Endeavour Mining announces positive PEA for Houndé Gold Project

VANCOUVER, Jan. 22, 2013 /CNW/ - Endeavour Mining Corporation ("Endeavour") (TSX: EDV) (ASX: EVR) (OTCQX: EDVMF) announces the results of a positive NI 43-101 Preliminary Economic Assessment (PEA) of its Houndé Gold Project in Burkina Faso together with an updated mineral resource estimate for the project and positive in-fill drill results completed subsequent to the resource estimate.  Endeavour is rapidly advancing Houndé, which has entered the Feasibility Study stage.

(All amounts in US dollars unless otherwise indicated)

Houndé PEA Highlights, on a 100% basis, include:

  • Estimated potential average annual production of 161,000 gold ozs per year over a 10 year mine life, with total life of mine production of 1.61 million ozs
  • An average 91% process recovery at a milling rate of 8,000 tonnes per day supplying a conventional gravity/CIL circuit
  • Owner operated open pit mining and a potentially economic portion of the resource of 28 million tonnes grading 2.0 g/t Au (at 0.91 g/t Au cut-off)
  • Initial start-up capital is estimated at $303 million with sustaining capital estimated at $57 million (excluding VAT and import duties)
  • Total initial funding requirement is estimated at $345 million including start-up capital, VAT, import duties and certain first year equipment purchases
  • Forecast life of mine direct cash cost of $563 per ounce (excluding royalties)
  • The project yields, on an after-tax basis:
  At $1,300/oz Gold
Price (Base Case)
At $1,650/oz Gold
Price (Sensitivity)
NPV 0% $505 million $920 million
NPV 5% $288 million $584 million
IRR 21% 34%

Neil Woodyer, CEO, stated

"The Houndé Gold Project is an outstanding addition to our potential production growth profile with a well-defined, good grade mineralized deposit that has excellent infrastructure and robust preliminary economics. The Houndé deposit has grown quickly in size with every drill program, including an 63% increase in Indicated resources in the update announced today, and has now reached a scale where the development of a mine at Houndé could potentially increase Endeavour's production rate to over 550,000 gold ozs per year during 2016. Work has already begun on a Feasibility Study for Houndé, with all contractors engaged and shipment of metallurgical samples for testing. The in-fill drill program, underway since October 2012, is almost 70% complete and is targeting conversion of Inferred resources to Measured and Indicated to further support the Feasibility Study due to be completed in Q4 2013."

Management Conference Calls

Endeavour's Management will host two conference calls to discuss the results of the Houndé PEA, 2012 Production Results, and 2013 Guidance at times convenient for the North American and Australian time zones on January 23, 2013 and January 24, 2013.  Both conference calls will include Neil Woodyer, Chief Executive Officer, Attie Roux, Chief Operating Officer, Christian Milau, Chief Financial Officer, and Don Dudek, Senior Vice President - Technical Services.  Details for the conference calls can be found at the end of this news release.

Houndé PEA Summary

Endeavour currently has a 100% interest in the Houndé Gold Project, situated in the south-western region of Burkina Faso just south of Semafo's Mana mine (see Figure 1). Ownership is currently 100%, however, upon achieving production it would become 90% by Endeavour and 10% by the government of Burkina Faso.

The Houndé Project PEA focuses on the Vindaloo group of deposits that are located approximately 250 km southwest of Ouagadougou, the capital city of Burkina Faso. The deposits are approximately 2.7 km from a paved highway and as close as 200 metres from a 220 kV power line that extends from Cote d'Ivoire through to Ouagadougou. The nearby town of Houndé has a population of approximately 22,000. A rail line that extends to the port of Abidjan, Cote d'Ivoire lies approximately 25 km east of the deposit area.

The PEA considered the owner operated development of two open pit mines over the Vindaloo and Madras NW zones. The Vindaloo pit would mine a series of closely spaced gold zones along an approximate 4.8 km strike length. The Madras NW pit would be approximately 900 metres long and would only mine saprolite and transition mineralization.

The PEA is preliminary in nature as it includes Inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves at this time, and as such there is no certainty that the preliminary assessment and economics set forth in the PEA will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability.  The PEA should not be considered a substitute for a preliminary feasibility study.  The authors of this Technical Report believe the Project has the potential to be economic and that therefore further studies are warranted.  Pit shells were optimized using a $1,300/oz gold price.

Parameters for the PEA were developed in conjunction with SRK Consulting (Canada) Inc. and are presented in the tables below.

