Canada's B2Gold to spend $740 million on Gramalote mine after confirming viability

Canadian miner B2Gold BTO will spend $740 million to develop its Gramalote mine in central Colombia, the company said on Monday while announcing the results of the project's feasibility study.

The study confirms the technical, economic and environmental viability of the project located in the municipality of San Roque in Colombia's Antioquia department, B2Gold said in a statement.

The company said the project is expected to have a mine life of 11 years and a processing plant life of 13 years.

The study projects average annual gold production at 227,000 ounces during the first five years, and 177,000 ounces per year over the mine's total operating life, B2Gold said.

B2Gold currently operates four gold mines in Mali, the Philippines, Canada and Namibia. Additionally, the company is pursuing exploration and expansion projects in Colombia and Finland.