Endeavour Mining Reports 2012 All-In Margin of $130 Million and Updates 2013 Outlook
VANCOUVER, March 27, 2013 /CNW/ - Endeavour Mining Corporation ("Endeavour" or the "Corporation")
(TSX:EDV, ASX:EVR, OTCQX:EDVMF) announces strong financial and
operational results for 2012 with production of 310,778 ounces of gold,
including full 2012 production from the Tabakoto Mine. Endeavour
acquired the Tabakoto Mine (and the Houndé and Kofi projects) on
October 18, 2012, which requires Endeavour's audited financial results
to include only the 75 day operating period from October 18 to December
31, 2012 for Tabakoto. For 2012, Endeavour's all-in sustaining cash
cost per ounce produced was $1,077 leading to an all-in sustaining
margin of $130 million. The guidance range for 2013 all-in sustaining
cash cost per ounce is $1,055 to $1,155 which includes revised cash
cost guidance ranges for the Nzema and Tabakoto mines.
(All amounts in US dollars unless otherwise indicated)
2012 Financial and Operating Highlights
-
2012 gold production, adjusted for the partial year inclusion of
Tabakoto, was 220,462 ounces
-
2012 gold sold, adjusted for the partial year inclusion of Tabakoto, was
218,887 ounces, which generated a mine cash margin of $179 million
(equivalent to 107,366 ounces of gold), and after corporate costs,
sustaining capital and near-mine exploration expenses generated an
all-in sustaining margin of $130 million (equivalent to 78,038 ounces
of gold)
-
Total cash cost per ounce produced was $767
-
Including royalties, corporate costs, sustaining capital and near-mine
exploration, the all-in sustaining cash cost per ounce produced in 2012
was $1,077. See Table 2 for calculation details
-
The all-in sustaining margin was 36%
-
During 2012, Endeavour invested $106 million in new mine construction,
development and exploration, as detailed in Table 1, leading to free
cash flow of $24.7 million after all operating and development
activities
-
Adjusted net earnings were $35.8 million or $0.13 per share for the year
-
As of December 31, 2012, Endeavour had cash and cash equivalents of
$105.9 million and 27,000 ounces of gold ($45.2 million) with long-term
debt of $200 million drawn from a corporate facility
-
Endeavour's attributable proven and probable mineral reserves have
increased to a total of 2.5 million ounces and attributable measured
and indicated resources (inclusive of reserves) totaled 6.4 million
ounces, plus 2.6 million ounces inferred. See Tables 6 and 7 for
mineral reserve and resource details.
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://files.newswire.ca/910/EDV_March_27.pdf
Neil Woodyer, CEO, stated
"2012 was another successful year of delivering on operational guidance
while also achieving significant growth for our company. Our Nzema and
Youga mines produced 200,476 ounces exceeding our guidance range of
180,000 to 192,000 ounces at a cash cost per ounce of $701 compared to
a guidance range of $670 to $690.Â
In October 2012, we acquired our third operating mine - Tabakoto in
Mali, and two attractive projects - Houndé in Burkina Faso and Kofi in
Mali. In our view, Tabakoto was underperforming due to a lack of
working capital, poor management structures, overuse of contractors,
and excessive site staffing levels. We closed the Avion corporate
office in Toronto in November and redirected Tabakoto mine management
to report to Endeavour's COO and senior operations team in Accra. In
December, we started a major restructuring initiative which has
included a 20% reduction in site staff levels during Q1 2013, the
termination of the open pit mining contractor in January 2013, and the
implementation of cost budgeting and mine reporting systems which were
inadequate under previous management. During the 75 day
post-acquisition stub period, Tabakoto produced 19,985 ounces at a cash
cost per ounce of $1,250, and with the restructuring now underway, cash
costs at Tabakoto have started to improve significantly during January
and February 2013.Â
During 2013 we expect to increase gold production from our three mines
to between 310,000 and 345,000 ounces with growth coming from the
nearly-complete mill expansion at Tabakoto, while focusing on managing
our costs. As a result of slower than expected access to the higher
grade ore at Nzema's Adamus pits, we have revised our 2013 cash cost
guidance at Nzema to $850 to $900 per ounce. In addition, we are
increasing our 2013 cash cost guidance for Tabakoto to $880 to $920 per
ounce due to the time lag for implementing and realizing the benefit of
the cost savings measures. Overall, our gold production guidance
remains unchanged.
Based on mid-guidance production and revised cash costs and assuming a
$1,600 gold price, during 2013 we expect to generate approximately $160
million of all-in sustaining margin, after all operating costs,
royalties, sustaining capital, corporate and near-mine exploration
expenses.
Agbaou construction is on schedule with all major construction contracts
and the mining contract awarded in line with the budget. Approximately
65% of the total construction cost has been committed with production
on schedule for Q1 2014.Â
The Houndé project, in Burkina Faso, is in feasibility study and has the
potential to add to our production in 2016, and Kofi has exciting
exploration potential to round off our future growth profile.
Endeavour is pleased to improve the transparency and understanding of
financial performance for our shareholders as well as for our
government partners by reporting all-in sustaining cash costs and
margins. During 2012, we sold 218,887 ounces of gold and after all
operating costs, royalties, sustaining capital, corporate and near-mine
exploration expenses we had $130 million remaining for a 36% margin.Â
We then invested $106 million in new mine development and exploration,
for free cash flow of $25 million in the year.  Endeavour is in a rapid
internal growth period with high quality development projects - it's
important we focus on managing costs and optimizing our current
operations and development projects."
Table 1: 2012 Margin Generation and Investments in New Mine Development
and Exploration
            Â
            Â
      US$ Million  In Gold Ounces*
            Â
Net operating margin from Youga, Nzema & Tabakoto** Â Â Â Â Â Â Â Â
 Gold revenue    $365.3   218,887  Â
 Less: Royalties    19.2   11,517 Â
 Less: Cash Costs for ounces sold  166.9   100,005  Â
    Mine cash margin   179.2   107,366 Â
 Less: Corporate G&A (attributable to operations)  17.1   10,274 Â
    Corporate EBITDA   162.0   97,092 Â
 Less: Sustaining capital   15.7   9,407 Â
 Less: Near-mine exploration   16.1   9,647 Â
    All-in sustaining margin     130.2   78,038
            Â
Investments in new mine development and exploration        Â
 Agbaou exploration, FS (done June 2012), construction  40.4     Â
 Nzema development   16.6     Â
 Tabakoto mill expansion & Segala U/G development  14.8     Â
 Houndé, Nzema sulphides, Ouaré projects  13.9     Â
 Regional exploration   13.8     Â
 Capital costs related to Corporate  1.0     Â
 Corporate G&A (attributable to new mines)  5.0     Â
        -105.5   Â
            Â
Free cash flow after new mine investments*** Â Â Â $24.7Â Â Â Â
            Â
* US dollar amounts converted to gold ounces at $1,669 gold price (2012 realized gold revenue of  Â
 $365.3 million and 218,887 ozs sold)        Â
** Includes Tabakoto for only 75 days (Oct 18 to Dec 31, 2012) Â Â Â Â Â Â Â
*** Before financing activities, tax, interest, and working capital movement    Â
            Â
     Â
Table 2: 2012 All-in sustaining cash cost per ounce, and estimate for
2013
            Â
            Â
     2012 Actual  2013 Guidance Â
            Â
Gold Production / Guidance Range (ozs) Â 220,462 Â 310,000 to 345,000Â
Gold Sold     218,887     Â
            Â
     $ Million  $/oz  $/oz  $/oz Â
            Â
Royalties     19.2  88 85 951
Cash costs for ounces produced  169.1 767 840 8802
Corporate G&A (attributable to operations) Â 17.1Â 78Â 45Â 553
Sustaining capital    15.7 71 45 704
Near-mine exploration   16.1  73 40  555
All-in sustaining cash cost per ounce produced  $1,077 $1,055 $1,155Â
            Â
2013 Guidance notes          Â
1 Royalty expense estimated as approx 5.5% of $1,600 gold price       Â
2 2013 Cash cost guidance range of $840 to $880 per ounce includes revised cash cost  Â
guidance for Nzema and Tabakoto         Â
3 2013 Corporate G&A expense estimated at $20 million, with approximately $5 million Â
allocated to investments in new mine development       Â
4 2013 Sustaining capital budget of $17 million including Nzema ($3.5M), Youga ($4.5M), Â
 and Tabakoto ($9.5M)          Â
5 Approximately $15 million of the 2013 $20 million exploration budget is "near-mine" Â