Figure 1 - Endeavour Mines and Houndé Project Location Map
http://files.newswire.ca/910/EDV-Figures.pdf

Table 1:  PEA Parameters

Item Unit PEA
    Saprolite Transition Fresh
Revenue, Smelting & Refining    
  Gold Price US$/oz $1,300
  Payable Metal %Au 99.95%
  Refining/Transport US$/oz $3.35
  Royalties @ 5% of NSR US$/oz $64.80
  Royalties @ 2% of NSR US$/oz $25.92
  Net Gold Price US$/oz $1,205.28
US$/g $38.75
OPEX Estimates    
  OP Waste Mining Cost US$/t waste $1.40 $1.76
  OP Mineralized Mining Cost US$/t ore $1.37 $1.73
  Strip Ratio (estimated) t:t 8.0
  OP Mining Cost US$/t milled $12.60 $15.84
  Processing Cost US$/t milled $11.00 $13.00 $15.00
  G&A US$/t milled $4.00
  Total OPEX Estimate (excl Waste Mining) US$/t milled $14.97 $16.97 $18.97
Process and Mining Losses    
  Process Recovery   95.0% 95.0% 90.0%
  Dilution % 15.0%
Geotechnical Parameters    
  Slope Angles (overall)    
  Saprolite degrees 28 to 35
  Transition degrees 38 to 40
  Fresh degrees 43 to 50
Mill Throughput tpd 8,000

All mineralized material classified as Indicated (74%) and Inferred (26%) Mineral Resources was considered in the optimization and mine plan.

Table 2: PEA Mineralized Material Parameters

Description Unit Tonnage
Mt
Grade
g/t
Contained Gold
koz
Indicated Mineralized Saprolite Mined
1.4 2.12 94
Indicated Mineralized Transition Mined
2.0 2.13 139
Indicated Mineralized Fresh Mined
17.2 1.91 1,057
Total Indicated Mineralized Material
20.6 1.98 1,291
Inferred Mineralizaed Saprolite Mined
1.4 1.45 66
Inferred Mineralized Transition Mined
0.7 1.76 38
Inferred Mineralized Fresh Mined   5.2 2.30 385
Total Inferred Mineralized Material
7.3 2.08 489
Waste Saprolite Mined
53.3  
Waste Transition Mined
40.3  
Waste Fresh Mined
124.8

Total Waste Mined
218.4  
Total Material
246.3  
Strip Ratio t:t 7.8  
Mining Rate (total Material) tpd 63,000  

 

The PEA parameters led to the development of the mining scenario presented below which envisions a four phase pit, with mining progressing from south to north (see Figure 2). The PEA life of mine gold production schedule, based upon an average through put of 2.9 Mt, detailed on an annual basis, is shown in Table 3.

Table 3 - Houndé Life-of-Mine Gold Production Profile

Production
Year
 
Tonnes Treated
kt
ROM Gold
Grade
g/t
Process
Recovery
%
Gold Production
kozs
1 1,800 2.12 91% 111
2 2,916 2.55 91% 216
3 2,920 2.28 91% 194
4 2,920 1.92 91% 163
4 2,920 1.83 91% 156
6 2,920 1.58 91% 134
7 2,920 1.69 91% 143
8 2,920 1.97 91% 167
9 2,920 1.66 91% 141
10 2,752 2.30 91% 185
LOM 27,910 1.98   1,610

Notes: Stockpiling strategies for various mineralization types will cause slight annual variations compared to this high-level summary. A further payables factor of 99.5% has been applied to gold production for preliminary economic modelling.

Figure 2: Whittle Pit with Phase 1 in blue at the south end of the Vindaloo deposits
http://files.newswire.ca/910/EDV-Figures.pdf

Houndé Capital Cost Estimate

The total estimated cost to bring the Houndé Gold Project into production is $303 million, inclusive of contingency and working capital but excluding VAT and import duties, as summarized in Table 4.  The total initial funding requirement, including VAT, import duties, and certain first year equipment purchases amounts to $345 million.

Table 4: Houndé Capital Cost Estimate

   
Houndé Capital Cost US$ Million 
 Mine Equipment 58.3
 Capitalized Pre-production Development 28.2
 Tailings and Water 7.2
 Mill Construction 128.8
 Roads and Infrastructure 44.7
 EPCM, Permitting and Owner's Costs 35.8
 Contingency Included above
        Total Pre-production Capital Costs 303.0
   VAT (refundable) and Import Duties 30.3
   Equipment Purchases (from Year 1) 12.0
        Total Initial Funding Requirement 345.3

Houndé PEA Financial Summary

Based on the scenario detailed in Tables 1 through 4, the Houndé Project generates the following financial results:

At $1,300/oz gold price (Base Case)

Pre-Tax

  • NPV at 0% discount rate totals $687 million
  • NPV at 5% discount rate totals $422 million
  • IRR = 29%

Post-Tax

  • NPV at 0% discount rate totals $505 million
  • NPV at 5% discount rate totals $288 million
  • IRR = 21%
  • Payback 38 months from commencement of production
  • Cash cost per ounce produced - $563/oz (excluding royalties)
  • Cash cost per ounce produced - $641/oz (including royalties)

At $1,650/oz gold price (Sensitivity)

Pre-Tax

  • NPV at 0% discount rate totals $1,190 million
  • NPV at 5% discount rate totals $782 million
  • IRR = 45%

Post-Tax

  • NPV at 0% discount totals $920 million
  • NPV at 5% discount totals $584 million
  • IRR = 34%
  • Payback 20 months from the commencement of production
  • Cash cost per ounce produced - $563/oz (excluding royalties)
  • Cash cost per ounce produced - $678/oz (including royalties)

2012 Houndé Resource Estimate

The PEA, prepared by SRK Consulting (Canada) Inc. is based on a mineral resource estimate prepared by Eugene Puritch, P.Eng, Fred Brown, P.Geo. and Antoine Yassa, P.Geo. of P&E Mining Consultants Inc.

