viewEndeavour Mining Corp

Endeavour Mining says Fetekro could be its highest grade operation as it lifts indicated resource by 108%

The firm said 97% of the overall resource at the deposit is classified as indicated, so no further drilling is required to class it as a reserve

Endeavour Mining Corp -
Endeavour's chief executive Sébastien de Montessus said the firm was 'thrilled' at the upgrade

Endeavour Mining Corp (TSE:EDV) (OTCMKTS: EDVMF), the West-Africa gold miner, has more than doubled the higher confidence indicated resources at its Fetekro exploration project in Ivory Coast, saying it has the potential to be the firm's highest grade operation to date.

The resource at the Lafigué deposit at Fetekro has grown by an impressive 108% to 2.5 million ounces of gold at a grade of 2.40  grams per ton (g/t) of the precious metal, at a 0.5g/t cut-off, the group said.

READ: Endeavour Mining mulls listing in London, New York after merger with rival Semafo

Notably, as now 97% of the overall resource at the deposit is classified as indicated, no further drilling is required to class it as a reserve.

Endeavour's chief executive Sébastien de Montessus said that the firm was 'thrilled' at the upgrade.

"Moreover, we are pleased with the value generated from our exploration efforts as we have spent a total of $19 million at Fetekro over the past three years which resulted in a discovery cost of $7.50/oz per Indicated ounce," he added in a statement.

"We believe that Fetekro has the potential to be a quality project, given its exploration potential and an already defined large-scale open pittable deposit with straightforward metallurgy, high gold recovery, located close to existing infrastructure and requiring only minimal relocation.

"With more than 2.0 million ounces at grades above 3.50 g/t gold, it would make it our highest-grade mine, in a country where we have successfully built two mines in the past decade."

An initial preliminary economic assessment (PEA) at Lafigué based on the previously announced 1.2 million ounce (Moz) indicated resource already showed robust project economics for an eight year mine.

The pre-tax net present value (NPV) was pegged at US$372 million and an internal rate of return (IRR) of 37% at a US$1,500 gold price with life of mine all-in-sustaining-costs (AISC) of US$697 an ounce.

Endeavour said an updated PEA based on today's updated 2.5Moz indicated resource is now expected to be published in the fourth quarter of this year.

The multi-asset firm has two mines (Ity and Agbaou) in Ivory Coast, four mines (Houndé, Mana, Karma and Boungou) in Burkina Faso and four potential development projects (Fetekro, Kalana, Bantou and Nabanga).

The company also has a strong portfolio of exploration assets on the highly prospective Birimian Greenstone Belt across Burkina Faso, Ivory Coast, Mali and Guinea.

At Lafigué, the firm plans to start 20,000 meters of additional drilling in the fourth quarter of this year, with the goal of testing its remaining extensions and nearby targets

"We believe there is significant potential for additional ounces to be added at Lafigué, which remains open at depth and along strike, through drilling in the coming year, as well as testing additional targets in close proximity to Lafigué," said Patrick Bouisset, the group's executive vice-president of exploration and growth.

"On a broader note, we are also extremely pleased with our company-wide exploration results. Since the launch of our strategic exploration plan in late 2016, we have added over 8.3 million ounces of Indicated resources and remain on track to reach our very ambitious target at least 10 million ounces of Indicated resources before the end of 2021," the group said

Shares nudged up 1.18% in Toronto to C$36.93 on the day..

Contact the author at [email protected]

Quick facts: Endeavour Mining Corp

Price: 27.21 CAD

Market: TSX
Market Cap: $4.44 billion

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Endeavour Mining Corp named herein, including the promotion by the Company of Endeavour Mining Corp in any Content on the Site, the Company...


Endeavour Mining ramps up exploration efforts with Houndé mine in Africa

Endeavour Mining (TSE: EDV) CFO Vincent Benoit tells Proactive Investors the gold producer has recently made two new discoveries at the company's Kari Pump asset at the Houndé mine in Burkina Faso, Africa. Benoit says the company has successfully extended the Kari Pump high-grade...

on 06/08/2018

3 min read