SURFACE

First gold at Ity CIL

Endeavour Mining has poured first gold at its Ity CIL project in Ivory Coast

Jacqueline Holman
The first gold bars poured at Ebdeavour's Ity CIL projec

The first gold bars poured at Ebdeavour's Ity CIL projec

This is the second project Endeavour has brought online ahead of schedule and under budget in the past 18 months, with first gold poured at its flagship Houndé mine in Burkina Faso in October 2017.

As with Houndé, the Ity CIL project was built in under 18 months, with the plant already running at its 4 million tonnes per annum nameplate capacity after a rapid ramp-up.

Ity's first pour yielded around 1,800oz of gold, higher than Houndé's first pour of 980oz.

First ore was introduced into the Ity CIL processing plant a month ago, with approximately 135,160t of ore processed since.

Endeavour said it expected to declare commercial production early in the June quarter, with the start of performance trial testing imminent.

CEO Sébastien de Montessus said the gold pour and fast ramp-up meant the Ity CIL would quickly contribute to Endeavour's cash generation potential.

The company has already started optimisation and de-bottlenecking work to increase the plant nameplate capacity to 5Mtpa at a minimal cost of US$10-15 million.

The work includes pipes and pumps upgrades and a second 50t oxygen plant. It doesn't require any additional mining fleet, and the upgrades are expected to be completed during scheduled plant maintenance shutdowns throughout the next six months.

"Given its current 15-year mine life and strong exploration potential, our ability to increase the plant size by 1Mtpa to 5Mpta for minimal additional capex represents a very compelling investment and is in line with our focus on capital allocation efficiency and return on capital employed criteria," de Montessus said.

"With this upgrade, Ity has the potential to produce circa 300,000oz of gold per annum at a low AISC."

Ity's output for 2019 is forecast at 160,000-200,000oz at an all-in sustaining cost of US$525-590 per ounce.

Endeavour put the overall project capital expenditure at around US$420 million, including the upgrade costs and additional works, such as the construction of a fuel farm, building exploration facilities, and an additional US$7 million of crop compensation and resettlement related to prospective exploration grounds.

It is busy with a US$11 million exploration programme at the La Plaque target totalling around 71,000m of drilling this year, with the aim of publishing an updated resource in the June quarter and testing other targets, including Floleu, Daapleu SW and Samuel.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Magazine Intelligence team.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Magazine Intelligence team.

editions

ESG Mining Company Index: Benchmarking the Future of Sustainable Mining

The ESG Mining Company Index report provides an in-depth evaluation of ESG performance of 61 of the world's largest mining companies. Using a robust framework, it assesses each company across 9 meticulously weighted indicators within 6 essential pillars.

editions

Mining Magazine Intelligence Exploration Report 2024 (feat. Opaxe data)

A comprehensive review of exploration trends and technologies, highlighting the best intercepts and discoveries and the latest initial resource estimates.

editions

Mining Magazine Intelligence Future Fleets Report 2024

The report paints a picture of the equipment landscape and includes detailed profiles of mines that are employing these fleets

editions

Mining Magazine Intelligence Digitalisation Report 2023

An in-depth review of operations that use digitalisation technology to drive improvements across all areas of mining production