B2Gold Corp T.BTO

Scotia Capital Maintains $2.25 Target - Sector Outperform

[echo2]

• .  lower gold sold (127.5 koz vs. 133.7 koz est).

  During the quarter, higher-than-expected production at Masbate (+11% vs. est) offset lower than expected production at Limon (-30% vs. est), although on a full-year basis 2015 production of 493 koz (incl. 18.8 koz of pre-comm prod'n) was in line with our estimate but fell short of earlier guidance (500-540 koz

• .  Au).
  2016E guidance was provided with production of 510-550 koz Au expected at cash

  costs of $560-595/oz (AISC: $895-925/oz). By comparison, we now model 2016E

• .  production of 530 koz Au with cash costs of $586/oz.

  2016E consolidated capex budget was also provided, which includes $136.6M in

  sustaining capex and non-sustaining capex plus $233M in development capex for

• .  Fekola.

  B2Gold plans to release Q4/15 financial results pre-market on March 16 with a

• .  conf. call on March 17 at 1:00pm EST, dial-in 416-340-8527.

  After including minor estimate revisions, our NAVPS declines to C$1.62 (vs. $1.67 old). SO rating and C$2.25 price target maintained. At spot gold prices, BTO shares are trading at 0.77x P/NAV vs. peers at 1.0x.

  Ovais Habib (Scotia Capital Inc. - Canada)

  [e-mail] / [phone]

B2Gold reported Q4/15 production of 131.5 koz Au, in line with our estimate of

131.2 koz. Revenue of $139M was below our estimate of $147.9M largely due to 

(My apologies for the distorted post, but Stockhouse, as you know, has terrible input and server capacity problems making many posts and access to proper posting frequently unreliable and nearly impossible. WKH)