Endeavour Mining becomes new top ten global gold producer
GEORGE TOWN – Endeavour Mining has announced the successful completion of the acquisition of Teranga Gold Corporation to create a new top 10 global gold producer.
To ensure an efficient integration of Teranga’s assets into Endeavour’s West African operating model, certain senior managers from Teranga will join Endeavour’s integration team for a transition period.
The Company intends to publish a consolidated 2021 guidance, detailing production, AISC, capital and exploration spend for the Teranga assets in the coming weeks.
Sebastien de Montessus, President and CEO said: “We are delighted to successfully complete our acquisition of Teranga and would like to welcome the teams at the Sabodala-Massawa and Wahgnion mines to our organization. We look forward to quickly integrating our new assets into our West African operating platform and delivering on the anticipated material synergies.
Following our recent transformative acquisitions, we are now entering a new chapter of the Company’s history. Leveraging off our strategic position as the largest gold producer in West Africa’s highly prospective and under explored Birimian Greenstone Belt, we believe that we now have all the attributes required to create sustainable shareholder value over the long term. Our production base is diversified across six core operating mines in three countries. We have an industry-leading development pipeline of six greenfield projects and the largest exploration portfolio in the region. And lastly, our business is underpinned by a healthy balance sheet and strong cash flow generating capabilities to support our recently initiated sustainable dividend.
Given the significant potential within our portfolio, our sole priority in 2021 is to unlock value organically through mine life extensions, asset optimization initiatives, and by advancing our brownfield and greenfield projects through studies and further exploration.
Our corporate efforts are being focused on maximizing shareholder returns, with the goal of augmenting our shareholder return program which may include increasing our dividend or initiating a share buyback program as part of our capital allocation framework. We believe that our re-rating potential is also underpinned by our enhanced combined capital markets profile, with greater scale and liquidity to attract generalist investors. In addition, investor appeal is expected to be further increased with our upcoming listing on the Premium segment of the London Stock Exchange in late Q2-2021, targeting inclusion in the FTSE indices.”
Michael Beckett, Chairman of the Board of Directors of Endeavour said: “I would like to congratulate both management teams for their dedication in making this transaction a success, as we now turn our focus to the important business of delivering the long-term benefits for shareholders. To accommodate the transaction terms, Hélène Cartier has agreed to step down as a director of Endeavour; while we regret to see her leave, we wish her well in the future, and we thank her sincerely for her invaluable service and contribution to the Endeavour Board since joining. On behalf of the Board of Endeavour, I would like to welcome Bill Biggar, David Mimran and Frank Wheatley as the non-executive director nominees of Teranga.”