Business
Endeavour Mining increases and extends debt facility to strengthen financial flexibility and is on track to significantly lower operating costs
VANCOUVER , July 24, 2013 /CNW/ - Endeavour Mining Corporation ("Endeavour" or the "Cor...
About this update from Endeavour Mining Plc
[{"type":"text","content":"\n\n\nVANCOUVER, July 24, 2013 /CNW/ - Endeavour Mining Corporation (\"Endeavour\" or the \"Corporation\")\n (TSX:EDV, ASX:EVR, OTCQX:EDVMF) announces it has implemented a number\n of steps to significantly lower its operating cost profile and to focus\n on EBITDA and cash flow generation.  Endeavour has also enhanced its\n financial flexibility by increasing its revolving corporate loan\n facility from $200 million to $350 million, with the term extended to\n five years. \n\n\n(All dollar amount in U.S. dollars unless otherwise indicated)\n\n\nHighlights - Q2/2013 results and cost savings \n\n\n\n\nBased on operating results to June 30, 2013 Endeavour reiterates its\n full year 2013 production and cost guidance of between 310,000 and\n 345,000 ounces at a cash cost (excluding royalties) of between $840 to\n $880 per ounce\n\n\nDuring the six month period to June 30, 2013, Endeavour produced 149,075\n ounces, and the second half of 2013 is forecast to produce between\n 165,000 and 180,000 ounces as a result of the recent completion of the\n mill expansion at Tabakoto and the scheduled processed grade\n improvement at Nzema\n\n\nCash cost per ounce produced in Q1/2013 was $899.  During Q2/2013, cash\n costs are expected to be in the same range as Q1 and during the second\n half of 2013 are forecast to be between $790 and $820 per ounce for an\n approximate 10% unit cost reduction during the year\n\n\nEndeavour's 2013 capital programs remain on time and on budget, with the\n Tabakoto mill expansion complete and now operating in excess of design\n capacity and Agbaou remaining on schedule for production in Q1/2014\n\n\nA comprehensive review of each operation's long-term plans with the goal\n of targeting significant and sustainable cost savings is on-going.\n These targets will be achieved by:\n\n\nContinued cost savings: Endeavour has reduced corporate overhead by 25%\n and exploration has been restricted to programs with potential to\n enhance the cash flow from its existing mines.  Other optimizations\n include significant reductions in ex-pat and casual labour work force\n at the mine sites\n\n\nReduced use of contractors and sub-contractors at all mines\n\n\nSuccessful conversion to owner-mining for the open pit at the Tabakoto\n mine has achieved the planned cost savings.  Additional opportunities\n to co...