Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
I think EDV is a big opportunity now
-could start paying dividend, 6-10% yield possible
-buyout possible at over 4$ a share, thats still veery cheap
edv should be trading over 3$ easy
i think this will get huge once over 1B MC, then the whales come in.
so once over 2.5$, it will be mindblowing.
EDVMF's MACD is currently indicating a weak bullish signal.
Endeavour Mining Corporation ("Endeavour") (TSX:EDV) (ASX:EVR) (OTCQX:EDVMF) today announces drill results from the ongoing near-mine exploration program on its Agbaou gold deposit in Côte d'Ivoire. Exploration success is indicating further upside beyond the current mineral resources and reserves. Agbaou mine construction remains on track to begin production in Q1 2014.
Project Construction
Endeavour recently announced receipt of the official decree from the government of Côte d'Ivoire granting its Ivorian subsidiary the Mining Permit for its 85%-owned Agbaou Gold Project. There are no other permits required for construction and production at the Agbaou Gold Project. Long-lead items for Agbaou construction such as mills, transformers and electrical lines have already been ordered. More recently, ground clearing and crop compensation have begun in preparation for commencement of earthworks expected later this month.
Exploration Results
Exploration drilling has focused on delineating the targets identified during condemnation drilling and on extensions to the principal mineralized zones in the Main and South pit areas (News Releases dated August 3, 2011 and September 12, 2011). The intercepts are shallow; all assays are at depths of less than 100m with a majority of the intersections at depths of less than 60m.
Highlights of the exploration drilling program at Agbaou include (Table 1);
P2 AGBRC1095 with 7m @ 5.0g/t including 1m @ 28.0g/t gold
AGBRC1142 with 10m @ 2.4g/t including 2m @ 6.1g/t gold
P4 AGBRC1168 with 9m @ 4.2g/t including 4m @ 8.4g/t gold
AGBRC1186 with 3m @ 7.5g/t
AGBRC1187 with 4m @ 6.1g/t, including 2m @ 9.7g/t, and 8m @ 2.6
g/t gold
P6 AGBRC1160 with 15m @ 5.6g/t including 6m @ 8.2g/t gold
MPN AGBRC1237 with 4m @ 13.4g/t including 2m @ 24.7g/t gold
AGBRC1238 with 7m @ 4.0g/t including 2m @ 12.5g/t gold
In order to access Figure 1: (Plan Map of the Agbaou Exploration Target Areas) click on the following URL: http://files.newswire.ca/910/Figure_1_Sept_6.pdf
Gérard De Hert, VP Exploration, stated:
"We are pleased with the ongoing success of this drilling program, which is aimed at increasing the mine life at Agbaou prior to commencing production in early 2014. The results on the P2 and P9* targets support the interpretation of southern extensions from the mineralization in the Main and South pits while drilling around the West Pit and on the P5 and P6 targets has supported the extension of that deposit to the southwest and northeast. We are also testing the down dip potential below the current pit limits in several areas using core drilling."
*P9 results were reported in June 11, 2012 news release, including 6m of 2.02 g/t gold.
Resource Estimate
An updated resource estimation will be completed once the assays from the recent core drilling are available. Agbaou currently has a Measured and Indicated resource of 1.157 million ounces gold comprised of 6.262 million tonnes at 2.2 g/t (438,200 ounces gold) Measured and 8.708 million tonnes at 2.6 g/t (718,500 ounces gold) Indicated (at a 0.5 gram per tonne ("g/t") cut-off, SRK May 2012). A further 1.473 million tonnes at 1.5 g/t (72,900 ounces gold) is in the Inferred category.
Table 1: Agbaou Exploration Drilling Highlights by Target Area
__________________________________________________________________
| | | From | To | Length | True | Au Grade | Final|
|Target | Hole ID | (m) | (m) | (m) |Width | (g/t) |Depth |
| | | | | | (m) | | (m) |
|_______|_________|______|_______|________|______|__________|______|
| |AGBRC1125| 26| 37| 11| 8.8| 1.46| 60|
| |_________|______|_______|________|______|__________|______|
| |including| 30| 31| 1| 0.8| 6.10| |
| P1 |_________|______|_______|________|______|__________|______|
| |AGBRC1126| 54| 58| 4| 3.2| 2.08| 78|
| |_________|______|_______|________|______|__________|______|
| |including| 54| 55| 1| 0.8| 4.31| |
|_______|_________|______|_______|________|______|__________|______|
| |AGBRC1095| 55| 62| 7| *| 4.96| 104|
| |_________|______|_______|________|______|__________|______|
| |including| 60| 61| 1| *| 27.97| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1104| 86| 94| 8| *| 1.19| 96|
| |_________|______|_______|________|______|__________|______|
| |including| 91| 92| 1| *| 4.89| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1140| 50| 59| 9| *| 1.52| 63|
| |_________|______|_______|________|______|__________|______|
| P2 |including| 55| 56| 1| *| 6.19| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1313| 0| 16| 16| *| 0.99| 52|
| |_________|______|_______|________|______|__________|______|
| |including| 10| 11| 1| *| 2.03| |
| |_________|______|_______|________|______|__________|______|
| | and| 24| 32| 8| *| 2.74| |
| |_________|______|_______|________|______|__________|______|
| |including| 27| 28| 1| *| 5.53| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1331| 32| 33| 1| *| 3.71| 51|
|_______|_________|______|_______|________|______|__________|______|
| P3 |AGBRC1164| 24| 25| 1| *| 25.13| 54|
|_______|_________|______|_______|________|______|__________|______|
| |AGBRC1168| 22| 31| 9| *| 4.19| 50|
| |_________|______|_______|________|______|__________|______|
| |including| 22| 26| 4| *| 8.42| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1186| 7| 12| 5| *| 2.89| 54|
| |_________|______|_______|________|______|__________|______|
| |including| 10| 12| 2| *| 6.30| |
| |_________|______|_______|________|______|__________|______|
| P4 | and| 18| 21| 3| *| 7.51| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1187| 19| 23| 4| *| 6.14| 54|
| |_________|______|_______|________|______|__________|______|
| |including| 20| 22| 2| *| 9.70| |
| |_________|______|_______|________|______|__________|______|
| | and| 41| 49| 8| *| 2.60| 54|
| |_________|______|_______|________|______|__________|______|
| |including| 41| 42| 1| *| 8.19| |
|_______|_________|______|_______|________|______|__________|______|
|Target | Hole ID | From | To | Length | True | Au Grade |Final |
| | | (m) | (m) | (m) |Width | (g/t) |Depth |
| | | | | | (m) | | (m) |
|_______|_________|______|_______|________|______|__________|______|
| P4 |AGBRC1188| 11| 16| 5| *| 2.19| 54|
|(con't)|_________|______|_______|________|______|__________|______|
| |including| 13| 14| 1| *| 4.56| |
|_______|_________|______|_______|________|______|__________|______|
| |AGBRC1181| 17| 21| 4| *| 2.24| 54|
| |_________|______|_______|________|______|__________|______|
| |including| 18| 19| 1| *| 4.43| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1182| 34| 35| 1| *| 16.40| 59|
| |_________|______|_______|________|______|__________|______|
| | and| 41| 44| 3| *| 1.93| |
| |_________|______|_______|________|______|__________|______|
| |including| 43| 44| 1| *| 4.88| |
| P5 |_________|______|_______|________|______|__________|______|
| |AGBRC1183| 47| 52| 5| *| 3.45| 62|
| |_________|______|_______|________|______|__________|______|
| |including| 50| 52| 2| *| 5.09| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1185| 27| 36| 9| *| 2.38| 58|
| |_________|______|_______|________|______|__________|______|
| |including| 32| 34| 2| *| 4.25| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1201| 6| 7| 1| *| 11.42| 62|
|_______|_________|______|_______|________|______|__________|______|
| |AGBRC1159| 7| 8| 1| *| 2.01| 62|
| |_________|______|_______|________|______|__________|______|
| | and| 11| 14| 3| *| 3.74| |
| |_________|______|_______|________|______|__________|______|
| |including| 12| 14| 2| *| 5.23| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1160| 33| 34| 1| *| 2.11| 74|
| |_________|______|_______|________|______|__________|______|
| | and| 42| 57| 15| *| 5.59| |
| |_________|______|_______|________|______|__________|______|
| |including| 48| 54| 6| *| 8.24| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1171| 62| 65| 3| *| 3.58| 66|
| P6 |_________|______|_______|________|______|__________|______|
| |including| 62| 63| 1| *| 5.15| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1172| 39| 41| 2| *| 1.72| 50|
| |_________|______|_______|________|______|__________|______|
| |including| 39| 40| 1| *| 2.41| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1173| 5| 13| 8| *| 1.06| 50|
| |_________|______|_______|________|______|__________|______|
| |including| 9| 10| 1| *| 3.71| |
| |_________|______|_______|________|______|__________|______|
| |AGBRC1174| 11| 17| 6| *| 1.32| 50|
| |_________|______|_______|________|______|__________|______|
| |AGBRC1175| 31| 35| 4| *| 2.44| 54|
|_______|_________|______|_______|________|______|__________|______|
| |AGBRC1142| 1| 11| 10| *| 2.35| 72|
| |_________|______|_______|________|______|__________|______|
| P7 |including| 9| 11| 2| *| 6.13| |
| |_________|______|_______|________|______|__________|______|
| | and| 14| 15| 1| *| 10.22| |
|_______|_________|______|_______|________|______|__________|______|
| |AGBRC1199| 1| 2| 1| 0.9| 16.56| 70|
| |_________|______|_______|________|______|__________|______|
| |AGBRC1237| 19| 23| 4| 3.6| 13.43| 50|
| |_________|______|_______|________|______|__________|______|
| |including| 21| 23| 2| 1.8| 24.66| |
| |_________|______|_______|________|______|__________|______|
| MPN |AGBRC1238| 25| 32| 7| 6.3| 4.02| 54|
| |_________|______|_______|________|______|__________|______|
| |including| 25| 27| 2| 1.8| 12.54| |
| |_________|______|_______|________|______|__________|______|
| | and| 40| 41| 1| 0.9| 5.41| |
| |_________|______|_______|________|______|__________|______|
| | and| 45| 48| 3| 2.7| 1.96| |
|_______|_________|______|_______|________|______|__________|______|
| |AGBRC1333| 4| 7| 3| 2.7| 2.35| 59|
| SPN |_________|______|_______|________|______|__________|______|
| | and| 40| 42| 2| 1.8| 2.13| |
|_______|_________|______|_______|________|______|__________|______|
| |AGBRC1209| 2| 9| 7| 6.7| 2.70| 60|
| WP |_________|______|_______|________|______|__________|______|
| |including| 2| 4| 2| 1.9| 5.67| |
|_______|_________|______|_______|________|______|__________|______|
* True widths unknown at this time
Qualified Persons
K. Kirk Woodman, P.Geo., General Manager Exploration is the Qualified Person overseeing Endeavour's exploration projects in Burkina Faso, Côte d'Ivoire and Mali has reviewed and approved this press release.
