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Endeavour Receives Encouraging Drill Results from PEA-Stage Ouaré Project

August 27, 2012 by prospectingjournal · Leave a Comment

NEWS — Endeavour Mining — Vancouver, August 27, 2012 – Endeavour Mining Corporation (“Endeavour”) (TSX:EDV, ASX:EVR, OTCQX:EDVMF) has received the final drill results from core and reverse circulation (RC) drilling on the Ouaré gold deposit in Burkina Faso. An update of the resource estimate is underway and will be incorporated into a Preliminary Economic Assessment (PEA) due at the end of 2012.

Drilling along the 2.5 km long Ouaré trend was to infill, test extensions and extend mineralization to 150 metres depth in selected areas. Highlights of the core drilling on Ouaré Main include (Table 1);

BITDDH-12-55 with 18.7m @ 2.0g/t gold at 163.6 metres
including 0.8m @ 12.3g/t gold
BITDDH-12-31 with 9.6m of 1.6g/t from 85 metres
and 8.3m @ 13.9g/t gold at 115.0 metres
including 0.8m @ 33.5g/t gold

Results from core drilling on Ouaré East include (Table 1);

BITDDH-12-048 with 8.8m @ 14.2g/t gold at 96.0 metres
including 5m @ 23.3g/t gold
and 13.6m of 5.3 g/t from 138 metres
BITDDH-12-56 with 12.7m @ 3.9g/t gold at 143.1 metres
including 2m @ 16.9g/t gold

Step-out RC drilling was completed along the Warba trend which is a parallel structure, 700 metres southwest of Ouaré (Figure 1). This drilling has also yielded positive results including (Table 2);

BITRC-12-393 with 5m @ 2.9g/t at 50.0 metres
including 2m @ 6.0g/t gold
BITRC-12-406 with 18m @ 3.7g/t at 16.0 metres
including 4m @ 11.8g/t gold
and 8m @ 7.3g/t gold
including 1m @ 53.8g/t gold

Doug Reddy, SVP Technical Services, stated:
“We are pleased that drilling results from the Ouaré deposit continue to be consistent and provide extensions to known mineralization. Based on the results of our 2011/2012 program, we see good potential for increasing the level of certainty in the resource as well as increasing the overall size. Once the resource is updated we will get our first look at the economics of this deposit with the PEA, which is expected to be completed by year-end. Positive results from other targets within several kilometres of Ouaré such as the Warba Trend and also the targets to the east and northeast demonstrate the prospectivity of the area.”

The Ouaré gold deposit is located 40 kilometres northeast of Endeavour’s Youga plant, which currently produces in excess of 80,000 ounces of gold annually. Ouaré has an inferred mineral resource of 4.738 Mt at 2.1 g/t gold for 323,000 ounces at a 0.5 g/t gold cut-off (K. Woodman, 2009). During 2011 and the first four months of 2012 a drilling program was undertaken on the Ouaré gold deposit that included 56 core holes (6,968 metres) and 192 reverse-circulation (RC) holes (21,759 metres). This drilling consists of both RC and core on the Ouaré Main and Ouaré East zones with the objective of improving the geological model, upgrading the resource classification, extending the mineralization to depth and along strike. In addition, step-out drilling was undertaken on the Warba trend. Results have now been received for all holes and an independent update to the resource estimation is underway.

Ouaré Main and East Infill Drilling

The deposit is over two kilometres long and had been nominally tested on 50 metre spaced sections to a maximum depth of 100 metres. The current program has reduced the drill hole spacing to 25 by 20 metres (Figure 2) and tested depths down to at least 150 metres depth on selected sections of the Ouaré Main and Ouaré East zones.

Several of the highlighted core intersections are from deeper holes which provide for potential increases to the resource down-dip. Based on the RC drilling there is also potential to add resources in the area between Ouaré Main and Ouaré East.

Warba Trend Step-out Drilling

Step-out RC drilling along a parallel trend that is 700 metres to the southwest of the Ouaré trend has yielded positive results in several locations that are not fully delineated. The eastern portion of the Warba zone has been drilled at between 50 m and 100 m spacing over a 500 meter strike length while the far west portion has yielded some very significant intersections that require additional testing (Figure 1).

