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MINING
g/t silver and 11.40 g/t gold (721,000 oz.
contained silver and 52,000 oz. contained
gold).
The mine plan was also optimized in the
2018 PFS to an initial production rate of
750 tonnes per day (tpd) during the first
two years of operations, then expanding
to 1,500 tpd in the third year. The cur
-
rent 9.5-year mine life envisions a total
throughput of 4.7 million tonnes with
average grades of 224 g/t silver and 2.26
g/t gold. Average recoveries are estimated
at 84.6% for silver and 80.4% for gold.
Total Life-of-Mine (LOM) production is
anticipated to be 27.9 million oz of payable
silver and 268,000 oz of payable gold.
The story does not end there. According
to the 2018 PFS, there is still room for
improvement. Specifically, more resources
can be added via exploration drilling on
the Terronera vein and other nearby veins.
Subsequently, a revised mine plan would
be required to incorporate new resources.
The crushing and grinding circuits can
be optimized to improve overall recover
-
ies and power consumption. Alternative
power options are also being examined.
Grid power vs. a Liquid Natural Gas
facility plus solar and diesel power are
being considered to reduce capital costs.
Currently the PFS has incorporated grid
power into the mine plan.
Endeavour has already secured US $35.7
million at the market financing, which is
earmarked for the new mine. Once final
approvals are in hand, debt financing will
be arranged to cover the remaining 2/3 of
the capital costs.
Endeavour Silver currently has four
high-grade, silver-gold mines in Mexico
that together are expected to produce 10.2
to 11.2 million ounces of silver equivalent
in 2018. The Terronra Project is now in the
development stage and Endeavour has three
additional promising Mexican precious
metal exploration projects – Parral, Lourdes
and Guadalupe Y Calvo – in its stable. The
company has US $58.9 million in working
capital and no debt with a market capital
-
ization of about US $305 million.
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