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Endeavour Mining plc T.EDV

Alternate Symbol(s):  EDVMF

Endeavour Mining plc is a United Kingdom-based senior gold producer with operating assets across Senegal, Cote d’Ivoire and Burkina Faso. The Company has a portfolio of advanced development projects and exploration assets in the highly prospective Birimian Greenstone Belt across West Africa. It operates mines that include Hounde Mine, Ity Mine, Mana Mine and Sabodala-Massawa Mine. The Hounde Mine is located approximately 250 kilometers (kms) southwest of Ouagadougou, the capital city of Burkina Faso. The Hounde Mine is owned by the Company (90%) and Government of Burkina Faso (10%). It owns approximately 85% of Ity Mine, which is located 480 kms northwest of Abidjan in southern Cote d'Ivoire. The Mana Mine is located approximately 200 kms west of Ouagadougou, the capital of Burkina Faso. The Sabodala-Massawa Mine is approximately 640 kms southeast of Dakar, the capital of Senegal. It owns approximately 80% of the Lafigue project. Its other projects include Kalana, Bantou and Nabanga.


TSX:EDV - Post by User

Bullboard Posts
Comment by bobvee15on Sep 20, 2010 11:24am
568 Views
Post# 17468659

RE: Pretty Much All Upside

RE: Pretty Much All UpsideActually the cash potential here is $380 million( with another $100 mil raised from the in the money warrants) and they have another potential $100 million lined up with creditors.

The market is valuing the Etruscan purchase at a 50 million discount to what it paid for it yet EDV was able to reduce cash costs by $200/oz at Youga with some quick fixes so yes  the stock certainly is undervalued.

Looking at the project economics which were so so I think the Agbaou development project still needs some resource additions to be  good candidate for development.

I think the big money will be made here based upon how effective they are at using the cash in acquisitions.

Right now, I would probably target  financially troubled copper producer Nord Resources which probably can be purchased for $25 million with another $12 in capex for a new leach pit. If the mine is working at the level of its design the company would throw off around 35-40 million in cash flow per year for 16 years at current copper prices.
Bullboard Posts