Endeavour Financial Corporation

Published : May 02nd, 2016

Endeavour Reports First Quarter 2016 Results; AISC Continue to Decrease Below $900/oz

( 0 vote, 0/5 ) Print article
  Article Comments Comment this article Rating Follow Company  
0
Send
0
comment

Endeavour Reports First Quarter 2016 Results; AISC Continue to Decrease Below $900/oz

[Title goes here]

NEWS RELEASE - TSX: EDV

May 2, 2016

All amounts in US$

Endeavour Reports First Quarter 2016 Results; AISC Continue to Decrease Below $900/oz‌

First Quarter 2016 Highlights:

  • Gold production of 132koz, on-track to meet full-year guidance with higher production expected in the upcoming quarters

  • All-in Sustaining Cost further decreased to $900/oz ($889/oz excluding Youga which was divested end of February), in line with full-year guidance of $870 to $920/oz

  • All-in sustaining margin up 54% over the previous quarter to $37m, lifted by lower AISC/oz and higher gold prices

  • Free Cash Flow (before tax, WC & financing costs) of $28m, slightly above guidance

  • Net debt reduced to $136m at quarter-end from $259m as of March 31, 2015; and further reduced to $71m following the La Mancha $65m anti-dilution cash injection under the True Gold acquisition‌

George Town, May 2, 2016 - Endeavour Mining (TSX:EDV) (OTCQX:EDVMF) is pleased to announce its financial and operating results for the quarter ended March 31, 2016, with highlights provided in the table below.

Table 1: Key Operational and Financial Highlights

AllamountsinUS$

Q1-2016

Q4-2015

Q1-2015

Gold Production, oz

131,567

136,844

123,744

Realized Gold Price, $/oz

1,192

1,102

1,219

AISC, $/oz

900

934

946

All-in Sustaining Margin, $/oz

292

168

273

All-in Sustaining Margin, $m

37

24

34

Free Cash Flow, $m (before WC, tax& financing costs)

28

12

25

Net Debt At Period End,$m

136

144

259

Neil Woodyer, CEO of Endeavour, stated: "Our first quarter results have met our expectations and we are on track to achieve our objectives for 2016. The Agbaou and Ity mines are delivering excellent performance and the underground Tabakoto mines should gain momentum in the coming quarters.

Our group AISC has continued to decrease, achieving $889/oz from our current operations, which provides a solid cash generation foundation. We have also strengthened our financial position with the cash received from La Mancha following the close of the True Gold transaction.

The second quarter will be important for Endeavour with the integration of True Gold's Karma Mine and its ramp-up to commercial production, and the start of construction at our Houndé project which will ultimately become our flagship low-cost mine.

Updated guidance for 2016, which will include these recent developments, will be provided with the release of our second quarter results at the end of July."

Gold production and AISC on-track to meet full-year guidance

  • Endeavour produced a total of 131,567 ounces of gold in the first quarter of 2016 and is on- track to meet its full-year guidance as production is expected to increase in the upcoming quarters with stronger performance expected from the Tabakoto and Nzema mines.

  • In line with guidance, All-in Sustaining Costs ("AISC") decreased to $900/oz, down from

    $946/oz during the corresponding quarter of 2015, notably due to the addition of the low-cost Ity mine, and cost reductions at Agbaou and Tabakoto.

  • Endeavour's AISC for its continuing operations, which excludes the divested Youga mine, averaged $889/oz during the first quarter of 2016.

Table 2: Gold Production by mine, oz

(ona 100% basis)

Q1-2016

Q4-2015

Q1-2015

FullYear2016Guidance

Agbaou

42,765

51,732

45,323

165,000

-

175,000

Tabakoto

38,542

41,546

33,574

155,000

-

175,000

Nzema

19,757

23,076

26,979

110,000

-

130,000

Ity

22,324

5,689

-

65,000

-

75,000

Youga

8,179

14,801

17,868

7,000

-

8,000

Group-wide

131,567

136,844

123,744

535,000

-

560,000

Table 3: Group All-In Sustaining costs, US$/oz

Q1-2016

Q4-2015

Q1-2015

FullYear2016Guidance

Agbaou

525

537

577

650

-

700

Tabakoto

1,071

1,119

1,127

920

-

970

Nzema

1,158

1,133

1,194

970

-

1,020

Ity

710

683

-

800

-

850

Youga

1,101

985

851

980

-

1,030

Mine-level AISC/oz

851

862

901

820

-

870

Corporate G&A

38

56

32

38

Sustaining exploration

12

15

13

11

Group AISC/oz

900

934

946

870

-

920

Group AISC/oz (Excluding Youga)

889

926

973

Notes: Ity's production and AISC is included for the post-acquisition period beginning November 28, 2015. Youga's production and AISC is included for the pre-sale period ended February 29, 2016. Guidance for 2016 does not include production and costs associated to the Karma mine.

