VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/28/13 -- B2Gold Corp. (TSX: BTO)(OTCQX: BGLPF)(NAMIBIAN: B2G) ("B2Gold" or the "Company") reports its results from its operations for the fourth quarter and year ended December 31, 2012. All dollar figures are in United States dollars unless otherwise indicated. Highlights from the fourth quarter and year end include:
2012 Fourth Quarter Results
-- Adjusted net earnings(1) of $17.6 million ($0.05 per share)-- Cash flow from operations of $31.1 million ($0.08 per share)-- Record gold revenue of $70.8 million-- Record gold sales of 41,627 ounces-- Record gold production of 44,324 ounces-- Consolidated operating cash cost of $604 per ounce of gold-- Cash and cash equivalents to $67.9 million at year end-- Received mining permit for Otjikoto Project
2012 Twelve Month Results
-- Adjusted net earnings(1) of $79.6 million ($0.21 per share)-- Record cash flow from operations of $114.4 million ($0.30 per share)-- Record gold revenue of $259.1 million-- Record gold sales of 155,008 ounces-- Record gold production of 157,885 ounces-- Consolidated operating cash cost of $587 per ounce of gold-- Full year gold production and operating cash cost per ounce within guidance
B2Gold reported adjusted net earnings(1) for the quarter of $17.6 million ($0.05 per share) compared to $23.3 million ($0.07 per share) in the same period of 2011. Adjusted net income in the fourth quarter of 2012 was calculated by excluding non-cash share-based compensation expense of $2.9 million, the write-off of a mineral property option and exploration costs of $1.5 million, CGA Mining Limited ("CGA") acquisition costs of $1.1 million, non-cash deferred income tax expense of $0.6 million, and foreign exchange losses of $0.6 million. The decrease in adjusted net income was mainly the result of higher Nicaraguan income taxes payable as La Libertad open pit mine ("La Libertad Mine") is now fully taxable having used all of its previously available tax loss carry forwards.
(1) Adjusted earnings is a non GAAP measure and consists of net earnings, adjusted to exclude deferred income taxes, stock based compensation, write off of mineral property option and exploration costs, CGA acquisition costs and foreign exchange gain/losses.
Cash flow from operating activities for the fourth quarter of 2012 was $31.1 million ($0.08 per share), compared to $35.4 million ($0.10 per share) in the fourth quarter of 2011. Cash flow from operations in the quarter was the second highest in the Company's history (on an after tax basis), but was lower than in the fourth quarter of 2011, as a result of Nicaraguan income taxes payable. Current tax expense was $4.1 million higher in the fourth quarter of 2012, as the Company had used most of its non-capital loss carry forwards, relating to the Libertad Mine, in the fourth quarter of 2011 to significantly reduce its 2011 Nicaraguan taxable income.
With continued strong operating performance and strength in gold prices, the Company remained in a strong financial position with $67.9 million in cash as at December 31, 2012.