08/14/2014 07:05 EDT | Updated 10/14/2014 05:12 EDT

Vancouver's B2Gold reports Q2 net loss on increased gold production

VANCOUVER - B2Gold Corp. says it's expecting another solid year for gold production while reporting about a four per cent increase in its second quarter.

The Vancouver gold miner expects production in 2014 to be in the range of 395,000 to 420,000 ounces of gold with consolidated cash operating costs of $667 to $695 per ounce, similar to 2013 production.

For the second-quarter, consolidated gold production in the quarter was 85,704 ounces, up from 82,083 ounces year-over-year.

B2Gold reported a quarterly net loss of $11.5 million, or a loss of two cents per share, compared with net income of $33.1 million, or five cents per share, in the same quarter of 2013 which included a $44.5 million gain related to a royalty sale.

Excluding one-time items, adjusted net income was $2.1 million, or no earnings per share, compared with $7.8 million, or one cent per share, in the same period of 2013.

Gold revenue for the quarter was at $120.3 million on sales of 93,330 ounces at an average realized price of $1,289 per ounce. That compares with $122.6 million on sales of 86,239 ounces at an average realized price of $1,422 per ounce in the second quarter of 2013.

In the quarter, B2Gold announced it would buy Australia's Papillon Resources in an all-stock deal worth about US$570 million. Papillon is an emerging gold developer in West Africa.

B2Gold Corp. (TSX:BTO) has three operating mines, two in Nicaragua and one in the Philippines, and a portfolio of development and exploration assets in Nicaragua, Colombia, Namibia and Uruguay.

Note to readers: This is a corrected story. A previous version moved Aug. 14 gave an incorrect description of Papillon.