All Agbaou sample preparations and standard 40-gram gold fire assays were performed by Bureau Veritas Laboratories, Abidjan, Côte d'Ivoire. Endeavour consistently employs a rigorous quality control and assurance program comprising regular insertion of certified reference standards, blanks and duplicates.
Grade intervals reported in this press release are length weighted composites calculated for continuous individual assays =0.5g/t with up to 2m internal dilution.
About Endeavour Mining Corporation
Endeavour is a gold producer delivering growth. Endeavour owns two gold mines producing approximately 200,000 ounces per year in Ghana and Burkina Faso that are generating significant operating cash flows to fund exploration and development growth. In addition to upside potential at its current operations, Endeavour's third gold mine, Agbaou in Côte d'Ivoire, has entered the construction phase for an additional 100,000 ounces per year starting in Q1 2014. Endeavour has a strong financial base from which to invest in long-term operational growth, exploration to replace and increase reserves, and funding for acquisitions.
On August 7, 2012, Endeavour announced a definitive agreement to acquire Avion Gold (TSX:AVR) to become one of the largest West African gold mining companies with three producing mines, a fourth mine currently in construction, and an attractive pipeline of exploration and resource development properties. The Avion transaction is expected to close in October 2012.
Endeavour Mining Corporation is listed on the TSX (symbol EDV) and ASX (symbol EVR), and also trades on the OTCQX (symbol EDVMF).
On behalf of Endeavour Mining Corporation
Neil Woodyer Chief Executive Officer
This news release contains "forward-looking statements" including but not limited to, statements with respect to Endeavour's plans and operating performance, the estimation of mineral reserves and resources, the timing and amount of estimated future production, costs of future production, future capital expenditures, and the success of exploration activities. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "expects", "expected", "budgeted", "forecasts" and "anticipates". Forward-looking statements, while based on management's best estimates and assumptions, are subject to risks and uncertainties that may cause actual results to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the successful integration of acquisitions; risks related to international operations; risks related to general economic conditions and credit availability, actual results of current exploration activities, unanticipated reclamation expenses; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including gold; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which Endeavour operates. Although Endeavour has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Please refer to Endeavour's most recent Annual Information Form filed under its profile at www.sedar.com for further information respecting the risks affecting Endeavour and its business.
Appendix of Collar Locations for Reported Holes
____________________________________________________________________________
| Hole | Easting | Northing | Elevation | Azimuth | Dip | Final-Depth |
| ID | m | m | m | degrees | degrees | m |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1095| 253486 | 673869 | 235 | 300 | -60 | 104 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1104| 253337 | 673905 | 227 | 300 | -60 | 96 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1125| 254105 | 674460 | 373 | 300 | -60 | 60 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1126| 254129 | 674448 | 373 | 300 | -60 | 78 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1140| 253498 | 674028 | 226 | 300 | -60 | 63 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1142| 253503 | 673739 | 262 | 300 | -60 | 72 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1159| 253305 | 674986 | 197 | 300 | -60 | 62 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1160| 253334 | 674970 | 202 | 300 | -60 | 74 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1164| 253841 | 673744 | 204 | 300 | -60 | 54 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1168| 252871 | 675187 | 209 | 300 | -60 | 50 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1171| 253357 | 674959 | 205 | 300 | -60 | 66 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1172| 253382 | 674943 | 209 | 300 | -60 | 50 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1173| 253408 | 674928 | 213 | 300 | -60 | 50 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1174| 253434 | 674912 | 215 | 300 | -60 | 50 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1175| 253460 | 674895 | 218 | 300 | -60 | 54 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1181| 253165 | 675028 | 213 | 300 | -60 | 54 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1182| 253106 | 674980 | 207 | 300 | -60 | 59 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1183| 253142 | 674962 | 198 | 300 | -60 | 62 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1185| 253089 | 674944 | 209 | 300 | -60 | 58 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1186| 252917 | 675228 | 204 | 300 | -60 | 54 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1187| 252941 | 675212 | 205 | 300 | -60 | 54 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1188| 252958 | 675252 | 206 | 300 | -60 | 54 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1199| 253654 | 674853 | 266 | 300 | -60 | 70 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1201| 253114 | 674938 | 192 | 300 | -60 | 62 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1209| 252746 | 674662 | 212 | 300 | -60 | 60 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1237| 254057 | 674698 | 332 | 300 | -60 | 50 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1238| 254080 | 674685 | 336 | 300 | -60 | 54 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1313| 253189 | 673674 | 240 | 300 | -60 | 52 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1331| 253316 | 673889 | 222 | 300 | -60 | 51 |
|_________|_________|__________|___________|_________|_________|_____________|
|AGBRC1333| 253680 | 673891 | 219 | 300 | -60 | 59 |
|_________|_________|__________|___________|_________|_________|_____________|
(Northing and Easting reported in WGS 84 UTM Zone 30N)
PDF available at: http://stream1.newswire.ca/media/2012/09/06/20120906_C4557_DOC_EN_17563.pdf
SOURCE: Endeavour Mining Corporation
To view this news release in HTML formatting, please use the following URL: http://www.newswire.ca/en/releases/archive/September2012/06/c4557.html
SOURCE: Endeavour Mining Corporation
EDVMF dropped below its 10 week simple moving average at 2.14 and is now at 2.03..Price Channel
EDVMF is trading within its price channel.
EDVMF is trading below the 2.36 Significant Point that would trigger a reversal of the Parabolic SAR's current bearish indication.
The On Balance Volume indicator (OBV) shows that longer term accumulation has given way to near term selling pressure.
The RSI recently crossed above the critical value of 30, which indicates that the selling pressure has lessened and that the internal strength of EDVMF has increased.
The MACD for EDVMF currently indicates a strong bearish signal for two reasons. First, the MACD is below the signal line, a 9-week moving average. Second, the MACD is below the critical level of 0, which implies that the underlying moving averages are trending lower.
The Stochastic Oscillator is registering a bearish signal as the %K line has crossed under the %D and the oscillator recently crossed below the critical value of 80, moving from its overbought indication..Williams
%R has recently crossed above the critical value of -80 which suggests that the selling pressure has lessened and the internal strength of EDVMF has increased.
The ADX is below 20 which signifies that EDVMF is not trending. Therefore the Bearish signal provided by the Directional Movement Index is not confirmed.
The Ultimate Oscillator is currently at 55.52% which indicates that the stock is neither overbought nor oversold.
Endeavour Mining Corporation ("Endeavour") (TSX:EDV, ASX:EVR, OTCQX:EDVMF) has received the final drill results from core and reverse circulation (RC) drilling on the Ouaré gold deposit in Burkina Faso. An update of the resource estimate is underway and will be incorporated into a Preliminary Economic Assessment (PEA) due at the end of 2012.
