Endeavour Posts Record 2016 Results

Endeavour Mining (TSX:EDV) (OTCQX:EDVMF) is pleased to announce its financial and operating results for the fourth quarter and full year ended December 31, 2016.

Q4 AND FY-2016 HIGHLIGHTS

• Record Q4-2016 performance with production of 175koz, up 20% over previous quarter, and AISC of $855/oz, down 5%
• FY-2016 guidance achieved with record production of 584koz, up 13% on prior year, and record low AISC of $884/oz, down 4%
• FY-2016 Free Cash Flow Before Growth Projects (and before WC, tax and financing cost) increased by 55% to $142m, beating guidance
• Year-end Net Debt decreased from $144m in 2015 to $26m in 2016
• Well positioned to finance growth projects with $334m in available sources of financing and liquidity
• Earnings from mine operations increased by 70% in FY-2016 to $168m
• Adjusted net earnings increased by 145% in FY-2016 to $1.15 per share vs $0.47 in FY-2015
• Houndé construction remains on-time and on-budget; first gold pour expected in Q4
• Group reserves up 330koz over the previous year to 7.1 Moz on a 100% basis

As quoted in the press release:

Sébastien de Montessus, President & CEO, stated: “We are proud to have met all of our guidance for the year, achieving record production of 584koz with a significant increase in Q4 compared to Q3, particularly at Agbaou and Tabakoto which increased by 16% and 30% respectively. We are pleased with the continued ramp up at Karma, which has increased production by 43% over the previous quarter to 29koz, while the reserve conversion at the North Kao deposit has extended its mine life beyond 10 years. This strong group performance has allowed us to lower our All-In Sustaining Costs below $900/oz for the first time, and we are on track to continue that momentum in 2017. We have also significantly deleveraged our balance sheet this year, providing strong liquidity and financing sources to fund our organic growth.

Last year’s strong performance, which continued in the first quarter, leaves us in a solid position to continue to increase production to 600-640koz and further lower the group’s AISC to $860-905/oz in 2017, without the contribution of Houndé for which the construction is progressing on-budget and on-schedule for a first gold pour for Q4.

Looking ahead, we remain focused on unlocking further organic growth potential, with an upcoming investment decision at our Ity CIL development project and through our reinvigorated exploration program.”

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