            Â
            Â
2012 Full Year Operational Results and Outlook
Nzema Gold Mine, Ghana
-
Gold production of 109,447 ounces (including 10,253 ounces from
purchased ore) at a cash cost of $722 per ounce produced (excluding
purchased ore) compared to guidance of $680-$700 per ounce
-
Cash costs were higher than expected for FY 2012 mainly due to higher
costs in Q4 2012 from processing lower grade ore as Nzema transitioned
into the Adamus pits (previously known as Anwia and Teleku-Bokazo),
which has taken longer than expected
-
Mining and processing of lower grade material from the upper portion of
the Adamus pits continued into Q1 2013. Accordingly, production has
been below budget and cash costs are expected to be elevated in Q1 2013
before improving as higher grade portions of the Adamus pits are
accessed
-
2013 guidance is for production of 100,000 - 110,000 ounces at a revised
cash cost of $850 to $900 per ounce (previous cost guidance was $780 to
$820 per ounce) due to slower than expected transition to full
production at the Adamus pits, which contain higher grade ore reserves
Youga Gold Mine, Burkina Faso
-
2012 gold production of 91,030 ounces at a cash cost of $678 per ounce
produced compared to guidance of $655-$675 per ounce
-
Youga had another year of strong performance and generated $85.7 million
of operating cash flow from mine operations compared to $59.7 million
for the year ended December 31, 2011
-
The 2013 guidance reflects the decreased ore grade as compared to 2012
as scheduled in the Youga mine plan and remains unchanged at 75,000 -
85,000 ounces at a cash cost of $740 to $780 per ounce.
Tabakoto Gold Mine, Mali
-
Full year gold production was 110,301 ounces. Gold production for the
75 day operating period from October 18 to December 31, 2012 was 19,985
ounces at a cash cost of $1,250 per ounce produced.
-
In-line with standard industry practice Endeavour has applied more
prudent accounting judgments that resulted in including certain
expenditures, previously included in capitalized amounts in Avion's
presentation of Tabakoto performance, to now be included as operating
costs
-
The Tabakoto mine is undergoing a significant re-structuring and
re-orientation, including:
-
Avion corporate office closed in November 2012, eliminating all
corporate management roles
-
Tabakoto mine management reporting directly to Endeavour's COO and
operations management team in Accra, Ghana
-
Prioritization of underground resource development along with rigorous
mining planning, as well as renegotiation with the underground contract
miner regarding a longer term, more cost effective contract
-
Terminated open pit mining contractor in January 2013, and initiated use
of rented owner fleet
-
The total workforce has been reduced from approximately 1,950 in
November 2012 to less than 1,575 at the end of February 2013. Once the
mill expansion is complete and the construction contractors leave the
site the workforce will be below 1,450
-
A major business systems upgrade has been started to ensure that mine
operations have timely access to production and cost information
-
2013 guidance is for production of 135,000 - 150,000 ounces, and due to
the significant changes and the time lag for implementing and realizing
the benefit of the cost savings measures, the 2013 cash cost guidance
has been revised to $880 to $920 per ounce (previous cost guidance was
$830 to $870 per ounce)
-
Increased production will be driven by expansion of the Tabakoto mill,
which is nearing completion on schedule. Currently, hot commissioning
of the mill is ongoing and ramp-up of throughput is scheduled to occur
during April such that second half production is expected to be higher
than in the first half
-
The benefits of the expansion are expected to lower cash costs per ounce
in the second half of the year. We also expect to see lower costs as a
result of cost-cutting measures started late last year, including staff
reductions
-
Underground development at Segala re-started during Q4 2012 and
successfully overcame the difficult ground encountered in March 2012.Â
