Toronto Stock Exchange: EDV
GEORGE TOWN, Grand Cayman, Jan. 10 /CNW/ - Endeavour Mining Corporation
("Endeavour" or the "Corporation") is pleased to report it produced
82,400 ounces of gold in 2010 at its Youga Mine, Burkina Faso and has
fully repaid the US$27.9 million Youga project debt facility in 2010.
82,400 ounces of gold production at the Youga Mine in 2010
Youga Mine gold production forecast to increase to 84,000 ounces in 2011
Cash cost in 2011 expected to be approximately US$600 per ounce
Corporation fully repaid the outstanding US$27.9 million Youga project
Corporation is effectively debt-free and has cash and marketable
securities of approximately US$200 million (including cash component of
approximately US$165 million) and an undrawn acquisition credit
facility of an additional US$100 million
Youga is forecast to generate US$32 million of free operating cash flow
US$10 million budgeted in 2011 for accelerated exploration campaign at
Gold Production Guidance 2011
In 2010 Endeavour produced 82,400 ounces of gold. The Corporation is
targeting 84,000 ounces of gold production in 2011 with cash costs
expected to be approximately US$600 per ounce (excludes royalties).
Based on a US$1,350 gold price, the Corporation expects the Youga Mine
to generate free operating cash flow in excess of US$32 million. This
cash flow estimate takes into account both the hedge book (35,736
ounces to be delivered in 2011) and approximately US$4 million in
capital improvements and sustaining capital at the Youga Mine.
Prior to December 31, 2010 the Corporation fully repaid the outstanding
US$27.9 million Youga project debt facility with RMB Australia Holdings
Limited and Macquarie Bank Limited.
Accelerated Exploration Campaign at Youga Mine and Youga Gold Belt in
After a successful exploration campaign within the Youga Mine Permit and
along the Youga Gold Belt in 2010, Endeavour will commit a further
US$10 million in 2011 to accelerate its exploration and resource
delineation campaign with the objective of increasing mineral resources
and reserves that will extend the mine life. The 2011 program will
exceed 50,000m in a combination of both RC and Core drilling.
The focused 2010 campaign has already led to the generation of new drill
targets including extensions to the A2NE and Zergoré deposits as well
as the newly intersected Triple 'A' Zone which is located to the east
of the Main pit.
Follow-up and infill drilling is currently underway on these new drill
targets and additional mineral resources will be reported in early
Financial Year End Change
The Corporation has changed its fiscal year end to December 31 from the
current June 30 to align its financial reporting and operating
results. Therefore, financial results for the period ended December
31, 2010 will be the year-end results and will be reported in March
K. Kirk Woodman, P.Geo., Head of Exploration is the Qualified Person
overseeing Endeavour's exploration projects in West Africa and has
reviewed this press release.
Adrian De Freitas, C.Eng., General Manager, Youga Mine is the Qualified
Person overseeing production and development in West Africa and has
reviewed and approved this press release.
About Endeavour Mining Corporation
Endeavour is a gold producer. Endeavour also holds an extensive
exploration land position and various advanced-stage development gold
projects in West Africa. Endeavour has a global strategy, supported by
financial resources and management's company building expertise, to
grow into an intermediate gold producer through strategic
The common shares of Endeavour Mining Corporation are traded on the
Toronto Stock Exchange under the symbol "EDV".
For additional information, please visit our corporate website at www.endeavourmining.com.
On behalf of Endeavour Mining Corporation
Executive Vice President & CFO
The Toronto Stock Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. The
foregoing information may contain forward-looking information relating
to the future performance of Endeavour Mining Corporation.
Forward-looking information, specifically, that concerning future
performance, is subject to certain risks and uncertainties, and actual
results may differ materially. These risks and uncertainties are
detailed from time to time in the Corporation's filings with the
appropriate securities commissions.
SOURCE Endeavour Mining Corporation
For further information:
For additional information, contact:
Stephen Roberts, Senior Vice President - Investor Relations (604) 609-6130
Vanguard Shareholder Solutions 1-866-341-4111 or (604) 608-0824