Endeavour on track to meet upper end of its full-year guidance
LSE- and TSX-listed West Africa-focused gold miner Endeavour Mining reports that its gold production of 409 000 oz for the second quarter, ended June 30, was 18% higher than that of the first quarter.
Its all-inclusive sustaining costs (AISC) for the quarter decreased by $15/oz, to $853/oz.
In terms of performance in the first half of the year, Endeavour reports that production totalled 756 000 oz, while its AISC was $860/oz.
This positions Endeavour well to meet the top end of its full-year production guidance of between 1.36-million and 1.49-million ounces of gold, at an AISC of between $850/oz and $900/oz.
In the second quarter, Endeavour recorded adjusted net earnings from continuous operations of $183-million, translating into net earnings a share of $0.73.
The miner’s operating cash flow before working capital from continuous operations during the period was $286-million, translating into $1.13 apiece.
The miner also managed to lower its net debt by $85-million, to $77-million, while gross debt decreased by $120-million.
In terms of returns to shareholders, Endeavour paid its first dividend of $60-million on February 5 for the 2020 fiscal year. It has declared an interim dividend of $70-million, with a record date set at September 10.
President and CEO Sebastien de Montessus says the company’s profitability places it on track to deliver more than the guided minimum dividend of $125-million for the full year.
Further, Endeavour also continued with share buybacks to supplement shareholder returns with a total of $70-million of shares bought back since April, $59-million of which were bought back in the second quarter.
As for organic growth, the miner notes that construction of the Senegal-based Sabodala-Massawa Phase 1 expansion is on schedule for completion by year-end; with a definitive feasibility study under way for the Sabodala-Massawa Phase 2 expansion, as well as the Côte d'Ivoire-based Fetekro project and the Mali-based Kalana project.
Meanwhile, in terms of exploration, the Endeavour group is on track to discover over 2.5-million ounces of indicated resources this year, boosted by what the miner says are significant discoveries recently made at the Côte d'Ivoire-based Ity project, Burkina Faso-based Houndé project, and the Sabodala-Massawa and Fetekro projects.
“Overall, the group is on track to delineate over 2.5-million ounces of indicated resources in 2021, which represents significantly more than the expected annual depletion and contributes to our portfolio’s longevity,” De Montessus says.
“We are also very pleased to have successfully completed our listing on the premium-segment of the LSE in June and remain on track to be included into the UK and European indexes,” he adds.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation