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B2Gold hit a record quarterly revenue figure and is now debt free

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(Kitco News) - B2Gold reported some solid numbers as quarterly revenue hit a record of $487 million for Q3 2020, some $176 million more than for the third quarter last year. Gold production came in at 263,813 oz, this now means the company is on track to meet its guidance of 1,000,000 to 1,055,000 oz.

Another piece of big news is that the company is now debt-free (other than mining equipment loans and leases) after fully repaying the outstanding Revolving Credit Facility balance of $425 million during the third quarter of 2020 with the full amount of the $600 million RCF now undrawn and available. This will do much to restore confidence in investors. 

Adding to this, the Company announced a 100% increase of its quarterly dividend to $0.04 per share (or an expected $0.16 per share on an annual basis), which was reflected in the third quarter dividend payment. This is mainly due to the fact that the firm posted a quarterly consolidated gold revenue of $487 million, a significant increase of $176 million (57%) over the third quarter of 2019 (excluding discontinued operations).

The share price has been rising steadily recently but there is a resistance at the $10 per share market the bulls will have to overcome if the trend is to continue. $8 per share seems to be the major support on the downside as the price has had a few decent bounces off the zone but considering the share price was at $3 in March 2020 this has been some rise. 

 

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