Agbaou Mine

  • Agbaou continued its strong performance in Q1-2016, returning to a normal production level after its record production in Q4-2015. Agbaou continues to benefit from mining soft oxide ore leading to robust throughput and recoveries that are expected to continue towards the end of the year.

  • The secondary crusher build remains on budget and on time with completion expected in Q3- 2016, which will provide increased flexibility once commissioned.

  • Agbaou achieved record low AISC in Q1-2016, mainly due to the renegotiation of mining contract rates following an optimization of the mine plan, and decreased processing costs.

    Tabakoto Mine

  • Tabakoto's production remained fairly stable compared to previous quarters despite lower underground grades and volumes achieved as underground extraction was constrained by stope availability.

  • Tabakoto's production is expected to improve in the upcoming quarters, lifted by higher grades and volumes as a result of increased stope availability following the underground development completed during the first quarter.

    Ity Mine

  • The Ity mine integration progressed well during the first quarter.

  • Ity had a strong first quarter performance, with production slightly above guidance and AISC below guidance due to improved cost controls. Ore sourced during the quarter was amenable to high recovery rates and stacking on the leach pads.

    Nzema Mine

  • Nzema's production and AISC were negatively impacted by lower volumes of purchased ore, as ore suppliers are ramping-up operations following the halt they experienced in late 2015 due to new permitting requirements imposed on them. As a result, lower grade stockpiles were utilized during the quarter to maintain mill throughput.

  • Nzema's performance is expected to improve in the upcoming quarters, as purchased ore tonnage is expected to continue to increase and Endeavour's own grades are expected to improve following completion of the pit cutback during Q4-2016.

    Youga Mine

  • On February 29, 2016, Endeavour announced that it had sold its end of life non-core Youga Gold Mine in Burkina Faso for $20 million.

    Increased Cash Flow generation

  • All-in sustaining margin increased 54% over the previous quarter to $37 million, lifted by lower AISC/oz and higher gold prices.

  • Free Cash Flow (before working capital, tax & financing costs) increased by 133% over the previous quarter to $28 million.

  • Notable non-sustaining capital expenditures during the first quarter of 2016 were Agbaou's secondary crusher build and Nzema's push-back, for $3.7 million and $1.7 million, respectively.

  • While Endeavour's All-in Sustaining Margin and Free Cash Flow (before working capital, tax & financing costs) improved significantly over the previous quarter, its Q1-2016 free cash flow was impacted by a negative change in working capital, which is expected to return to positive in the upcoming quarters. This working capital movement was mainly due to phasing on accounts payables between Q4-2015 and Q1-2016.

  • There were no interest payments made during Q1-2016, as it is payable on a semi-annual basis with the next payments due in June and December.

Table 4: Summarized Cash Flow Statement

In US$ million

Q1-2016

Q4-2015

Q1-2015

Gold Sales, oz

127,355

142,343

124,850

Realized gold price, $/oz

1,192

1,102

1,219

Revenue

151

157

152

Cash cost for ounces sold

(90)

(105)

(91)

Royalties

(7)

(8)

(7)

Corporate G&A

(5)

(8)

(4)

Sustaining capital

(11)

(10)

(14)

Sustaining exploration

(1)

(2)

(2)

AISC Margin

37

24

34

Non-sustainingexploration

(2)

(2)

(1)

Non-sustainingcapital

(7)

(10)

(8)

Freecash flow (beforeworking capital, tax & financing costs)

28

12

25

Working capital

(20)

26

(10)

Taxes paid

(3)

(1)

(3)

Interest paid

(0)

(7)

(4)

Other items*

(2)

(5)

(13)

Free Cash Flow

3

25

(6)

Cash received from La Mancha acquisition**

-

73

-

Revolving credit facility payments

-

(20)

-

Cash received from Youga

20

-

-

Bridge loan to True Gold

(15)

-

-

Cash movement for theperiod

8

78

(6)

*Includes financial fees, lease repayments, hedge settlements, realized loss on derivative financial instruments, unrealized foreign exchange loss on cash, and other non-operating cash adjustments.