The current resource estimate for the Vindaloo zone at the Houndé Project represents an 63% increase in Indicated mineral resources to 23,708,000 tonnes at 1.91 g/t Au for a total of 1,456,000 ounces of gold. In addition, there is also a modest 6% increase in Inferred mineral resource to 12,210,000 tonnes at 1.91 g/t Au for a total of 752,000 ounces of gold.

All current mineral resources on the Houndé property lie within the Kari Nord concession ('Initial Licenses Areas') and are subject to a Transfer and Claw-Back Option Agreement with African Barrick Gold plc ("African Barrick").  If the resources on the Initial Licenses Areas, as determined by a feasibility study, are less than 3 million ounces then African Barrick does not have any claw-back right but retains a 2% NSR.

The mineral resource estimate for the Vindaloo deposits is reported at a cut-off grade of 0.35 g/t Au, is contained within a conceptual open pit shell and has an effective date of October 31, 2012.

Table 5: Houndé Mineral Resource Estimate (effective October 31, 2012)

Class Mineralization
Type
Tonnes Grade (g/t) Gold Ounces
Indicated Saprolite 1,170,000 2.22 83,000
Transition 1,880,000 2.25 136,000
Fresh 20,658,000 1.86 1,237,000
Total 23,708,000 1.91 1,456,000
Inferred Saprolite 1,601,000 1.39 72,000
Transition 893,000 1.66 48,000
Fresh 9,716,000 2.02 632,000
Total 12,210,000 1.91 752,000

(1)  Resource estimates based on a gold price of US$1,600 per ounce, a 95% process recovery for saprolite and transition and 92% for fresh, mining costs ranging from US$1.25 to US$1.75/tonne, process costs of US$13/tonne and General & Administrative costs of US$4 per tonne were used to determine the 0.35 g/t Open Pit cut-off grade.
(2)      Gold grades were estimated in a 5m x 5m x 5m block model from capped 1.5m composites utilizing inverse distance cubed interpolation. Composites were caped up to 30 g/t depending on the individual mineralized domain.
(3)      Eugene Puritch, P.Eng, Fred Brown, P.Geo. and Antoine Yassa, P.Geo. from P&E Mining Consultants Inc., Qualified Persons under NI 43-101 who are independent of the Company, are responsible for the mineral resource estimates presented herein.
(4)   Mineral resources are reported inside an optimized pit shell and tabulated against a cut-off of 0.35 g/t Au.
(5)   Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.
(6)  The quantity and grade of reported Inferred resources in this estimation are uncertain in nature and there has been insufficient exploration to define these Inferred resources as an Indicated or Measured mineral resource and it is uncertain if further exploration will result in upgrading them to an Indicated or Measured mineral resource category.
(7)   The mineral resources were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Definition Standards for Mineral Resources and Mineral Reserves prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council on November 27, 2010.
   

For reference, an open pit mineral resource sensitivity at a 1.0 g/t cut-off grade was also calculated.

Table 6: Mineral Resource Estimate Sensitivity - 1.0 g/t Au Cut-Off

Cut-off Category Tonnes Grade (g/t) Gold Ounces
1.0 g/t Au Indicated 15,766,000 2.53 1,284,000
Inferred 7,990,000 2.56 658,000

The Vindaloo deposit open pit resources comprise a group of closely-spaced gold-mineralized structures that currently represent an approximate 4.8 km section of the Vindaloo Zone and a 0.9 km long section of the Madras NW zone. A simplified section of the Vindaloo deposit is presented in Figure 3.

The updated mineral resource calculation wire-frames and estimates were initially prepared by Klaus Kappenschneider, a contract employee of the Company and audited and edited by Eugene Puritch, P. Eng., Fred Brown, P. Geo. and Antoine Yassa, P. Geo. of P&E Mining Consultants Inc. ("P&E"), Qualified Persons under NI 43-101 who are independent of the Company.

The updated mineral resource statement is based on an additional 109 core and reverse circulation ("RC") holes, totalling 19,800 metres of drilling. The entire drill database contains 439 drill holes totalling 70,841 metres. All core and RC chip samples were analyzed at SGS's Ouagadougou and Syama laboratories. The procedures for handling drill core and RC drill chips were consistent with previous practice (see description at end) and are standard industry practices.

Figure 3: Typical Cross-Section through the Houndé deposit, Main Pit
http://files.newswire.ca/910/EDV-Figures.pdf

Updated Technical Report

During 2012, P&E Mining Consultants Inc. and SRK were contracted to provide an updated resource estimate and PEA study, respectively. This work is in the process of being compiled into a NI 43-101 report titled "Technical Report and Preliminary Economic Assessment of the Houndé Gold Project, Burkina Faso, West Africa" which will be filed in SEDAR in late February 2013.