New Targets

The region surrounding Ouaré shows good potential for discovery of additional gold mineralization. Accordingly, the program included drilling two targets on the Bitou Est permit and two targets on the Bitou Nord permit. All four targets are within six kilometres of Ouaré Main (Figure 3) deposit. Results from this drill program are still being received.

Figure 1: Ouaré Deposits and Warba Zone

Click to Enlarge

Figure 2: Ouaré Main and Ouaré East Drill Plan on IP Chargeability

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Figure 3: Ouaré Zone and Other Bitou Targets overlain on Contoured Gold in Soil Geochemistry

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Table 1: Ouaré Main Infill Core and RC Drilling Highlights

Deposit Area	Hole ID	Drill Type	From (m)	To (m)	Length (m)	True Width (m)	Au Grade (g/t)
Ouaré Main (NW)	BITDDH-12-034	Core	29	52	23	18.4	1.44
	including		41	43	2	1.6	4.02
	BITDDH-12-035	Core	59	77	18	14.4	1.24
	including		75	76	1	0.8	6.50
	BITDDH-12-036	Core	129	136.65	7.65	6.1	2.81
	including		129	130	1	0.8	4.39
	BITDDH-12-043	Core	48	77	29	23.2	1.44
	including		54	55	1	0.8	6.15
	BITDDH-12-046	Core	8	23	15	12.0	2.04
	including		8.8	11	2.2	1.8	7.08
	and		132.8	140.12	7.32	5.9	3.31
	including		136	138.7	2.7	2.2	7.61
	BITDDH-12-055	Core	163.6	187	23.4	18.7	1.98
	including		179	180	1	0.8	12.30
Ouaré Main	BITDDH-12-030	Core	56.35	67	10.65	8.5	4.54
	including		60	63.4	3.4	2.7	12.13
	BITDDH-12-031	Core	85	97	12	9.6	1.61
	including		87.4	89	1.6	1.3	5.78
	and		115	125.4	10.4	8.3	13.88
	including		123	124	1.0	0.8	33.50
	BITDDH-12-037	Core	99.5	105	5.5	4.4	3.23
	including		101	102	1	0.8	10.40
	BITDDH-12-038	Core	0	1.1	1.1	0.9	5.90
	and		57	71	14	11.2	4.12
	including		60	61	1	0.8	21.50
	and		96	100	4	3.2	2.05
	including		99	100	1	0.8	4.96
Ouaré East	BITDDH-12-048	Core	96	107	11	8.8	14.23
	including		97	103.2	6.2	5.0	23.34
	and		138	155	17	13.6	5.30
	including		145.2	150	4.8	3.8	13.65
	BITDDH-12-049	Core	34	43	9	7.2	2.94
	including		39	41	2	1.6	10.45
	BITDDH-12-050	Core	90.4	95	4.6	3.7	3.06
	including		91.2	92	0.8	0.6	14.30
	BITDDH-12-052	Core	99	120.2	21.2	17.0	2.22
	including		112	114	2	1.6	14.74
	BITDDH-12-056	Core	143.1	159	15.9	12.7	3.92
	including		153	155.5	2.5	2.0	16.90
	and		173	184.15	11.15	8.9	2.92
	including		179	181.4	2.4	1.9	7.69
	BITRC-12-440	RC	19	23	4	3.2	2.48
	including		19	20	1	0.8	8.12

Table 2: Exploration RC Drilling Highlights (True widths unknown at this time)

Target Area	Hole ID	Drill Type	From (m)	To (m)	Length (m)	Au Grade (g/t)
Ouaré West (N)	BITRC-12-389	RC	7	12	5	2.57
	including		7	8	1	11.30
	and		28	31	3	10.92
	including		28	29	1	31.00
	BITRC-12-392	RC	95	101	6	1.43
	including		100	101	1	2.96
	BITRC-12-393	RC	50	55	5	2.93
	including		50	52	2	5.96
Warba	BITRC-12-406	RC	16	34	18	3.69
	including		30	34	4	11.80
	and		41	49	8	7.31
	including		42	43	1	53.80
	and		51	60	9	10.16
	including		52	54	2	33.50

Qualified Persons

K. Kirk Woodman, P.Geo., General Manager Exploration is the Qualified Person overseeing Endeavour’s exploration projects in Burkina Faso, Cote d’Ivoire and Mali has reviewed and approved this press release.