Ramp development rates have improved significantly into Q1 2013, with
the ramp now extending over 350 metres from the portal
Agbaou Gold Mine Construction
-
Construction remains on schedule to achieve gold production during Q1
2014. Costs are also on-target as all major contracts have been
finalized within the cost estimates of the feasibility study and over
65% of capital costs are now committed
-
Recent months have seen significant progress in the physical build at
the mine (now over 50% finished) including completion of major concrete
pours for the mill, initial deliveries of structural steel, camp
construction nearing completion, access road finished and tailings
storage facility and water storage dam construction well-advanced
-
Key operations personnel, including the General Manager have been
recruited
-
A five-year mining contract was awarded to BCM International Limited,
within the cost estimates of the feasibility study
-
The project continues to enjoy strong community support, with crop
compensation 100% complete, and relocation construction for 250
residents nearing conclusion
2013 Production Guidance and All-in Margin Forecast
-
Total 2013 gold production guidance of between 310,000 to 345,000 ounces
at an average cash cost of $840 to $880 per ounce, including the
revised cost guidance for Nzema and Tabakoto
-
Using mid-guidance production and cash costs and assuming $1,600 gold
price, the 2013 forecast mine cash margin is approximately $213 million
(equivalent to 133,047 ounces of gold), and after corporate costs,
sustaining capital and near-mine exploration expenses the forecast
all-in sustaining margin is approximately $166 million (equivalent to
103,672 ounces of gold). See Table 3 for forecast details.
-
The 2013 estimate for all-in sustaining cash cost per ounce produced is
$1,055 to $1,155. See Table 2 for estimate details.
-
During 2013, Endeavour plans to invest approximately $200 million in new
mine construction, development and exploration, as detailed in Table 3,
leading to a forecast negative free cash flow of approximately $34
million after all operating and development activities
-
Endeavour is in a strong financial position to fund its internal growth,
with $151 million of cash and gold bullion on hand as of December 31,
2012
Table 3: Forecast 2013 All-in Sustaining Margin and Investments in New
Mine and Exploration
            Â
            Â
      US$ Million  In Gold Ounces*
            Â
Net operating margin from Youga, Nzema & Tabakoto** Â Â Â Â Â Â
 Gold revenue    $524   327,500 Â
 Less: Royalties    29   18,422 Â
 Less: Cash costs    282   176,031 Â
 Mine cash margin   213   133,047 Â
 Less: Corporate G&A (attributable to operations) 15   9,375 Â
 Corporate EBITDA   198   123,672 Â
 Less: Sustaining capital   17   10,625 Â
 Less: Near-mine exploration   15   9,375 Â
 All-in sustaining margin     166   103,672
            Â
Investments in new mine development and exploration      Â
 Agbaou construction   106     Â
 Segala/Tabakoto UG ramp and access  29     Â
 Adamus pits access    17     Â
 Nzema development   12     Â
 Houndé feasibility study   12     Â
 Tabakoto development   7     Â
 Tabakoto mill expansion   7     Â
 Regional exploration   5     Â
 Corporate G&A (attributable to new mines) 5     Â
        -200   Â
            Â
Free cash flow after new mine investments*** Â Â -$34Â Â Â Â
            Â
* US dollar amounts converted to gold ounces at $1,600 gold price     Â
**Net operating margin based on mid-guidance range for production and cash costs  Â
*** Before financing activities, tax, interest, and working capital movement   Â
            Â
            Â
2012 Financing Activities and Reconciliation of Cash Position
-
The Corporation has accumulated a holding of 27,000 ounces of gold
bullion with a cost of $46.2 million (fair value of $45.2 million) at
December 31, 2012, in order to partially offset long-term gold hedging
while maintaining financial flexibility
-
In December 2012, the Corporation reduced its gold hedge program by
closing out the 2013 gold hedge positions at Tabakoto (12,132 ounces at