Drilling along the 2.5 km long Ouaré trend was to infill, test extensions and extend mineralization to 150 metres depth in selected areas. Highlights of the core drilling on Ouaré Main include (Table 1);
-- BITDDH-12-55 with 18.7m @ 2.0g/t gold at 163.6 metres including
0.8m @ 12.3g/t gold
-- BITDDH-12-31 with 9.6m of 1.6g/t from 85 metres and 8.3m @
13.9g/t gold at 115.0 metres including 0.8m @ 33.5g/t gold
Results from core drilling on Ouaré East include (Table 1);
-- BITDDH-12-048 with 8.8m @ 14.2g/t gold at 96.0 metres including
5m @ 23.3g/t gold and 13.6m of 5.3 g/t from 138 metres
-- BITDDH-12-56 with 12.7m @ 3.9g/t gold at 143.1 metres including
2m @ 16.9g/t gold
Step-out RC drilling was completed along the Warba trend which is a parallel structure, 700 metres southwest of Ouaré (Figure 1). This drilling has also yielded positive results including (Table 2);
-- BITRC-12-393 with 5m @ 2.9g/t at 50.0 metres including 2m @
6.0g/t gold
-- BITRC-12-406 with 18m @ 3.7g/t at 16.0 metres including 4m @
11.8g/t gold and 8m @ 7.3g/t gold including 1m @ 53.8g/t gold
Doug Reddy, SVP Technical Services, stated:
"We are pleased that drilling results from the Ouaré deposit continue to be consistent and provide extensions to known mineralization. Based on the results of our 2011/2012 program, we see good potential for increasing the level of certainty in the resource as well as increasing the overall size. Once the resource is updated we will get our first look at the economics of this deposit with the PEA, which is expected to be completed by year-end. Positive results from other targets within several kilometres of Ouaré such as the Warba Trend and also the targets to the east and northeast demonstrate the prospectivity of the area."
The Ouaré gold deposit is located 40 kilometres northeast of Endeavour's Youga plant, which currently produces in excess of 80,000 ounces of gold annually. Ouaré has an inferred mineral resource of 4.738 Mt at 2.1 g/t gold for 323,000 ounces at a 0.5 g/t gold cut-off (K. Woodman, 2009). During 2011 and the first four months of 2012 a drilling program was undertaken on the Ouaré gold deposit that included 56 core holes (6,968 metres) and 192 reverse-circulation (RC) holes (21,759 metres). This drilling consists of both RC and core on the Ouaré Main and Ouaré East zones with the objective of improving the geological model, upgrading the resource classification, extending the mineralization to depth and along strike. In addition, step-out drilling was undertaken on the Warba trend. Results have now been received for all holes and an independent update to the resource estimation is underway.
Ouaré Main and East Infill Drilling
The deposit is over two kilometres long and had been nominally tested on 50 metre spaced sections to a maximum depth of 100 metres. The current program has reduced the drill hole spacing to 25 by 20 metres (Figure 2) and tested depths down to at least 150 metres depth on selected sections of the Ouaré Main and Ouaré East zones.
Several of the highlighted core intersections are from deeper holes which provide for potential increases to the resource down-dip. Based on the RC drilling there is also potential to add resources in the area between Ouaré Main and Ouaré East.
Warba Trend Step-out Drilling
Step-out RC drilling along a parallel trend that is 700 metres to the southwest of the Ouaré trend has yielded positive results in several locations that are not fully delineated. The eastern portion of the Warba zone has been drilled at between 50 m and 100 m spacing over a 500 meter strike length while the far west portion has yielded some very significant intersections that require additional testing (Figure 1).
New Targets
The region surrounding Ouaré shows good potential for discovery of additional gold mineralization. Accordingly, the program included drilling two targets on the Bitou Est permit and two targets on the Bitou Nord permit. All four targets are within six kilometres of Ouaré Main (Figure 3) deposit. Results from this drill program are still being received.
In order to access Figure 1 (Ouaré Deposits and Warba Zone) click on the following URL http://files.newswire.ca/910/Figure_1.pdf
In order to access Figure 2 (Ouaré Main and Ouaré East Drill Plan on IP Chargeability) click on the following URL http://files.newswire.ca/910/Figure_2.pdf
In order to access Figure 3 (Ouaré Zone and other Bitou Targets overlain on Contoured Gold in Soil Geochemistry) click on the following URL http://files.newswire.ca/910/Figure_3.pdf
Table 1: Ouaré Main Infill Core and RC Drilling Highlights
_____________________________________________________________________
| | | | | | | True | Au |
|Deposit| Hole ID |Drill | From | To | Length |Width | Grade |
| Area | | Type | (m) | (m) | (m) | (m) | (g/t) |
|_______|_____________|______|_______|________|________|______|_______|
| |BITDDH-12-034| Core| 29| 52| 23| 18.4| 1.44|
| |_____________|______|_______|________|________|______|_______|
| | including| | 41| 43| 2| 1.6| 4.02|
| |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-035| Core | 59| 77| 18| 14.4| 1.24|
| |_____________|______|_______|________|________|______|_______|
| | including| | 75| 76| 1| 0.8| 6.50|
| |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-036| Core | 129| 136.65| 7.65| 6.1| 2.81|
| |_____________|______|_______|________|________|______|_______|
| | including| | 129| 130| 1| 0.8| 4.39|
| |_____________|______|_______|________|________|______|_______|
| Ouaré |BITDDH-12-043| Core | 48| 77| 29| 23.2| 1.44|
| Main |_____________|______|_______|________|________|______|_______|
| (NW) | including| | 54| 55| 1| 0.8| 6.15|
| |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-046| Core | 8| 23| 15| 12.0| 2.04|
| |_____________|______|_______|________|________|______|_______|
| | including| | 8.8| 11| 2.2| 1.8| 7.08|
| |_____________|______|_______|________|________|______|_______|
| | and| | 132.8| 140.12| 7.32| 5.9| 3.31|
| |_____________|______|_______|________|________|______|_______|
| | including| | 136| 138.7| 2.7| 2.2| 7.61|
| |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-055| Core | 163.6| 187| 23.4| 18.7| 1.98|
| |_____________|______|_______|________|________|______|_______|
| | including| | 179| 180| 1| 0.8| 12.30|
|_______|_____________|______|_______|________|________|______|_______|
| |BITDDH-12-030| Core| 56.35| 67| 10.65| 8.5| 4.54|
| |_____________|______|_______|________|________|______|_______|
| | including| | 60| 63.4| 3.4| 2.7| 12.13|
| |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-031| Core | 85| 97| 12| 9.6| 1.61|
| |_____________|______|_______|________|________|______|_______|
| | including| | 87.4| 89| 1.6| 1.3| 5.78|
| |_____________|______|_______|________|________|______|_______|
| | and| | 115| 125.4| 10.4| 8.3| 13.88|
| |_____________|______|_______|________|________|______|_______|
| | including| | 123| 124| 1.0| 0.8| 33.50|
| Ouaré |_____________|______|_______|________|________|______|_______|
| Main |BITDDH-12-037| Core | 99.5| 105| 5.5| 4.4| 3.23|
| |_____________|______|_______|________|________|______|_______|
| | including| | 101| 102| 1| 0.8| 10.40|
| |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-038| Core | 0| 1.1| 1.1| 0.9| 5.90|
| |_____________|______|_______|________|________|______|_______|
| | and| | 57| 71| 14| 11.2| 4.12|
| |_____________|______|_______|________|________|______|_______|
| | including| | 60| 61| 1| 0.8| 21.50|
| |_____________|______|_______|________|________|______|_______|
| | and| | 96| 100| 4| 3.2| 2.05|
| |_____________|______|_______|________|________|______|_______|
| | including| | 99| 100| 1| 0.8| 4.96|
|_______|_____________|______|_______|________|________|______|_______|
| |BITDDH-12-048| Core| 96| 107| 11| 8.8| 14.23|
| |_____________|______|_______|________|________|______|_______|
| | including| | 97| 103.2| 6.2| 5.0| 23.34|
| |_____________|______|_______|________|________|______|_______|
| | and| | 138| 155| 17| 13.6| 5.30|
| |_____________|______|_______|________|________|______|_______|
| | including| | 145.2| 150| 4.8| 3.8| 13.65|
| |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-049| Core | 34| 43| 9| 7.2| 2.94|
| |_____________|______|_______|________|________|______|_______|
| | including| | 39| 41| 2| 1.6| 10.45|
| |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-050| Core | 90.4| 95| 4.6| 3.7| 3.06|
| |_____________|______|_______|________|________|______|_______|
| Ouaré | including| | 91.2| 92| 0.8| 0.6| 14.30|
| East |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-052| Core | 99| 120.2| 21.2| 17.0| 2.22|
| |_____________|______|_______|________|________|______|_______|
| | including| | 112| 114| 2| 1.6| 14.74|
| |_____________|______|_______|________|________|______|_______|
| |BITDDH-12-056| Core | 143.1| 159| 15.9| 12.7| 3.92|
| |_____________|______|_______|________|________|______|_______|
| | including| | 153| 155.5| 2.5| 2.0| 16.90|
| |_____________|______|_______|________|________|______|_______|
| | and| | 173| 184.15| 11.15| 8.9| 2.92|
| |_____________|______|_______|________|________|______|_______|
| | including| | 179| 181.4| 2.4| 1.9| 7.69|
| |_____________|______|_______|________|________|______|_______|
| |BITRC-12-440 | RC | 19| 23| 4| 3.2| 2.48|
| |_____________|______|_______|________|________|______|_______|
| | including| | 19| 20| 1| 0.8| 8.12|
|_______|_____________|______|_______|________|________|______|_______|
Table 2: Exploration RC Drilling Highlights (True widths unknown at this time)
_____________________________________________________________________
| Target | Hole ID | Drill | From | To | Length | Au Grade |
| Area | | Type | (m) | (m) | (m) | (g/t) |
|____________|____________|________|______|_______|________|__________|
| |BITRC-12-389| RC | 7| 12| 5| 2.57|
| |____________|________|______|_______|________|__________|
| | including| | 7| 8| 1| 11.30|
| |____________|________|______|_______|________|__________|
| | and| | 28| 31| 3| 10.92|
| |____________|________|______|_______|________|__________|
| Ouaré West | including| | 28| 29| 1| 31.00|
| (N) |____________|________|______|_______|________|__________|
| |BITRC-12-392| RC | 95| 101| 6| 1.43|
| |____________|________|______|_______|________|__________|
| | including| | 100| 101| 1| 2.96|
| |____________|________|______|_______|________|__________|
| |BITRC-12-393| RC | 50| 55| 5| 2.93|
| |____________|________|______|_______|________|__________|
| | including| | 50| 52| 2| 5.96|
|____________|____________|________|______|_______|________|__________|
| |BITRC-12-406| RC | 16| 34| 18| 3.69|
| |____________|________|______|_______|________|__________|
| | including| | 30| 34| 4| 11.80|
| |____________|________|______|_______|________|__________|
| | and| | 41| 49| 8| 7.31|
| Warba |____________|________|______|_______|________|__________|
| | including| | 42| 43| 1| 53.80|
| |____________|________|______|_______|________|__________|
| | and| | 51| 60| 9| 10.16|
| |____________|________|______|_______|________|__________|
| | including| | 52| 54| 2| 33.50|
|____________|____________|________|______|_______|________|__________|
Qualified Persons
K. Kirk Woodman, P.Geo., General Manager Exploration is the Qualified Person overseeing Endeavour's exploration projects in Burkina Faso, Cote d'Ivoire and Mali has reviewed and approved this press release.
