Operator

Endeavour Mining Corp.

Terms

2.0% NSR

Acquisition Date

2017 / Dec / 18

The Houndé project is located 250 km southwest of Ouagadougou, the capital city of Burkina Faso. Infrastructure in the area includes a paved highway approximately 2.7 km from the mine site, a 225 kV power line as close as 200 metres in some areas and a rail line that extends to the port of Abidjan, Côte d'Ivoire approximately 25 km west of the deposit area.

The mine reached commercial production in November 2017 and Houndé is now Endeavour’s flagship asset, ranking amongst West Africa's top tier cash generating mines. The average annual production during the first four years of operations is expected to be 235,000 ounces of gold at an all-in-sustaining-cost of US$610 per ounce. Houndé is an open-pit mine with a 3.0 Mt per year gravity circuit and carbon-in-leach plant. Gold recoveries are expected to average 93%. 

The mineralization at Houndé is within the highly productive and prospective Birimian Greenstone belt and occurs mainly as quartz stockwork-style. The Vindaloo trend, where the bulk of the Mineral Reserves have been identified, has been drill tested for a distance of approximately 7.7 km along strike and up to 350 metres in depth. The mineralization remains open both along strike and to depth and Endeavour has set an exploration budget of $40 million to be spent over the next four years.

Sandstorm’s royalty covers the Kari North and Kari South tenements which contain Proven and Probable Reserves as of December 2019 of 24.2 Mt at a gold grade of 1.8 g/t for 1.4 million contained ounces (0.5 g/t cut-off). 

Recent Activities

September 2021
Endeavour released their exploration outlook for the next five years. The exploration strategy includes near mine exploration to extend the mine lives of core assets, including Houndé. At Houndé, between 3–4 million ounces of Indicated resources are targeted to be discovered over the next five years at an average discovery cost of $19 per ounce.

August 2021
Endeavour reported that Houndé and Karma both met their respective production targets as of Q2 2021 and remains on track to meet year end guidance.

At Houndé, an exploration program of up to $7.0 million is planned for 2021 of which $6.8 million was spent in the first half of 2021 consisting of 68,871 metres of drilling across 630 drill holes. The exploration efforts focus on Vindaloo South, Mambo and the intersection between Kari Gap and Kari Center. A maiden resource at Mambo is expected to be published in H2 2021.


Houndé Acquisition

 

Hounde

 

Hounde Royalty Map
Houndé Royalty Map