an average of $800 per ounce) and Nzema (10,000 ounces at $1,061.75 per
ounce) for a total cash settlement of $17.3 million. The close out of
the 2013 hedge deliveries means that all of Endeavour's 2013 gold
production will be sold into the spot market
-
In December 2012, the Corporation repaid the $28 million outstanding
balance under the credit facility with Banque Atlantique Mali, which
had been used by Avion to advance the Tabakoto mill expansion in 2011
and 2012
-
In December 2012, the Corporation drew down the remaining $100 million
of its $200 million four year revolving corporate loan facility to
maintain a high level of cash liquidity after funding the gold bullion
position, buying back the 2013 hedges, and repaying the Banque
Atlantique Mali credit facility
Table 4: 2012 Financing Activities and Reconciliation of Cash Position
        Â
        Â
      US$ Million
        Â
Cash and cash equivalents - Beginning Balance (Dec 31, 2011) Â Â Â $115.3
        Â
 Free cash flow after new mine investments (see Table 1)       24.7
        Â
 Transaction expenses related to Avion acquisition     -5.8 Â
 Repayment of Banque Atlantique Mali loan     -27.9 Â
 Net cash invested in Avion ($20m loan, net cash received)    -12.9 Â
        -46.6
        Â
 Cash settlement of 2013 gold hedge positions       -17.3
 Purchase of 27,000 ozs gold bullion       -46.2
 Increase in working capital       -8.1
 Finance costs (interest and commitment fees)       -5.2
 Reclamation deposit       -4.5
 Cash taxes paid and Ghana tax reassessment       -5.4
 Other net cash flows        -6.8
 Proceeds from issuance of shares (stock option exercise)       6.0
 Drawdown of corporate debt facility       100.0
        Â
Cash and cash equivalents - Ending Balance (Dec 31, 2012) Â Â Â 105.9
 Gold bullion (27,000 ozs)       45.2
 Marketable securities       7.8
Cash, equivalents, bullion and marketable securities (Dec 31, 2012) Â Â Â $158.9
        Â
        Â
2012 Adjusted Earnings
Net earnings / (loss) from continuing operations (attributable to
Endeavour shareholders) have been adjusted for the impact of the fair
value change of certain financial instruments, including the gold hedge
liability and Endeavour's warrants that are denominated in Canadian
dollars. Other adjustments include once off corporate and acquisition
costs associated with the acquisition of Avion, settlement of the Gold
Reserve claim, deferred income tax expense, which relates to an
increase in losses from a realized hedge loss, adjustments for
settlement of 2013 gold hedges at Nzema and Tabakoto, and a one-time
Ghanaian tax audit assessment related to years prior to 2012.
Table 5: Adjusted Net Earnings Reconciliation for the year ended
December 31, 2012
   Â
   Â
   Year ended
   Dec 31, 2012
   US$ Million
   Â
Net loss attributable to shareholders of Endeavour   ($15.5)
 Change in unrealized loss / (gain) - gold price protection program  (15.6)
 Change in fair value of CAD currency share purchase warrants   (9.7)
 One-off corporate costs   3.3
 Acquisition costs   5.8
 Gold Reserve settlement   1.5
 Deferred income tax expense 1   30.4
 Loss/(Gain) on disposal of mining interests   0.3
 2013 gold hedge settlements (Nzema & Tabakoto)   17.3
 One-time Ghanaian tax audit assessment 2   4.7
 Loss on marketable securities   9.6
 Write-down of investment in associate   3.6
Adjusted net earnings after tax   $35.8
   Â
Weighted average number of outstanding shares   282,821,053
Adjusted net earnings per share (basic, US$ per share) Â Â 0.13
   Â
   Â
1 The deferred income tax recovery is a non-cash item and is primarily
from an increase in losses arising from a realized hedge loss.
2 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
Conference Call Details
Management will host a conference call to discuss the 2012 results on
March 28, 2013 as detailed below. The call will feature presentations
from Neil Woodyer, Chief Executive Officer, Attie Roux, Chief Operating
Officer, and Christian Milau, Chief Financial Officer.
Analysts and interested investors are invited to participate using the
dial in numbers below.