Houndé Drill Results - Fall 2012

Endeavour commenced an in-fill drill program in late October 2012 with a goal of converting all in-pit Inferred mineral resources to Measured and Indicated mineral resources. This program envisions approximately 450 holes totalling approximately 39,500 metres, of which, 228 holes totalling 26,978 metres have been completed. Results to date continue to demonstrate excellent continuity of the mineralized zones with assay values similar, or locally much better, than expected. In-fill drilling highlights, which are presented in table form in the Appendix, include several better than average intercepts as follows:

  • 5.24 g/t Au over 34.0 metres
  • 6.27 g/t Au over 43.2 metres
  • 16.00 g/t Au over 8.1 metres
  • 28.25 g/t Au over 6.8 metres
  • 4.97 g/t Au over 47.0 metres

Management Conference Call Details

Endeavour's Management will host two conference calls to discuss the results of the Houndé PEA, 2012 Production Results and 2013 Guidance at times convenient for the North American and Australian time zones on January 23, 2013 and January 24, 2013.  Both conference calls will include Neil Woodyer, Chief Executive Officer, Attie Roux, Chief Operating Officer, Christian Milau, Chief Financial Officer, and Don Dudek, Senior Vice President - Technical Services.

Analysts and interested investors are invited to participate using the dial in numbers below.  The same dial in numbers will be used for both conference calls.

  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
 
To accommodate the North American/European market, the first conference call will
be held and webcast by V-Call on Wednesday, January 23, 2013 at:
     
  10:00 am   in Vancouver
  1:00 pm   in Toronto and New York
  6:00 pm   in London
  2:00 am   in Perth (Jan 24, 2013)
  5:00 am   in Sydney (Jan 24, 2013)
 
To accommodate the Australian market, the second conference call will be held and
webcast by V-Call on Thursday, January 24, 2013 at:
     
  7:00 am   in Perth
  10:00 am   in Sydney
  3:00 pm  in Vancouver (Jan 23, 2013)
  6:00 pm  in Toronto and New York (Jan 23, 2013)
  11:00 pm   in London (Jan 23, 2013)

The calls will be archived for later playback on Endeavour's website until January 24, 2014.

Qualified Persons

Endeavour will file the PEA on the Houndé Gold Project on www.sedar.com within 45 days of the date of this news release.

The PEA will be authored by the independent Qualified Persons who have verified the data in this news release.

   
Dino Pilotto, P.Eng. SRK Principal Consultant (Mining)
Bruce Murphy, FSIAMM SRK Principal Consultant (Geotechnical Engineering )
Maritz Rykaart, P.Eng., Ph.D. SRK Principal Consultant (Geotechnical Engineering)
Jim Yakasovich, P.Eng. SRK Principal Consultant (Mining)
John Duncan, M.Eng., P.Eng. SRK Principal Consultant (Water Resources Engineering)
Mark Liskowich, P.Geol. SRK Principal Consultant (Environmental)
Adrian Dance, P.Eng. SRK Principal Consultant (Metallurgy)
Eugene Puritch  P.Eng. P&E President and Principal Engineer
Antoine Yassa  P.Geo. P&E Sr. Associate Geologist
Fred Brown P.Geo. P&E Sr. Associate Geologist

Don Dudek, P.Geo, Senior Vice-President, Technical Services of Endeavour is a Qualified Person within the definition of that term in NI 43-101 and has supervised the preparation of the technical information contained in this news release.

About Endeavour Mining Corporation

Endeavour is a gold producer delivering growth. Endeavour owns three gold mines producing more than 300,000 ounces per year in Mali, Ghana and Burkina Faso that are generating significant operating cash flows to fund further expansion. Endeavour's gold production is forecast to exceed 550,000 ounces per year in 2016, including the Tabakoto mill expansion in 2013, completion of construction of Agbaou Gold Mine in Côte d'Ivoire scheduled for Q1 2014 and a recently completed PEA that shows potential for 161,000 ozs per year from the Houndé Project in Burkina Faso in 2016.

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 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 mineralized resources, 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: Recent Houndé In-fill Drilling Highlights (fall 2012)

