(Kitco News) - Endeavour Mining (TSX: EDV) announced today that it has launched the construction of its 80%-owned Lafigue gold project on the Fetekro property in Côte d'Ivoire, following completion of a robust definitive feasibility study (DFS).
The company said that the DFS confirms Lafigue's potential to become a cornerstone asset for Endeavour, adding it expects an annual production of 203koz at a low AISC of $871/oz over its 12.8 year initial mine life.
According to the company's statement, the project boasts an after-tax IRR of 21% and NPV5% of $477m at a $1,500/oz gold price, with upfront capital cost of $448m.
Importantly, Endeavour noted significant exploration potential, targeting the discovery of 1.5 to 2.0Moz of M&I resources by 2025. Lafigue construction is underway with first gold production expected in early Q3 2024, it said.
President and CEO Sebastien de Montessus stated, "We are very pleased to launch the construction of Lafigue as it will become another cornerstone mine for Endeavour while continuing to enhance our geographic diversification. Lafigue is expected to improve the quality of our portfolio. Moreover, we are excited by its exploration potential as we have confirmed mineralization at several targets in close proximity to the Lafigué deposit.
"We are ideally positioned to launch the construction of Lafigue, given our net cash position, the continued strong performance of our operations, and our success in de-risking the Sabadola-Massawa Expansion with a significant portion of the capital already committed on-budget. Moreover, we are seeing reduced inflationary pressures and favorable foreign exchange rates compared to earlier in the year."
Endeavour Mining is one of the world's senior gold producers and the largest in West Africa, with operating assets across Senegal, Cote d'Ivoire and Burkina Faso and a portfolio of advanced development projects and exploration assets in the highly prospective Birimian Greenstone Belt across West Africa.
|
| Wesdome says its gold production down 22% in Q3, reiterates 2022 guidance |
