The West African Gold Champion
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THE WEST AFRICAN GOLD CHAMPION FOLLOW US EDV: TSX FACT SHEET MARCH 2021 endeavourmining.com ENDEAVOUR MINING MINING ENDEAVOUR ABOUT US | FACT SHEET MARCH 2021 | FACT Dakar Senegal Niger KARMA Ko Mali SABODALA-MASSAWA Burkina Faso Liptako Bamako Ouagadougou BOUNGOU MANA HOUNDÉ Liguidi NABANGA Siguiri KALANA Guinea BANTOU Benin WAHGNION JV with Barrick Sierra Togo Nigeria Leone FETEKRO Miminvest Ghana Bondoukou Miminvest Côte d’Ivoire Daoukro Liberia ITY Miminvest AFEMA Abidjan Regional Office Mines Projects Exploration Birimian Greenstone Belt 2021 TARGET Top 10 7 17Moz Global Gold Operational P&P Reserves Producer Mines ~1.5Moz 1 Production at <$900/oz N o . 1 6 33Moz AISC Producer in Development M&I Resources West Africa Projects ABOUT US 1 Endeavour Mining is one of Acquired Ity and formed the world’s top ten senior gold a strategic partnership with La Mancha who became 2015 producers and the largest in a 30% shareholder West Africa, with operating assets across Senegal, Côte Sebastien de Montessus d’Ivoire and Burkina Faso and appointed President and CEO a strong portfolio of advanced 2016 Non-core Youga mine development projects and divested and True Gold Dakar Senegal exploration assets in the highly (Karma mine) acquired Niger prospective Birimian Greenstone KARMA Belt across West Africa. Houndé construction began Ko Mali SABODALA-MASSAWA Burkina Faso Liptako Five-year exploration strategy 2016 Bamako A member of the World Gold Council, Ouagadougou BOUNGOU was launched MANA Endeavour is committed to the HOUNDÉ Liguidi principles of responsible mining NABANGA Siguiri KALANA and delivering sustainable value Acquired Avnel (Kalana project) Guinea BANTOU to its employees, stakeholders Benin 2017 Houndé completed ahead of WAHGNION and the communities where it schedule and below budget operates. Endeavour is listed on JV with Barrick Sierra the Toronto Stock Exchange, under FETEKRO Togo Nigeria Leone the symbol EDV and will be seeking Miminvest Ghana Ity CIL plant construction began Côte d’Ivoire Bondoukou a secondary listing as a Premium 2017 Miminvest Non-core Nzema mine divested ITY Daoukro issuer on the London Stock Liberia Exchange during Q2-2021. Miminvest AFEMA 1Moz indicated resource at Abidjan 2018 Kari Pump (Houndé mine) Regional Office Non-core Tabakoto Mines Projects Exploration Birimian Greenstone Belt mine divested 2018 Ity CIL plant completed ahead 2019 of schedule and below budget Upsize of Ity CIL plant to 5Mtpa 1Moz Indicated resource at Kari West & Kari Center (Houndé mine) 2019 Joined the World Gold Council 2020 Acquired SEMAFO (Mana and Boungou mines) Acquired Teranga (Sabodala-Massawa and Wahgnion mines) Non-core Agbaou mine divested 2021 Paid first dividend 2 ENDEAVOUR MINING MINING ENDEAVOUR WEST AFRICA: A GOLDEN OPPORTUNITY | FACT SHEET MARCH 2021 | FACT West Africa is one of the most attractive mining jurisdictions globally with many of the world’s leading gold producers operating there and investing in the region. UNDEREXPLORED AND HIGHLY PROSPECTIVE BIRIMIAN GREENSTONE BELT 2nd 78% No.1 LARGEST GOLD GROWTH IN REGION GLOBALLY PRODUCING PRODUCTION OVER FOR RECENT REGION GLOBALLY PAST 10 YEARS DISCOVERIES +80Moz No.4 <$75/oz DISCOVERED IN REGION FOR ANNUAL DISCOVERY COST PAST DECADE EXPLORATION SPEND WHICH IS 3X LESS THAN THE GLOBAL AVERAGE ENDEAVOUR: STRATEGICALLY POSITIONED IN WEST AFRICA WITH A STRONG TRACK RECORD OPERATORS | DEVELOPERS | EXPLORERS Largest gold producer in West Africa Production and cost guidance either met or beaten over the past eight years Built four mines on schedule and within budget in the past decade with zero lost time injuries 8.4Moz of Indicated resources have been discovered since 2016 at a low discovery cost of <$15/oz Owns one of the largest exploration land packages in West Africa Has established a strong social license to operate with host countries and local communities 3 ATTRACTIVE MINING- MOVING FROM DEVELOPING FRIENDLY JURISDICTION TO EMERGING MARKET STATUS Responsible approach to mining development GDP growth rate amongst the highest in the world with modern environmental standards with controlled inflation of below 2% Swift permitting process which means timings Democratic elections held across most West African from discovery to production can be under countries in past decade three years Strong support from the IMF and World Bank Modern mining codes consistent with Local governments are investing heavily in improved international principles regional security with additional support from international partners Great human potential; significant improvement in MALI literacy and education over the past 10 years NIGER Political and economic stability thanks to the SENEGAL creation of a regional economic zone called the West BURKINA GUINEA FASO African Economic and Monetary Union (UEMOA) BISSAU BENIN which is similar to the European Union: CÔTE TOGO D’IVOIRE • Common central bank for the eight francophone nations • Common currency (CFA Franc) which is pegged to UEMOA Member States the Euro • Fiscal and monetary policies tend to be aligned with guidance from IMF SENEGAL Population: 15.7m 2018 GDP: $23bn Unemployment rate: 6.7% 2018 GDP growth: 6.4% Literacy: 51.9% Corporate tax: up to 30% Internet users: 29.6% Mining royalties: up to 5% CÔTE D’IVOIRE Population: 27.5m 2018 GDP: $43bn Unemployment rate: 2.5% 2018 GDP growth: 7.4% Literacy: 47.2% Corporate tax: up to 25% Internet users: 46.8% Mining royalties: up to 6% BURKINA FASO Population: 20.8m 2018 GDP: $14.1bn Unemployment rate: 6.2% 2018 GDP growth: 6.8% Literacy: 41.2% Corporate tax: up to 27.5% Internet users: 16% Mining royalties: up to 5% MALI Population: 19.5m 2018 GDP: $17.2bn Unemployment rate: 7.9% 2018 GDP growth: 4.9% Literacy: 35.5% Corporate tax: up to 25% Internet users: 13% Mining royalties: up to 6% Sources: World Bank & CIA Factbook 2 4 ENDEAVOUR MINING MINING ENDEAVOUR STRATEGIC POSITIONING ON TWO OF WEST AFRICA’S | FACT SHEET MARCH 2021 | FACT SENEGAL MOST PROLIFIC BELTS NIGER Cavally River BURKINA FASO ITY BELT MALI Endeavour controls the full 125km stretch along the Ity Birimian Belt BENIN GHANA GUINEA Toulepleu-Ity NIGERIA Greenstone CÔTE D’IVOIRE LIBERIA Ity Mine C Ô T E D’IVOIRE LIBERIA Birimian Greenstone Belts Mining Permits Exploration permits Deposits Cavally River Targets 0 Km 25 Toulepleu-Ity Greenstone STRONG TRACK RECORD OF UNLOCKING EXPLORATION VALUE ACROSS THE GROUP Screening and ranking +200 <$15/oz 8.4Moz methodology Exploration Discovery Discovered since disciplined approach targets cost mid-2016 EXPLORATION 5 HOUNDÉ BELT Endeavour has one of the largest footholds on the