Hole # mineralized interval (m) TW (m) Au (ppm) Au (capped) Zone section
from to width
HA-12-47 122 134 12 8.5 0.93 0.93 Vindaloo 2 52350
HA-12-47 145 151 6 4.2 1.32 1.32 Vindaloo 2 52350
HA-12-47 177.5 178 0.5 0.4 1.63 1.63 Vindaloo 2 52350
HA-12-47 183 184.2 1.2 0.9 1.69 1.69 Vindaloo 2 52350
HA-12-48 141 143 2 1.5 1.12 1.12 Vindaloo NE 51050
HA-12-48 151.3 154.1 2.8 2.2 1.82 1.82 Vindaloo NE 51050
HA-12-48 187.5 197 9.5 7.6 4.83 4.83 Vindaloo NE 51050
HA-12-48 217 218.6 1.6 1.3 1.93 1.93 Vindaloo NE 51050
HA-12-49 154.4 155.1 0.7 0.5 1.24 1.24 Vindaloo NE 50650
HA-12-49 176.3 177.2 0.9 0.6 1.01 1.01 Vindaloo NE 50650
HA-12-50 278.1 280 1.9 1.3 0.96 0.96 Vindaloo Main 50200
HA-12-51 135 138 3 1.8 1.59 1.59 Vindaloo Main 50250
HA-12-52 248 258 10 5.9 5.69 5.69 Vindaloo Main 49900
HA-12-52 292 308 16.3 9.7 1.74 1.74 Vindaloo Main 49900
HA-12-52 323 325 2 1.2 1.06 1.06 Vindaloo Main 49900
HA-12-52 342 345 3 1.8 2.42 2.42 Vindaloo Main 49900
HA-12-52 353 355 2 1.2 1.04 1.04 Vindaloo Main 49900
HA-12-54 62.9 77 14.1 7.3 1.74 1.74 Vindaloo Main 49850
HA-12-54 103.4 107.2 3.9 2.1 1.65 1.65 Vindaloo Main 49850
HA-12-54 177 244 67 37.3 1.54 1.54 Vindaloo Main 49850
HA-12-55         NSR   Vindaloo west 49950
HA-12-56 201 207 6 4 2.84 2.84 Vindaloo NE 50600
HA-12-57 19 53 34 23.7 5.24 5.24 Vindaloo Main 49775
HE-12-01 160.4 162 1.6 1.2 1.39 1.39 Vindaloo Main 48350
HE-12-01 175 176.2 1.2 0.9 2.08 2.08 Vindaloo Main 48350
HE-12-01 187.3 193 5.7 4.2 2.47 2.47 Vindaloo Main 48350
HE-12-02 121.1 140 18.9 13.3 2.96 2.96 Vindaloo Main 48400
HE-12-03 142 144 2 1.4 1.15 1.15 Vindaloo Main 48400
HE-12-03 156.9 158 1.1 0.8 2.27 2.27 Vindaloo Main 48400
HE-12-03 163 170 7 5.1 2.23 2.23 Vindaloo Main 48400
HE-12-03 174 175 1 0.7 1.49 1.49 Vindaloo Main 48400
HE-12-03 195.2 195.6 0.4 0.3 6.2 6.2 Vindaloo Main 48400
HE-12-03 205 210 5 3.7 17.7 8.1 Vindaloo Main 48400
HE-12-03 219.7 222 2.3 1.7 3.83 3.83 Vindaloo Main 48400
HE-12-04 86 88 2 1.3 3.24 3.24 Vindaloo Main 48450
HE-12-04 119 154 35 23 2.54 2.54 Vindaloo Main 48450
HE-12-04 172.5 175.1 2.6 1.7 1.48 1.48 Vindaloo Main 48450
HE-12-04 192 193 1 0.7 1.42 1.42 Vindaloo Main 48450
HE-12-04 199 200.3 1.3 0.9 3.89 3.89 Vindaloo Main 48450
HE-12-05 117.9 126.4 8.5 6.1 2.23 2.23 Vindaloo Main 48500
HE-12-05 136 140 4 2.9 3.19 3.19 Vindaloo Main 48500
HE-12-05 147.8 149.5 1.7 1.2 4.9 4.9 Vindaloo Main 48500
HE-12-05 155.3 157.8 2.5 1.8 3.39 3.39 Vindaloo Main 48500
HE-12-06 167.8 211 43.2 30.8 6.27 5.72 Vindaloo Main 48500
HE-12-06 218 222 4 2.8 1.32 1.32 Vindaloo Main 48500
HE-12-06 230 231 1 0.7 6.8 6.8 Vindaloo Main 48500
HE-12-06 235 248 13 9 4.94 4.94 Vindaloo Main 48500
HE-12-06 252 253 1 0.7 1.04 1.04 Vindaloo Main 48500
HE-12-06 256 265.5 9.5 6.6 3.07 3.07 Vindaloo Main 48500
HE-12-06 275.9 277 1.1 0.8 1.62 1.62 Vindaloo Main 48500
HE-12-07 205.6 206 0.4 0.3 5.5 5.5 Vindaloo Main 48400
HE-12-07 215.7 222.1 6.4 4.7 4.44 4.44 Vindaloo Main 48400
HE-12-07 225.5 232 6.5 4.7 1.14 1.14 Vindaloo Main 48400
HE-12-07 257 259 2 1.5 2.34 2.34 Vindaloo Main 48400
HE-12-07 266 268 2 1.5 1.39 1.39 Vindaloo Main 48400
HE-12-07 271 275 4 2.9 2.82 2.82 Vindaloo Main 48400
HE-12-07 283 285.4 2.4 1.7 11.51 9.79 Vindaloo Main 48400
HE-12-07 291 294.2 3.2 2.3 2.05 2.05 Vindaloo Main 48400
HE-12-07 298.3 306.4 8.1 5.8 16 9.07 Vindaloo Main 48400
HE-12-07 312.8 320 7.2 5.3 9.57 9.57 Vindaloo Main 48400
HE-12-07 330.1 336.9 6.8 5 28.25 13.79 Vindaloo Main 48400
HE-12-08 155 158.1 3.1 1.9 6.12 6.12 Vindaloo Main 48700
HE-12-08 163 164 1 0.6 1.42 1.42 Vindaloo Main 48700
HE-12-08 173.4 174.5 1.1 0.7 2.16 2.16 Vindaloo Main 48700
HE-12-08 177 201.4 24.4 14.5 4.18 4.18 Vindaloo Main 48700
