Endeavour Mining PLC (LSE:EDV, TSX:EDV, OTCQX:EDVMF), the Africa-focused gold miner, said it expects a better second-half performance as its two new projects ramp up and its mine at Hounde improves.
Production in the three months to the end of March dropped 22% to 219,000 ounces compared to the same period a year, with gold sold down by a similar percentage at 225,000oz.
Mining lower-grade tonnage at Sabodala-Massawa and Hounde was the reason for the fall, with costs rising as a result.
Over the rest of 2024, Endeavour will see the first production from the Sabodala-Massawa BIOX expansion and also from Lafigué, where dry commissioning is underway.
Ian Cockerill, chief executive, said: "Lafigué will be the fifth growth project that we have completed over the last 10 years, all of which have been built on budget and on schedule in two years or less.
“Our operational performance is tracking in line with our group guidance, as production and costs are expected to progressively improve throughout the year,"
Underlying profits [adjusted EBITDA} fell by 27% in the quarter to US$213 million while Endeavour completed US$13 million in share buybacks over the period in addition to the $100 million (41c) dividend paid.