B2Gold received approvals for financing arrangements of up to $120 million, signed a commitment letter to enter into a Euro equivalent of $81 million term mining equipment facility and increased the size of the Otjikoto Equipment loan facility.

The company received approvals for prepaid sales financing arrangements of up to $120 million from members of its revolving credit facility bank syndicate, led by HSBC Bank. The prepaid sales, in the form of metal sales forward contracts, allow the company to deliver pre-determined volumes of gold on agreed future delivery dates in exchange for an upfront cash pre-payment.

The company also signed a commitment letter to enter into a Euro equivalent of $81 million term equipment facility with Caterpillar Financial SARL as mandated lead arranger, and Caterpillar Financial Services as original lender. The aggregate principal amount of the agreement is to be made available to the company’s majority-owned subsidiary to finance or refinance the mining fleet and other mining equipment at the company’s Fekola Project in Mali.

The facility, which has an interest rate of EURIBOR plus a margin of 3.85% on equipment loans advanced under the facility, may be drawn in installments of no less than €5 million ($5.55 million), and each such installment shall be treated as a separate equipment loan. Each equipment loan is repayable in 20 equal quarterly installments. The final repayment date shall be five years from the first disbursement under each equipment loan.

In addition, the previously announced Otjikoto equipment loan facility, entered into on December 4, 2013 between B2Gold Namibia Minerals, a subsidiary of B2Gold, and Caterpillar Financial SARL as mandated lead arranger and Caterpillar Financial Services as original lender, was increased by $4.5 million to $45.4 million.