HE-12-08 216.2 216.7 0.5 0.3 10.3 10.3 Vindaloo Main 48700
HE-12-09 219.7 246 26.3 15.5 2.57 2.57 Vindaloo Main 48750
HE-12-09 253.9 255.3 1.5 0.9 1.19 1.19 Vindaloo Main 48750
HE-12-09 258.5 264 5.5 3.3 2.21 2.21 Vindaloo Main 48750
HE-12-14 182 183.5 1.5 0.9 4.8 4.8 Vindaloo NE 49000
HE-12-15 165.6 169.5 3.9 2.4 3.34 3.34 Vindaloo2 49050
HE-12-15 206 211 5 3.1 7.37 7.37 Vindaloo2 49050
HE-12-16 95.5 100 4.5 2.8 2.1 2.1 Vindaloo2 49300
HE-12-16 104 105 1 0.6 3.24 3.24 Vindaloo2 49300
HE-12-16 198 199.5 1.5 1 1.17 1.17 Vindaloo2 49300
HE-12-16 221 222.5 1.5 1 4.15 4.15 Vindaloo2 49300
HE-12-16 278 280 2 1.3 1.5 1.5 Vindaloo2 49300
HE-12-16 287 295.5 8.5 5.7 1.62 1.62 Vindaloo2 49300
HD-12-109 72 73 1 0.7 1.42 1.42  Vindaloo Main 48425
HD-12-112 79 83 4 2.9 5.75 5.75  Vindaloo Main 48475
HD-12-114 78 82 4 2.8 3.18 3.18 Vindaloo Main 48500
HD-12-114 85 87 2 1.4 3.82 3.82 Vindaloo Main 48500
HD-12-116 76 77 1 0.7 1.42 1.42 Vindaloo Main 48525
HD-12-117 41 42 1 0.7 2.41 2.41 Vindaloo Main 48550
HD-12-117 47 51 4 2.8 2.69 2.69 Vindaloo Main 48550
HD-12-118 48 52 4 2.8 5.5 5.50 Vindaloo Main 48575
HD-12-118 59 62 3 2.1 1.73 1.73 Vindaloo Main 48575
HD-12-119 26 35 9 5.3 2.36 2.36 Vindaloo Main 48600
HD-12-119 88 89 1 0.6 1.19 1.19 Vindaloo Main 48600
HD-12-120 32 40 8 4.8 3.61 3.61 Vindaloo Main 48600
HD-12-120 58 66 8 4.9 7.32 6.77 Vindaloo Main 48600
HD-12-120 72 74 2 1.2 1.19 1.19 Vindaloo Main 48600
HD-12-122 18 19 1 0.7 7.2 7.20 Vindaloo Main 48625
HD-12-122 24 28 4 2.8 6.55 6.55 Vindaloo Main 48625
HD-12-122 37 38 1 0.7 1.94 1.94 Vindaloo Main 48625
HD-12-129 63 64 1 0.7 1.83 1.83 Vindaloo SW 48675
HD-12-129 67 73 6 4 3.62 3.62 Vindaloo SW 48675
HD-12-129 104 106 2 1.4 7.55 7.55 Vindaloo SW 48675
HD-12-130 10 26 16 11.6 4.73 4.73 Vindaloo SW 48700
HD-12-130 33 44 11 8.2 3.28 3.28 Vindaloo SW 48700
HD-12-130 50 51 1 0.8 2.34 2.34 Vindaloo SW 48700
HD-12-130 53 54 1 0.8 2.28 2.28 Vindaloo SW 48700
HD-12-130 58 61 3 2.3 1.78 1.78 Vindaloo SW 48700
HD-12-131 27 41 14 9.8 2.63 2.63 Vindaloo SW 48700
HD-12-131 59 62 3 2.1 2.49 2.49 Vindaloo SW 48700
HD-12-131 65 69 4 2.8 2.61 2.61 Vindaloo SW 48700
HD-12-131 88 96 8 5.7 5.57 5.57 Vindaloo SW 48700
HD-12-132 27 77 50 35.1 2.68 2.68 Vindaloo SW 48725
HD-12-133 0 1 1 0.7 1.12 1.12 Vindaloo Main 48750
HD-12-133 20 22 2 1.4 2.55 2.55 Vindaloo Main 48750
HD-12-133 29 37 8 5.5 2.6 2.6 Vindaloo Main 48750
HD-12-133 47 49 2 1.5 3.29 3.29 Vindaloo Main 48750
HD-12-134 0 1 1 0.7 1.19 1.19 Vindaloo SW 48725
HD-12-134 9 13 4 2.9 4.24 4.24 Vindaloo SW 48725
HD-12-134 23 25 2 1.4 1.68 1.68 Vindaloo SW 48725
HD-12-134 32 36 4 2.9 3.86 3.86 Vindaloo SW 48725
HD-12-134 60 61 1 0.8 1.25 1.25 Vindaloo SW 48725
HD-12-135 57 67 10 7.49 1.98 1.98 Vindaloo SW 48775
HD-12-136 55 56 1 0.73 2.6 2.6 Vindaloo SW 48775
HD-12-136 73 74 1 0.76 3.35 3.35 Vindaloo SW 48775
HD-12-136 87 90 3 2.36 1.43 1.43 Vindaloo SW 48775
HD-12-136 100 105 5 3.95 3.46 3.46 Vindaloo SW 48725
HD-12-137 13 14 1 0.71 2.38 2.38 Vindaloo West 49175
HD-12-138         NSR   Vindaloo SW 49175
HD-12-139         NSR   Vindaloo West 49175
HD-12-140 46 49 3 2.2 4.21 4.21 Vindaloo West 49200
HD-12-141 62 65 3 2.1 3.29 3.29 Vindaloo SW 49200
HD-12-141 69 72 3 2.1 1.48 1.48 Vindaloo SW 49200
HD-12-142         NSR   Vindaloo West 49150
HD-12-143 40 41 1 0.7 2.36 2.36 Vindaloo SW 49225
HD-12-144 50 56 6 4.3 1.62 1.62 Vindaloo SW 49225
HD-12-145         NSR   Vindaloo West 49225
HD-12-146 92 95 3 2.1 1.51 1.51 Vindaloo Main 49275
HD-12-147 16 19 3 1.5 4.31 4.31 Vindaloo Main 49275
HD-12-148 35 37 2 1.3 2.96 2.96 Vindaloo West 49300
HD-12-149 77 78 1 0.7 1.58 1.58 Vindaloo SW 49325
HD-12-150 31 33 2 1.4 3.49 3.49 Vindaloo SW 49325