All Ouaré sample preparations and standard 50 gram gold fire assays were performed by SGS Laboratories, Ouagadougou, Burkina Faso. Endeavour consistently employs a rigorous quality control and assurance program comprising regular insertion of certified reference standards, blanks and duplicates.
About Endeavour Mining Corporation
Endeavour is a gold producer delivering growth. Endeavour owns two gold mines producing approximately 200,000 ounces per year in Ghana and Burkina Faso that are generating significant operating cash flows to fund exploration and development growth. In addition to upside potential at its current operations, Endeavour's third gold mine, Agbaou in Côte d'Ivoire, has entered the construction phase for an additional 100,000 ounces per year starting in Q1 2014. Endeavour has a strong financial base from which to invest in long-term operational growth, exploration to replace and increase reserves, and funding for acquisitions.
On August 7, 2012, Endeavour announced a definitive agreement to acquire Avion Gold (TSX:AVR) to become one of the largest West African gold mining companies with three producing mines, a fourth mine currently in construction, and an attractive pipeline of exploration and resource development properties. The Avion transaction is expected to close in October 2012.
Endeavour Mining Corporation is listed on the TSX (symbol EDV) and ASX (symbol EVR), and also trades on the OTCQX (symbol EDVMF).
On behalf of Endeavour Mining Corporation
Neil Woodyer Chief Executive Officer
This news release contains "forward-looking statements" including but not limited to, statements with respect to Endeavour's plans and operating performance, the estimation of mineral reserves and resources, the timing and amount of estimated future production, costs of future production, future capital expenditures, and the success of exploration activities. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "expects", "expected", "budgeted", "forecasts" and "anticipates". Forward-looking statements, while based on management's best estimates and assumptions, are subject to risks and uncertainties that may cause actual results to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the successful integration of acquisitions; risks related to international operations; risks related to general economic conditions and credit availability, actual results of current exploration activities, unanticipated reclamation expenses; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including gold; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which Endeavour operates. Although Endeavour has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Please refer to Endeavour's most recent Annual Information Form filed under its profile at www.sedar.com for further information respecting the risks affecting Endeavour and its business.
Appendix of Collar Locations for Reported Holes
_________________________________________________________________________________
| Hole | Easting | Northing | Elevation | Azimuth | Dip | Final-Depth |
| ID | m | m | m | degrees | degrees | m |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-030| 808,800 | 1,247,605 | 215 | 180 | -50 | 100 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-031| 808,800 | 1,247,670 | 216 | 180 | -50 | 176 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-034| 808,230 | 1,247,505 | 220 | 220 | -50 | 94 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-035| 808,250 | 1,247,520 | 220 | 220 | -50 | 100 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-036| 808,280 | 1,247,565 | 220 | 220 | -50 | 140 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-037| 808,850 | 1,247,605 | 215 | 180 | -50 | 110 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-038| 808,850 | 1,247,640 | 215 | 180 | -50 | 125 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-043| 808,310 | 1,247,535 | 220 | 220 | -50 | 140 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-046| 808,205 | 1,247,625 | 220 | 220 | -50 | 140 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-048| 809,600 | 1,247,605 | 214 | 360 | -50 | 155 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-049| 809,600 | 1,247,550 | 214 | 360 | -50 | 151 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-050| 809,500 | 1,247,630 | 214 | 360 | -50 | 122 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-052| 809,600 | 1,247,750 | 213 | 180 | -60 | 120 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-055| 808,315 | 1,247,700 | 220 | 220 | -50 | 225 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITDDH-12-056| 809,625 | 1,247,575 | 214 | 360 | -50 | 199 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITRC-12-389 | 807,730 | 1,247,775 | 222 | 180 | -50 | 109 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITRC-12-392 | 807,730 | 1,247,850 | 222 | 180 | -50 | 106 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITRC-12-393 | 807,680 | 1,247,740 | 222 | 360 | -50 | 115 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITRC-12-406 | 806,555 | 1,247,200 | 228 | 360 | -50 | 101 |
|_____________|_________|___________|___________|_________|_________|_____________|
|BITRC-12-440 | 809,200 | 1,247,580 | 214 | 180 | -50 | 100 |
|_____________|_________|___________|___________|_________|_________|_____________|
(Northing and Easting reported in WGS 84 UTM Zone 30N)
PDF available at: http://stream1.newswire.ca/media/2012/08/27/20120827_C9826_DOC_EN_17242.pdf
PDF available at: http://stream1.newswire.ca/media/2012/08/27/20120827_C9826_DOC_EN_17243.pdf
PDF available at: http://stream1.newswire.ca/media/2012/08/27/20120827_C9826_DOC_EN_17244.pdf
SOURCE: Endeavour Mining Corporation
To view this news release in HTML formatting, please use the following URL: http://www.newswire.ca/en/releases/archive/August2012/27/c9826.html
SOURCE: Endeavour Mining Corporation
Endeavour Mining Corporation ("Endeavour") (TSX:EDV, ASX:EVR, OTCQX:EDVMF) today announces that it has received the official decree from the government of Côte d'Ivoire granting its Ivorian subsidiary the Mining Permit for its 85%-owned Agbaou Gold Project, which is under construction and on track to begin production in Q1 2014.
The terms of the Mining Permit are as expected and include:
-- A royalty of 3% to the State;
-- A 10% free carried interest to the State; and
-- An area of 334 km(2).
As previously agreed, now that Endeavour has received the mining permit, Endeavour will also grant a 5% free carried interest to SODEMI, the State Company for Mining Development of Côte d'Ivoire, bringing our state partner's total interest to 15%.
There are no other permits required for construction and production at the Agbaou Gold Project. The recruitment of key project personnel is 100% complete, and the crop compensation of key infrastructure zones has entered the advanced stage. This is in line with expected timelines to reach production in Q1 2014.
I've really just started DD on this one. It does look good so far. GLTY
EDVMF Endeavour Mining Corp. (2.0225) 300,000 ounce per year gold producer. One of the largest West African mining companies with three producing mines, a fourth mine currently in construction, and an attractive pipeline of exploration and resource development properties.
Website: http://www.endeavourmining.com/s/Home.asp
TSX as EDV: http://tmx.quotemedia.com/quote.php?qm_symbol=EDV
Pinksheets: http://www.otcmarkets.com/stock/edvmf/quote
IHUB: http://investorshub.advfn.com/Endeavour-Mining-Corporation-EDVMF-25415/
Looks real good buddhabelly2.
Gold OperationsEndeavour owns two operating mines that are currently producing gold at a rate of approximately 195,000 ounces per year:
NZEMA GOLD MINE (90%), GHANA
The Nzema Gold Mine is located in south-western Ghana, approximately 280km west of Ghana's capital city, Accra. In June 2009, the Corporation announced its decision to proceed with the development of the Nzema Gold Mine with a designed mill throughput of 2.1 million tonnes per annum ("Mtpa") for a target production of 100,000 ounces of gold per annum across an estimated life of 10 years.
Construction of the processing plant and associated infrastructure was successfully completed and first gold was poured in January 2011, with full scale production beginning in April 2011. The operation produced 90,026 ounces during 2011. The Nzema mine consists of open mining from a chain of shallow oxide pits along the Salman trend plus the Anwia deposit 8km west of the plant. Ore is processed at the 1.6 Mtpa to 2.1 Mtpa plant (depending on ore type) and gold is extracted through a standard gravity-CIL process. The processing plant is located west of the Salman Central pits and is connected to the national power grid via a substation.
Work is currently underway to explore additional oxide resources both along the Salman trend and the immediate area with the objective of increasing mine life and/or throughput. In addition, the potential of the underlying sulphide mineralization along the Salman trend is being evaluated.
click for more info
YOUGA GOLD MINE (90%), BURKINA FASO
The Youga Gold Mine is located approximately 180km southeast of Ouagadougou, the capital city of Burkina Faso. Youga has been in production since 2008 and produced 87,264 ounces of gold in 2011. The mine is targeted to produce 85,000 to 90,000 ounces of gold in 2012.
