Proactive Investors - Endeavour (LON:EDV)’s announcement that the Sabodala-Massawa BIOX expansion project achieved a first gold pour just two years after construction launch is an important strategic milestone, says broker Stifel.
According to the broker, the mine accounts for roughly a third of NAV and refractory ore represents 41% of reserves, so delivery of the BIOX plant is an important strategic milestone.
Commercial production is expected to be achieved in late in the current quarter with project nameplate capacity of 1.2Mtpa to be achieved in the third quarter.
“With a capacity to process more complex ore, an aggressive drilling programme should now enable additions at various under-explored refractory targets,” adds the broker, which has a buy rating on the Africa-focused gold miner.