility study number. So a lot of some things that weren't in that, and if that goes back to the feasibility study, don't forget the initial capital estimate. So we've done a lot of work on due diligence, we're working with them to come up with a number that we both feel comfortable with. Yeah, BMS on your here, I'll talk about 800 roughly, 35% has been spent. Capital estimate has to be at the end of the year, and then 65% funded and committed. So that's kind of where we sit based on what we've seen from SPUDA so far.
Speaker 4: And then there's the advancing the underground, there's about $65 million that is in the 800 estimate that was not in the 640 estimate. That's a lot of things. That's right. The difference there, it's not just inflation, there's also some optimizations and improvements that included the $65 million front-of-ground mining. All right, great. Thanks, guys. Thank you. As a reminder, if you have a question, please press star 11. One moment for our next question. And that will come from the line of Harman Puri with Bank of America. Your line is open. Hi, good morning. Thank you for taking my question. Some of my questions have actually already been asked and answered, but maybe just one final one from me. On Grandma Latte, can you provide us with...
some sense for how advanced the sales process is right now or or any sort of color you can provide on maybe the interest you're seeing? Well I think I think just a high-level summary we've appointed an advisor and we're about to commence the actual phase one of the process. We're just we're just prepping everything so that's where we're at and it's hard to say for sure but we expect it'll be somewhere within a six-month timeline I think for a process to be.
how advanced the sales process is right now, or any sort of color you can provide on maybe the interest you're seeing? Well, I think just a high-level summary, we've appointed an advisor, and we're about to commence the actual phase one of the process. We're just propping everything, so that's where we're at. And it's hard to say for sure, but we expect it'll be somewhere within a six-month timeline, I think, for a process to be actioned and complete.
process is right now or or any sort of color you can provide on maybe the interest you're seeing? Well I think I think just a high-level summary we've appointed an advisor and we're about to commence the actual phase one of the process we're just we're just propping everything so that's where we're at and it's hard to say for sure but we expect it'll be somewhere within a six-month timeline I think for a process to be actioned and completed hopefully.
There's nothing that occurred in fact in the cash forecast that includes sale of Bambalati, there's nothing in there for that at this point. Great, and just on your stake in Calibre, do you still view that as something, you know, maybe non-core and something that can also be divested over the next year or two? We have no plans for that. We think they're doing a good job and that's been a good transaction for all included for our Nicaragua employees as they move from beach goal to Calibre and that's been a success and they've kept up a lot with the environment, the social programs and things that we've done. We're happy show was there and we have no reason or need to sell a block. And then since you brought that up, let's talk a little bit about our other projects. People have wondered with this VINA deal, the goal of growth, are we considering selling other assets? So we just got back from a great Africa tour. We had a great trip to Pecola and good meetings in Mali and then we'll on down to Libya and similarly a great tour of the Mayan and the other meetings. We're very happy with those jurisdictions. We just mentioned the Philippines. We're very happy with what we're doing in the Philippines. In fact, all jurisdictions were committed of course to potential significant further investment in Mali with the
the second mill and ongoing exploration work. So we're not interested, this would be like, we'd really like it to fit me up now, the existing mines, the potential to expend for coal, and of course with the successful closing of the Sabina deal we laid that out. So we're not looking to sell a visual asset. So we have a lot to unfortunately, we tried hard, unfortunately, we weren't able to upgrade financially to be at the point of investment opportunity for us to fit with us. Now it's formally announced as a good part of Columbia to be in, and that's okay with a permit, et cetera. And then we're confident that someone is gonna take that on and maybe have some returns to our shores. Perfect, thank you for that color. That's very helpful and that's it for me. Thank you. And speakers, I'm showing no further questions in the queue at this time.
hospital, kept free, now has the opportunity for dramatic growth.
has the opportunity for dramatic growth over the next three to four years.
We're looking where we sit and are looking forward to rolling our pursuits and working with Bruce's team at Sabina on what is a great project we're happy to announce that deal. I'm looking forward to closing it. I think that's all we have for now. Thank you. We'll be updating you shortly and I'm sure we'll talk to some of the people on the line at the email conference next week. Thank you for your time.
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