Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Several Canadian-listed gold producers released second-quarter results after market close on Wednesday in what can perhaps best be described as a mixed bag.
Vancouver-based major B2Gold (TSX, NYSE: BTO) posted a better overall cost profile than expected for the three months to June.
Total gold production of 223,623 oz. gold, (including 14,765 oz. of attributable production from its 15.2% holding in Calibre Mining Corp.) came in slightly above guidance by 1%.
The company has maintained its annual production and cost guidance intact. However, the cost guidance for the second half has increased modestly to offset first-half costs coming in lower than guidance.
B2Gold reported headline earnings per share of 4¢; however, this includes $6 million in non-cash foreign exchange losses and higher-than-expected tax expenses. The quarter’s earnings before interest, taxes depreciation and amortization of $187 million was in line with consensus estimates of $189 million.