International:Â Â Â Â Â Â Â +1 201-689-8433
North American toll-free: Â Â Â Â +1 877-407-0832
Australian toll-free:Â Â Â Â Â Â 0011-800-2246-2666
    Â
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 March
28, 2013 at:
7:00 am     in Vancouver
10:00 am     in Toronto and New York
2:00 pm     in London
10:00 pm     in Perth
1:00 am     in Sydney (March 29, 2013)
    Â
The call will be archived for later playback on Endeavour's website
until March 28, 2014.
Qualified Persons
Adriaan "Attie" Roux, Pr. Sci.Nat, Endeavour's Chief Operating Officer,
is a Qualified Person under NI 43-101, and has reviewed and approved
the technical information related to mining operations in this news
release.
Gérard de Hert, EurGeol, Endeavour's VP Exploration is a Qualified
Person under NI 43-101 and has reviewed and approved the mineral
reserve and resource 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
be over 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 January 2013 PEA that shows
potential for 160,000 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
Cash cost per ounce and All-in sustaining cash cost per ounce are
non-GAAP performance measures with no standard meaning under IFRS.
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.
Table 6 Mineral Reserves as of December 31, 2012
 Reserves
Deposit Proven Probable Proven & Probable Â
  Tonnes  Grade  Ounces  Tonnes  Grade  Ounces  Tonnes  Grade  Ounces  Gold PriceÂ
 kt g/t k Ozs kt g/t k Ozs kt g/t k Ozs US$ / Oz
Nzema1 - Total Attributable - 90% 10,273 1.8 604 544 2,756 2.2 193 174 13,029 1.9 797 717 US$ 1350
Youga2,3 - Total Attributable - 90% 3,984 1.9 242 218 2,380 1.8 139 125 6,364 1.9 380 342 US$ 1350
Agbaou5 - Total Attributable - 85% 5,407 2.3 390 332 5,668 2.8 515 438 11,075 2.5 905 769 US$1200
Finkolo6 - Total Attributable - 40% 1,037 3.3 109 44 1,381 2.9 127 51 2,418 3.0 237 95 US$900
Tabakoto U/G7 - Total Attributable - 80% 567 4.2 77 61 3,469 4.7 521 417 4,036 4.6 598 478 US$ 1350
Tabakoto O/P8- Total Attributable - 80% 1,050 2.9 98 79 1,050 2.9 98 79 US$ 1350
 Tabakoto Stockpile8a - Total Attributable - 80% 143 3.4 16 12  143 3.4 16 12 US$ 1350Â
TotalTotal Attributable 1,4381,211 1,5931,284 3,0312,492
Â
Table 7 Mineral Resources as of December 31, 2012
 Resources (including reserves)
Project Measured Indicated Measured & Indicated Inferred  Lower Cutoff
  Tonnes  Grade  Ounces  Tonnes  Grade  Ounces  Tonnes  Grade  Ounces  Tonnes  Grade  OuncesÂ
 kt Au g/t  kt Au g/t  kt Au g/t  kt Au g/t Â
Nzema1 - Total Attributable - 90% 30,277 1.4 1,330 1,197 14,519 1.3 614 552 44,796 1.3 1,943 1,749 10,503 1.2 421 379 0.5 g/t
Youga2,3 - Total Attributable - 90% 7,733 1.5 366 329 7,031 1.4 326 294 14,764 1.5 692 623 1,462 1.2 57 52 0.5 g/t
Ouaré4- Total Attributable - 90% 1,072 1.1 39 35 5,368 1.6 268 241 6,440 1.5 308 277 571 1.5 27 25 0.5 g/t
Agbaou5- Total Attributable - 85% 6,262Â 2.2 438 372 8,708 2.6 719 611 14,970 2.4 1,157 983 1,473 1.5 73 62 0.5 g/t
Finkolo6 - Total Attributable - 40% 3,290 2.3 242 97 6,820 2.0 445 178 10,110 2.1 687 275 6,730 1.4 301 120 0.5 g/t
 Tabakoto U/G7 - Total Attributable - 80% 743 6.0 142 114 4,317 5.6 783 627 5,060 5.7 926 741 5,619 4.7 843 674 2 g/t