Ore is processed through a conventional gravity-CIL plant with a design capacity of 1.0 Mtpa. Youga is a hard rock, drill and blast mining open pit operation. Mining activities are being carried out under contract. Grid power is delivered to site from Ghana via a 21 km transmission line. In addition, year round water supply is available from the nearby Nakambe river.
Endeavour's 2011 exploration activities at Youga yielded positive results increasing resources and reserves and extending mine life by over 2 years. Exploration in 2012 is expected to further increase resources and reserves and mine life.
In addition, Endeavour is continuing to develop the Ouaré deposit 40km to the northeast of Youga with the expectation of defining a stand-alone project which will benefit from the existing infrastructure at Youga.
Market Value1 $588,467,808 a/o Aug 07, 2012
Shares Outstanding 245,091,769 a/o Aug 07, 2012
Float 243,467,700 a/o Mar 30, 2012
Authorized Shares 1,000,000,000 a/o Mar 14, 2012
Endeavour Mining Corporation announces strong financial and operational results for the second quarter of 2012, including adjusted operating cash flow of $47.6 million. As previously announced on July 16, Endeavour's two operating mines exceeded prior guidance by producing 50,728 ounces during Q2 and 102,691 ozs for H1 2012.
Neil Woodyer, CEO, stated
"Our strong Q2 results clearly demonstrate the benefits of the merger we completed last year with Adamus as both mines continue to perform above previous guidance. Endeavour's adjusted cash flow has increased from $32 million in the previous quarter to $48 million this quarter and our cash position, net of debt, has also increased, from $11 million to $36 million. This financial strength positions us well as we continue to expand in West Africa, with our most significant growth initiative being construction of our third mine, Agbaou. We were very pleased to be informed recently by the Ivorian government that our Mining Permit for Agbaou has been granted and we are expecting receipt of the official permit shortly."
(All amounts in US dollars unless otherwise indicated)
Q2/H1 2012 Financial and Operational Highlights
•Gold production totaled 50,728 ounces for the quarter and totaled 102,691 ounces for the first half, significantly above annualized previous guidance
•The full year 2012 production guidance has been updated to between 187,000 and 202,000 ounces of gold from 170,000 to 190,000 ounces. Total cash cost per ounce for production from the two mines (excluding royalties and purchased ore) has been updated to $670 to 690 from $645 to 685 previously.
•Q2 2012 total cash cost1 (excluding royalties and purchased ore) was $618 per gold ounce produced, which is below prior guidance.
•H1 Cash margin2 (revenues from gold sales less cash costs and royalties) of $84.0 million continues on plan to meet our $150 million estimate for the full year (based on a $1,600/oz gold price).
•Q2 operating cash flow from mine operations was $56.1 million, which, after adjusting for $8.5 million of cash proceeds received in early April for March production, resulted in adjusted operating cash flow of $47.6 million.
•Adjusted net earnings were $21.4 million or $0.09 per share.
•During the first half of 2012, the Corporation invested $41.3 million from its operating cash flow into its operations and exploration programs. Of this, $36.1 million was capitalized and $5.2 million was expensed as exploration. These investments in operational improvements and growth include:
¦Sustaining capital at Nzema: $6.0 million
¦Sustaining capital at Youga: $1.7 million
¦Development capital at Nzema $8.9 million
¦Near-mine exploration: $14.6 million
¦Agbaou exploration and development: $7.2 million
¦Regional exploration: $2.9 million
•At June 30, 2012, the Corporation had cash & equivalents and marketable securities of $143.9 million and continues to hold a 38.5% interest in Namibia Rare Earths Inc. (TSX:NRE) with a market value of $7.1 million. As at June 30, 2012, the Corporation had drawn $100 million of its $200 million corporate loan facility.
•During Q2 2012, the Agbaou Gold Project in Côte d'Ivoire entered the construction phase, with planned gold production of 103,000 ounces per year at a cash cost of $635 per ounce beginning in Q1 2014.
•Positive drill results from near-mine targets at Youga and Nzema continue to show good potential for mine life expansion at both operations and Endeavour plans delivery of two Preliminary Economic Assessments (PEAs) by year-end, one from each of the two mining areas. Toward that end, in Q2, the drill program at the Ouaré gold deposit in Burkina Faso was completed and an updated mineral resource estimate in preparation for a PEA has commenced.
1 Cash Cost per Ounce produced excluding royalties is a non-GAAP financial performance measure with no standard meaning under IFRS
2 Cash Margin is a non-GAAP financial performance measure with no standard meaning under IFRS
Financial Statements and related MD&A will be available on SEDAR, the ASX website, OTC Markets website, and in the Investor Relations section of Endeavour's website www.endeavourmining.com.
In order to access the Corporation's MD&A and financial statements directly, please click the following URL: http://www.endeavourmining.com/s/FinancialStatements.asp
Mark Connelly, COO, stated
"We are very pleased with the operating results from both Nzema and Youga as well as commencement of construction at Agbaou to add approximately 100,000 ounces per year of production beginning in Q1 2014. We've already ordered our mills for Agbaou, which came in below budget, with delivery planned for June 2013. In September, we plan to begin earthworks, as construction ramps up. We are actively enhancing our existing mines, with power supply improvement projects ongoing at both operations and cost containment programs beginning to take effect. Our largest investment is in exploration, with 80% of that spending focussed on near-mine targets with the objective of extending the life of all our operations, including Agbaou."
Table 1 Nzema Gold Mine, Ghana - Quarterly Production
NZEMA, Ghana 2012 Q1 2012 Q2 2012 H1 2012 Full Year Guidance
Mine only (excluding purchased ore)
Ore Milled (‘000 t) 506 537 1,043
Milled Grade (g/t Au) 1.64 1.68 1.66
Gold Production (ozs) 25,543 25,482 51,025 95,000 - 102,000
Cash Cost per Ounce Produced (US$/oz)1 $7052 $635 $6702 $680 - $700
Nzema purchased ore
Tonnes of purchased ore (‘000 t) 7.5 11.4 18.9
Grade of purchased ore (g/t) 10.56 6.48 8.10
Gold Production (ozs) 2,432 2,381 4,813 7,000 - 10,000
Operating cash flow from purchased ore $1.2 million $0.9 million $2.1 million $5.0 million
1 Cash Cost per Ounce produced excluding royalties is a non-GAAP financial performance measure with no standard meaning under IFRS
2 Cash Cost per Ounce produced has been represented to reflect the effect of ounces produced from purchased ore during Q1 2012
•During Q2 2012, mining was from the Salman Central, Salman North 4 and Salman South 1A pits, with total mining volumes exceeding budget by 19% despite heavy rains.
•Phase 2 of the tailings storage facility raise was completed subsequent to Q2.
•In order to improve consistency of power supply, installation of a back-up diesel power generation plant was recently commenced, with completion expected by the end of 2012.
•During Q2 2012, the Nzema Mine contributed $18.6 million towards the total cash margin of $41.5 million.
•During Q2 2012, Nzema contributed $5.4 million towards earnings from mining operations, after one-off expenses of $4.7 million related primarily to withholding taxes from the Ghanaian Tax Authority audit for its taxation years June 2007 to June 2011, and generated $35.8 million of operating cash flow from mine operations.
Table 2 Youga Gold Mine, Burkina Faso - Quarterly Production
YOUGA, Burkina Faso 2012 Q1 2012 Q2 2012 H1 2012 Full Year Guidance
Ore Milled (‘000 t) 255 256 511
Milled Grade (g/t Au) 2.77 3.05 2.91
Gold Production (ozs) 23,988 22,865 46,853 85,000 - 90,000
Cash Cost per Ounce Produced (US$/oz)1 $683 $599 $642 $655 - $675
1 Cash Cost per Ounce produced excluding royalties is a non-GAAP financial performance measure with no standard meaning under IFRS
•At the end of Q2 2012, the second lift earthworks for the Tailings Storage Facility was completed.
•Phase II of the Ghana Grid Power Project, which aims to improve grid power supply quality and availability, was advanced toward target completion by year-end.
•During Q2 2012, the Youga Mine contributed $22.9 million towards the total cash margin of $41.5 million.
•During Q2 2012, Youga contributed $18.3 million towards earnings from mining operations and generated $20.3 million of operating cash flow from mine operations.
Agbaou Project Development
Toward the end of the Q2 2012, Endeavour announced commencement of construction of the Agbaou Gold Project to add production of approximately 100,000 oz per year starting in Q1 2014, completion of an updated NI 43-101 compliant technical report, and selection of our EPCM contractor. The technical report indicated an economically robust project, with a total up-front funding requirement of $159 million and an Internal Rate of Return of 28% on an after-tax, 100% project basis at a gold price of $1,250. Since that announcement, long-lead items have been ordered (including the mills), engineering and planning has progressed and Endeavour's office in Abidjan, Côte d'Ivoire has been staffed. Our next major milestone is expected to be the commencement of earthworks in September of 2012. In addition, the Corporation was recently informed by a senior member of the government that the Ivorian cabinet had approved Agbaou's Mining Permit and, accordingly, receipt of the signed official permit is expected shortly.