**Includes $63m of cash received from La Mancha and minority cash interest in Ity operating entity, net of transaction fees

Read the rest of the article at www.publicnow.com
Data and Statistics for these countries : Burkina Faso | All
Gold and Silver Prices for these countries : Burkina Faso | All

Endeavour Financial Corporation

EXPLORATION STAGE
CODE : EDV.TO
ISIN : KYG3040R1092
CUSIP : G3040R109
Follow and Invest
Add to watch list Add to your portfolio Add or edit a note
Add Alert Add to Watchlists Add to Portfolio Add Note
ProfileMarket
Indicators
VALUE :
Projects & res.
Press
releases
Annual
report
RISK :
Asset profile
Contact Cpy

Endeavour Financial is a producing gold and cobalt company based in Cayman islands.

Its main exploration property is FYRE LAKE (KONA) in Canada.

Endeavour Financial is listed in Canada and in United States of America. Its market capitalisation is CA$ 2.4 billions as of today (US$ 1.8 billions, € 1.6 billions).

Its stock quote reached its lowest recent point on January 15, 1999 at CA$ 10.02, and its highest recent level on August 10, 2007 at CA$ 97.43.

Endeavour Financial has 96 450 000 shares outstanding.

Your feedback is appreciated, please leave a comment or rate this article.
Rate : Average note :0 (0 vote) View Top rated
 
