Burkina Faso : Houndé gold mine shows key metrics ahead of assumptions

Endeavour Mining Corp, operating five gold mines in West Africa, completed construction of its Houndé gold project, in Burkina Faso, 15 million $ below initial capital budget of 328 million $, it reported on 31 October. The commercial production is declared more than two months ahead of schedule as a stable nameplate capacity was achieved within weeks from first ore being introduced into the plant on 25 September 2017. 

The achievement occurred “with all key metrics ahead of the assumptions set out in the feasibility study”, Sébastien de Montessus, President and CEO of Endeavour, explained. The mine shows a very low All-In-Sustaining Costs of below $600/oz and it is expected to immediately start contributing to the Group’s free cash flow generation. “After unlocking value by successfully bringing the project into production, we now look forward to quickly creating further value through our exploration program." Sébastien de Montessus added.

The Houndé project, 90% owned by Endeavour Mining, ranks amongst the West Africa’s top tier cash generating mines. The open pit mine, with a 3.0Mtpa gravity circuit / Carbon-In-Leach plant, achieved its first gold pour on 18 October 2017. It is expected to produce between 30,000 to 35,000 ounces of gold at an All-in Sustaining Cost ("AISC") between $550-600/oz in the fourth quarter 2017.

The TSX listed intermediate African gold producer, Endeavour Mining, operates five mines Agbaou and Ity in Côte d’Ivoire, Karma in Burkina Faso, Tabakoto in Mali, and Nzema in Ghana. The assets are expected to produce 600-640 000 ounces of gold at an AISC of US$860-905/oz in 2017. The company is focused on offering both near-term and long-term growth opportunities with its project pipeline and its exploration strategy, while generating immediate cash flow from its operations.