B2Gold expects the acquisition to increase its reserves by 66% to 9Moz. Credit: Chris Wiedenhoff from Pixabay.

Canadian mining company B2Gold has agreed to acquire all of the issued and outstanding shares of Sabina Gold & Silver in a deal worth C$1.1bn ($823.66m).

This purchase is expected to help B2Gold diversify its assets with access to the Back River gold district in Nunavut, Canada.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

The Back River Gold District comprises five mineral claims blocks along an 80km belt.

Sabina’s fully permitted Goose gold project is the most advanced project in the area.

According to a feasibility study, the project is expected to produce an annual average of 223,000oz of gold. It is expected to have a mine life of 15 years.

As per the agreed terms, B2Gold will issue 0.3867 of a common share for each Sabina common share held, at C$1.87 per Sabina Share on a fully diluted basis.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The consideration marks a 45% premium to the 20-day volume weighted average prices of B2Gold and Sabina each, as of 10 February 2023, on the TSX.

Upon completion of the deal, existing B2Gold shareholders and former Sabina shareholders will respectively own 83% and 17% of the outstanding shares in B2Gold.

B2Gold president and CEO Clive Johnson said: “The acquisition of Sabina represents an exciting opportunity to develop the significant gold resource endowment at the Back River gold district into a large, long-life mining complex.

“The Back River gold district has multiple high-potential mineralised zones, which remain open, and we are confident that the district has strong untapped upside with numerous avenues for resource growth.”

B2Gold expects the acquisition to increase its reserves by 66% to nine million ounces (Moz) and its measured and indicated resources by 52% to 18.5Moz.

The company currently operates mines in Mali, Namibia and The Philippines.