I'd like to welcome everyone to the B2Gold Q4 and full year conference call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question and answer session. To ask a question during the session, you will need to press star one one on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, press star one one again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker, Mr. Clive Johnson, President, CEO, and Director. You may begin your conference, sir.
Thanks, Sherry. Welcome, everyone. As the operator said, we're here to discuss the year-end financial results for 2022. We had a very good year again and achieved our production and consolidated cost guidance, ended in a very strong financial position for the year. We also declared another dividend of $0.04 a share for Q3 quarter. I'm gonna pass it over to Mike Cinnamond now, our CFO, who's gonna walk you through the highlights of the financial results. I think our news release is quite extensive in other disclosure material. Mike will hit the highlights, and then we can answer your questions.
You know, we've done a lot of marketing in the last couple of weeks since the announcement of the Sabina deal, and we can answer or update you a little bit on that and answer some questions after we finish discussing the financial results. With that, over to you, Mike.
Thanks, Clive. I'll start with the quarter and then comment a little bit on the full year results. For the quarter, I think the story for Q4 is that our operations came through and delivered on the sort of forecast that we were gonna have a big Q4. I think if you may recall, by the end of Q3, we were close to budget, but there were some delays in production at both Fekola because of water in the pit that was dewatered and then resolved at the start of the Q4, and then some delays in Otjikoto just with accessing the Wolfshag underground. That led to a big forecast Q4 to catch up on some of the high grade that we weren't able to mine in Q3 as originally scheduled.
Good news is we delivered on it. In terms of results, that delivered gold revenues for $592 million. That was based on the sale of 339,000 oz. It's a bit higher than we budgeted to sell, and that's really a function of how high the production was. If you look at production for the Q, from our three operating mines, 353,000 oz. 35,000 oz higher than budget, and it's a quarterly record for our operations. If you include our share of Calibre results, we had 368,000 oz, which is almost 40,000 oz higher than budget. The leader in that outperformance was Fekola. 244,000 oz in the quarter, 37,000 oz higher than budget.
Quarterly record, like I said, it came mainly from processing that higher grade material out of phase VI at the Fekola pit that some of which we couldn't process in Q3. Fekola basically continued to outperform all around. The processing facilities are still putting more material through than, I guess, the nameplate. The mill feed grade was higher, positive on all aspects of Fekola production. Masbate was 45,900 oz. It's pretty much right on budget. There were slightly lower gold recoveries during the quarter due to the nature of the higher ratio of sulfide and transitional ore versus budget, that was offset by higher than expected feed grade, came in right on budget.
Otjikoto, 60,000 oz, a little below budget. That's really just a function of the timing to get into the Wolfshag underground. We got into the Wolfshag underground, started producing ore there and gold there, a little later in Q4. That's running well now, but we were slightly under budget in Q. How does that factor into the operating results? Well, for the consolidated cash costs from all operations, including our share of Calibre, $468 per oz. Very close to budget overall. Fekola was pretty much in line with budget. It had slightly higher costs, but also record production. It came in on budget. Masbate was a bit higher. Masbate cash cost for the Q were $872 versus a budget of $752. That's all.
Production was online, so it's really just a factor of inflation-driven higher costs, almost exclusively, but mainly driven by fuel costs, which were higher from Masbate in the period. In Otjikoto was $465 an oz, which is 46 below budget. That's really just a function of the timing of getting into the underground. There were lower underground mining costs 'cause we were a little later getting into that than originally forecast. Put that all together, we pretty much came in in line with budget for the Q on the cash costs side. On the all-in sustaining costs side, the total all-in sustaining costs per ounce, including our share of Calibre, $892 an ounce. That's about $130 an ounce higher than budget.
That's a function of broadly in line cash costs, as I described, but impacted by higher royalties due to higher gold price. Also, the main factor influence in it was the catch-up of budgeted sustaining CapEx. As we reported to the end of Q3, some of the CapEx that was originally scheduled for earlier in the year was forecast to be caught up in Q4, and overall, we did catch up in the Q. That's why for the quarter, we got higher than budgeted all-in sustaining costs. When you put everything together on the cost side. Well, firstly on the production side, just to comment, including our share of Calibre, we came in at 1,028,000 oz, slightly above the upper half of, o r above the midpoint of our guidance range, consolidated of 990,000-1,050,000 oz.
