Endeavour Mining PLC (LSE:EDV, TSX:EDV, OTCQX:EDVMF) has commenced construction at the Lafigué project in Côte d’Ivoire, following completion of a definitive feasibility study.
First gold production is expected in the third quarter of 2024.
The mine stands to become a cornerstone asset for Endeavour, with annual production set at 203,000 ounces of gold per year, at an all-in sustaining cost (AISC) of US$871 per ounce.
Reserves were boosted in the definitive study by 30% to 2.7mln ounces.
The project looks set to generate an internal rate of return after-tax 21%.
“We are very pleased to launch the construction of Lafigué as it will become another cornerstone mine for Endeavour while continuing to enhance our geographic diversification,” said Sebastien de Montessus, chief executive of Endeavour Mining in a statement.
“Lafigué is expected to improve the quality of our portfolio, given its attractive production profile of approximately 200,000 ounces per year at an industry-low AISC of $871 per ounce over its initial 12.8-year mine life, with robust project economics. Moreover, we are excited by its exploration potential as we have confirmed mineralisation at several targets in close proximity to the Lafigué deposit," he added.
Patrick Bouisset, executive vice president exploration and growth, highlighted cheap discovery costs of US$12 per ounce.