For a $100 million consideration, Calibre Mining Corp. will acquire the El Limon and La Libertad gold mines, the Pavon gold project and additional mineral concessions in Nicaragua from B2Gold Corp. Once the transaction is completed, B2Gold will own a 31% equity interest in Calibre.
The El Limon and La Libertad mines have produced in excess of 1.4 million ounces (oz) of gold since 2010. Their combined 2019 gold production is projected to be between 150,000 oz and 160,000 oz.
“We are delighted to be able to partner with B2Gold on the acquisition of the El Limon and La Libertad Mines and welcome B2Gold as a significant shareholder of Calibre,” said Calibre CEO Russell Ball. “We see continuing the ongoing commitment to the current management team and many long-term employees as fundamental to the future success of our company and are grateful to have B2Gold’s unwavering guidance and involvement in carrying out this responsibility.”
Calibre has been actively exploring in Nicaragua for the past 10 years and has enjoyed support from its employees, suppliers and the Nicaraguan government, the company said.
The La Libertad and El Limon mines provide more than 2,800 direct and contract jobs. Approximately 90% of B2Gold Nicaragua’s direct employees are from the local communities around La Libertad and El Limon mines and fewer than 1% of direct employees are expatriates.