“Having completed the operational turn arounds at our Guanacevi and Bolanitos mines in 2020, we are forecasting relatively steady state performance from our operating mines in 2021, with slightly higher consolidated production offset by slightly higher operating costs at the three mines. Advancing our Terronera mine project through the feasibility study and project financing will be a key focus during the first half of the year,” Bradford Cooke, Endeavour CEO, said in a release.
The Guanacevi mine in Durango state is expected to operate at an average production rate of 1,100 t/d, mining three orebodies in 2021. A large portion of the year’s production is forecast to come from the Porvenir Cuatro extension, within the El Curso concessions. These leased concessions did not include upfront costs but carry “significant royalty payments on production.” As a result, cash costs per ounce are expected to trend upwards in 2021, with no major changes anticipated to direct operating costs per tonne.
The Bolanitos mine in Guanajuato state is projected to average 1,050 t/d, mining three vein systems.
Guanacevi is expected to be Endeavour’s primary production contributor this year, forecast to churn out 3.7 to 4.5 million silver-equivalent oz., followed by Bolanitos, at 2.1 to 2.3 million oz. of silver-equivalent.
For 2021, the miner has a sustaining capital budget of US$30.8 million and a growth capital budget of US$2 million. This includes US$16.7 million allocated for capital projects at Guanacevi and US$14.1 million budgeted for projects at Bolanitos.
A feasibility study is also in progress for the Terronera development project in Jalisco state, with a US$9-million budget for the feasibility, expansion of the project team, site prep and sourcing of long lead time items.
A July 2020 prefeasibility study for the asset defined a 1,600 t/d underground operation producing an average of 5.9 million oz. of silver-equivalent a year.
This year, Endeavour also expects to spend US$10.2 million on 50,000 metres of core drilling at brownfields and greenfields projects.
Financial results for the fourth quarter and 2020 are expected on Mar. 1.
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