Endeavour Mining's Assafou Project: Promising PFS Outcomes

Endeavour Mining's Positive PFS Results for Assafou Project

ASSAFOU PROJECT HIGHLIGHTS:

$1,526 million NPV (5%) and 28% IRR at $2,000/oz • 329kozpa at AISC of $892/oz over first 10 years

Introduction to the Assafou Project

Endeavour Mining plc, a prominent player in the gold production sector, is thrilled to announce the successful outcome of a Pre-Feasibility Study (PFS) for its Assafou Project. The study marks a significant milestone in Endeavour’s commitment to developing high-quality mining assets in West Africa. With promising financial metrics and a sustainable long-term production outlook, the Assafou Project is poised to become a major contributor to the company’s growth.

Key Financial Outcomes of the PFS

The PFS underscores the Assafou Project's robust financial performance, projecting an after-tax NPV of $1.526 billion and an impressive IRR of 28% based on a $2,000/oz gold price. The project's operational efficiency is highlighted by a production estimate of 329,000 ounces per year at an all-in sustaining cost (AISC) of $892 per ounce over the initial decade of operation.

Mine Economics and Capital Requirements

With an estimated mine life of 15 years and initial capital expenditures projected at $734 million, the Assafou Project is positioned for longevity and resilience in changing market conditions. The PFS delineates maiden reserves totaling 4.1 million ounces, further affirming the project's potential as a tier 1 asset.

Resource Update and Future Expansion

Recent estimates indicate a resource conversion rate of 90%, with defined maiden reserves of 72.8 million tonnes at an average grade of 1.76 grams per tonne. Subsequent exploration efforts have further bolstered resource foundations, especially with over 70,000 meters of drilling expected to refine resource estimates and boost overall production potential.

Sustainable Practices and Environmental Considerations

Endeavour Mining is committed to environmentally responsible practices. The ongoing Environmental Social Impact Assessment (ESIA) will guide local engagement and operational compliance regarding environmental standards, which is crucial for community relations and minimizing ecological footprints during project development.

Preparation for Definitive Feasibility Study

The successful PFS will pave the way for a Definitive Feasibility Study (DFS), set to commence shortly with an anticipated completion date between late 2025 and early 2026. This study will leverage the extensive exploration data gathered and seek to finalize the project design, further enhancing the Assafou Project's development trajectory.

Potential Production Growth and Long-term Goals

Endeavour possesses a robust pipeline of growth opportunities, targeting an ambitious production goal of 1.5 million ounces by the end of the decade. The Assafou Project can significantly contribute to this target, aligning with the company's long-term strategy of sustainable growth and shareholder value maximization.

Frequently Asked Questions

What is the significance of the Pre-Feasibility Study (PFS)?

The PFS evaluates the operational, economic, and financial aspects of the Assafou Project, confirming its viability as a significant asset for Endeavour Mining.

What are the projected production metrics for the Assafou Project?

Initial projections estimate annual production at 329,000 ounces with AISC at $892 per ounce for the first ten years of operation.

How does Endeavour Mining ensure environmental sustainability?

Endeavour Mining prioritizes environmental stewardship, undertaking a detailed Environmental Social Impact Assessment (ESIA) that informs sustainable mining practices.

When is the Definitive Feasibility Study (DFS) expected to start?

The DFS is set to begin shortly with completion expected between late 2025 and early 2026.

How does the Assafou Project fit into Endeavour Mining's broader goals?

The project is a vital component of Endeavour’s plan to reach a production target of 1.5 million ounces by the end of the decade while continuing to deliver sustainable growth and shareholder value.

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