HD-12-150 37 39 1 0.7 3.76 2.38 Vindaloo SW 49325
HD-12-150 41 42 1 0.7 1.36 1.36 Vindaloo SW 49325
HD-12-151 69 70 1 0.6 6.2 6.2 Vindaloo West 49350
HD-12-151 149 154 5 3.1 8.82 8.26 Vindaloo West 49350
HD-12-152         NSR   Vindaloo West 49350
HD-12-153 1 4 3 2.1 2.07 2.07 Vindaloo SW 49375
HD-12-153 19 20 1 0.7 6.3 6.3 Vindaloo SW 49375
HD-12-153 26 27 1 0.7 1.29 1.29 Vindaloo SW 49375
HD-12-154 29 30 1 0.7 1.38 1.38 Vindaloo SW 49375
HD-12-154 80 81 1 0.7 1.7 1.7 Vindaloo SW 49375
HD-12-154 98 99 1 0.7 0.09 0.09 Vindaloo SW 49375
HD-12-155         NSR   Vindaloo West 49375
HD-12-156         NSR   Vindaloo SW 49425
HD-12-157 23 24 1 0.7 1.23 1.23 Vindaloo SW 49425
HD-12-157 43 44 1 0.7 1.86 1.86 Vindaloo SW 49425
HD-12-157 90 96 6 4.5 3.47 3.47 Vindaloo Main 49425
HD-12-158         NSR   Vindaloo West 49450
HD-12-159         NSR   Vindaloo West 49450
HD-12-160         NSR   Vindaloo SW 49475
HD-12-161 5 7 2 1.4 2 2 Vindaloo SW 49475
HD-12-161 13 20 7 4.9 3.48 3.48 Vindaloo SW 49475
HD-12-161 30 34 4 2.8 3 3 Vindaloo SW 49475
HD-12-161 61 64 3 2.1 1.16 1.16 Vindaloo SW 49475
HD-12-161 79 83 4 2.9 1.32 1.32 Vindaloo SW 49475
HD-12-161 89 90 1 0.7 1.52 1.52 Vindaloo SW 49475
HD-12-162 49 50 1 0.6 1.45 1.45 Vindaloo SW 49500
HD-12-162 53 59 6 3.4 9.17 9.17 Vindaloo SW 49500
HD-12-162 70 71 1 0.6 2.95 2.95 Vindaloo SW 49500
HD-12-163         NSR   Vindaloo Main 49525
HD-12-164 0 2 2 1.4 1.49 1.49 Vindaloo SW 49525
HD-12-164 54 61 7 5 9.74 9.74 Vindaloo Main 49525
HD-12-165 47 81 34 21.6 2.13 2.13 Vindaloo Main 49550
HD-12-165 87 88 1 0.7 1.04 1.04 Vindaloo Main 49550
HD-12-165 102 105 3 2 5.68 5.68 Vindaloo Main 49550
HD-12-166         NSR   Vindaloo Main 49575
HD-12-167 46 71 25 17.7 3.4 3.4 Vindaloo Main 49575
HD-12-167 91 92 1 0.7 1.1 1.1 Vindaloo Main 49575
HD-12-168 19 20 1 0.7 2.1 2.1 Vindaloo West 49575
HD-12-168 39 40 1 0.7 1.06 1.06 Vindaloo West 49575
HD-12-169 29 33 4 2.9 3.28 3.28 Vindaloo Main 49600
HD-12-170 9 10 1 0.7 3.32 3.32 Vindaloo Main 49625
HD-12-170 16 19 3 2.1 1.56 1.56 Vindaloo Main 49625
HD-12-170 23 24 1 0.7 1.92 1.92 Vindaloo Main 49625
HD-12-170 28 29 1 0.7 1.21 1.21 Vindaloo Main 49625
HD-12-170 35 45 10 7.1 5.22 5.22 Vindaloo Main 49625
HD-12-171 9 10 1 0.7 13.1 13.1 Vindaloo Main 49625
HD-12-171 27 29 2 1.4 0.95 0.95 Vindaloo Main 49625
HD-12-171 50 97 47 33.2 4.97 4.46 Vindaloo Main 49625
HD-12-172 23 37 14 9.8 2.91 2.91 Vindaloo West 49650
HD-12-172 44 45 1 0.7 1.02 1.02 Vindaloo West 49650
HD-12-173 4 6 2 1.4 1.03 1.03 Vindaloo Main 49675
HD-12-173 14 16 2 1.4 2.1 2.1 Vindaloo Main 49675
HD-12-173 28 43 15 10.6 3.25 3.25 Vindaloo Main 49675
HD-12-174 11 12 1 0.7 1.23 1.23 Vindaloo Main 49675
HD-12-174 34 35 1 0.7 1.77 1.77 Vindaloo Main 49675
HD-12-174 48 87 39 27.5 2.82 2.82 Vindaloo Main 49675
HD-12-175 26 31 5 3.5 1.32 1.32 Vindaloo West 49675
HD-12-175 53 54 1 0.7 1.09 1.09 Vindaloo West 49675
HD-12-176       0 NSR   Madras NW 53500
HD-12-177 33 34 1 0.6 3.81 3.81 Madras NW 53450
HD-12-177 37 39 2 1.3 2.51 2.51 Madras NW 53450
HD-12-178 54 56 2 1.4 1.26 1.26 Madras NW 54175
HD-12-178 61 64 3 2.1 1.26 1.26 Madras NW 54175
HD-12-178 84 85 1 0.7 3.85 3.85 Madras NW 54175
HD-12-180 31 38 7 4.9 1.75 1.75 Madras NW  
HD-12-180 41 42 1 0.7 1.02 1.02 Madras NW  
HD-12-180 44 47 3 2.1 1.33 1.33 Madras NW  
HD-12-180 72 73 1 0.7 1.29 1.29 Madras NW  
HD-12-180 91 93 2 1.4 0.89 0.89 Madras NW  
HD-12-181 29 34 5 3.5 1.41 1.41 Madras NW  
HD-12-181 39 40 1 0.7 1.05 1.05 Madras NW  
HD-12-181 50 57 7 5 0.97 0.97 Madras NW  
HD-12-181 60 61 1 0.7 1.63 1.63 Madras NW  
HD-12-182 23 32 9 5.7 1.4 1.4 Madras NW  
HD-12-182 38 39 1 0.6 1.42 1.42 Madras NW  