Hounde Belt, with two mines, two projects and significant SENEGAL exploration tenements, along with the Wahgnion Mine located on the adjacent Banfora GreenstoneNIGER Belt. MALI BURKINA FASO Mana Mine BENIN GHANA CÔTE D’IVOIRE GUINEA NIGERIA CÔTBirimianE Greenstone Belts BURKINA D’IVOIRE Houndé Mine LIBERIA Tarkwaian Type Sediments FASO Exploration permits JV Exploration Permits Golden Hill Exploration Mining Permits Deposits Targets 0 Km 100 GHANA Bantou Exploration Wahgnion Mine Houndé Banfora Greenstone Greenstone Boromo Greenstone C Ô TE D’IVOIRE 100% 5-YEAR DISCOVERY TARGET Excludes assets acquired in the SEMAFO transaction 80% 1.5Moz – 10Moz – Cumulative Indicated resources against 5-year discovery target 2.5Moz 15Moz 63% Indicated resources discovered 2.1Moz Indicated resources targeted 42% 2.1Moz 23% 1.9Moz 10% 1.3Moz 1.0Moz H2–2016A 2017A 2018A 2019A 2020E 2021E Total 6 ENDEAVOUR MINING MINING ENDEAVOUR FETEKRO ITY MINE | FACT SHEET MARCH 2021 | FACT ABIDJAN CÔTE D’IVOIRE Ownership: 85% EDV, 10% Government, ITY MINE 5% SODEMI Production start date: 2019 for Ity CIL plant Mining method: Open Pit/Owner Mining The Ity mine is one of Endeavour’s cornerstone Processing technology: assets, it has the longest operating history of any 5Mtpa CIL Plant gold mine in Côte d’Ivoire, with more than 1.2Moz Expected mine life: of gold produced in its 20-plus years of operation. +10 years Workforce: The recent success of Endeavour’s near-mine exploration program which 940 discovered approximately 3.5Moz provided the opportunity to upgrade the small-scale, short life heap leach operation with a CIL plant. The CIL plant was successfully built ahead of schedule and below budget, achieving commercial production in Q2 2019. The mine has a production potential of 250koz/year over a +10-year life of mine at an attractive AISC. 230-250koz OPERATING PERFORMANCE Production 2021 Target 2017 2018 2019 2020 Mining Waste (kt) 5,237 2,901 8,320 14,898 Ore mined – Open Pit (kt) 1,410 1,127 5,733 8,571 Processing $800-850/oz Ore processed (kt) 1,194 1,307 3,693 5,353 AISC 2021 Target Grade (g/t) 1.85 2.49 1.88 1.57 Recovery (%) 83 81 86 79 Production (oz) 59,026 84,832 193,140 213,000 Cash costs per ounce of gold sold 3.1Moz Total cash cost ($/oz) 733 646 613 765 P&P Reserves As at December 31, 2019 AISC ($/oz) 906 719 616 808 4.1Moz M&I Resources Current as at December 31, 2019 7 KARMA OUAGADOUGOU HOUNDÉ MINE BOUNGOU MANA NABANGA BANTOU WAHGNION BURKINA FASO Ownership: 90% EDV, 10% Government HOUNDÉ MINE Production start date: 2017 Mining method: Open Pit/Owner Mining Processing technology: The Houndé mine is one of Endeavour’s cornerstone 3Mtpa CIL Plant assets. The mine was built ahead of schedule Expected mine life: and below budget, with commercial production +10 years commencing in Q4-2017. Since then, the CIL plant has Workforce: consistently performed well and is able to operate 1,860 at more than 30% above nameplate capacity. The goal is to delineate sufficient additional resources through near-mine exploration to sustain production above 250koz/year over a +10-year life of mine at an attractive AISC. In July 2020, a mining permit was granted and 240-260koz mining commenced at the Kari Pump deposit, part of the Kari Area, which will Production provide mill feed at significantly higher grades than the current active pits.