10:25 AM EDT, 04/29/2024 (MT Newswires) -- Endeavour Mining ( EDVMF ) on Monday said it has achieved first gold pour at the Sabodala-Massawa BIOX Expansion project in Senegal, on schedule and on budget 24 months after construction launch.

Commercial production at the BIOX Expansion project is scheduled for late in the second quarter. The project will ramp up to its nameplate capacity of 1.2 million tonnes per annum in the third quarter.

With the on-schedule startup, the company remains on track to achieve its full-year guidance of 1,130-1,270 thousand ounces at an all-in sustaining cost of $955-$1,035 per ounce.

With the expansion, the Sabodala-Massawa Complex is now a tier 1 mine, the company said. An exploration program is planned at Sabodala-Massawa in 2024 at a cost of $21 million.

"With the Sabodala-Massawa expansion successfully commissioned, we are now focused on delivering the Lafigue project in the coming weeks, a full quarter ahead of schedule," said Endeavour CEO Ian Cockerill. "The completion of the two projects underpins our transition to a more cash flow generative phase, from the second half of the year, when we will focus on enhancing shareholder returns and de-levering our balance sheet, as we continue to execute on our strategy."

Meanwhile, National Bank of Canada maintained Endeavour's "outperform" rating and $42 price target following the operational milestone.

The bank said Endeavour's first pour beat previous guidance of early May. National Bank said its positive outlook for the miner is supported by discounted valuation, stable production outlook from a diversified portfolio, and multiple pipeline opportunities.

Endeavour's shares were up 1.3% at last look to $29.50.

Price: 29.50, Change: +0.37, Percent Change: +1.27