Corporate Presentations of Endeavour Financial Corporation
9/25/2008Winston Updates Endeavour Financial
5/15/2008 Reinhard Updates Endeavour Mining Capital
1/17/2008Winston says investing in Endeavour Mining Capital (EDV-TSXV...
In the News and Medias of Endeavour Financial Corporation
10/17/2009Endeavour Financial recognizes upside in Etruscan’s assets
Annual reports of Endeavour Financial Corporation
Annual Report 2007
Financings of Endeavour Financial Corporation
2/4/2009CLOSES EQUITY OFFERING
1/28/2009ANNOUNCES TERMS OF EQUITY OFFERING
Nominations of Endeavour Financial Corporation
3/26/2015Mining Appointment of New CFO
9/17/2013Mining strengthens Board of Directors
6/5/2013Mining Reports Election of Directors
4/2/2013Mining Appoints Ian Henderson to Board of Directors
2/25/2008Announces Appointment of Director, Marketing & Business Deve...
Financials of Endeavour Financial Corporation
11/4/2009To release First quarter results on November 10, 2009
2/5/2009 TO RELEASE SECOND QUARTER RESULTS ON FEBRUARY 9, 2009
4/29/2008Release Third Quarter Results on May 5, 2008
2/6/2008Release Second Quarter Results on February 12, 2008
Project news of Endeavour Financial Corporation
3/24/2016Endeavour Mining Corporation Announces Special Meeting of Sh...
7/8/2015Mining reports gold production of 255,000 ozs and $20m debt ...
2/19/2015Endeavour Mining increases mineral reserves to 4.5 million o...
8/11/2014Mining reports record gold production in Q2 2014 at an AISC ...
7/15/2014Mining reports six-month gold production of 228,000 ozs
5/12/2014Mining Reports Record Gold Production in Q1 2014 at an AISC ...
1/27/2014Mining declares commercial production at Agbaou and signs co...
9/20/2012Mining Announces Full and Final Settlement with Gold Reserve
4/20/2006reports additional high grade intercepts from Guanacevi proj...
Corporate news of Endeavour Financial Corporation
7/26/2016Endeavour Mining to Announce its Q2 Results on Thursday July...
7/12/2016Endeavour Mining Announces C$125 million Bought Deal Financi...
7/12/2016Endeavour Mining Announces Board Change
7/12/2016Endeavour Mining Reports Fatality at its Tabakoto Mine in Ma...
6/30/2016Endeavour Holds Groundbreaking Ceremony to Mark the Start of...
6/13/2016Endeavour Mining Announces C$125 million Bought Deal Financi...
5/31/2016Endeavour Mining Announces Notice of Annual General Meeting
5/2/2016Endeavour Reports First Quarter 2016 Results; AISC Continue ...
4/26/2016Endeavour Completes Acquisition of True Gold
4/21/2016Endeavour and True Gold Shareholders Approve Acquisition Tra...
4/11/2016LEADING INDEPENDENT ADVISORY FIRMS ISS AND GLASS LEWIS SUPPO...
1/28/2016Endeavour Silver to cut output in Mexico on low prices
1/15/2016Endeavour Mining Exceeds 2015 Guidance With 518,000 Ounces
1/11/2016Endeavour Mining Confirms ASX Delisting And Corporate Update
1/1/2016Mali produces 50 T of gold in 2015, expects more in 2016
12/1/2015Endeavour Mining Reports Agbaou Gold Mine Fully Repaid Share...
12/1/2015Endeavour Mining Updates ASX Share Consolidation Timetable
11/30/2015Endeavour Mining Announces Details of Share Consolidation an...
11/27/2015Endeavour Mining Completes La Mancha Transaction
11/6/2015Endeavour Mining to Release Q3 Results on November 13, 2015
11/5/2015Endeavour Mining Shareholders Approve the La Mancha Transact...
10/7/2015Endeavour Mining Mails Information Circular in Connection wi...
8/14/2015Endeavour Mining Reports Successful Agbaou Exploration Drill...
7/30/2015Endeavour Mining Q2 2015 AISC/oz of $898, Profit of $33M and...
7/30/2015Mining Q2 2015 AISC/oz of $898, Profit of $33M And $20M Debt...
7/23/2015Endeavour Mining To Release Q2 Results On July 30, 2015
7/23/2015Endeavour Mining Reports Gold Production of 255,000 Ozs and ...
7/23/2015Mining to release Q2 results on July 30, 2015
6/18/2015Endeavour Mining Reports Results of AGM Voting
6/17/2015Edited Transcript of EDV.TO earnings conference call or pres...
4/9/2015Mining produced 124,000 oz in Q1 2015 at mid-point of AISC g...
3/27/2015Endeavour Mining Files Technical Reports for Agbaou and Youg...
3/26/2015Endeavour Mining Appointment of New CFO
3/15/2015Endeavour Mining Generates Record Operating Cash Flow in 201...
3/10/2015Endeavour Mining Extends Five Year Credit Facility To March ...
3/10/2015Endeavour Mining Extends Five Year Credit Facility to March ...
3/10/2015Mining Extends Five Year Credit Facility to March 31, 2020
2/26/2015Endeavour Mining Generates Record Operating Cash Flow in 201...
2/26/2015Endeavour Mining Files Early Warning Report Related to Share...
2/25/2015Endeavour Mining files Early Warning Report related to share...
2/24/2015Endeavour Mining to release 2014 year-end results on Februar...
2/23/2015Geodrill Secures Significant New Drilling Contracts for 2015
2/19/2015IIROC Trade Resumption - EDV
2/19/2015Mining Updates Houndé Project Economics Following Increase I...
2/19/2015Endeavour Mining Updates Houndé Project Economics Following ...
1/15/2015Mining delivers 466,000 oz in 2014 to exceed guidance and ge...
10/30/2014Mining to release Q3 results on November 3, 2014
9/15/2014Mining provides notice of a substantial holder
8/1/2014Mining to Release Q2 Results on August 11, 2014
6/25/2014Mining Reports Commencement of Production from Segala Underg...
6/19/2014Mining reports results of AGM voting
5/22/2014Mining files Early Warning Report related to shareholding in...
5/5/2014Mining to Release Q1 Results on May 12, 2014
4/28/2014Mining files Technical Report for Tabakoto Gold Mine
3/19/2014Mining Reports 2013 All-In Margin of $93 Million and AISC of...
3/6/2014Mining Updates Agbaou Gold Mine Performance
11/4/2013Mining to release Q3 results on November 12, 2013
10/15/2013Mining initiates mining at Agbaou and completes power line i...
8/14/2013Mining reports Q2 all-in sustaining cost of $1,038/oz
8/6/2013Mining Reports Delivery of Mining Equipment at Agbaou Gold M...
7/24/2013Mining increases and extends debt facility to strengthen fin...
7/24/2013Mining increases and extends debt facility to strengthen fin...
6/25/2013Mining reports Tabakoto Mill expansion achieves design capac...
5/14/2013Mining reports Q1 all-in sustaining margin of $39 million an...
5/6/2013Mining to release Q1 results on May 14, 2013
4/24/2013Mining reports Agbaou Gold Mine construction progress
4/11/2013Mining Announces Mali Humanitarian Donation In Cooperation W...
3/20/2013Mining to release 2012 year-end results on March 28, 2013
3/12/2013Mining files Houndé PEA, completes in-fill drilling and adva...
10/18/2012Avion Gold announces completion of acquisition by Endeavour ...
10/1/2012Mining announces ISS and Glass Lewis recommend in favour of ...
8/21/2011Mining and Adamus Resources to Merge and Create a New Growth...
9/29/2009Burkina Faso, Brazil, Ghana & H1N1
1/26/2009GSWeekly - smart money - Endeavour Financial
12/19/2008EXPANDS DEBT FINANCE TEAM
9/10/2008Reinhard Updates Endeavour Financial Corp.
7/17/2008SHAREHOLDERS APPROVE NAME CHANGE TO ENDEAVOUR FINANCIAL CORP...
6/9/2008Announces Proposed Name Change and New Website
4/1/2008 Renews normal course issuer bid
2/15/2008Declares Monthly Dividend for February 2008
2/12/2008 Announces Q2 Earnings
1/14/2008declares monthly dividend for January 2008
12/12/2007Declares Monthly Dividend
10/23/2007Announces 80% Increase in Dividend
5/19/2006reports record silver quaterly silver production, gross reve...
Comments closed
 
