B2Gold enters cash-flow phase as Goose ramps up in Nunavut 

B2Gold entered 2026 with a broader operating platform and a major new Canadian base. The company’s Goose mine in Nunavut achieved first gold production in June 2025 and declared commercial production in October 2025, while the Back River Gold District gives B2Gold a long-term growth platform in Canada. In Colombia, the company is also advancing Gramalote after announcing positive feasibility study results in July 2025. 

CMJ spoke with Mike Cinnamond, president, CEO and director of B2Gold, about execution at Goose, exploration across Back River Gold District, Gramalote’s role in the company’s future and how B2Gold is balancing growth with capital discipline. The conversation began with congratulations on his recent appointment as president and CEO. 

CMJ: Goose has moved from construction to commercial production. What were the biggest execution lessons from bringing a remote Nunavut gold mine into production, and how are those lessons shaping the next phase at Back River? 

Cinnamond: The first lesson is the importance of partnerships. For B2Gold, that starts with its relationship with the Kitikmeot Inuit Association (KIA), which played a critical role over many years as Goose advanced. Respect and collaboration with the KIA are central to the company’s social licence to operate at Goose. 

The company also works with the government of Nunavut on employment and training, including through an MoU signed in 2025. Local content is another key priority, with numerous Inuit businesses involved as Goose moves forward. B2Gold also works alongside agencies such as the Nunavut Impact Review Board, Nunavut Water Board and Nunavut Planning Commission, which are part of advancing a district-scale project in the North. 

The second major lesson is logistics. Construction in the Arctic requires long-range planning, with procurement and supply work starting well before materials are needed on site. For Goose and the Back River Gold District, supplies are ordered and moved during the summer from Valleyfield near Montreal through the Arctic Ocean to a marine laydown area in Bathurst Inlet. From there, they must be transported down a 163-km ice road that is constructed on an annual basis. That means the company must plan about 18 months ahead to keep the site supplied. 

Labour and recruitment in the North are also ongoing challenges. Competition for workers is significant, making retention and recruitment critical. B2Gold benefited from having in-house construction personnel with experience from previous builds in remote locations, which helped support the transition at Goose. 

CMJ: The Goose mine is expected to average 300,000 oz. of gold production over its first six years. What are the key operational priorities needed to reach and sustain that level? 

Cinnamond: The Goose mine produced just over 42,000 oz. in its first quarter, helped partly by high grades and recoveries. A continued focus on mining rates from both the open pit and underground operations will be key to reaching steady-state production of more than 300,000 oz. per year. 

Our major operational priority is the remediation of the crushing circuit. A fire in April 2026 impacted a small part of the crushing circuit. No one was hurt, but the damage still must be repaired. The company plans to complete that work in the third quarter at a capital cost of about US$7 million, based on initial estimates. 

A broader crushing-circuit remediation program to increase crushing capacity is planned in two stages. The first stage, also planned for the third quarter of 2026, is expected to cost about US$11 million. It will add surge bin capacity, new apron feeders and an upsized primary jaw crusher. 

The second stage is planned for the first half of 2027 and will upsize the secondary and tertiary cone crushing system. The goal is to reach 3,200 tonnes per day of crushing capacity by the end of the third quarter of 2026 and steady-state capacity of 4,000 tonnes per day by the end of the first half of 2027 and is expected to cost about US$25 million. Reaching those levels will support production of about 300,000 oz. per year during the first five or six years. 

CMJ: B2Gold has budgeted US$51 million for exploration at the Back River Gold District in 2026, including US$29 million at Goose and US$22 million for regional exploration. Where do you see the strongest opportunity to add mine life or unlock new discoveries? 

Cinnamond: The opportunity extends across the district. At Back River, B2Gold has 11 mineral claims stretching along an approximately 80-km belt, along with 100% ownership of the Goose mine. About US$29 million of the 2026 exploration budget is allocated to Goose and near-mine work, covering just over 17,000 metres of drilling. 

The Goose drilling will target extensions of the Llama deposit, which is the next open pit and underground operation at Goose. The company will also follow up significant results from the Nuvuyak, Mammoth and Hook zones of the Goose deposit, as well as the new Wing discovery. The goal of near-mine work is to bring new material into the mine plan relatively quickly. 