Tabakoto O/P8- Total Attributable - 80% 21 4.6 3 2 1,485 3.1 148 119 1,506 3.1 151 121 1,446 2.7 123 99 1 g/t
Kofi9- Total Attributable - 75% Â Â Â Â 6,901 2.3 Â 500 375 6,901 2.3 Â 500 375 12,355 1.8 702 527 0.5 g/tÂ
Houndé10- Total Attributable - 90%     21,958 2.0 1,432 1,289 21,958 2.0 1,432 1,289 11,386 2.0 740 666 0.5 g/tÂ
TotalTotal Attributable   2,5602,146     5,2354,286     7,7966,433     3,2872,604  Â
Â
Totals in Tables 6 and 7 may not add due to rounding
Notes to Mineral Reserves and Mineral Resources
1 Nzema Mine "Technical Report and Mineral Resource and Reserve Update
for the Nzema Gold Mine, Ghana, West Africa" effective December 31,
2012. Prepared by N. Johnson MAIG (MPR Geological Consultants), Q. de
Klerk FAusIMM (CP) (Cube Consulting), W. Yeo MAIG and A. Roux
Pr.Sci.Nat. (Endeavour).
2 Youga Mine - Main, East and West Pits "Technical Report and Update of
Mineral Resources and Mineral Reserves for the Youga Gold Mine, Burkina
Faso, West Africa" effective December 31, 2011 and updated to December
31, 2012 through depletion of Internal Resource and Reserve Estimates
prepared internally under supervision of K. Woodman (Endeavour) for
resources and A. de Freitas (Endeavour) for reserves.
3 Youga Mine - Zergoré, NTV and A2NE deposits, Internal Resource
Estimates prepared by AMEC under supervision of K. Woodman
(Endeavour). Internal Reserve Estimates prepared by Kwadwo Opoku
Ansah, reviewed by SEMS under supervision of A. de Freitas (Endeavour).
4 Ouaré Deposit - Resource Estimate 2012, project 171880, dated December
31, 2012, Prepared by AMEC under supervision of K. Woodman (Endeavour).
5 "Agbaou Gold Mine, Côte d'Ivoire, NI 43-101 Technical Report" effective
May 25, 2012. Prepared by Mark Wanless Pr.Sci.Nat, Hendrik Theart
Pr.Sci.Nat, and Mark Sturgeon Pr.Eng (SRK Consulting, South Africa),
Neil Senior FSAIMM (SENET, South Africa) and Duncan Grant-Stuart
Pr.Eng, Angus Rowland Pr.Sci.Nat (Knight Piésold, South Africa).
6 "Tabakoroni Feasibility Study Report, Tabakoroni Gold Deposit, Mali,
West Africa" effective June 10, 2010. Prepared by S. Stein and K.
Woodman (Endeavour).
7,8 Tabakoto Mine "Mineral Resource Summary Report" effective December 31,
2012. Internal Resources Estimate prepared by Kevin Harris, under
supervision of Richard Allan (Endeavour).
7 Tabakoto Mine "Internal Underground Reserves Estimate, Tabakoto and
Segala Underground Reserves" effective December 31, 2012. Prepared by
Exupery Lyimo under supervision of Richard Allan (Endeavour).
8 Tabakoto Mine "Internal Open Ppit and Stockpiles Reserve Estimate,
Djambaye & Darsalam Open Pit Reserves" effective December 31, 2012.Â
Prepared by Patrick Mkonyi under supervision of Richard Allan
(Endeavour).
9 Kofi "Technical Report and Update Resource Estimate on the Kofi
Project, Mali, Africa" effective December 21, 2011. Prepared by P&E
Mining Consultants Inc, Reports 235.
10 Houndé "Technical Report and Preliminary Economic Assessment of the
Houndé Gold Project, Burkina Faso, West Africa" effective December 31,
2012. Prepared by SRK Consulting (Canada) Inc.
Â
Â
PDF available at: http://stream1.newswire.ca/media/2013/03/27/20130327_C8867_DOC_EN_24884.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