Good news, right in the range or in the upper half of it. Individually, Fekola came in 599,000 oz. Couldn't quite get it to that 600,000 oz. We'll have to talk to Bill about that later. That was right at the top end of its annual guidance range of 570,000-600,000 oz. Masbate came in 213,000 oz, slightly below their revised guidance range. We had 215,000-225,000 oz. Remember, it was at the upper end of our original guidance range of 205,000-215,000 oz.
In Otjikoto, 162,000 oz, slightly below our revised guidance range of 165-175 oz. That, again, was just a function of the timing of getting into the Wolfshag underground material and the wrap-up of operations there. Overall, very pleased that we came in above the midpoint of our guidance range for the year. On the cash costs, all-in sustaining costs side, as guided, I think we came in for the cash costs consolidated from all ops, including Calibre, at $660 per oz. Right at the top end of our original guidance range of $620-$660. I'd stress that that was the original guidance range. We didn't re-guide on the cash costs overall consolidated basis.
We're pleased that even in a period of higher inflation, higher costs, and definitely higher fuel costs as all mining companies have seen, we still managed to come in at the upper end of our original range. Similar story for the all-in sustaining costs side. There we came in, consolidate all operations, including Calibre, $1,033 an oz, so pretty much within a range of $1,010-$1,050 per oz. What we saw there was cash costs at the higher end of the range, good solid production, and then the benefit of some offsets, some fuel derivatives that allowed us to come in overall within the all-in sustaining costs range.
With the operating results, we're pleased to be able to report that we hit our guidance basically on all measures, that was good. A few comments on the operations overall. First of all, I'd like to just throw out there how we're gonna be describing and reporting the results from our Malian operations. There'll be the Fekola Mine, we'll report that separately. That'll be Fekola Mine, which is everything from the Medinandi Permit, which includes Fekola Pit right now and Cardinal. Then we're gonna separately, Fekola Regional. That Fekola Regional will be the production from all other licenses, so Bantako, Menankoto, Bakolobi, and Dandoko. Collectively, we're calling the Fekola Mine and Fekola Regional, the Fekola Complex. If you get confused about the different pieces, that's the way it's gonna go.
I just wanted to throw that out there for you. At Fekola, you've seen our budget. We put our budget out earlier in January. You can see that we're already in Phase one of Fekola Regional development, which is developing the infrastructure and the roads and some of the facilities so that we can start trucking material from the first of those Fekola Regional licenses, in this case, Bantako, later in 2023. That's ongoing. You'll have seen our recently announced Sabina acquisition. What we're gonna do is In addition to Fekola Regional Phase one, there will be Fekola Regional Phase II.
Fekola Regional phase II will be a report that we think will be out by mid-year, where we're doing a study to see if it makes sense, which we think it does, to build a second mill somewhere in those other licenses, probably in the Menankoto license. That mill would process satellite oxide material, which we have in abundance in those other licenses. Our goal with Fekola phase one, to continue as we have now in the budget, then to be able to absorb the continued construction of the Goose project with the Sabina acquisition, with a goal of bringing that online by the Q1 of 2025.
Once we have this Fekola phase II study, the regional study for that second mill, and if we decide it's a go decision, to schedule that around making sure that we get the Goose project completed and up and running by the Q1 of 2025. You'll see us move into that second phase II Fekola construction a bit later in the process. Bill, I think, can talk a bit more about the overall scheduling and timing. A couple other comments. Gramalote. Gramalote project, as we announced before, we decided jointly with our partners, AGA, to begin a sales process on Gramalote. That process has been started, so it's underway. We'll provide updates on that in due course.
Really just comment on a couple other things in the results. Net income for the period attributable to shareholders of the company, $157 million or $0.15 per share EPS. Adjusted EPS was $0.11 a share based on adjusted net income of $121 million. For the full year, earnings attributable to shareholders of company, $253 million or $0.24 per share EPS. Adjusted EPS of $0.25 per share based on adjusted net income of $264 million. Just comment on the cash flows. For the three months, it was a big cash flow generator for us because of the weighting of that higher grade in the production that we had.
Cash flow from operations, $270 million for the Q, was $0.25 per share. For the year, cash flow from operations, just under $600 million, $596 million or $0.56 per share. We're pleased with that result. On the cap or on the financing side, if you look for the year, $170 million outflow for dividends. Maintaining that dividend of $0.04 per share US per quarter or $0.16 per share annualized.