Latest comment posted for this article
Be the first to comment
Add your comment
TORONTO (EDV.TO)Other OTC (EDVMF)
24.62+2.41%18.75+3.45%
TORONTO
CA$ 24.62
11/13 16:00 0.580
2.41%
Prev close Open
24.04 24.28
Low High
24.23 24.95
Year l/h YTD var.
18.51 -  28.79 10.21%
52 week l/h 52 week var.
16.36 -  28.79 42.48%
Volume 1 month var.
222,087 3.40%
24hGold TrendPower© : 37
Produces
Develops
Explores for Cobalt - Copper - Gold
 
 
 
Analyse
Interactive chart Add to compare
Interactive
chart
Print Compare Export
You must be logged in to use the porfolio and watchlists (free)
Top Newsreleases
MOST READ
Annual variation
DateVariationHighLow
201911.71%28.9817.24
2018-14.01%26.8616.34
201727.77%28.8119.77
2016162.91%9.3310.07
201595.64%8.014.00
 
5 years chart
 
3 months chart
 
3 months volume chart
 
 
Mining Company News
Plymouth Minerals LTDPLH.AX
Plymouth Minerals Intersects Further High Grade Potash in Drilling at Banio Potash Project - Plannin
AU$ 0.12-8.00%Trend Power :
Santos(Ngas-Oil)STO.AX
announces expected non-cash impairment
AU$ 8.12+0.25%Trend Power :
Oceana Gold(Au)OGC.AX
RELEASES NEW TECHNICAL REPORT FOR THE HAILE GOLD MINE
AU$ 3.39+0.30%Trend Power :
Western Areas NL(Au-Ni-Pl)WSA.AX
Advance Notice - Full Year Results Conference Call
AU$ 2.97+0.68%Trend Power :
Canadian Zinc(Ag-Au-Cu)CZN.TO
Reports Financial Results for Q2 and Provides Project Updates
CA$ 0.12+4.55%Trend Power :
Stornoway Diamond(Gems-Au-Ur)SWY.TO
Second Quarter Results
CA$ 0.02+100.00%Trend Power :
McEwen Mining(Cu-Le-Zn)MUX
TO ACQUIRE BLACK FOX FROM PRIMERO=C2=A0
US$ 1.65+0.00%Trend Power :
Rentech(Coal-Ngas)RTK
Rentech Announces Results for Second Quarter 2017
US$ 0.20-12.28%Trend Power :
KEFIKEFI.L
Reduced Funding Requirement
GBX 1.79+14.01%Trend Power :
Lupaka Gold Corp.LPK.V
Lupaka Gold Receives First Tranche Under Amended Invicta Financing Agreement
CA$ 0.02+0.00%Trend Power :
Imperial(Ag-Au-Cu)III.TO
Closes Bridge Loan Financing
CA$ 1.82-3.70%Trend Power :
Guyana Goldfields(Cu-Zn-Pa)GUY.TO
Reports Second Quarter 2017 Results and Maintains Production Guidance
CA$ 0.66+17.86%Trend Power :
Lundin Mining(Ag-Au-Cu)LUN.TO
d Share Capital and Voting Rights for Lundin Mining
CA$ 7.21-1.90%Trend Power :
Canarc Res.(Au)CCM.TO
Canarc Reports High Grade Gold in Surface Rock Samples at Fondaway Canyon, Nevada
CA$ 0.06-8.33%Trend Power :
Havilah(Cu-Le-Zn)HAV.AX
Q A April 2017 Quarterly Report
AU$ 0.10+0.00%Trend Power :
Uranium Res.(Ur)URRE
Commences Lithium Exploration Drilling at the Columbus Basin Project
US$ 6.80-2.86%Trend Power :
Platinum Group Metals(Au-Cu-Gems)PTM.TO
Platinum Group Metals Ltd. Operational and Strategic Process ...
CA$ 1.87+1.63%Trend Power :
Devon Energy(Ngas-Oil)DVN
Announces $340 Million of Non-Core Asset Sales
US$ 21.62-3.35%Trend Power :
Precision Drilling(Oil)PD-UN.TO
Announces 2017Second Quarter Financial Results
CA$ 8.66-0.35%Trend Power :
Terramin(Ag-Au-Cu)TZN.AX
2nd Quarter Report
AU$ 0.04+0.00%Trend Power :