Houndé Project Sample Handling Procedures

Endeavour's procedures at Houndé for handling reverse circulation drill chips comprise initial splitting of the rock chips from one metre drill length samples into 2.0 kg samples, as well as description and logging into a database. Core samples are handled in a similar fashion with mineralized intervals sawn in half and the right hand portion of the sample placed in samples bags for analysis. The RC samples, and core samples, are subsequently delivered to representatives of SGS Laboratories in Ouagadougou. Assay standard samples are inserted every 25th sample and duplicate reverse circulation from every 20th sample are sent in as a separate sample to double check the assays from these intervals. This sampling procedure was initiated and periodically reviewed by Endeavour's Senior Vice President Technical Services, Don Dudek, P. Geo. The assay samples are then crushed to 3 mm with a riffle split if required, to 1.5 kg, the entire sample milled in a LM2 mill to a nominal 95% passing 75μm. All the preparation equipment is flushed with barren material prior to the commencement of the job and all sample bowls are scrapped clean with a scratch pad. Gold values were determined by Fire Assay and AAS with a 50 gram nominal sample weight. In order to ensure that local, exceptionally high grade assays are not overly represented in assay composites Endeavour is also presenting assay composites, with high grade samples capped at 30.0 g/t Au, which is the capping level deemed appropriate for the initial samples from the Vindaloo and Madras NW zones and consistent with previous practice on the property.

 

 

 

 

 

 

 

 

PDF available at: http://stream1.newswire.ca/media/2013/01/22/20130122_C7547_DOC_EN_22789.pdf

SOURCE: Endeavour Mining Corporation

For further information:

Marla Gale 
Vice President - Investor Relations 
+1 604 609 6117 
mgale@endeavourmining.com

UK/Europe: Bobby Morse 
Buchanan 
+44 20 7466 5000 
bobbym@buchanan.uk.com 

Australia: David Ikin 
Professional Public Relations 
+61 8 9388 0944 
david.ikin@ppr.com.au