What I would comment on at this point on the dividend is it's our intention, even as we absorb the CapEx requirements for Fekola Regional phase I, completing Goose with the Sabina acquisition, the construction there, and then Fekola phase II, it's our intent to keep paying dividend at the current rate if gold prices stay where we are, to keep maintaining our current dividend rate and work our way around those CapEx needs. Looking at investing activities for the year, $389 million, pretty close to budget overall. On the operating sustaining side, we found that although there was a big catch up of sustaining CapEx in Q4 overall for the year, we came pretty close to budget. We finished the year $651 million in the bank.
We're pretty much debt-free. We have some outstanding project equipment loans and leases and some office leases, but we're pretty much debt-free overall. We've got $600 million undrawn on our line of credit. We've got another $200 million available in the accordion feature. That's $800 million available in that line. If you combine that with the $651 million cash we finished the year with, we've got total liquidity at the balance sheet date of somewhere between $1.4 billion and $1.5 billion. With that kind of liquidity, we've got great syndicated banks that we deal with.
We've got great partner with Caterpillar and who's been involved in all of our projects in the last few years, and lots of tools in our toolbox to be able to see our way through funding those major CapEx items that I mentioned. Fekola Regional Phase I, Sabina acquisition, getting that completed and getting the Goose project built on time as scheduled by the Q1 of 2025 and then moving also funding Fekola Regional phase II. I think we're in great shape overall, cash flow wise and like I said, to also maintain that dividend at the current rates. I think those were the main items I was gonna focus on or comment on as part of the overall results. With that, I'll hand it back to Clive.
Great. Thanks, Mike. Obviously, we're very pleased with those results. I'm gonna talk a little bit about the Sabina acquisition. I think everyone's aware that now this was a friendly all-share offer to Sabina, which represented at the time of signing the deal, was a 45% premium to the Sabina share price at the time. We're very pleased with the market response, I would say so far. Both sets of shareholders, the B2Gold and also the Sabina shareholders responded very well to this deal. We do think it's a win-win deal, which is what we've done and accomplished in many of our transactions in the past, where we can bring our strength to bear to an excellent project.
What Sabina represents, with Goose, a very high grade, fully permitted, project with very attractive economics, very attractive exploration upside, also ready to go with an excellent team. I think that we continue to be very impressed with the work that was done by Sabina. Their close relationship and the work they've been doing with our Inuit partner and the land owner in the Back River region. We look forward very much to working with both Sabina and our Inuit partners in terms of what they've already built on, which is a great platform to launch this project. It's under construction already.
We've talked about that a lot on our conference calls before, and some of the research has picked up on that, but we're comfortable with the schedule. We're comfortable with the projected capital cost, and this is gonna be a team effort working to work with our well-regarded, very successful construction exploration development production teams, working with this very strong team at Sabina that Bruce has done a very good job of getting the project to in construction at this point. The deal itself to us was a very accretive deal, and we had the opportunity and we were trading at 1.0x NAV, and they were trading at 0.4x net asset value. We were able to pay a significant premium, yet stay within our parameters of an accretive deal.
I wanna just talk a little bit about that because I think that there's been a lot of criticism for what are considered to be large premiums in the deals such as this. At the end of the day, we don't get too perturbed or obsessed with premiums. We're about value. This project, we assessed the value that we were prepared to offer to the Sabina shareholders of CAD 1.1 billion of our shares. As I said, that represented a significant premium to the deal. The fact of the matter is the premium was significant because of the fact of where there's market to trading and obviously very difficult of gold market generally for equity. It's isn't great right now, but it's also particularly difficult for single asset development companies or exploration companies.
We were able to offer what we think was a fair value, a good deal for the shareholders of Sabina and also stay within our parameters and what is an accretive deal to us. The market response so far suggests that the market seems to understand that. As I said, there's good, there's some good widespread approval for the deal. I'm gonna pass it over to Randall Chatwin right now just to talk a little bit about the timing of the deal from that perspective.