Exploration Programs
During Q2 2012, exploration was conducted on authorized permits in Burkina Faso, Côte d'Ivoire, Ghana, Liberia and Mali. Endeavour's land position is the third largest in West Africa and covers over 10,000 square kilometres. The Corporation has approved an exploration budget of $34.0 million for 2012 that is expected to include approximately 215,000 metres of drilling, of which approximately $21.6 million is directed towards increasing resources and reserves to extend mine lives at the Nzema and Youga operations, $6.0 million towards increasing resources and reserves at Agbaou, $6.4 million towards delineating resources and conducting further metallurgical testing of the Nzema sulphides in Ghana, and the balance towards regional programs.
As of June 30, 2012, exploration spending totalled approximately $19.8 million for the half year, with a total of 138,000 metres of drilling completed. Positive results from near-mine exploration included: at Youga - A2-11-220 with 52.5 metres of 2.1 grams per tonne gold below the main pit - and at Nzema - discovery of new oxide zones by drilling across the site of the old Salman Village and surrounding areas. In addition, progress was made on the two PEAs targeted for completion by year-end - the Nzema sulphides project and the Ouaré project near Youga. Metallurgical samples of the Salman sulphide mineralization were sent for testwork and the contractor was chosen to conduct the PEA and supervise metallurgical testwork. On June 27, 2012 Endeavour announced completion of drilling at Ouaré and commencement of an updated resource estimate in preparation for the PEA.
Adjusted Earnings
Net earnings / (loss) from continuing operations have been adjusted for the impact of the fair value change of certain financial instruments, including the gold hedge liability and Endeavour's warrants that are denominated in Canadian dollars. This fair value gain is net of a one-off write-down in marketable securities. Other adjustments were made for a one-time Ghanaian tax audit assessment related to years prior to 2012 and deferred income tax expense, which is a one-time adjustment related to the December 2011 Nzema hedge buy-back and which was not recognized until the second quarter of 2012 when the tax return was completed.
Table 3 Adjusted Net Earnings Reconciliation for the quarter ended June 30, 2012
US$ Millions
Net earnings after tax $ 33.4
Net losses on financial instruments + 6.0
One-time Ghanaian tax audit assessment1 + 4.7
Deferred income tax expense2 - 22.7
Adjusted net earnings after tax $ 21.4
Weighted average number of outstanding shares 245,053,857
Adjusted Net EPS (Basic) for Q2/2012 $0.09
1 One-off expenses of $4.7 million related primarily to withholding taxes from the Ghanaian Tax Authority audit for its taxation years June 2007 to June 2011
2 The deferred income tax recovery is non-cash in nature and is primarily from an increase in losses arising from the realized hedge loss in December 2011 at the Nzema operation that was not previously incorporated into the deferred tax calculation at either December 31, 2011 or the first quarter ended March 31, 2012 as the December 31, 2011 tax return had not been finalized at these earlier dates.
Conference Call Details
Management will host a conference call and webcast presentation to discuss the Q2 results on August 9. Participating on the call will be Neil Woodyer, Chief Executive Officer, Mark Connelly, Chief Operating Officer, and Christian Milau, Chief Financial Officer.
Analysts and interested investors are invited to participate in the conference call using the dial in numbers below.
International: +1 201-689-8433
North American toll-free: +1 877-407-0832
Australian toll-free: 0011-800-2246-2666
The conference call can also be accessed through the following link: http://www.endeavourmining.com/s/Webcasts.asp
The conference call will be held and webcast by V-Call on Thursday August 9, 2012 at:
5:00 AM in Vancouver
8:00 AM in Toronto and New York
1:00 PM in London
8:00 PM in Perth
10:00 PM in Sydney
The call will be archived for later playback on Endeavour's website until August 9, 2013.
Qualified Persons
Adriaan "Attie" Roux, Pr. Sci.Nat, Endeavour's Senior VP Operations, is a Qualified Person under NI 43-101, and has reviewed and approved the technical information related to mining operations in this news release.
K. Kirk Woodman, P.Geo., Endeavour's General Manager of Exploration, is the Qualified Person overseeing exploration projects in French West Africa and has reviewed and approved the technical information related to exploration programs in French West Africa contained in this news release.
Martin Bennett, MAIG, General Manager Exploration, is the Qualified Person overseeing Endeavour's exploration projects in Ghana and Liberia and has reviewed and approved the technical information related to exploration programs in Ghana and Liberia in this news release.
About Endeavour Mining Corporation
Endeavour is a gold producer delivering growth. Endeavour owns two gold mines producing approximately 195,000 oz per year in Ghana and Burkina Faso that are generating significant operating cash flows to fund exploration and development growth. In addition to upside potential at its current operations, Endeavour's third gold mine, Agbaou in Côte d'Ivoire has entered the construction phase for an additional 100,000 oz per year during Q1 2014. Endeavour's strong financial base encourages investments in long-term operational growth, exploration to replace and increase reserves, and funding for acquisitions.
Endeavour Mining Corporation is listed on the TSX (symbol EDV) and ASX (symbol EVR), and also trades on the OTCQX (symbol EDVMF).
On behalf of Endeavour Mining Corporation
Neil Woodyer
Chief Executive Officer
This news release contains "forward-looking statements" including but not limited to, statements with respect to Endeavour's plans and operating performance, the estimation of mineral reserves and resources, the timing and amount of estimated future production, costs of future production, future capital expenditures, and the success of exploration activities. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "expects", "expected", "budgeted", "forecasts" and "anticipates". Forward-looking statements, while based on management's best estimates and assumptions, are subject to risks and uncertainties that may cause actual results to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the successful integration of acquisitions; risks related to international operations; risks related to general economic conditions and credit availability, actual results of current exploration activities, unanticipated reclamation expenses; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including gold; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which Endeavour operates. Although Endeavour has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Please refer to Endeavour's most recent Annual Information Form filed under its profile at www.sedar.com for further information respecting the risks affecting Endeavour and its business.
For additional information, contact:
Marla Gale
Vice President - Investor Relations
+1 604 609 6117
mgale@endeavourmining.com
Endeavour Mining Corporation
Cayman Corporate Centre
27 Hospital Road
George Town, Grand Cayman,
KY1 1109, Cayman Islands
Tel: +1 345 946 7603
Fax: +1 345 946 7604
www.endeavourmining.com
A Cayman Islands exempted company with limited liability.
Vancouver, August 7, 2012 - Endeavour Mining Corporation today announced it has entered into a definitive arrangement agreement with Avion Gold Corporation ("Avion") (TSX: AVR, OTCQX: AVGCF) pursuant to which Endeavour will acquire all of the issued and outstanding common shares of Avion via a court-approved plan of arrangement (the "Arrangement Agreement"). To keep pace with the growth of its operations, Endeavour also announced an expanded board and management team.
Summary of the transaction:
•Acquisition of Avion in an all share transaction with each Avion common share exchanged for 0.365 of an Endeavour common share valuing Avion at CDN$0.88 per share or CDN$389 million, using closing prices on the TSX as of August 7, 2012
•The acquisition will immediately increase Endeavour's forecast gold production by approximately 50% to 282,000 - 304,000 ounces for 2012
•Endeavour is providing a US$20 million short term exchangeable loan to Avion ("Bridge Loan") to restart the Tabakoto mill capacity upgrade, leading to further gold production growth to over 450,000 ounces per year when Agbaou reaches steady state production.
•Endeavour's NI 43-101 compliant, attributable Proven and Probable gold reserves will increase by 31% to 2.8 million ounces and Measured and Indicated gold resources increase by 52% to 6.0 million ounces, and Inferred gold resources increase by 167% to 3.3 million ounces (see Tables 1 and 2 for details).
•The acquisition of Avion will create one of the largest West African mining companies with three producing mines, a fourth mine currently in construction, and an attractive pipeline of exploration and resource development properties (see Figure 1 for locations).
Terms of the Arrangement Agreement
Under the Arrangement Agreement, each Avion shareholder will receive in exchange for each Avion common share held 0.365 of an Endeavour common share ("Endeavour Share") via a court-approved plan of arrangement. Certain eligible Avion shareholders may elect to receive their consideration in the form of Exchangeable Shares of Endeavour in lieu of Endeavour Shares. Exchangeable Shares may provide eligible Avion shareholders the opportunity to obtain a deferral of taxable capital gains for Canadian income tax purposes. Also under the Arrangement Agreement, Avion stock options will be varied to become exercisable for Endeavour Shares on the same 0.365 exchange ratio.
Based on the closing price of the Endeavour Shares on the Toronto Stock Exchange of CDN$2.40 on August 7, 2012 the implied transaction value of CDN$0.88 per Avion share yields a premium of 56%. The transaction value on a basic share outstanding basis is approximately CDN$389 million and the Avion shareholders will represent approximately 39.8% of the enlarged shareholder base.
Using the 20-day volume weighted average prices ("VWAP") on the TSX for the period ending August 7, 2012 for both Endeavour and Avion, the exchange ratio yields a premium of 70% to Avion. Applying the 85-day VWAPs on the TSX for the period ending August 7, 2012 for both Endeavour and Avion, the exchange ratio yields a premium of 29% to Avion.