All Ouaré sample preparations and standard 50 gram gold fire assays were performed by SGS Laboratories, Ouagadougou, Burkina Faso. Endeavour consistently employs a rigorous quality control and assurance program comprising regular insertion of certified reference standards, blanks and duplicates.

About Endeavour Mining Corporation

Endeavour is a gold producer delivering growth. Endeavour owns two gold mines producing approximately 200,000 ounces per year in Ghana and Burkina Faso that are generating significant operating cash flows to fund exploration and development growth. In addition to upside potential at its current operations, Endeavour’s third gold mine, Agbaou in Côte d’Ivoire, has entered the construction phase for an additional 100,000 ounces per year starting in Q1 2014. Endeavour has a strong financial base from which to invest in long-term operational growth, exploration to replace and increase reserves, and funding for acquisitions.

On August 7, 2012, Endeavour announced a definitive agreement to acquire Avion Gold (TSX:AVR) to become one of the largest West African gold mining companies with three producing mines, a fourth mine currently in construction, and an attractive pipeline of exploration and resource development properties. The Avion transaction is expected to close in October 2012.

Endeavour Mining Corporation is listed on the TSX (symbol EDV) and ASX (symbol EVR), and also trades on the OTCQX (symbol EDVMF).

On behalf of Endeavour Mining Corporation

Neil Woodyer
Chief Executive Officer

This news release contains “forward-looking statements” including but not limited to, statements with respect to Endeavour’s plans and operating performance, the estimation of mineral reserves and resources, the timing and amount of estimated future production, costs of future production, future capital expenditures, and the success of exploration activities. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “expects”, “expected”, “budgeted”, “forecasts” and “anticipates”. Forward-looking statements, while based on management’s best estimates and assumptions, are subject to risks and uncertainties that may cause actual results to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the successful integration of acquisitions; risks related to international operations; risks related to general economic conditions and credit availability, actual results of current exploration activities, unanticipated reclamation expenses; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including gold; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which Endeavour operates. Although Endeavour has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Please refer to Endeavour’s most recent Annual Information Form filed under its profile at www.sedar.com for further information respecting the risks affecting Endeavour and its business.

Appendix of Collar Locations for Reported Holes

Hole ID	Easting m	Northing m	Elevation m	Azimuth degrees	Dip degrees	Final-Depth m
BITDDH-12-030	808,800	1,247,605	215	180	-50	100
BITDDH-12-031	808,800	1,247,670	216	180	-50	176
BITDDH-12-034	808,230	1,247,505	220	220	-50	94
BITDDH-12-035	808,250	1,247,520	220	220	-50	100
BITDDH-12-036	808,280	1,247,565	220	220	-50	140
BITDDH-12-037	808,850	1,247,605	215	180	-50	110
BITDDH-12-038	808,850	1,247,640	215	180	-50	125
BITDDH-12-043	808,310	1,247,535	220	220	-50	140
BITDDH-12-046	808,205	1,247,625	220	220	-50	140
BITDDH-12-048	809,600	1,247,605	214	360	-50	155
BITDDH-12-049	809,600	1,247,550	214	360	-50	151
BITDDH-12-050	809,500	1,247,630	214	360	-50	122
BITDDH-12-052	809,600	1,247,750	213	180	-60	120
BITDDH-12-055	808,315	1,247,700	220	220	-50	225
BITDDH-12-056	809,625	1,247,575	214	360	-50	199
BITRC-12-389	807,730	1,247,775	222	180	-50	109
BITRC-12-392	807,730	1,247,850	222	180	-50	106
BITRC-12-393	807,680	1,247,740	222	360	-50	115
BITRC-12-406	806,555	1,247,200	228	360	-50	101
BITRC-12-440	809,200	1,247,580	214	180	-50	100