Yeah. Thanks, Clive. As you know, we signed the deal last week. The parties are working hard towards a schedule, and it currently looks like we will be going to the Sabina shareholder meeting middle of April. The interim court hearing would be just prior to that time. Working backwards from there, that would be the circular going out probably around the middle of March. That would get us to a completion date about the third week of April. I expect, you know, in the ordinary course of a BC plan of arrangement, we would be done by the end of April for sure.
In the meantime, we've had lots of conversation with Bruce, and that we're very much on the same page, B2Gold and Sabina, which is to maintain the schedule that drawn out. A lot of important things are coming up now with the winter road and all those initiatives. The idea from both sides is to maintain the schedule and do the work required as we move to close this deal to make sure that Bruce and his team are continuing on with the development they've been doing and wherever we can do to support and help.
This is also a great exploration opportunity, as we would say as well, as this project has a tremendous potential in the Black River district, very large property and some excellent geology and excellent drill results suggesting that not only is Goose open down-plunge, but there's another nearby zone called George, which is a similarly good resource so far. I think about 700,000 oz and very much open. Also our geologist's eyes really light up, as I know Bruce's team feels the same way when you think about the potential of this whole district. There's been some Vega drill intercepts, quite a long distance away from Goose and various sites that have not had extensive drilling. One of the things that we do bring to the party is the our approach to exploration and our ability to fund exploration.
As part of our plan here, we would be able to crank up exploration as soon as we can to test not only the down-plunge potential of Goose and George, hopefully the second, but also all these other targets. Understandably, when I've been or we've been where Bruce has been before in our careers, you're trying to get a mine financed and built under difficult circumstances, so your focus is obvious on everything you can do to continue to advance the project. They've done a great job of that. Exploration just on a high priority list to spend at that stage. I think that's a real advantage.
Of course, the Sabina shareholders, as the deal closes, getting our shares, we'll see the benefits from each of those shares of this project as we work together to make it a great mine. The exploration upside also, of course, this industry leading dividend that we're paying will also be the speed of shareholders as they become B2Gold shareholders. Strategically, this is a very good fit, we believe, a very good fit for B2Gold going forward. You know, you heard Mike talk about our plans to expand Fekola, the potential there is in two stages, one that's underway. We're currently separately going down the Fekola mill. The next stage that we just reported in June is positive, which we expect it will be good.
The second mill to the north, that could be somewhere in $250 million-$300 million of capital investment for that. The potential there between those two phases would be to add 200,000 oz of gold production to Fekola, which would take us 800,000 oz a year level at what we consider continued is to expect to be low cost production. That's a great asset, and it's far from over in terms of the amount of exploration we're continuing to do now, not only subsurface, but as we've had spectacular recent results deeper in the sulfide, particularly in the Mamba zone to the north. That fits in very well strategically.
The Goose Lake mine rather is the potential, as we've seen in disclosure, to produce 300,000 oz of gold a year, starting in currently scheduled for the Q1 of 2025. If you put those two together, there's half a million ounces of production, annual production growth in the not too distant future here with the current existing assets as the deal closes for B2Gold. That's a great growth profile, plus all the exploration and other things that we're doing. We're very focused on that, as we've always been when we acquire a project. In this case, you won't see us doing any significant mergers and acquisitions for the foreseeable future. We really like the growth profile.
Obviously, this is some geographical diversification for us as well, which we were keen on, and I know our shareholders were as well. This is part of the strategy that's been going on for 12, 13 years now. Acquiring acquisitions with good exploration upside, building the mines, very good construction work to be done, in this case, in conjunction with the Sabina team. It fits right in our wheelhouse with our northern experience as well, of course, with two projects from the Bema days in the north of Russia. A lot of the construction team, some of the key members there are available to assist going forward. Strategically, it's a very good fit.
Our strategy going forward will be to maintain our extraordinary financial strength, which allows us to do this deal, frankly, and continue to grow the company. Be very focused on the assets we have in-house. As I said, the growth profile to us looks very exciting. We're very pleased with this new opportunity. With that, I think, we'll open it up to questions.
Thank you. As a reminder to ask a question, please press star one one on your telephone and wait for your name to be announced. To withdraw your question, please press star one one again. One moment while we compile the Q&A roster. Today's first question will come from the line of Ovais Habib with Scotiabank. Your line is open.