The Arrangement Agreement will be subject to, among other things, approval of 66 2/3% of the Avion shareholder votes cast, approval of 50% of the Endeavour shareholder votes cast, and other customary conditions including court approvals. The two shareholder meetings are expected to occur on or about October 12, 2012 and the transaction is expected to close in October 2012. The record date for the special meeting of the Endeavour shareholders will be announced in the near future.
Neil Woodyer, CEO of Endeavour, commented:
"The acquisition of Avion complements our strategy of becoming a leading and diversified West African gold producer. Avion's Tabakoto Mine and Kofi property in western Mali and the advanced Houndé property in Burkina Faso fit very well into Endeavour's production and development portfolios. At closing, Endeavour's gold production immediately rises to approximately 300,000 ounces per year and including the Tabakoto mill expansion and completion of Agbaou construction, our gold production is forecast to reach approximately 450,000 ounces per year. Endeavour has a well-established track record of using its financial and operating strengths to create value and produce results."
HIGHLIGHTS OF THE ACQUISITION
•A pro forma market capitalization of $977 million using Endeavour's closing price on the TSX as of August 7, 2012
•Endeavour has a pro forma 2012 gold production range of 282,000 to 304,000 ounces, with substantial operating cash flows
•Avion's 80% owned Tabakoto mine produced 91,200 ounces at cash costs of $652 per ounce in 2011, with 2012 production guidance on track to deliver between 95,000 and 102,000 ounces
•Endeavour's financial strength to address immediate cash needs at Avion, and get the Tabakoto mill expansion, from 2,000 tpd to 4,000 tpd, back on track
•Increased operating and geographical diversification, with three operating mines (Ghana, Burkina Faso, western Mali) and a fourth mine in construction (Côte d'Ivoire)
•Addition of Avion's Houndé exploration concession in Burkina Faso includes the highly prospective Vindaloo Deposit, which is progressing towards a Preliminary Economic Assessment by year end. Current resources on the Houndé concession are 893,000 indicated ounces and 712,000 inferred ounces (see Table 2 for mineral resource details)
•Addition of Avion's Kofi exploration concession in western Mali, that is approximately 30km to 60km North of the Tabakoto processing plant, which currently hosts 500,000 indicated ounces and 702,000 inferred ounces (see Table 2 for mineral resource details)
•Addition of 1,800 km2 of exploration ground for a total of 11,800 km2
•Through an all-stock transaction, Avion shareholders can continue to participate in future growth
•Valuation upside as Endeavour continues to progress toward becoming a mid-tier gold producer
Figure 1 - Mine & Project Location Map
For more details about the transaction, please refer to the investor presentation on Endeavour's website at www.endeavourmining.com.
Board and Management Changes
In line with the growth of the business, Endeavour is strengthening its board and management teams. The Board of Directors will be increased from seven to eight directors, with both John Begeman and another member of the current Avion board joining, and one member of the current Endeavour board will resign. John Begeman is currently President and CEO of Avion and a mining engineer with over 30 years of mining experience.
Mark Connelly, currently the Chief Operating Officer ("COO") of Endeavour, has elected to step down from his role as COO effective August 31, 2012 in order to pursue other interests. Mark will remain on the Endeavour board. Mark is replaced as COO by Adriaan ("Attie") Roux, formerly Senior VP Operations. Attie Roux joined Endeavour following the completion of the merger with Adamus in December 2011, having been responsible for commissioning the Nzema processing plant in Ghana. As Senior VP Operations at Endeavour, he managed Endeavour's two operating mines - Youga and Nzema. Prior to joining Adamus in 2010, Attie worked for AngloGold Ashanti as a metallurgist for more than 30 years, including some of AngloGold's most successful mines in West Africa, including Siquiri (Guinea), Iduapriem and Obuasi (both Ghana).
Endeavour is also pleased to announce the further strengthening of its technical team based in Accra, Ghana, with the appointment of Gérard De Hert as Vice President of Exploration. As part of the management progression, two members of Endeavour's Technical Services team have been promoted: David Laing is now Executive Vice President Technical Services and Doug Reddy has been named Senior Vice President Technical Services.
Neil Woodyer, CEO of Endeavour, commented
"Mark Connelly built Adamus Resources into a successful mining operation and has been key in developing Endeavour into the business it is today - a fast growing and profitable gold producer with projects throughout West Africa. We look forward to his valued contribution as a member of our board. Attie Roux, with his proven operational management and technical expertise in commissioning the Nzema project on time and on budget, will ensure continuity as COO as we progress with the construction of Agbaou and the integration of Tabakoto into our operating platform.
We are also pleased to welcome Gérard de Hert to our technical team based in Accra, Ghana; his 14 years plus of experience in Africa in both mining and exploration is ideally suited to lead our near-mine and regional exploration programs. Endeavour is continuing to build upon its strong team based in Accra, Ghana, which is the principal technical hub for the Company's expansion throughout the region. The Accra team is complemented by our technical services group in Vancouver; David Laing and Doug Reddy, who between them have over 60 years experience in engineering, mine management, construction, exploration, technical reporting and consulting."
Additional details of the Transaction
The proceeds of the US$20 million Bridge Loan will be used by Avion to fund capital expenditures for the mill expansion at the Tabakoto operation in western Mali, and for other corporate needs. The terms of the Bridge Loan include a repayment date which is 6 months from the date of the loan; the loan may be repaid (a) in cash or (b) by Avion giving notice that it wishes to repay by delivering common shares of Avion to Endeavour. If Avion elects option (b) above, Endeavour may accept or may instead give notice to Avion electing to extend the repayment date by a further 6 month period. The loan is secured by the shares of certain of Avion's subsidiary companies which are holding companies for the Tabakoto, Houndé and Kofi properties.
Subject to pending TSX approval, the Bridge Loan contains an exchange feature enabling Endeavour in its sole discretion to exchange the Bridge Loan principal at any time into Avion common shares at an exchange price of US$0.4323. If Endeavour has not previously exercised its exchange right before the initial repayment date and Avion elects to deliver common shares in lieu of a cash repayment, the exchange price shall be the lower of (i) US$0.4323, and (ii) the 5-day VWAP for Avion on the TSX to the close of trading on the date immediately preceding the initial repayment date.
The Arrangement Agreement includes customary deal protections. Avion has agreed not to solicit any alternative transactions and has agreed to pay Endeavour a break fee of approximately CDN$11.5 million and an Expense Fee of $2 million in certain circumstances. In addition, Endeavour has been granted the right to match any competing offer and has agreed to pay Avion an Expense Fee of $1 million in certain circumstances.
Both the Endeavour and Avion Boards of Directors have determined that the proposed acquisition is in the best interests of their respective companies based on a number of factors, including fairness opinions received from their financial advisors, and have unanimously approved the terms of the Arrangement Agreement and recommend that their respective shareholders vote in favour of the proposed acquisition.
The directors and officers of Endeavour, Avion, Forbes and Manhattan and Stan Bharti have agreed to execute agreements to vote their shares in favour of the proposed acquisition, subject to customary fiduciary waivers in the case of a superior offer.
Stikeman Elliott LLP has provided Endeavour with legal counsel, and Canaccord Genuity Corp. has provided Endeavour's Board of Directors with an opinion that, as of the date thereof and subject to the assumptions, limitations and qualifications set out therein, the exchange ratio is fair, from a financial point of view, to the shareholders of Endeavour.
For the benefit of Endeavour's shareholders, full details of the proposed transaction will be included in a management information circular to be filed with regulatory authorities in both Canada and Australia and mailed to the Endeavour shareholders in accordance with applicable securities laws. For the benefit of Avion's shareholders, Avion will be mailing a management information circular to its shareholders.
Conference Call and Webcast Details
Endeavour will host a conference call and webcast to discuss the transaction as part of its previously announced Q2 results webcast on Thursday, August 9, 2012 at
5:00 AM in Vancouver
8:00 AM in Toronto and New York
1:00 PM in London
8:00 PM in Perth
10:00 PM in Sydney
Participating on the call will be Neil Woodyer, CEO of Endeavour, John Begeman, CEO of Avion, and also from Endeavour: Mark Connelly, COO, Christian Milau, CFO, David Laing, Executive VP - Technical Services, and Doug Bowlby, Executive VP - Corporate Development. Analysts and interested investors are invited to participate in the conference call using the dial in numbers below.
International: +1 201-689-8433
North American toll-free: +1 877-407-0832
Australian toll-free: 0011-800-2246-2666
The conference call can also be accessed through the following link: http://www.endeavourmining.com/s/Webcasts.asp
The call will be archived for later playback on Endeavour's website until August 9, 2013.
