Endeavour Mining Corp.'s second-quarter gold output rose to 171,000 ounces, from 147,000 ounces a year earlier, thanks to 58,000 ounces from its Ity gold mine in Cote d'Ivoire following the commissioning of the carbon-in-leach operations.
Realized gold price improved to US$1,285 per ounce from US$1,257/oz a year ago, with all-in sustaining costs rising to US$790/oz from 780/oz, the company said Aug. 1.
Adjusted net earnings remained flat at US$9 million, with net earnings attributable to shareholders falling to US$1 million, from US$4 million a year ago. Adjusted EBITDA rose to US$94 million, from US$68 million a year ago, as revenue rose to US$219 million from US$190 million.
Debottlenecking and optimization work are underway to increase the Ity plant capacity by 1 million tonnes per annum to 5 mtpa at a cost of between US$10 million and US$15 million, expected to be completed in the fourth quarter.
"We intend to now focus on debt reduction driven by our strong expected cash flow generation," Endeavour Mining CEO Sébastien de Montessus said. Net debt as of the end of June totaled US$660 million, rising from US$635 million at the end of March and US$410 million a year earlier.
Output for the first half fell 2% year over year to 292,000 ounces with all-in sustaining costs rising 13% to US$826/oz. Revenue was down 5% at US$371 million.
The company is on track to achieve its full-year output guidance of 615,000 to 695,000 ounces at all-in sustaining costs of US$760/oz to US$810/oz. Output in the second half is expected to be stronger than in the first half thanks to the Ity commissioning and better gold grades across all operations.