Thanks, operator. Congrats, Clive and B2 team on ending 2022 on a strong note. Clive, just a couple of questions from me. Starting off with the Fekola Complex. In the press release, and I think Mike Cinnamond has also, you know, talked about the company is expecting the construction timeline for Fekola regional standalone oxide mill will be scheduled to allow for completion of the Goose project in, I guess, Q1 of 2025. Am I thinking of this correctly, that Anaconda standalone mill construction then would commence in early 2025? Does Fekola Complex production still achieve 800,000 oz in 2026?
I think I'll pass it over to Bill to respond to that. Before I do, that was in my notes, I missed one of the things I wanted to re-emphasize because I think it's been. Some people have missed it. We're not gonna try and build two significant mills at the same time. We never have in our history. We're not gonna start now. That's part of the focus that we talked about. The way the schedule looks now, and Bill can respond, the whole idea is to schedule this in so we can do both, and we can be very focused on both phases of expansion of Fekola. In between those phases, the construction at.
Thanks, Bud. Ovais, I think it's important really to understand where we're at in the permitting schedule for all this stuff. If you think about the Anaconda phase I, that's been permitted, that's in construction. We see that coming online really in Q3 of this year. Let's assume that that one happens. As we just took the executive out there, and everyone was quite impressed with where we're at. That one's done. We think that one's a given. Now you've got the Back River project, which is fully permitted. All of their equipment is coming to site. Basically, a lot of the foundational work, the groundwork has already been done.
When the ice road opens up here, they'll start dragging material down the road, and they're gonna start doing rebar, concrete work, all the stuff, try and get the mill weathered in this year. That basically they're quite a bit ahead of where Anaconda's at. You can imagine a scenario where we stand up the mills or stand up the buildings with all the concrete and rebar and steel. That's what happens in 2023. In 2024, they'll be installing the mills and everything into the buildings for Q1 2025 commissioning. You can imagine at the phase II Anaconda stuff, what we're proposing is there will be a study completed at the end of Q2, which is on schedule.
That will allow us really to kind of sequence what happens after in 2024. You can see that the rebar people, the concrete people, they're going to be available in 2024. I don't say that we're going to move away from it and that it won't happen in 2026. You could see a path where those guys could get into the Anaconda regional mill in 2024 and 2025, a two-year build, and hit the schedule right at 2026. You'd see 2023, phase one coming on. 2025 Q1, Back River coming on. 2026, sometime between 2026 and 2027, still yet to be defined because the study's not out yet. The phase II Anaconda mill coming on. That's how we see it.
Got it, Bill. Thanks for that clarification. Just on my second question, just relates to that Fekola complex study that you just talked about, that's expected in Q2. Will the study specifically look at the standalone mill at Anaconda only, or this includes Fekola underground as well, and then kind of general optimization of the Fekola complex?
Right. We were just talking about it this morning. The Anaconda, the phase II study really looks at the Anaconda mill as part of the overall complex. It does include the underground stuff for sure, because that's within the Fekola complex. We are looking at additional sources of saprolite, right? Do you bring in Dandoko? What happens with Bakolobi? All that stuff we're starting to figure out where it all goes. It really is a regional look. Of course, there is the zero alternative where you wouldn't do it. We don't see that as real, that is part of the study.
Got it. Thanks. Thanks for that, Bill. Just my last question, just switching gears to Masbate. Masbate is expected to produce about 180,000 oz this year. Bill, how should we be looking at Masbate kind of near and long term? Should we be expecting, you know, production to remain at current levels over the next three to five years? Maybe if you can just give us a little bit color on the exploration opportunity there, kind of to improve, increase the current mine life.
I'll do the first part, and then I guess, Vic, you probably do the second part. What we did is we took a look at really the capital cost of replacing the fleet, and that's how we went from that. We had kind of a real short high output mine life. Instead, we went, as you just said, this three to five years at kind of that 175, 185. That's what we're gonna see for sure. We've kinda normalized it by bringing back or reducing some of the capital costs for the fleet, which brought it down from 200,000 oz, but of course extended that period. Then you see, I think it's six or seven years on the low-grade stockpile after that, kind of in the 100,000 oz. As far as what we see as far as exploration, Vic, I don't know.
