Endeavour Mining increases mineral reserves to 4.5 million oz with exploration additions of 870,000 oz in 2014

VANCOUVER, Feb. 19, 2015 /CNW/ - Endeavour Mining Corporation ("Endeavour" or the "Corporation") (TSX:EDV) (ASX:EVR) (OTCQX:EDVMF) announces year-end mineral reserves of 4.5 million ounces of gold for a net increase of 412,000 ounces when compared to the end of 2013.  With depletion from mining of 458,000 ounces during 2014, the total exploration additions are 870,000 ounces.  Both the Agbaou and Tabakoto mines experienced a net gain in reserves when compared to the end of 2013 demonstrating the potential for steady replacement of mined ounces.  The Houndé Project had a 34% increase in reserves to 2.1 million ounces confirming that Houndé is a core asset in our growth profile (see Houndé news release dated February 19, 2015).

Neil Woodyer, CEO, stated

"We are very pleased to report total reserve additions from exploration during 2014 of 870,000 ounces.  This excellent result was achieved with programs focused on extending mine life at the Agbaou and Tabakoto mines and at our Houndé Project.

At the Agbaou and Tabakoto mines, $2.1 million and $9.2 million was spent, respectively, leading to a cost of approximately $33 per discovered reserve ounce.  At Agbaou, the reserve gains are almost exclusively oxides added as a result of the drill program that was reported in October 2014. At Tabakoto, the ongoing underground exploration initiatives and continued drilling below development is successfully converting Inferred resources to Measured and Indicated and, ultimately, into reserves. 

At the Houndé project, $6.7 million was spent during 2014 leading to a cost of approximately $13 per discovered reserve ounce.  With updated reserves of 2.1 million ounces there is the significant impact of increasing potential production, extending mine life and further strengthening overall project economics – we have described the updated Houndé project in a separate news release today."

Table 1:  Mineral Reserves and Resources Summary Table (in '000 ounces)

Note: Measured and Indicated Resources shown are inclusive of Proven and Probable Reserves.  See the detailed Mineral Resource and Mineral Reserve Tables and the Notes to Mineral Resources and Reserves in an appendix of this news release for further detail.

Agbaou Mine

Following the positive results from our exploration drilling at Agbaou (News release dated October 9, 2014), all data have now been incorporated into the resource model and the increase in the reserves from 880,000 ounces to 926,000 ounces, after a record mine production (on a processed ore contained ounce basis) of 151,000 ounces were depleted in 2014.

The drill program was essentially targeting shallow oxide mineralization north of the main pit and in the west pit areas. New discoveries have also brought additional Inferred mineralization into the resources, generating new targets to be drilled out in 2015. A new drill program is being implemented to follow up on these targets aiming to extend the reserves by the end of 2015.

Tabakoto Mine

The exploration program at Tabakoto was focussed primarily on the underground drilling of mineralized zones below development in the Tabakoto and Segala mines as well as converting the Kofi B Inferred mineral resource into a mineral reserve.

The program successfully increased the reserves at Tabakoto from 284,000 ounces to 319,000 ounces (after mining depletion) and increased Segala underground reserves from 184,000 ounces to 201,000 ounces (after mining depletion). At Kofi, the Kofi B conversion drill program has increased the reserves by a further 51,000 ounces.

The drill programs in the Tabakoto and Segala mines to extend the life of mine continues in 2015. The conversion of the Bétéa resources from Inferred mineral resources to reserves is under review on our Kofi mining permit. Bétéa has a current resource estimate of 169,000 ounces of Indicated mineral resources and 385,000 ounces of Inferred mineral resources.

Houndé Project

The Houndé exploration drill program, resources and reserves update, updated mine plan, updated capital cost estimate and a summary of the key project economic indicators are described in a separate news release.  The increase in reserves to 2.1 million ounces is due to the expansion of the Vindaloo deposit and inclusion of two new deposits within 14 kilometres of the proposed plant site.

Qualified Persons

Adriaan "Attie" Roux, Pr.Sci.Nat, Endeavour's Chief Operating Officer, is a Qualified Person under NI 43-101, and has reviewed and approved the technical information related to mining operations in this news release. Gérard De Hert, EurGeol, Vice President Exploration is the Qualified Person overseeing Endeavour's exploration projects in West Africa and has reviewed and approved the exploration and resource information in this news release.

The Qualified Persons for the mineral resources and mineral reserves are listed as footnotes to the tables provided in the Appendix to this new release.

About Endeavour Mining Corporation

Endeavour is a Canadian-based gold mining company producing 500,000 ounces per year from four mines in West Africa.  Endeavour is focused on effectively managing its existing assets to maximize cash flow as well as pursuing organic and strategic growth opportunities that benefit from its management and operational expertise.

On behalf of Endeavour Mining Corporation

Neil Woodyer
Chief Executive Officer

This news release contains "forward-looking statements" including but not limited to, statements with respect to Endeavour's plans and operating performance, the estimation of mineral reserves and resources, the timing and amount of estimated future production, costs of future production, future capital expenditures, and the success of exploration activities. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "expects", "expected", "budgeted", "forecasts" and "anticipates". Forward-looking statements, while based on management's best estimates and assumptions, are subject to risks and uncertainties that may cause actual results to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the successful integration of acquisitions; risks related to international operations; risks related to general economic conditions and credit availability, actual results of current exploration activities, unanticipated reclamation expenses; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including gold; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which Endeavour operates. Although Endeavour has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Please refer to Endeavour's most recent Annual Information Form filed under its profile at www.sedar.com for further information respecting the risks affecting Endeavour and its business.

Appendix

Mineral Resources (effective date: December 31, 2014)

Mineral Reserves (effective date: December 31, 2014)

Notes to Mineral Resources and Reserves

SOURCE Endeavour Mining Corporation