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-insustaining- 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 prospective Birimian Greenstone belt and is mainly quartz stockwork-style and is moderately pyritic. 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.
Proven and Probable Reserves as of December 2017 totaled 30.2 Mt at a gold grade of 2.0 g/t for 2.0 million contained ounces (0.5 g/t cut-off ).
Gold production from Houndé totaled 141 kozs during the first half of 2018. Endeavour has forecasted 250 -260 kozs of gold production from Houndé in 2018 at an AISC of $580 to $630/oz.
In the first half of 2018, more than 121,000 metres were drilled at Houndé, mainly focused on the Kari zone. A further 60,000 metre drilling campaign is underway, with in-fill drilling ongoing on the Kari Pump target where a maiden resource is expected by year-end.
Endeavour announced that their on-going exploration program at Houndé has successfully extended the Kari Pump high-grade mineralization and has discovered two new mineralized zones named Kari Centre and Kari West. Following the Kari Pump discovery, announced in November 2017, exploration efforts prioritized the wider Kari area. Kari is located 7 km west of the processing plant and in proximity to an existing haul road.