Yeah. Ovais, the bulk of the exploration drilling at Masbate is essentially beneath the existing pits. It's an island, and the regional potential around Masbate itself, it's not that we don't have any targets, but they're not as prolific as we have, say, at Fekola or Back River. It's a fairly advanced mine site. What we are doing in the Philippines is this year we have setting up a 100% owned Philippine exploration entity. We're looking at other opportunities within the Philippines, leveraging off our position, and our presence in the country. That's something that is seeing a lot more attention in the Philippines.
We've seen a really positive response. We were making progress before with the previous government and showing them that gold mining or open-pit mining could be responsible, done responsibly in the Philippines with our success and some others. That's gotten even more positive with the recent elections, with a government that is very much keen on foreign investment and very, very keen on more investment in mining exploration, mining development. We're very pleased with that and have been encouraged by the government to do, look at more development and exploration opportunities, going forward. We're better to build another gold mine than in a country that you've already have one in. That's a new focus for us.
This is partly a reflection of the opportunities in the Philippines that we see with an extremely mineralized set of islands and islands, not all minerals, I suppose, but also backed by a government that's really encouraging successful foreign investors like ours to increase our investment, which we're open to literally starting that through exploration.
Perfect. That's for me. That's it for me, guys, thanks for taking my questions.
Thanks, Ovais.
Thank you. One moment for our next question. That will come from the line of Carey MacRury with Canaccord Genuity. Your line is open.
Hi. Good morning, guys. Just a couple of follow-ups on Anaconda. Can you just remind me what's required from a permitting standpoint for the Anaconda phase II and sort of what timeline is around that?
Yeah. I'll certainly answer it from the operational side. I don't know if you wanna talk about it from the financial stability side, but so o n the permitting side, we're currently working through a feasibility document, which will be submitted, that's what is coming out at the end of Q2. Based on that, of course, and the ESIA, we assume that we'll get a construction permit. I just wanna reiterate the desire of the government to make this project go. We were just down there, where we met with the Minister of Mines, and that was really one of the first questions out of his mouth was: How quickly can you guys put this into operation? We will support it and go as fast as the law allows.
We don't see any issues with getting the permit for that. Certainly the government is interested in us doing this as quickly as possible.
Yeah. On the, I guess on the various agreement sites, each of the licenses, we've got four other licenses there. Each of them needs to have the mining license granted, and then we put in place the mining convention and the shareholders agreement with the state. Same as we did for Fekola. We're working on that right now, the first one being Bantako, so that we can bring some of that Bantako material into the plan this year. I think we'll use that as a template. They're all gonna be under the 2019 mining code, we believe. Once we get Bantako, then we kinda have the template for the others.
The one thing that's different for these licenses than when we did Fekola, we're also gonna have tolling agreements 'cause we're gonna have potentially five licenses and up to two mills to process the material from those licenses. We'll have to have a little bit of interaction between the licenses as well. Same as usual, under the 2019 code, we'll get a mining convention that'll stabilize the taxes, the tax regime and the overall operating regime that those will be built and operated under. You know, it's business as usual. We learned a lot from doing it for Fekola, so I think we'll find it a quicker process this time around.
At Fekola, the government owns 20%. I think at Anaconda they own 10% currently with the option for 10%. Are those discussions going to happen as well this year as part of this feasibility.
It.
Process?
Yeah. They'll happen. In conjunction with the feasibility, the mining code lays out that each party will have evaluation done, and then they'll negotiate what they think an evaluation they can agree between themselves is, which is exactly what we did for Fekola. The state, we expect the state will take the second 10% as before. We think it'll be 20%. All licenses will end up being 80/20, Fekola and the others. That's what we expect to see. That happens as each feasibility is filed and the valuations agreed.
Okay, great. Maybe just one more on Sabina. I know this is probably a moving target, but, like, can you talk about how much Sabina has funded of the CapEx to date and sort of high level, you know, what sort of CapEx numbers should we be thinking about for B2 at Sabina for the rest of this year?
I can't say how much they funded. I, you know, we haven't seen their latest numbers. Remember, right now, the road's opening up, so that number is changing on almost a daily basis. What I will tell you is that when we did the due diligence and we looked at this thing, We looked at what they were doing, and we looked at the potential to move the underground forward, which they obviously had looked at as well. I think they had six point Canadian in their study. We think the number is CAD 800, is what we threw in ours. We think the number is somewhere between CAD 750 and CAD 850, but we, in our study, we put CAD 800.
Yeah. There's a lot of updates that they'll come out with in terms of updating from that original feasibility study number. A lot of, some types of work in that. That goes back to the feasibility study, don't forget, that initial capital estimate. We've done a lot of work on due diligence. We're working with them to come up with a number that we both feel comfortable with.
Yeah.
Peter. Peter Montano here. Of that $800, roughly 35% has been spent. It's our estimate as of the end of the year, and then 65% funded and committed. You know, that's kind of where we sit, based on what we've seen from Sabina so far.
There's the advancing the underground. There's about $65 million of that is in the $800 estimate that was not in the $640 estimate. That's the amount.
That's right. The difference there, it's not just inflation, there's also, you know, some optimizations and improvements that, you know, including the $65 million in front of that money.
All right, great. Thanks, guys.
Thank you. As a reminder, if you have a question, please press star one one. One moment for our next question. That will come from the line of Harmen Puri with Bank of America. Your line is open.
Hi, good morning. Thank you for taking my question. Some of my questions have actually already been asked and answered, but maybe just one final one from me. On Gramalote, can you provide us with some sense for how advanced the sales process is right now or any sort of color you can provide on maybe the interest you're seeing?
Well, I think just a high-level summary, we've appointed an advisor, we're about to commence the actual phase I of the process. We're just prepping everything, that's where we're at. It's hard to say for sure, we expect it'll be somewhere within a six-month timeline, I think, for a process to be actioned and completed, hopefully. There's nothing in our current.
Okay, fair enough.
There's nothing in our current forecast.
Yep.
Or cash forecast Q4 that includes sale of Gramalote. There's nothing in there for that at this point.
That's correct.
Right. Just on your stake in Calibre, do you still view that as something, you know, maybe non-core and something that can also be divested over the next year or two?
Yeah, we have no plans for that. We think they're doing a good job, and that's been a good transaction for all included, for our employees, as they moved from B2Gold to Calibre. That's been a success, and they've kept up a lot of the environmental and social programs and things that we've done. We're happy shareholders there, we have no reason or need to sell that block. Since you brought that up, let's talk a little bit about our other projects. People have wondered with the Sabina deal, with Fekola growth, are we considering selling other assets? The answer is no. We just got back from a great Africa tour. We had a great trip to Fekola.
Had good meetings in Mali, went on down to Namibia. Similarly, had a great tour of the mine and have good couple of meetings. We're very happy with those jurisdictions. We just mentioned the Philippines. We're very happy with what we're doing in the Philippines. Expect on all jurisdictions we're committed, of course, to potential significant further investment in Mali with the second mill and ongoing exploration work. We're not interested. We'd really like to fit in the upval, the existing mines, the potential to expand Fekola, of course, with the successful closing of Sabina deal, we laid that out. We're not looking to sell additional assets. Gramalote, unfortunately, we tried hard.
Unfortunately, we weren't able to upgrade it financially to be at a point of an investment opportunity. For us, it fit with us. Now it's four million oz in a good part of Colombia to be in, and that's okay with a permit, et cetera. We're confident that someone is gonna take that on and that we will have some returns to our shareholders from it.
Perfect. Thank you for that color. That's very helpful, and that's it for me.
Thank you. Speakers, I'm showing no further questions in the queue at this time. I would now like to turn the call back over to Mr. Clive Johnson for any closing remarks.
Thanks, operator. I guess in summary, in closing, very pleased with the year-end results. It was a real tribute once again, I think, to our teams. You know, coming off of the Africa tour recently here and being in the Philippines not that long ago, it really struck me just how extraordinarily talented our group of people are, the 5,000 employees that we have at B2Gold. We're very proud of our ESG track record. It's great information on our website and our responsible mining report about our commitment to that. I think that's well-known and established. We sit at a great position in the company today. We're very strong in operations, extremely strong in health and safety, core elements of our business.
Low-cost producer, debt-free, now has the opportunity for dramatic growth over the next two to four years. We like where we sit and are looking forward to rolling up our sleeves and working with Bruce's team at Sabina on what is a great project. We're proud to be able to announce that deal and looking forward to closing it. I think that's all we have for now. Thank you. We'll be updating you shortly, and I'm sure we'll talk to some of the people on the line at the BMO conference next week. Thank you for your time.
Thank you all for participating. This concludes today's program. You may now disconnect.