Regional exploration is also important. The regional budget will cover both brownfield and greenfield work. At the George project, where B2Gold already has a delineated resource estimate, the company plans further infill drilling and will evaluate how the project could advance through permitting. 

The company will also look at other targets, including Boulder, Del and Needle, following preliminary work completed in 2025. The broader objective is to continue demonstrating that Back River is a district, with the potential to add mine life at Goose while also identifying new deposits. 

CMJ: Gramalote’s feasibility study outlines average annual gold production of 177,000 oz. over a 13-year project life. What role could Gramalote play in B2Gold’s longer-term production profile? 

Cinnamond: Gramalote belongs in the same category as the company’s other brownfield opportunities. B2Gold owns 100% of Gramalote. The feasibility study, released in July 2025, contemplated a six-million-tonne-per-year mill, an 11-year mining life and a 13-year processing life. The study showed competitive all-in sustaining costs and an attractive project profile. 

The project had an NPV of just under US$1 billion using a gold price of US$2,500 per oz. At a gold price of US$3,300 per oz., the same feasibility study would indicate an NPV of about US$1.7 billion. 

The project already has a mining permit, but it was issued for a larger operation. B2Gold is applying to modify that permit to reflect the six-million-tonne-per-year mill scenario. The company also submitted mining permit and amended environmental permit applications and expects the process to complete these amendment applications around the first quarter or first half of next year, at the latest. 

At the same time, B2Gold is advancing resettlement work under its original agreements. The company has more than US$60 million budgeted for Gramalote this year, including US$35 million for resettlement. That work helps advance and derisk the project. 

The key decision point for the company is expected in the first half of 2027. By then, B2Gold hopes to have the permit modifications in hand and the resettlement program advanced, allowing the company to decide what comes next for Gramalote. 

CMJ: With gold prices still strong, how are you balancing shareholder returns, balance-sheet strength, development spending, exploration and potential growth opportunities? 

Cinnamond: B2Gold has come through a long investment phase, particularly with the construction of Goose and the advancement of other development work. The company is now entering a free cash flow phase, supported by strong first-quarter free cash flow and stronger expected generation in the second half of 2026. 

Another important change is the end of deliveries into prepaid contracts at the end of June 2026. B2Gold had been delivering about 22,000 oz. per month into those contracts. At a gold price of about US$4,000 per oz., that represents almost US$90 million per month that will be added to free cash flow going forward. 

The company is also returning capital to shareholders. B2Gold has been buying back shares through its normal course issuer bid because management believes the shares are significantly undervalued. The program began at the end of last year and continues in 2026, with a positive response from investors. 

The dividend remains part of the capital-return strategy. The company still expects to continue with its annualized dividend of US$0.08 per share and would like to maintain it. 

On capital spending, B2Gold does not have major capital projects on the immediate horizon. The company must complete the remediation and fire damage repair work at the Goose project, which is not significant in the broader B2Gold context, as well as ongoing Phase 8 stripping activities at the Fekola Mine in line with Fekola’s mine plan. The company has good liquidity, good cash flow and the ability to return capital while considering future opportunities. 

Looking ahead, B2Gold will continue to maintain a healthy exploration program and evaluate strategic investments that give the company a foothold in countries where it sees attractive long-term exploration opportunities. 

CMJ: B2Gold moved up three spots in CMJ’s 2025 Top 40 ranking, rising to #10 from #13 in last year’s ranking. What do you think drove that success? 

Cinnamond: The move into the top 10 reflects several factors, including strong production performance at the Fekola, Masbate and Otjikoto Mines, and the continued derisking of operations as Goose advances toward steady-state production. Investors can see the company has moved through the heavy capital investment phase at Goose, with the remaining focus on remediating the crushing system and reaching nameplate capacity. 

Additionally, the end of the prepaid contracts will add immediately to monthly free cash flow. Progress on permitting, strong gold prices and the company’s internal brownfield opportunities have also helped investors see the upside potential inside the existing portfolio.