Table 1 - Pro Forma Mineral Reserves a
Mine / Project Reserves
Proven Probable Proven & Probable Gold
Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Price
Mt g/t Mt g/t Mt g/t US$/oz
Nzema1,2,3,4- Total 11.938 2.0 770,000 2.664 2.3 193,000 14.603 2.0 964,000 US$900
Attributable - 90% 693,000 174,000 867,000
Youga5,6,7 - Total 3.517 2.1 235,000 3.792 1.7 212,000 7.308 1.9 448,000 US$1200
Attributable - 90% 211,000 191,000 403,000
Agbaou8 - Total 5.407 2.3 390,000 5.668 2.8 515,000 11.075 2.5 905,000 US$1200
Attributable - 85% 332,000 438,000 769,000
Finkolo9 - Total 1.037 3.3 109,000 1.381 2.9 127,000 2.418 3.0 237,000 US$900
Attributable - 40% 44,000 51,000 95,000
Tabakoto Underground10, 11 - Total 0.355 5.4 61,000 4.251 4.4 604,000 4.606 4.5 665,000 US$1183
Attributable - 80% 49,000 483,000 532,000
Tabakoto Open Pit10, 11, - Total 0.078 3.7 9,000 0.931 3.6 107,000 1.009 3.6 116,000 US$1183
Attributable - 80% 7,000 86,000 93,000
Tabakoto Stockpile10, 11,- Total 1.291 1.1 46,000 1.291 1.1 46,000 na
Attributable - 80% 37,000 37,000
Pro Forma Total 1,620,000 1,758,000 3,381,000
Pro Forma Attributable 1,373,000 1,423,000 2,796,000
Table 2 - Pro Forma Mineral Resources a
Mine / Project Resources (including reserves) Lower cutoff
Measured Indicated Measured & Indicated Inferred
Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces
Mt Au g/t Mt Au g/t Mt Au g/t Mt Au g/t Au g/t
Nzema1,2,3,4 - Total 31.658 1.4 1,409,000 16.671 1.2 656,000 48.329 1.3 2,064,000 17.725 1.1 652,000 0.5
Attributable - 90% 1,268,000 590,000 1,858,000 587,000 0.5
Youga5 - Total 3.526 2.3 266,000 7.897 1.6 398,000 11.422 1.8 664,000 3.462 1.2 138,000 0.5
Attributable - 90% 239,000 358,000 598,000 124,000 0.5
Youga Satellite6 - Total 3.220 1.1 118,000 3.731 1.2 146,000 6.951 1.2 264,000 1.211 1.4 55,000 0.5
Attributable - 90% 106,000 131,000 238,000 50,000 0.5
Ouare9 - Total 4.738 2.1 323,000 0.5
Attributable - 90% 291,000 0.5
Agbaou8 - Total 6.262 2.2 438,000 8.708 2.6 719,000 14.970 2.4 1,157,000 1.473 1.5 73,000 0.5
Attributable - 85% 373,000 611,000 983,000 62,000 0.5
Finkolo9 - Total 3.290 2.3 242,000 6.820 2.0 445,000 10.110 2.1 687,000 6.730 1.4 301,000 0.5
Attributable - 40% 97,000 178,000 275,000 120,000 0.5
Tabakoto Underground10, 11, - Total 0.341 7.0 76,000 4.773 5.5 848,000 5.114 5.6 925,000 6.007 5.0 968,000 2.0
Attributable - 80% 61,000 678,000 740,000 774,000 2.0
Tabakoto Open Pit10, 11 - Total 0.054 4.9 9,000 1.604 3.5 182,000 1.658 3.6 190,000 1.591 2.9 149,000 1.0
Attributable - 80% 7,000 146,000 152,000 119,000 1.0
Kofi12 - Total 6.901 2.3 500,000 6.901 2.3 500,000 12.355 1.8 702,000 0.5
Attributable - 75% 375,000 375,000 527,000 0.5
Houndé13 - Total 13.407 2.1 893,000 13.407 2.1 893,000 10.717 2.1 712,000 0.5
Attributable - 90% 804,000 804,000 641,000 0.5
Pro Forma Total 2,558,000 4,787,000 7,344,000 4,073,000
Pro Forma Attributable 2,151,000 3,871,000 6,023,000 3,295,000
Notes to Mineral Resource and Reserve Tables
a Effective dates are as follows: Nzema & Youga - December 31, 2011, Ouare - June 16 2009, Agbaou - May 25, 2012, Finkolo - June 10, 2010, Tabakoto - January 1, 2012, Kofi - December 21, 2011, Houndé - December 19, 2011
1 Technical Report Southern Ashanti Gold Project, Ghana, West Africa effective August 17, 2009, prepared by Ron Heeks (M.AusIMM), Technical Manager Adamus Resources Limited. Qualified Persons not independent of Endeavour Mining Corporation, Depleted as of December 31, 2011.
2 2012 Mineral Resource update of the Salman Gold Deposit effective February 16 2012, prepared by Nic Johnson (M.AIG), MPR Geological Consultants.
3 2012 Mineral Resource update of the Aliva and Nfutu Gold Deposits effective February 17, 2012, prepared by Nic Johnson (M.AIG), MPR Geological Consultants.
4 Mineral Resource for the Akropon Gold Deposit, Internal Resource Estimate effective February 20, 2012, prepared by William Yeo, Qualified Persons not independent of Endeavour Mining Corporation.
5 Technical Report and Update of Mineral Resources and Mineral Reserves for the Youga Gold Mine, Burkina Faso, West Africa, effective December 31, 2010 and dated March 15, 2011, prepared by A. de Freitas and K. Woodman, Qualified Persons not independent of Endeavour Mining Corporation, Depleted as of December 31, 2011.
6 Youga Satellite Deposits, Internal Resource Estimates, prepared by AMEC under supervision of K. Woodman; Internal Reserve Estimates, prepared by SEMS under supervision of A. de Freitas Qualified Persons not independent of Endeavour Mining Corporation.
7 Ouaré Deposit, Internal Resource Estimate, dated June 16 2009 prepared by A. Mouton under supervision of K. Woodman Qualified Persons not independent of Endeavour Mining Corporation.
8 Agbaou Gold Project Technical Report, Cote d'Ivoire, West Africa for Endeavour Mining Corp. effective date of May 25, 2012, prepared by SRK Consulting South Africa (Pty) Ltd, SENET , Knight Piésold Consulting.
9 Tabakoroni Feasibility Study Report, Tabakoroni Gold Deposit, Mali, West Africa, dated June 10, 2010, prepared by S. Stein and K. Woodman, Qualified Persons not independent of Endeavour Mining Corporation.
10 Andrew Bradfield, P.Eng. and Don Dudek, P.Geo. Sr. Officers of Avion and Qualified Persons, as such term is defined under NI 43-101, are responsible for the Mineral Reserve estimates and have reviewed and approved the scientific and technical information in this document relating to those estimates.
11 The Mineral Reserves have been classified in accordance with requirements of NI 43-101 and the CIM standards. Mineral Reserve estimates are based on a gold price of USD$1,183 per ounce and a 94% process plant recovery. Additional parameters used to define the reserves are presented in a NI 43-101 compliant report filed on SEDAR on August 17, 2011, entitled Technical Report on the Tabakoto Mining Operations Mali, West Africa for Avion Gold Corporation and prepared by P&E Mining Consultants Inc
12 Technical Report and Updated Resource Estimate on the Kofi Project, Mali, Africa for Avion Gold Corp, dated December 21, 2011, and prepared by P&E Mining Consultants Inc.
13 Technical Report and Updated Resource Estimate on the Houndé Property, Burkina Faso, Africa for Avion Gold Corp, dated December 19, 2011, and prepared by P&E Mining Consultants Inc.
Qualified Person
Adriaan "Attie" Roux, Pr. Sci.Nat, Endeavour's Senior VP - Operations, is a Qualified Person under NI 43-101, and has reviewed and approved the technical information in this news release, except if noted otherwise.
About Endeavour Mining Corporation
Endeavour is a gold producer delivering growth. Endeavour owns two gold mines producing approximately 195,000 ounces per year in Ghana and Burkina Faso that are generating significant operating cash flows to fund exploration and development growth. In addition to upside potential at its current operations, Endeavour's third gold mine, Agbaou in Côte d'Ivoire has entered the construction phase for an additional 100,000 ounces per year during Q1 2014. Endeavour's strong financial base encourages investments in long-term operational growth, exploration to replace and increase reserves, and funding for acquisitions.
Endeavour Mining Corporation is listed on the TSX (symbol EDV) and ASX (symbol EVR), and also trades on the OTCQX (symbol EDVMF).
On behalf of Endeavour Mining Corporation
Neil Woodyer
Chief Executive Officer
This news release contains "forward-looking statements" including but not limited to, statements with respect to Endeavour and Avion's plans and operating performance, the estimation of mineral reserves and resources, the timing and amount of estimated future production, costs of future production, future capital expenditures, and the success of exploration activities. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "expects", "expected", "budgeted", "forecasts" and "anticipates". Forward-looking statements, while based on management's best estimates and assumptions, are subject to risks and uncertainties that may cause actual results to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the successful integration of acquisitions; risks related to international operations; risks related to general economic conditions and credit availability, actual results of current exploration activities, unanticipated reclamation expenses; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including gold; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which Endeavour operates. Although Endeavour has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Please refer to Endeavour and Avion's most recent Annual Information Form filed under their respective profiles at www.sedar.com for further information respecting the risks affecting Endeavour, Avion and their businesses.
For additional information, contact:
Marla Gale
Vice President - Investor Relations
+1 604 609 6117
mgale@endeavourmining.com
Bobby Morse (for UK/European enquiries)
Buchanan
+44 (0)20 7466 5000
bobbym@buchanan.uk.com
Endeavour Mining Corporation
Cayman Corporate Centre
27 Hospital Road
George Town, Grand Cayman,
KY1 1109, Cayman Islands
Tel: +1 345 946 7603
Fax: +1 345 946 7604
www.endeavourmining.com
A Cayman Islands exempted company with limited liability.
Followers
|
0
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
13
|
Created
|
08/08/12
|
Type
|
Free
|
Moderators |
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |