PRODUCING
GOLD THAT
PROVIDES
L ASTING VALUE
TO SOCIETY
ENDEAVOUR MINING PLC
ANNUAL REPORT 2022
ENDEAVOUR MINING PLC ANNUAL REPORT 2022
@endeavourminingendeavourmining.com Endeavour Mining Endeavour Mining
ENDEAVOUR MINING IS ONE OF
THE WORLD’S LEADING GOLD
PRODUCERS AND THE LARGEST
IN WEST AFRICA
p02
p16
p38
84 Our material issues
86 Addressing climate change
90 Disclosures related to TCFD
108 Non-nancial information statement
GOVERNANCE
110 Chair’s introduction to Governance
113 Board leadership and Company purpose
116 Our Board
118 Our Executive Management Team
120 Stakeholder engagement
121 Division of responsibilities
123 Our governance framework
126 Corporate governance and
nominating committee report
130 Audit committee report
139 Technical, health and safety committee
140 Environment, social and governance
committee
141 Directors’ remuneration report
146 Remuneration at a glance
148 Annual report on remuneration
157 Directors’ report
163 Directors’ responsibility statement
FINANCIAL STATEMENTS
164 Independent auditors report
171 Consolidated nancial statements
175 Notes to the consolidated nancial
statements
233 Company nancial statements
235 Notes to the nancial statements
ADDITIONAL INFORMATION
239 Detailed reserves and resources
246 Cautionary note on forward-looking
statements
247 Glossary
248 Denitions
254 Company information
p57
p171
p239
AT A
GLANCE
ALTERNATIVE
PERFORMANCE
MEASURES
KPIs FINANCIAL
STATEMENTS
OPERATING
REVIEW
RESERVES &
RESOURCES
TCFD
p62
RISK
MANAGEMENT
p146
REMUNERATION
REPORT
p86
We are committed to responsible mining and delivering
sustainable value to our employees, stakeholders and the
communities in which we operate.
FOLLOW US:
OVERVIEW
01 2022 highlights
02 At a glance
04 Chair's statement
STRATEGIC REPORT
06 Chief Executive's statement
10 Our business model
12 Our purpose
14 Strategic progress
26 Our people
32 Market overview
36 Chief Operating Ofcer’s statement
38 Operating review
50 Chief Financial Ofcer’s statement
51 Financial review
62 Risk management and principal risks
72 Viability statement
74 Engaging with our stakeholders
78 S172 statement
80 UN SDGs/impact on stakeholders
DISCLOSURES
RELATED TO
TCFD
2021
2022
2021
2022
76.2
121.1
2021
2022
299.0
278.0
1,436
20222022
2021 20212,642.1
2,508.1
1,400
4.1
7.1
2021
2022
928
864
OVERVIEW
2022 HIGHLIGHTS
+59%
Net cash
1
, $m
+8%
Shareholder returns, $m
-3%
Gold produced, koz
-5%
Revenue, $m
+7%
AISC
1
, $/oz
+$3.0m
Community investments, $m
1. This is an Alternative Performance Measure (non-GAAP measure). Please refer to the Financial Review (pages 50 to 61) for denitions and
reconciliations of Alternative Performance Measures to IFRS.
OUR STRATEGY
Build a resilient business and be a trusted partner with the ability to reward shareholders
MAINTAIN A
HIGH-QUALITY
PORTFOLIO
Industry-leading operational
excellence
Proven project development
Unlocking exploration value
Active portfolio
management
BE A
TRUSTED
PARTNER
Employment and training
Local procurement &
economic development
Environmental stewardship
Transparent taxes &
government ownership
REWARD
SHAREHOLDERS
Prudent balance sheet
management
Competition for capital on a
returns basis
Focus on improving quality
of portfolio
Compelling shareholder
returns proposition
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSOVERVIEW
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 01
ITY
MANA
BOUNGOU
WAHGNION
Regional
Office
LAFIGUÉ
KALANA
HOUNDÉ
Ghana
Togo
Benin
Nigeria
Liberia
Guinea
Senegal
Mali
Côte d’Ivoire
Burkina Faso
Niger
Bamako
Dakar
Conakry
Ouagadougou
Sierra
Leone
Abidjan
SABODALA-MASSAWA
Mines Development Projects Birimian Greenstone Belt
The Houndé mine was built by
Endeavour and is now one of
Endeavour’s cornerstone assets. The
goal is to sustain production above
250koz/year over a +10-year LoM at an
industry leading AISC
1
.
Endeavour is focused on delineating
additional high-grade resources through
near-mine exploration and expanding
satellite resources at deposits such as
Golden Hill and Mambo to extend the
mine life.
The Ity mine, acquired in 2015 and now
one of Endeavour’s cornerstone assets,
has produced more than 2.2Moz since
rst gold production in 1991. The goal
is to sustain production above 250koz/
year over a +10-year life of mine
(“LoM”) at an industry leading AISC
1
.
Several optimisation initiatives are
underway, including the Recyn project
and scoping work for the Mineral Sizer
project, while near-mine exploration
continues to delineate high-grade
resources.
OVERVIEW
FIND OUT MORE
PAGES 42 – 43
FIND OUT MORE
PAGES 40 – 41
FIND OUT MORE
PAGES 38 – 39
Endeavour’s portfolio is
strategically positioned across
West Africa, with six producing
mines located in Burkina Faso,
Côte d’Ivoire and Senegal and
a strong portfolio of advanced
development projects and
exploration assets in the
highly prospective Birimian
Greenstone Belt.
Sabodala-
Massawa:
The Sabodala-Massawa mine,
acquired in February 2021, is one of
Endeavour’s cornerstone assets and
is currently undergoing an expansion
which will elevate it to top-tier status
with a targeted production of more
than 400koz/year at an industry
leading AISC
1
.
Ity: Houndé:
Location
Senegal
Mining type
Open pit/Owner mining
Processing rate
~4.3Mtpa/CIL plant, 1.2Mtpa/BIOX®
expansion under construction
Location
Côte d’Ivoire
Mining type
Open pit/Contractor mining
Processing rate
~6.4Mtpa/CIL plant
Location
Burkina Faso
Mining type
Open pit/Owner mining
Processing rate
~5.0Mtpa/CIL plant
AT A GLANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 202202
1. This is an Alternative Performance Measure (non-GAAP measure). Please refer to the Financial Review (pages 50 – 61) for denitions and reconciliations
of Alternative Performance Measures to IFRS.
1,400 koz
Total gold production
$928/oz
AISC
1
6
Operating mines
~5,600
Employees
16.8Moz
Total P&P reserves
27.3Moz
Total M&I resources
OVERVIEW
FIND OUT MORE
PAGES 48 – 49
FIND OUT MORE
PAGES 44 – 45
FIND OUT MORE
PAGES 46 – 47
Mana:
The Mana mine has produced more
than 2.1Moz of gold to date and
continues to expand. Mana was
acquired by Endeavour in July 2020
and the focus ever since has been
on increasing the mine life to more
than ten years, through the expansion
of the underground deposits and
evaluating local open pit targets.
Wahgnion:
The Wahgnion mine is the youngest
mine in the Group’s portfolio. It
achieved commercial production
in 2019 having been acquired
in February 2021. Endeavour is
expanding the Wahgnion mine footprint
through commissioning of satellite
deposits and delineating signicant
exploration upside.
Boungou:
Acquired in July 2020, the Boungou
mine is a high-grade open pit operation
with signicant exploration potential in
the largely under-explored surrounding
area.Endeavour is currently evaluating
the area around the existing deposits,
within the mine perimeter, for
opportunities to identify additional
resources.
Location
Burkina Faso
Mining type
Open pit/Contractor mining
Underground/Contractor mining
Processing rate
~2.6Mtpa/CIL plant
Location
Burkina Faso
Mining type
Open pit/Owner & contractor mining
Processing rate
~3.8Mtpa/CIL plant
Location
Burkina Faso
Mining type
Open Pit/Contractor mining
Processing rate
~1.3Mtpa/CIP plant
2022 IN NUMBERS
STRATEGIC
REPORTOVERVIEW
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 03
OVERVIEW
CHAIR’S STATEMENT
Following a successful year, the Company
begins 2023 with a sound platform for growth.
Srinivasan Venkatakrishnan, Chair
Dear Shareholders,
It is a privilege to address
you in my rst letter as Chair
of Endeavour and to present
our Annual Report for 2022.
Patrick Bouisset retired in December
2022 as our Executive Vice President of
Exploration and Growth, and we are very
pleased that he will join the Board as
a Non-Executive Director following the
AGM, subject to shareholder approval.
He will take the baton from James
Askew as a nominee of La Mancha,
when James retires at the forthcoming
AGM. Having overseen our highly
successful exploration programme in
recent years, we are delighted that the
Company will continue to have access to
Patrick’s insight and expertise.
While we welcome Ian, Sakhila and
Patrick to the Board, I would also like
to recognise the efforts of Michael
Beckett, Soa Bianchi, Carmen Letton
and David Mimran, who stepped down
from the Board during the year, for their
respective contributions.
Your Board continues to evolve and is
committed to diversity in the broadest
sense, including skills, thought,
gender and ethnicity – all advocated
by the FTSE Women Leaders and the
Parker reviews. I am pleased to report
that as currently constituted, your
Board contains a majority (60%) of
independent Directors (after excluding
the Independent Chair following the
appointment), while 66% of the Board
are also either female and/or come
from ethnic minority backgrounds,
adding to the diversity of perspectives
that the Board can draw on. Two of our
important Board committees (Audit and
Remuneration) are chaired by women
and it is our intention to appoint another
woman to the Board during the next
12 months.
Enhanced governance and
transparency
In November, I visited ve of our mines
and projects in Burkina Faso, Senegal,
and Côte d’Ivoire, and interacted with
management, staff and business
partners. I saw rst-hand the Company’s
excellent work on ESG. These included
a range of projects and awareness
campaigns across key areas of safety
and health, employee well-being, the
empowerment of women at work and
within our local communities with
income generation projects, education,
the environment and biodiversity.
At the outset I would like to thank
all our employees and those of
our business partners for their
dedication, efforts and support
during a successful year in which the
Company delivered against all of its
key objectives.
This was the rst full year that
Endeavour was listed on the Premium
segment of the London Stock
Exchange and one during which we
achieved inclusion into the FTSE
100 index. Following the listing
in 2021, the Board has made a
number of changes to underscore our
commitment to pursuing the highest
standards of corporate governance,
while ensuring we continue to deliver
strong nancial and operational
performance and adhere to our
values and our promises to all
our stakeholders.
Strengthened our Board
In line with best practice under the
UK Corporate Governance Code (“UK
Code”), we continued tostrengthen
our Board with a number of new
appointments. Together, we bring
expertise from a range of different
areas to ensure we are best
positioned to provide support and
constructive challenge, to the
CEO and management, as the
Company continues to implement
its successful growth strategy.
These changes included the
appointment of Ian Cockerill,
who rejoined the Board as Senior
Independent Director and has over
48 years’ experience in the natural
resources sector.
We were also pleased to appoint
Sakhila Mirza to the Board as an
Independent Non-Executive Director.
As an executive director of the London
Bullion Market Association, she brings
considerable experience within the
precious metals sector, particularly in
the highly valued area of sustainability
and responsible sourcing.
ENDEAVOUR MINING PLC ANNUAL REPORT 202204
Principles which formally expresses
a shared commitment to operating
in a responsible and sustainable
way based on a clear set of shared
goals. We at Endeavour see this as
a milestone initiative that increases
collaboration for the benet of all
stakeholders and supports our
purpose.
Shareholder returns commitment
supported by robust operational
performance
These high standards are also
reected in Endeavour’s consistent
operational and strong nancial
performance. The Company’s
determined focus on delivering
against its strategy saw us achieve
our guidance for the tenth consecutive
year, allowing us to maintain our
healthy nancial position while
committing to our new, highly attractive
growth projects to continue improving
the quality of our portfolio. Meanwhile
we continued to reward investors
through our attractive shareholder
returns programme.
The Company announced shareholder
returns for 2022 of $299 million
through a combination of dividends
and share buybacks (equivalent to
$212 per ounce of gold produced).
This was made possible thanks to
the dedicated efforts of a capable
management team, led by our CEO,
Sébastien, who continued to optimise
the portfolio and operations in a year
that was challenged by geopolitical
As a responsible gold producer, and
the largest in West Africa, Endeavour
plays an important role in the
economic and social development of
the region through the contribution
of taxes, royalties, employee wages,
supplier payments, and social
investments, all of which are aimed
at creating sustainable growth in the
countries where we operate.
As part of our governance journey,
last year we were pleased to
publish our rst Tax and Economic
Contribution Report. In 2021, the
Company’s total economic contribution
was $2.4 billion. Covering the year
2021, the report sets out in detail
the value that Endeavour creates for
its host communities and countries
through its economic contributions,
reafrming the Company’s commitment
to the highest standards of corporate
governance and transparency.
In 2022, the Company’s total
economic contribution was
$2.2 billion. This sum includes
$563 million in taxes, royalties,
dividends and other contributions to
governments; $1.4 billion through the
procurement of goods and services
from national and local suppliers,
equating to approximately 80% of
the Group’s total procurement being
spent in West Africa; and $195
million in salaries in addition to the
extensive training and professional
development programmes available
to all employees. We will publish our
2022 Tax and Economic Contribution
report in the second quarter of 2023.
We have also worked closely with the
World Gold Council as they implement
new initiatives to improve transparency
and integrity within the whole value
chain. We support the Gold 247
initiative which seeks to transform
the market to meet the challenges
of today’s consumers and investors,
particularly through the use of digital
technologies to improve the integrity
and accessibility of the market and
its ecosystem, to increase trust, and
ultimately stimulate demand in gold.
In October last year, the industry
came together to sign a Declaration
of Responsibility and Sustainability
issues, logistics constraints and
high ination. The Board remains
focused on delivering further returns
to shareholders in 2023 in line with
our shareholder returns policy. This
is further reected in the operating,
nancial, capital discipline and
ESG metrics that the Board have
set for management.
Conclusion
Looking ahead at the macro
environment, central banks around the
world are battling to contain ination,
despite raising nominal interest rates.
We see ination, uncertainty around
recession, geopolitical uncertainty,
and increases in demand, all
potentially being positive tailwinds
for the gold price.
While we are satised with the
progress made in 2022, we
are cognisant that the years
ahead present the Company with
opportunities and its fair share of
challenges. We are condent that the
current management team with its
track record, under the leadership of
Sébastien, is best placed to deliver
on our aspirations of both value
and values. I thank my fellow Board
members, management, employees,
business partners and you, our
shareholders, for your continued
support.
SRINIVASAN VENKATAKRISHNAN
CHAIR
15MARCH 2023
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSOVERVIEW
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 05
STRATEGIC REPORT
CHIEF EXECUTIVE’S STATEMENT
We are proud to have met guidance
for the tenth consecutive year.
SÉBASTIEN DE MONTESSUS, CHIEF EXECUTIVE OFFICER
For Endeavour, this year has been one focused on delivery.
Following a transformational 2021, we have consolidated
our leading position in West Africa, achieving production and
cost guidance for the tenth consecutive year, investing in
two high-return growth projects, and making a world class
discovery. We have also enhanced our focus on shareholder
returns and rmly embedded a culture of excellence across
all our operations.
Operational excellence
Our operational excellence was
underpinned by our ability to meet or
exceed our guidance on production
and costs, despite facing a number
of headwinds alongside the wider
gold sector. We successfully managed
macroeconomic challenges, not least
the global inationary environment, as
well as geopolitical transitions in the
region where we operate, delivering
production near the top end of our
guided range with AISC
1
within the
guided range.
on extracting optimal production while
preserving our low cost prole through
inationary challenges, have paid
dividends during the year, while the
disposal of the Karma mine in March
2022 allowed us to focus our efforts
on our core low-cost assets as well as
our high-return growth opportunities.
Financial health
This strong operational performance
has also translated into successful
nancial results. For the year, we
generated revenues of $2.5 billion,
which resulted in operating cash ow
generation of $1.0 billion, allowing
us to invest in our operations,
growth projects and deliver attractive
shareholder returns.
Our balance sheet remains strong.
We ended the year with a net
cash
1
position of $121 million,
despite investing $127 million in
our growth projects
1
, $82 million in
exploration, and paying $265 million
in shareholder returns. We are
therefore pleased to have achieved
our long-term target of maintaining a
leverage ratio of less than 0.5x Net
Debt to EBITDA
1.
We plan to continue
strengthening our balance sheet
as our growth projects advance to
completion.
Shareholder returns
Our operational strength and nancial
health have enabled us to continue
to generate value for you, our
shareholders. We continued to pursue
our shareholder returns programme
and announced $299 million through
dividends for 2022 and share
buybacks, bringing the total returned
to $637 million over the past two
years since it was launched.
Of course, meeting our targets and
returning capital to shareholders is
only one pillar of our success. Looking
to the future, if we are to continue
to grow as a Company and generate
further value for shareholders,
we must continue to successfully
optimise our portfolio.
The ability of our teams to continue to
operate successfully through external
challenges is a great source of pride
for the Company, and the fact that we
have now delivered on our guidance
for ten consecutive years is an
achievement from which they should
take great satisfaction.
During the year, we continued to
optimise and actively manage our
portfolio to ensure that our operations
reect the overall strategy of the
Group. Optimisation initiatives focused
ENDEAVOUR MINING PLC ANNUAL REPORT 202206
Growth and exploration
Our increased focus on our growth
projects and exploration continues
to drive long-term value. Initially,
we launched the expansion of
our agship Sabodala-Massawa
mine, followed by the launch of our
greeneld development project Lagué
before rounding out the year with the
discovery of the Assafou deposit at
the Tanda-Iguela project, which has the
potential to be world class.
The expansion of the Sabodala-
Massawa mine will see further
low-cost high-grade production
added, lifting this agship asset to
top tier status upon completion. The
expansion is on track and on budget
with the rst gold pour expected in the
rst half of 2024.
While browneld expansion and
optimisation will always be integral
to Endeavour’s value proposition, we
have also progressed the development
of greeneld opportunities and later
in the year announced the start of
construction of the Lagué mine
on the Fetekro property. This has
the potential to become another
cornerstone mine for Endeavour, when
production commences in the third
quarter of 2024.
We adopt the same approach to our
exploration, with a mix of near-mine
and greeneld initiatives. Last year we
were thrilled with the discovery and
maiden resource at our Tanda-Iguela
greeneld property in Côte d’Ivoire. It
ranks as one of the most signicant
discoveries made in West Africa over
the last decade and shows potential
to be yet another agship asset for
the Company.
Operational Excellence
through Portfolio
Optimisation
Optimisation initiatives are key to
helping maintain a low-cost prole
Endeavour’s disciplined capital allocation
framework identied the Ity Recyn project as a
high priority, value-add optimisation opportunity.
The Recyn project is designed to optimise
costs by reducing leaching and detox reagent
consumption thereby improving the quality of the
discharge water from the processing plant and
increasing production through higher recoveries.
The project was launched last year and is
expected to be completed in 2023. For an initial
capital cost of $41 million, the project is expected
to deliver 87koz of additional life-of-mine gold
production and $63 million in cost savings as well
as reducing cyanide consumption and improving
Endeavour’s environmental impact.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 07
STRATEGIC
REPORTOVERVIEW
West Africa is highly prospective and ranks rst in the
world for gold discoveries over the last ten years.
STRATEGIC REPORT
CHIEF EXECUTIVE’S STATEMENT CONTINUED
This successful discovery reinforces
our ability to organically source our
project pipeline through ongoing
exploration success as well as
showcasing West Africa’s geological
potential. As such, coupled with being
the largest gold producer in West
Africa, we have developed a strong
competitive advantage in the region,
strategically positioning us to continue
to unlock value over the long term.
It means we are well on track to
achieve our target of discovering
between 15 to 20 million ounces of
Indicated resources for the ve year
period ending in 2025 and at a low
discovery cost of less than $25 per
Indicated ounce.
Sustainability
The safety of our employees is always
our rst priority. Everyone has a right
to return home at the end of their
working day, and we are proud of
our record and the culture we have
embedded within the organisation.
However, we were saddened by
the fatal accident resulting in the
death of our contractor colleague
Zoasson Richmond at our Ity mine
in Côte d’Ivoire.This incident is a
reminder to us all that the need for
constant vigilance never ends and it
is imperative for everyone to always
enforce and follow the correct safety
procedures.
Our purpose as a business is to
produce gold that provides lasting
value to society. That means ensuring
our operations have a positive impact
far beyond our nancial stakeholders.
This year, our larger scale has allowed
us to build an ambitious and impactful
ESG strategy.
At our best, we can have a powerful
impact on the communities and
host countries where we operate by
offering a range of socioeconomic
development opportunities, from
employment and upskilling our workers
to supporting local businesses and
initiating community projects in areas
such as healthcare, education and
access to water and electricity.
Unlocking Exploration Value
Through Greeneld Discoveries
Exploration continues to support Endeavour’s organic growth and
following the completion of its rst ve-year exploration plan, discovering
12.0Moz of Indicated resources over the ve-year period from 2016 -
2021 at the low discovery cost less than $25/oz. Endeavour launched
its second ve-year exploration plan with a target to discover 15 - 20Moz
of Indicated resources in the 2021 - 2025 period at a discovery cost of
less than $25/oz.
In the fourth quarter of 2022, Endeavour announced the discovery of
a new greeneld deposit called Assafou on the Tanda-Iguela property,
following less than 15 months of exploration work. A maiden Indicated
resource of 14.9Mt at 2.33g/t gold for 1.1Moz and Inferred resource of
32.9Mt at 1.80g/t gold for 1.9Moz was dened at the low discovery cost
of less than $10/oz for Indicated resources. The Indicated resources
only covers approximately 20% of the mineralised trend, indicating that
there is potential to signicantly increase the resource size.
Endeavour has planned an aggressive 70,000 metre drill programme
for 2023 with 50,000 metres planned over the Assafou deposit and
20,000 metres planned over nearby targets with the aim of adding
additional resources and converting Inferred resources to Indicated
status. Additional geophysical surveys are also planned to support the
geological interpretation of the large-scale mineralisation on the Tanda-
Iguela property.
ENDEAVOUR MINING PLC ANNUAL REPORT 202208
We also have a responsibility to
protect our surrounding environment
and full our role in tackling broader
global challenges such as biodiversity
and climate change. In 2021, we set
out our long-term ambition to be Net
Zero by 2050 alongside our medium-
term target of reducing emissions
intensity by 30% by 2030. In 2022, we
took the next steps by identifying the
key abatement opportunities across
our portfolio that we will deploy to
meet those targets.
I am pleased with the progress that we
continue to make, and with our efforts
to accelerate our activities, which has
been recognised by improved scores
from a number of ratings agencies,
such as MSCI and Sustainalytics.
Responsible gold mining not only
provides a strong social licence to
operate but can positively impact a
wide range of stakeholders. We are
also pleased to have received external
assurance on the RGMPs at our legacy
Endeavour mines, Ity and Houndé. We
are determined to maintain our role
as a trusted partner and bring about
meaningful change where we operate.
The year ahead
Following the successes of 2022, we
are targeting production of 1,325 -
1,425koz ata sector leading AISC
1
range of $940 - 995/oz for 2023.
Despite our continued investment in
our two high-return growth projects,
where we will invest approximately
$400 million in 2023, and our
progressively increasing shareholder
returns programme, we expect to
maintain a healthy cash balance
position, well below our long-term
leverage target. Simultaneously we will
continue on our sustainability journey
in order to deliver our purpose and
reward all our stakeholders.
SÉBASTIEN DE MONTESSUS
CHIEF EXECUTIVE OFFICER
15MARCH 2023
1. This is an Alternative Performance Measure (non-GAAP measure). Please refer to the Financial Review (pages 50 to 61) for denitions and reconciliations
of Alternative Performance Measures to IFRS.
Read more about our Investment Case
www.endeavourmining.com/investors
CORPORATE ICONS
Resources
PRODUCTION
FINANCIALS
ROCE
Reserves
Earnings Target Cash flow
Exploration
Revenue
Production
Diversification
Closure Mine Life
Construction Design Development
Acquisitions
Assets Sold
Investor
BRAND
GUIDELINES
1.5
Page 17
No.1 Policies
USAGE
000
Employees
00Moz
Resources
CORPORATE ICONS 1
ESG
COMMUNICATIONS
Employees
Environment
Climate
Communications
Ethical Business
Health & Safety
Communities
Villages Teaching
Restoration
Interviews
Media
Acquisitions
Presentation
Transcript
BRAND
GUIDELINES
1.5
Page 18
Healthcare
CORPORATE ICONS
Resources
PRODUCTION
FINANCIALS
ROCE
Reserves
Earnings Target Cash flow
Exploration
Revenue
Production
Diversification
Closure Mine Life
Construction Design Development
Acquisitions
Assets Sold
Investor
BRAND
GUIDELINES
1.5
Page 17
No.1 Policies
A compelling investment
Endeavour is focused on offering a compelling investment
proposition to appeal to a wide range of investment
strategies. All investment strategies are underpinned by our
commitment to maintaining our execution track record.
Resilient business model
• Unmatched competitive advantage in West Africa
• Low-cost production with sector leading AISC
1
• Prudent allocators of capital with healthy balance sheet
• Industry-leading project pipeline and ability to extend
mine lives through exploration
Attractive shareholder returns
• Progressive dividend policy
• Active share buyback programme
• Value creation track record
• Focus on per share metrics
ESG impact investment
• Industry-leading ESG ratings
• Addressing climate change
• Delivering signicant social and economic benets
• Providing education opportunities and developing
vocational skills
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 09
STRATEGIC
REPORTOVERVIEW
CORPORATE ICONS
Resources
PRODUCTION
FINANCIALS
ROCE
Reserves
Earnings Target Cash flow
Exploration
Revenue
Production
Diversification
Closure Mine Life
Construction Design Development
Acquisitions
Assets Sold
Investor
BRAND
GUIDELINES
1.5
Page 17
No.1 Policies
CORPORATE ICONS
Resources
PRODUCTION
FINANCIALS
ROCE
Reserves
Earnings Target Cash flow
Exploration
Revenue
Production
Diversification
Closure Mine Life
Construction Design Development
Acquisitions
Assets Sold
Investor
BRAND
GUIDELINES
1.5
Page 17
No.1 Policies
EXPLORATION DEVELOP AND
DESIGN
CONSTRUCTION PRODUCTION CLOSURE AND
REHABILITATION
Exploration and discovery
is the rst phase of a
mining project, which aims
to determine the possible
presence and quality of
gold. We have a huge land
package in West Africa,
offering us a competitive
advantage. We have a strong
track record of discovering
ounces through our
exploration programmes.
If discovered and judged
economically viable, the
project moves into various
feasibility studies, which
includes the eventual design
of the mining operation.
We work with a range of
international consultants
to develop and design our
mines.
The construction of the mine and
processing facilities, along with the
necessary ancillary infrastructure such
as roads, power generation facilities,
water treatment and sanitary sewage
facilities, housing for employees, as
well as medical facilities. Over the
past six years, we have successfully
built two mines on schedule and
within budget, and we are currently
building the Lagué mine, which is
currently on track and on budget to
commence producing gold in 2024.
Mining is conducted through either
surface and/or underground mining
activity. The ore is then hauled,
loaded, crushed and processed into
gold doré, which is then sent to a
rener to be rened into London
Good Delivery Bars. Once rened, the
gold is sold to one or more market
participants, who take responsibility
for its onward distribution. The
duration of the mining and processing
phase depends on the size of the
orebody and constraints associated
with mining the orebody or processing
the ore. Each of our three cornerstone
assets have more than ten years
mine life. We have a regional ofce
in Abidjan, which is within two hours
ying time of most of our mines. This
provides signicant synergies as we
can share technical and administrative
functions across our operations.
Once a mining operation is no longer
economically viable, because the ore
body is exhausted or the remaining
deposit becomes uneconomic to
mine, work then focuses on its
decommissioning, dismantling and a
closure plan is implemented, which
includes rehabilitating the land. We
have closure plans in place at our
operations, which are designed as
part of the environmental and social
impact assessment that is done at
the Develop and Design phase. These
are regularly reviewed and updated
during the life time of the operation.
In addition, we also make nancial
provisions to a fund to cover the costs
of implementing an environmental
preservation and rehabilitation
programme.
STRATEGIC REPORT
OUR BUSINESS MODEL
A SUSTAINABLE APPROACH
TO GOLD MINING
WHAT WE DO
We are focused on creating a resilient
business by building a high-quality
portfolio of assets with long mine lives
and low production costs. Our business
model seeks to generate sufcient
sustainable cash ow to allow us to re-
invest in our core operations while also
maintaining the ability to reward our
shareholders. It is underpinned by our
commitment to be a trusted partner in
our host countries and delivers on our
promises to support the communities
where we operate.
THE RESOURCES WE USE
NATURAL:
We use energy, fuel, reagents and water to operate our
mines. We try and use these resources as efciently as
possible to minimise our environmental footprint.
PHYSICAL:
We rely on large eets of trucks, several different
processing technologies and plant and site infrastructure.
HUMAN:
We invest in our workforce, ensuring they have the right
skills, capabilities and career prospects to match our
growth ambitions.
SOCIAL:
We have established a strong social licence to operate in
our host countries and local communities which supports
our current operations and exploration activities.
FINANCIAL:
We have a robust balance sheet, liquidity available
through undrawn credit facilities, a track record of
disciplined nancial management and capital allocation
to enable us to invest in our business and deliver strong
shareholder returns.
OUR IMPACT
PEOPLE COMMUNITIES
As a large private employer
in West Africa, we are
committed to providing
a dynamic workplace
that offers a range of
experiences, career
development opportunities
and fair and equal
employment practices. We
have a Zero Harm philosophy
which focuses on employee
safety and well-being, and
believe all individuals have
the right to be treated with
dignity and respect.
We contribute to the socio-
economic development of
our host countries. Our
operations generate a
range of direct and indirect
benets for the communities
surrounding our operations.
These include employment,
indirect job creation through
the procurement of local
goods and services, and
investments in social
projects and infrastructure.
We also pay our fair share
of taxes and royalties.
ENDEAVOUR MINING PLC ANNUAL REPORT 202210
CORPORATE ICONS
Resources
PRODUCTION
FINANCIALS
ROCE
Reserves
Earnings Target Cash flow
Exploration
Revenue
Production
Diversification
Closure Mine Life
Construction Design Development
Acquisitions
Assets Sold
Investor
BRAND
GUIDELINES
1.5
Page 17
No.1 Policies
CORPORATE ICONS
Resources
PRODUCTION
FINANCIALS
ROCE
Reserves
Earnings Target Cash flow
Exploration
Revenue
Production
Diversification
Closure Mine Life
Construction Design Development
Acquisitions
Assets Sold
Investor
BRAND
GUIDELINES
1.5
Page 17
No.1 Policies
CORPORATE ICONS
Resources
PRODUCTION
FINANCIALS
ROCE
Reserves
Earnings Target Cash flow
Exploration
Revenue
Production
Diversification
Closure Mine Life
Construction Design Development
Acquisitions
Assets Sold
Investor
BRAND
GUIDELINES
1.5
Page 17
No.1 Policies
EXPLORATION DEVELOP AND
DESIGN
CONSTRUCTION PRODUCTION CLOSURE AND
REHABILITATION
Exploration and discovery
is the rst phase of a
mining project, which aims
to determine the possible
presence and quality of
gold. We have a huge land
package in West Africa,
offering us a competitive
advantage. We have a strong
track record of discovering
ounces through our
exploration programmes.
If discovered and judged
economically viable, the
project moves into various
feasibility studies, which
includes the eventual design
of the mining operation.
We work with a range of
international consultants
to develop and design our
mines.
The construction of the mine and
processing facilities, along with the
necessary ancillary infrastructure such
as roads, power generation facilities,
water treatment and sanitary sewage
facilities, housing for employees, as
well as medical facilities. Over the
past six years, we have successfully
built two mines on schedule and
within budget, and we are currently
building the Lagué mine, which is
currently on track and on budget to
commence producing gold in 2024.
Mining is conducted through either
surface and/or underground mining
activity. The ore is then hauled,
loaded, crushed and processed into
gold doré, which is then sent to a
rener to be rened into London
Good Delivery Bars. Once rened, the
gold is sold to one or more market
participants, who take responsibility
for its onward distribution. The
duration of the mining and processing
phase depends on the size of the
orebody and constraints associated
with mining the orebody or processing
the ore. Each of our three cornerstone
assets have more than ten years
mine life. We have a regional ofce
in Abidjan, which is within two hours
ying time of most of our mines. This
provides signicant synergies as we
can share technical and administrative
functions across our operations.
Once a mining operation is no longer
economically viable, because the ore
body is exhausted or the remaining
deposit becomes uneconomic to
mine, work then focuses on its
decommissioning, dismantling and a
closure plan is implemented, which
includes rehabilitating the land. We
have closure plans in place at our
operations, which are designed as
part of the environmental and social
impact assessment that is done at
the Develop and Design phase. These
are regularly reviewed and updated
during the life time of the operation.
In addition, we also make nancial
provisions to a fund to cover the costs
of implementing an environmental
preservation and rehabilitation
programme.
OUR IMPACT
ENVIRONMENT SUPPLIERS GOVERNMENT SHAREHOLDERS
We seek to protect the
places where we operate
through strong environmental
practices and conservation
efforts, while playing our part
in addressing climate change.
We aim to achieve a no net
loss of critical habitat as a
minimum. Our strategy to
reduce our carbon footprint
includes renewable energy
opportunities which will also
contribute to the transition
of our host countries to a
decarbonised world.
As the largest gold
producer in the region, our
procurement has a signicant
impact on the economies of
our host countries, with over
2,500 businesses supported
by our operations, ranging
from large multinationals,
SMEs, nationally owned
businesses through to
local contractors in the
communities surrounding
our operations. We focus on
procuring goods and services
from our host countries,
creating thousands of
indirect jobs.
As an active and major
regional economic player in
West Africa, we contribute
signicantly to the economy
of the countries we operate
in. The taxes, royalties
and dividends we pay to
governments are signicant
sources of revenue to our
host countries and assist in
funding vital services and
infrastructure.
We are focused on rewarding
our shareholders by continually
improving the quality of our
portfolio, while maintaining
a healthy balance sheet
and a disciplined approach
to capital allocation. This
helps us deliver an attractive
shareholder returns
programme composed of a
minimum progressive dividend
that can be supplemented
with additional dividends and
share buybacks.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 11
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
OUR PURPOSE
PRODUCING GOLD THAT
PROVIDES LASTING
VALUE TO SOCIETY
Gold is one of the most highly desirable
metals in the world. It is virtually
indestructible, endlessly recyclable, and
a versatile resource with a wide range of
exciting applications.
INDUSTRY
Gold is a small but vital
component within everyday
items such as laptops
and mobile phones, and
in the technology used in
automobiles, aerospace
and space exploration. It
has countless industrial
applications, as gold is a
highly efcient conductor,
reects heat and radiation,
and can be stretched to
form super-thin wires that
remain free of corrosion.
INNOVATION
These properties place gold
at the heart of the cutting-
edge technologies driving
exciting developments in
healthcare, such as gold
nanorods that accurately
target cancer cells, and
the use of gold in drugs
and nanotechnology. It is
also used in sustainable
energy generation, and
gold window coatings can
help reduce power use in
modern buildings.
INVESTMENT
Gold has been the
foundation of the world’s
economy for around
5,000 years, and it has
maintained its value over
the long term. Gold bars
are widely seen as a
valued investment that
can help to hedge against
ination and protect
wealth. Gold bar and coin
investment reached a nine-
year high in 2022, despite
rising interest rates in
many markets.
JEWELLERY
Gold’s malleable properties
mean it can be pulled
into wires, hammered
into sheets, or cast into
shapes. That is why
jewellery still represents
the largest source of
global demand for gold,
accounting for more than
50% of newly mined
or recycled gold. India
and China are by far the
largest jewellery markets,
representing over half the
global market.
12 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
THROUGH RESPONSIBLE
MINING WE CONTRIBUTE
TO WEST AFRICAN SOCIETY
$928/oz
AISC
1
$562.7m
In total taxes and contributions
paid to governments
<$25/oz
Industry leading discovery cost
We do so while protecting
and promoting the places
where we operate.
Our work is a partnership,
helping to create resilient and
self-sustaining communities,
where people are equipped
with the skills, knowledge and
expertise needed to prosper.
We are trusted to unlock
the full benets of the
material we mine for
all those invested in its
discovery and production.
96,147
Trees planted
57%
Water recycled
0
Environmental incidents
1,932
Or 34% of employees are
from local communities
$7.1m
Invested in local
community projects
1. This is an Alternative Performance Measure (non-GAAP measure). Please refer to the Financial Review
(pages 50 to 61) for denitions and reconciliations of Alternative Performance Measures to IFRS.
13
STRATEGIC
REPORTOVERVIEW
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022
STRATEGIC REPORT
STRATEGIC PROGRESS
MAINTAIN A
HIGH-QUALITY
PORTFOLIO
14 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
<$950/oz
AISC
1
MAINTAIN A
HIGH-QUALITY
PORTFOLIO
FOCUSED ON BEING A
RESILIENT BUSINESS
The geographic focus of our operating model in West
Africa provides us with a strong competitive advantage,
while our diversied operations across three countries
and six mines enhances the resilience of the business.
Endeavour is the largest producer in each of the three
countries where it operates, enhancing its ability to
extract synergies from its operations.
Our resilient business model is centred on a high-
quality portfolio which has the potential to generate
sufcient cash ow to re-invest in the business and
reward shareholders.
1. This is an Alternative Performance Measure (non-GAAP measure).
Please refer to the Financial Review (pages 50 to 61) for denitions and
reconciliations of Alternative Performance Measures to IFRS.
+10yrs
Production visibility
>1.4Moz
Annual production
Diversification
Across multiple countries and mines
Disciplined
Capital allocation
15
STRATEGIC
REPORTOVERVIEW
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022
864
2022
2021
928
INDUSTRY-LEADING
OPERATIONAL EXCELLENCE
PROVEN PROJECT
DEVELOPMENT
Progress
Construction of the Sabodala-Massawa expansion project
was launched in April 2022 and remains on budget and
on schedule for completion in the rst half of 2024. The
project will add a 1.2Mtpa BIOX® plant, designed to process
the high-grade refractory ore from the Massawa deposits.
The project is expected to yield incremental production of
1.35Moz at a low AISC
1
of $576 per ounce over its initial
life, lifting Sabodala-Massawa to top tier status.
Construction of the Lagué project on the Fetekro property
in Côte d'Ivoire was launched early in the fourth quarter of
2022, following the completion of a DFS which conrmed
Lagué’s potential to be a cornerstone asset for Endeavour.
The project will have a 4Mtpa capacity CIL plant, with an
annual production of 203koz at a low AISC
1
of $871 per
ounce over its initial 12.8 year mine life, with signicant
exploration potential on the Fetekro property. First gold
production is scheduled for the third quarter of 2024.
Endeavour also launched numerous optimisation initiatives
across existing operations including a Recyanidation project
at Ity, as well as an investigation into the application of in-
pit tailings at Sabodala-Massawa and Wahgnion.
Priorities
The Company will continue to focus on managing its growth
projects to keep critical path items on track and on budget
in order to achieve the rst gold production from the
Sabodala-Massawa expansion in the rst half of 2024 and
from the new Lagué mine in the third quarter of 2024.
STRATEGIC REPORT
STRATEGIC PROGRESS CONTINUED
MAINTAIN A HIGH-QUALITY PORTFOLIO
Progress
Through hands-on management, long-standing and trusted
stakeholder relationships, airstrips enabling prompt
provision of management expertise to all sites, synergies
from shared technical and administrative functions, and
being the largest producer in each of the countries where
the Company operates, Endeavour has managed to exceed
its production and achieve its AISC
1
guidance for the tenth
consecutive year. The Company produced 1,400koz of gold
from continuing operations in 2022, a slight decrease from
1,436koz produced in the prior year, mainly as a result of
decreased production at the Boungou, Wahgnion and Mana
mines, which was partially offset by increased production
at the Sabodala-Massawa and Ity mines. AISC
1
from
continuing operations increased, in line with guidance,
from $864/oz in 2021 to $928/oz in 2022.
Priorities
In this challenging macro environment, the Company is
now focused on delivering its production and cost guidance
for an 11th consecutive year in 2023, through its continued
emphasis on operational excellence. In 2023, the Company
will aim to achieve production within the range of 1,325koz
and 1,425koz of gold at an AISC
1
of $940 to $995
per ounce.
OPERATIONAL KPIs
1,436
2022
2021
1,400
-3%
Gold produced, koz
17.8
2022
2021
16.8
-6%
Reserves,
Moz
+7%
AISC
1
, $/oz
ENDEAVOUR MINING PLC ANNUAL REPORT 202216
ACTIVE PORTFOLIO
MANAGEMENT
UNLOCKING
EXPLORATION VALUE
27.5
2022
2021
27.3
-1%
Resources,
Moz
Progress
The Company is focused on optimising and managing
its portfolio in line with the Group’s overall strategy.
Optimisation initiatives focused on preserving our low
cost prole through inationary challenges include the
implementation of throughput optimisation initiatives at
Ity and Houndé, in-pit tailings at the Sabodala-Massawa
and Wahgnion mines, and the implementation of owner
maintenance. Furthermore, on 10 March 2022, the
Company completed the sale of its non-core Karma mine
as it continued to actively manage its portfolio.
Priorities
The Company remains focused on being a resilient low
cost producer with AISC
1
less than $950 per ounce and
maintaining over ten years of production visibility.
Progress
Endeavour completed an extensive 2022 exploration
programme of $82.3 million, successfully discovering
resources at Ity, Bantou and Lagué as well as a new
greeneld discovery at Tanda-Iguela. During the year, over
367,000 metres of drilling were completed with activities
mainly focused on expanding resources at existing
operations and delineating the new greeneld discovery at
the Tanda-Iguela property in Côte d’Ivoire, where a maiden
resource was dened in the fourth quarter of 2022.
Measured and Indicated resources amounted to 27.3Moz
at the end of 2022, at over the previous year, as
discoveries at Ity, Bantou, Assafou and Lagué offset
depletion at Boungou, Wahgnion, Houndé, Sabodala-
Massawa, and Mana.
Proven and Probable reserves amounted to 16.8Moz at
31 December 2022, a decrease of 1.0Moz compared to
the previous year as discoveries and resource conversion
at Ity, Houndé and Lagué did not fully offset depletion at
Boungou, Mana, Sabodala-Massawa and Wahgnion.
Priorities
The Company has set an exploration target of discovering
15 to 20Moz of Indicated resources over the 2021 to
2025 period, at the low discovery cost of less than
$25 per ounce, and will continue to prioritise meeting
this objective.
1. This is an Alternative Performance Measure (non-GAAP measure). Please refer to the Financial Review (pages 50 to 61) for denitions and reconciliations
of Alternative Performance Measures to IFRS.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 17
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
STRATEGIC PROGRESS
BE A
TRUSTED
PARTNER
Our ESG strategy is designed to put into practice
our corporate purpose: producing gold that provides
lasting value to society. The guiding principle of
our newly enhanced ESG strategy is that in all our
operations, and in our engagement with broader
society, we must play an active role and have a
lasting positive impact on our host communities
and countries. In short, to be a trusted partner.
To identify the key priorities of our ESG strategy, the management team
consulted with a wide range of stakeholders from our host countries and
communities, our employees, key suppliers, shareholders, and investors.
We were also guided by the United Nations Sustainable Development Goals.
This feedback, combined with the evaluation conducted by the Board, has
informed our 2021-2025 ESG strategy. We have also aligned our executive
compensation and the Group annual bonus scheme with clear, measurable
ESG-related indicators to drive performance and delivery of our strategy.
18 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
We achieve this by …
Protecting and promoting the
places where we operate
Helping to create resilient and
self-sustaining communities
Being trusted to unlock the full
benefits of the material we mine
OUR PURPOSE IS TO PRODUCE GOLD THAT
PROVIDES LASTING VALUE TO SOCIETY
FULFILLING THE UN SUSTAINABLE DEVELOPMENT GOALS
•
Climate change
•
Water stewardship
•
Biodiversity
•
Plastic waste
•
Economic development
•
Education
•
Health
•
Access to water
and electricity
•
Respect for human rights
•
Zero harm and employee
well-being
•
Diversity and inclusion
•
Ethical business
From the 17 goals we have identified and integrated 10 priority targets
Discover more on pages 80 - 83
ENVIRONMENT SOCIAL GOVERNANCE
Launched in 2021, the Endeavour Foundation was established
to implement sustainability-related projects, in line with our
ESG Strategy, at a regional, national and cross-border level.
The Foundation partners with local authorities, NGOs and global
experts and is fully funded by Endeavour. The Foundation currently
has eight projects underway in the areas of education, skills training,
ghting malaria, plastic waste and climate change. In 2022,
the Foundation invested $0.9 million.
www.endeavourmining.com/endeavour-foundation
19
STRATEGIC
REPORTOVERVIEW
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022
2021
2022
0.2
0.02
2021
2022
4.1
7.1
+73%
Community investments, $m
2021
2022
1,262.4
1,149.9
-9%
1. Global Mining Research, 2021.
STRATEGIC REPORT
STRATEGIC PROGRESS CONTINUED
EMPLOYMENT
AND TRAINING
Progress
During the year, the Company promoted 262 nationals
and provided 504 internships, a 44% increase over
2021. The Company’s workforce at the end of the year
comprised 5,345 national employees, equivalent to 94%
of employees, and44% national senior managers.
Regrettably there was one fatal accident during 2022 with
the loss of one of our contractors, Zoasson Richmond.
The Group reported a 90% decrease in lost time injuries
with justone LTI for the year, compared to eight LTIs in
2021, resulting in a LTIFR of 0.02 for 2022. While our
LTIFR is well below the industry average of 1.08
1
, this
achievement is overshadowed by the fatal accident.
Priorities
Training and upskilling employees to equip them to be
leaders of tomorrow. The Company will maintain its focus
on leadership training programmes for the development of
employees in management positions.
The Group strives to create a strong safety culture
grounded in risk and hazard awareness and will continue
to work towards a zero harm working environment.
Progress
Endeavour continued its focus on sourcing goods and
services locally. Although the Group’s total procurement
fell from $1.6 billion to $1.4 billion year-on-year following
the disposal of Karma in March 2022, resulting in a
decrease in in-country procurement from $1.3 billion in
2021 to $1.1billion in 2022, the Group sourced 81%
of its procurement from host countries during 2022,
representing a 1% increase over 2021.
Endeavour also published its rst Tax and Economic
Contribution report for the year ended 31 December
2021.
In 2022, the Group invested $7.1 million on a range
of community investment projects, including the
Endeavour Foundation and ECODEV, to support the
socioeconomic upliftment of our local communities and
host countries. This includes $5.0 million on community
investments at our mine sites, which represents a
76% increase over 2021.
Priorities
Creating indirect employment opportunities through
our procurement, which is focused on sourcing fromour
host countries, as well as investing in a range of social
projects that target income generation for communities
around our mines.
ENVIRONMENTAL AND SOCIAL KPIs
-0.18
LTIFR
BE A TRUSTED PARTNER
In-country procurement spend, $m
LOCAL PROCUREMENT AND
ECONOMIC DEVELOPMENT
ENDEAVOUR MINING PLC ANNUAL REPORT 202220
2021
2022
0.54
0.64
+19%
GHG emissions, tCO
2
-e/oz
ENVIRONMENTAL
STEWARDSHIP
Progress
The Group’s total Scope 1 and 2 GHG emissions
increased by 4% in absolute terms from 853,151tonnes
CO
2
(“tCO
2
-e”) in 2021 to 884,929 tCO
2
-e. Scope 1
emissions decreased by 2%, mainly due to the processing
plant at Mana connecting to the grid in the third quarter of
2022. Scope 2 emissions increased by 45% year-on-year
as a result of an increase in purchased electricity as well
as an increase in the location-based emissions factors.
Read more in our TCFD section on pages 86 to 107.
The Group’s GHG emissions intensity increased by 18.5%
to 0.64 tCO
2
-e/oz year-on-year. This was predominantly
due to a 3% decrease in gold production.
The Company also designated 1,837ha across its
operations as biodiversity protection zones during
the year.
Priorities
To assist delivery of our 2030 target of a 30% reduction
in our emissions intensity (from our 2022 baseline),
we have committed to an emissions target of less than
640 kgCO
2
-e per ounce produced for 2023, as part of
our strategy to tackle climate change. We have also set
a target to recycle an average of 70% of water used in
processing across all sites, as well as targets for land
preservation of 300ha and rehabilitation targets of 60ha
for 2023 to support our biodiversity conservation efforts.
TRANSPARENT TAXES AND
GOVERNMENT OWNERSHIP
Progress
During the year, the Company contributed $2.2 billion
to the economies of its host countries which included
national procurement, payments to governments and
employee salaries, a decrease of 7% over 2021, due to
a reduction in procurement, income taxes and royalties.
Priorities
As an active and important regional economic player in
West Africa, we aim to be open, honest and transparent
regarding our approach to tax. It is important to us
that our stakeholders understand our tax and broader
economic contributions as these demonstrate the full
impact of the role we play in society. We publish our
Extractive Sector Transparency Measures Act (“ESTMA”)
report and a Tax and Economic Contribution Report
annually. We aim to be fully compliant with GRI-207
2
by 2025.
2. GRI-207 sets expectations for disclosure of tax payments on a country-by-country basis, alongside tax strategy and governance, developed in recognition
of the vital role that tax contributions have on sustainable development, and in response to widespread stakeholder demands for tax transparency.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 21
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
STRATEGIC PROGRESS
REWARD
SHAREHOLDERS
22 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
ABILITY TO REWARD
SHAREHOLDERS
ACROSS CYCLES
Attractive shareholder returns programme composed of a
minimum progressive dividend that can be supplemented
with additional dividends and share buybacks.
$637m
Cumulative shareholder returns since Q4-2020
$212/oz
Returned to shareholders for 2022
1
5.7%
Indicative shareholder returns yield
2
$99m
In share buybacks paid for 2022
$200m
Dividend announced for 2022
1. 2022 shareholder returns declared includes the dividend for the second half
of 2022 that is expected to be paid on or about 28 March 2023.
2. Based on market capitalisation dated 27 February 2023.
23
STRATEGIC
REPORTOVERVIEW
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022
2021
2022
2021
2022
2021
2022
2021
2022
2021
2022
2021
2022
1,464.2 4.72
2.42
1,132.22,642.1
4.10
581.7
1,284.2
1.44
357.92,508.1 1,017.1
PRUDENT
BALANCE SHEET
MANAGEMENT
Progress
During the year, the Company has
maintained low leverage and a strong
net cash
1
position ending the year with
a net cash position of $121.1 million.
In addition, the Company has strong
liquidity available through its cash
on hand of $951.1 million and its
undrawn RCF of $575.0 million.
Priorities
The Company aims to maintain a
healthy balance sheet position by
maintaining a leverage ratio below
0.5x net debt/adjusted EBITDA
1
.
COMPETITION
FOR CAPITAL ON A
RETURNS BASIS
Progress
Endeavour’s resilient business model
supports prudent capital allocation
promoting competition for capital
internally on a returns basis. During
the year, two high-return growth
projects, the Sabodala-Massawa
expansion and the Lagué project
were launched.
Priorities
The Company will continue to work
towards a 20% ROCE
1
target with
strong capital allocation discipline.
FOCUS ON
IMPROVING QUALITY
OF PORTFOLIO
Progress
Endeavour is focused on optimising
and improving the quality of its
portfolio through extending mine
lives, optimising operations, project
development and discovering new
projects. Endeavour has achieved
an industry leading AISC
1
of $928/
oz, production over 1.4Moz, group
average mine life above ten years and
an attractive pipeline of development
projects and exploration opportunities.
Priorities
The Company aims to produce 1,325
- 1,425koz at sector leading AISC
1
of
$940 - $995/oz, increase production
through its organic growth projects
and extend mine lives by advancing
its portfolio of attractive exploration
properties.
STRATEGIC REPORT
STRATEGIC PROGRESS CONTINUED
FINANCIAL KPIs
REWARD SHAREHOLDERS
-40%
-5% -10%
Operating cash ow, $m
-12%
Adjusted EBITDA
1
, $m
Adjusted net earnings per share
attributable to shareholders
1
, $/share
Revenue, $m
-13%
Operating cash ow per share
1
,
$/share
-38%
Adjusted net earnings
attributable to shareholders
1
, $m
ENDEAVOUR MINING PLC ANNUAL REPORT 202224
2021
2022
76.2
121.1
COMPELLING
SHAREHOLDER
RETURNS PROPOSITION
Progress
Endeavour increased its minimum
dividend commitment for 2022 by
$50.0 million to $200.0 million, which
was supplemented with $98.7 million
of share buybacks. A total of $269.0
million was paid to shareholders
during the year, and over $637.0
million will have been returned to
shareholders since payment of our
maiden dividend in 2021.
Priorities
Maintain progressive dividend
policy, targeting a minimum dividend
payment of $175.0 million in 2023
to be supplemented with additional
dividends and share buybacks if the
gold price remains above $1,500
per ounce.
+59%
Net cash
1
, $m
1. This is an Alternative Performance Measure (non-GAAP measure). Please refer to the Financial Review (pages 50 to 61) for denitions and reconciliations
of Alternative Performance Measures to IFRS.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 25
STRATEGIC
REPORTOVERVIEW
REALISING
THE POTENTIAL
OF OUR PEOPLE
STRATEGIC REPORT
OUR PEOPLE
Our people are vital to our success. We treat our
people and partners fairly and with respect, and
support our employees at every step of their careers
with us. We build effective partnerships inside the
organisation and with our stakeholders, promoting
a culture of individual and collective responsibility
that helps provide everyone with a safe and healthy
working environment.
26 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Sound work practices and
independent verication
Ensuring the health and safety of
our people is a fundamental value
for Endeavour, and we put the
highest priority on safe, healthy and
environmentally-sound work practices
and systems. This is enshrined in
our Health and Safety Policy and
supported by our Group-level HSE
managers and mine-level HSE
managers, who work to implement
the policy and drive performance on
the ground. Each site has a Health
and Safety Management Plan, in line
with the requirements of ISO 45001,
which reects the unique operating
context and associated risks along
with a ve-step health and safety risk
mitigation hierarchy. We reinforce our
safety culture and expectations across
our sites through daily pre-start safety
meetings, monthly safety ‘toolbox’
talks, regular safety inspections,
zero tolerance of drugs and alcohol,
and thorough reviews of any near
misses on site.
Strong safety track record
While there has been an improvement
in our overall safety record, sadly a
contractor colleague sustained fatal
injuries in an incident that occurred
during blasting activities at our Ity
mine in Côte d’Ivoire in October. We
have extended our sincere sympathies
and support to his family, colleagues
and friends, and have conducted a
comprehensive internal investigation
into the incident, working closely with
the relevant local authorities. The
results of the investigation identied
the need to review and update our site
blasting evacuation procedures, which
has been done and rolled out across
the Group, with the aim of preventing
similar incidents.
For 2022, we set ourselves a target to
reduce all incidents by 10%. Our Lost
Time Injury Frequency Rate (“LTIFR”)
decreased by 91% to 0.02 per million
hours worked compared to 0.22 in
2021, while our Total Recordable
Injury Frequency Rate (“TRIFR”)
decreased 49% year-on-year from
1.72 to 0.87.
Fatality AIFR
1
TRIFR
1
LTIFR
1
Mine 2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022
Boungou 0 0 0 5.50 3.67 2.35 3.56 1.83 0.34 0.00 0.31 0.00
Houndé 0 0 0 1.88 1.75 2.23 0.63 1.17 1.11 0.00 0.19 0.00
Ity 0 0 1 5.70 3.02 2.26 1.52 1.21 0.27 0.57 0.00 0.00
Mana 0 0 0 8.02 5.97 5.07 2.73 2.39 1.69 0.00 0.00 0.00
Sabodala-Massawa 0 0 0 — 3.79 3.39 — 3.00 1.47 — 0.53 0.15
Wahgnion 0 0 0 — 3.98 1.85 — 2.16 0.57 — 0.33 0.00
Operations 0 0 1 4.69 3.71 2.79 1.54 1.88 0.90 0.22 0.25 0.03
Group total 0 0 1 4.05 3.63 2.60 1.23 1.72 0.87 0.18 0.22 0.02
We have worked hard this year to
identify and remedy outstanding gaps
as part of the ISO 45001 and ISO
14001 certication processes. In
2023, we aim to proceed with the rst
phase of our certication process,
with the Ity, Sabodala-Massawa and
Wahgnion mines and the Group’s
Safety Management System being
audited, supporting our goal to be fully
ISO 45001 and ISO 14001 certied
across all our operations by 2025.
We continued to engage with our
contractors on health and safety
practices and performance, and
this was a major focus across
the business during the year. Our
suppliers know we expect and,
where necessary, will assist them
to implement appropriate safety
management systems – providing
training, resources, and personal
protective equipment (“PPE”) as
needed. Our approach is to treat
contractors exactly the same as our
employees, with access to the same
information and everyone working
to the same standards.
KEEPING OUR PEOPLE SAFE AND HEALTHY
We believe that all occupational injuries and illnesses are
preventable. This belief drives our ‘Zero Harm’ culture.
Each member of our workforce is responsible for their
safety, as well as that of their colleagues. This is an
important part of ensuring everyone returns home safely
at the end of each shift.
0.02
LTIFR
291.1
Malaria incidence rate
1. Prior year information for Mana, Boungou, Sabodala-Massawa and Wahgnion are included for their post acquisition periods only, and results of Karma
have been excluded.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 27
STRATEGIC
REPORTOVERVIEW
One of our occupational health
targets is for all staff members to
receive annual medical check-ups.
Scheduled routine health checks were
provided to 95% of our employees
and occupational health hazard
workplace assessments were
completed in 2022.
During the year, we also continued to
offer vaccinations against Covid-19.
Building on the awareness and
education campaigns we put in place
in 2020, by the time we stopped our
formal vaccination programme, we had
achieved a 74% vaccination rate for all
our employees, including 100% among
expatriate workers.
Campaign to eliminate fatigue
at our sites
While we are still looking to build a
more uniform approach on combating
the health risks of fatigue across the
Group, we are making good progress
in this area. We are piloting two
programmes at our Sabodala-Massawa
and Houndé mines, which are the
mines with the longest distances to
truck ore to the processing plant.
The rst is a ‘Fatigue Stop’, which is
a compulsory stop for all equipment
operators doing long hauling from the
Massawa Soa pit to the Sabodala
processing plant. The second initiative
uses specialist equipment to monitor
fatigue levels, this equipment is
installed in the truck cabins and it
monitors eye movement, sounding an
alarm if the driver starts to look tired.
We have had encouraging results to
date and will continue to review the
effectiveness of this equipment during
2023.
Alongside these pilot programmes,
the health and safety teams have
also conducted a fatigue awareness
campaign across all our sites to drive
awareness among employees that
fatigue is more than just feeling tired
and drowsy. We recognise that in a
work context, fatigue is a state of
mental and/or physical exhaustion
that reduces a person’s ability to
perform work safely and effectively.
We will continue to monitor general
levels of fatigue during 2023.
Malaria prevention and control
With many of our mines located in
malaria endemic areas, the ght
against malaria is a key part of our
ESG healthcare strategy. We actively
support our workforce and our local
communities with malaria prevention
and control initiatives as part of our
‘Zero Harm' policy.
In 2022, alongside our regular on-site
malaria prevention campaign and
activities, we undertook community
prevention projects at our Ity and
Sabodala-Massawa mines and,
through the Endeavour Foundation,
are working with the Burkinabe
health authorities on an exciting
pilot programme ‘One Village without
Malaria’ near our Mana mine. We hope
the learnings from this pilot project will
strengthen care in communities and
at health and social centres, as well
as provide comprehensive information
and vector control activities.
Our aim is to reduce malaria cases,
or the incidence rate at our mines,
by 10% on an annual basis. In 2022
we achieved a 15% reduction in the
Group's malaria incidence rate of
291.1, down from 343.9 in 2021,
with the disease accounting for 3,219
workdays lost in worker absences
(2021: 4,292).
Our malaria prevention campaigns
have been successful in combating
malaria outbreaks at our mines,
through a range of measures, including
distributing insecticide impregnated
mosquito nets, awareness campaigns
and reducing the amount of on-site
stagnant water, which is a breeding
ground for mosquitos.
However, we have less control of
the spread of malaria in our local
communities. We offer indoor
residual spraying inside homes and
dwellings, though we experienced
some resistance to us doing this,
particularly as many of the people in
these communities are not our direct
employees. To counter this resistance,
we are changing our approach, and in
2023, we will be taking more time for
the information and communication
process, explaining what we are doing
STRATEGIC REPORT
OUR PEOPLE CONTINUED
better prior to the spraying. In addition,
we continue to work with epidemiology
consultants to understand which
chemicals will be most effective at
each site, and are training colleagues
to improve their chemical spraying
skills. We have had some encouraging
results from our pilot programme in
Burkina Faso, near our Mana mine,
where we are working in partnership
with the Burkinabe Health Ministry. So
far, around 95% of the houses in the
village have been sprayed, which will
help control malaria enormously.
Occupational Health and Hygiene
The good health and well-being of
all our people is a top priority for
Endeavour. While malaria is a major
concern, the nature of mining means
that our workforce could be exposed
to a range of other occupational
health hazards, including noise,
fatigue, strain injuries, and the risk
of chemical or dust inhalation. That’s
why we have full-time occupational
health doctors at all our sites and run
a comprehensive Occupational Health
and Hygiene (“OHH”) programme that
enables detailed assessments of OHH
hazards at our sites. This allows us
to prioritise workforce awareness and
introduce comprehensive and robust
monitoring and analysis.
During the year, we commissioned
an external consultant to conduct
an Occupational Health Audit for
us, visiting all of our sites, auditing
our health centres and our clinics.
They also visited a number of our
host communities to determine what
facilities are available to people there.
The consultant highlighted a number
of risks we faced and recommended
ways to mitigate them – breaking
them down into organisational risks,
clinical risks, infrastructural risks and
reputational risks.
As a result of the audit, we are taking
steps to improve or maintain health
provisions, and make other system-
improvement measures. At a Group
level, we are working on a quality of
care standardisation programme, due
to be complete by the end of 2023.
ENDEAVOUR MINING PLC ANNUAL REPORT 202228
ENSURING OUR PEOPLE HAVE THE
OPPORTUNITY TO SUCCEED
We seek to be an employer of choice, offering attractive
terms of employment with competitive remuneration
and career development opportunities. We empower our
employees and give them the support they need to succeed
in a rewarding and inclusive workplace.
95%
Nationals employed
9%
Women employed
5,659
Employees
57%
West African
Senior Managers
Providing a dynamic workplace
As a Company, we are reinforcing our
commitment to providing a dynamic
workplace that offers a range of
experiences, career development
opportunities, fair and equal
employment practices, and in which
all individuals are treated with dignity
and respect. We operate in a number
of diverse jurisdictions, and recognise
that our operations blend a wide range
of nationalities, cultures and abilities.
At the end of the year, we had a total
workforce of 14,140 people, a 1%
decrease from 14,258 in 2021, which
includes 5,659 employees and 8,481
contractors.
Making our organisation
t for the future
Following rapid growth with the
acquisition of two businesses in
relatively quick succession and
approximately an 80% increase in our
workforce,we have reset our talent
management strategy and approach
to ensure we are t for the future. Our
focus has been on putting the basics
in place, the foundations we need
to support all our activities and the
implementation of our strategy. We
have restructured our organisation,
setting up new teams and recruiting
new people to help us manage our
processes, while further strengthening
some of our key initiatives like our
Management Development Programme
(“MDP”), through which we seek
to develop our senior leaders,
and our Frontline Management
Programme (“FMP”) that supports
rst line managers, team leaders and
supervisors with the management
skills they need.
It is our goal to promote and grow
local talent and ensure skills transfer
between our expatriate and local
workers, so eventually local workers
can occupy more key and senior
positions within our operations. In
2022, we promoted 262national
employees based on newly acquired
skills, either gained on the job or
through formal training programmes
we made available to them. We also
gave 504 young people valuable job
experience through internships
across our sites.
Attracting and retaining
talented people
To ensure we recruit and retain highly
skilled and experienced people,
workingat Endeavour comes with
competitive remuneration and exciting
career development opportunities.
Employee remuneration packages
are gender neutral, determined
by their expertise, experience and
performance, and these packages
are regularly reviewed against our
industry peers.
There is an annual performance-
related bonus component, measured
as part of each employee’s annual
Performance Appraisal Review. The
bonus is determined against a set of
annual key performance indicators,
which always include a safety target
as well as other ESG indicators,
ensuring that everyone has a stake
not just in how well we perform, but
also in how we achieve our success.
Growing and developing local talent
As the largest gold producer and a
major employer in West Africa, our
ultimate goal is to hire as close to
100% of our operational workforce
directly from the country in which
our mines are located. We have
successfully achieved a 95% rate
of nationals employed over the past
three years. In 2022, our employees
comprised 34% from our host
communities and 9% are women.
Some 57% of our senior management
are West African; comprising 44%
nationals, 8% regional West African
expatriates and 5% from our local
communities.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 29
STRATEGIC
REPORTOVERVIEW
We have also been working hard
to leverage greater value from our
internal Learning Management
System. This has included putting
our processes and policies online to
create a platform of services to our
functions, enabling them to download
the training content they need when
they need it. This has helped to make
our Learning Management System a
valuable knowledge centre, and we
will continue to load up more training
content in 2023. This year we have
largely focused on compliance training,
such as Human Rights training, Anti-
Bribery and Anti-Corruption training,
and conict of interest, although we
are making more and more technical
training available via the system too.
STRATEGIC REPORT
OUR PEOPLE CONTINUED
Opportunities for continuous learning
We offer all our employees the
opportunities to develop their skills
and progress their career through
four key programmes that enable
them to learn and grow through their
career: Endeavour Next is our detailed
succession planning programme that
ensures our current and future leaders
have the opportunity to progress in the
organisation; Growing Local Talent
assesses our workforce to identify
skills and leadership development
potential; Endeavour Academy is
our in-house university which offers
a range of technical and managerial
training programmes, including online
learning and our FMP and MDP; and
our Youth Talent Programme provides
bursaries for students who have
shown particular promise.
The MDP is itself a tailored
programme for our future leaders
which is designed to achieve the
learning outcomes through a highly
customised and practical approach
using award winning simulations and
assessments, delivered by a world
class faculty from leading business
schools around the world, all with
experience in the mining industry.
In 2023, we plan to put an even
higher focus on the FMP, and we have
identied other key initiatives that we
will pilot that are designed to achieve
our target to develop all employees,
especially local employees where
we operate.
AN INCLUSIVE AND DIVERSE WORKPLACE
We value diversity and are committed to a work environment that
treats all employees and business partners with respect and dignity,
regardless of race, gender, nationality, ethnic origin, disability,
religion, age or sexual orientation. We recognise the benets of
having employees from diverse backgrounds who can bring fresh
perspectives and experiences to the way we conduct our business.
The employment of women in
operational and technical roles in the
mining sector in West Africa remains
a relatively new development. Despite
the increase in the number of women
employed in West African mines, the
percentage is still low compared to
other jurisdictions, predominantly due
to historical perceptions of the mining
industry and cultural traditions.
We continue to address this bias by
actively promoting gender equality
and empowering our female talent
at Endeavour. We have a number
of Women in Mining programmes
operating across our sites and
during 2022 we also visited schools
in our local communities to explain
mining and promote the industry as
a potential career to girls and young
women.
We are also signatories to the
Women's Empowerment Principles
(“WEPs”), established by the UN
Global Compact and UN Women to
offer guidance to businesses on
how to promote gender equality
and women's empowerment in
the workplace, marketplace and
community. In 2022, we started
to implement the WEPs across
our business. At the end the year
we piloted activities focused on
developing our woman leaders,
and how we prepare them to take
on senior leadership roles. These
activities will continue in 2023.
Zero tolerance of bullying
and harassment
We do not tolerate bullying,
intimidation or harassment of any kind
in our workplace. Our commitment to a
fair and inclusive working environment
is set out in our Diversity Policy and
Harassment Prevention Policy, both
of which are reviewed and updated
annually. During the year, we reinforced
our policy by undertaking a Company-
wide campaign to train everyone on
anti-harassment. This training covered
a wide range of scenarios that can
affect colleagues at work, including
sexual harassment, and discussed the
risks of false reporting of any kind of
bullying incidents.
Diversity performance
Building on our 2020 target to
increase female representation
throughout the Group, 15% of our new
hires in 2022 were women. In 2023
we have agreed on an upper target
of 20% which has been included as
part of the overall Group KPI for the
year. Overall, 9% of our employees
were women, with 12% of those
in management roles and 12% in
technical or supervisory roles.
ENDEAVOUR MINING PLC ANNUAL REPORT 202230
At the leadership level, at the end of
the year, the Executive Management
Committee had 13% female
representation, while60% of the
Independent Non-Executive Directors
on the Board are women, including
the Chief Financial Ofcer, the Chair
of the Audit Committee, and the Chair
of the Remuneration Committee. 27%
of direct reports to members of our
Executive Management Committee
were women.
Around 77% of our workforce are
between the ages of 30 - 50 years
old,and 78% of that age group are
in management positions. We also
have two Non-Executive Directors
on the Board who are African,
one Independent Non-Executive
Director who is British-Indian and
one Independent Non-Executive
Director who is British-Pakistani,
which represents a 44% BAME
ethnic representation.
92%
of employees trained on
anti-corruption policies
Employee engagement
We have a range of communication
channels available to our workers,
including regular public meetings
at each site, our intranet and our
grievance mechanisms, which includes
an independent 24/7 whistleblowing
hotline (for more information, see
below).
During the year, we appointed Tertius
Zongo as our Employee Engagement
Director, who met with employees
at our Ity mine, as well as staff
at the regional ofce, to gain a
better understanding about working
conditions on site, the social climate,
employee concerns as well as to
share some of his priorities. The two
main outcomes from these meetings
were to focus on strengthening the
managerial capacity of managers who
were shortlisted for promotion, as
well as to offer nancial and budget
training to employees to assist them
with tackling their household debt.
Looking ahead to 2023, we plan
to conduct employee engagement
surveys to assist with understanding
employees’ attitudes towards the
business and identify weaknesses so
that they can be addressed to improve
the work culture at Endeavour.
Supporting labour rights
We support the right to freedom of
association and collective bargaining,
without interference, fear of retaliation
or restrictions on which union
representation employees choose.
This is embedded in our Human
Rights Policy, and we engage regularly
with union leaders on a variety of
topics including working conditions
and benets, health and safety and
the Group's strategy, operating and
nancial performance. In 2022,
56%of our employees were covered by
a collective bargaining agreement.
There were no reported incidents
of under-age or forced labour at our
operations during 2022.
ANTI-CORRUPTION AND
ANTI-BRIBERY INITIATIVES
Honesty is integral to our business and supports fair and
open communication with our business partners, suppliers,
host country and local community stakeholders.
We have zero-tolerance for bribery
and corruption, as is laid out in our
Anti-Bribery and Anti-Corruption Policy
(“ABC Policy”). Our Compliance Team
and Audit Committee ensure that the
Company, together with its Directors,
ofcers, employees, consultants and
contractors, conducts its business
in an honest and ethical manner
reecting the highest standards of
integrity and in compliance with all
relevant laws and regulations.
We also expect our contractors,
suppliers and business partners to
comply with our ABC Policy, which
is included in our Supplier Code of
Conduct. We include an anti-bribery
and anti-corruption clause in all of
our supplier contracts and undertake
vendor due diligence as part of our
supplier onboarding and contract
renewal process.
Endeavour Speak Up and
whistleblowing
Endeavour Speak Up is our 24/7
independent reporting service. We
encourage our employees to report
any behaviour that violates our
policies, standards or our Code of
Business Conduct & Ethics, including
fraudulent, unethical, or illegal
nancial activity.
We want our employees and
contractors to feel supported in
speaking up. That’s why we take any
concerns seriously and handle them
promptly. They can report issues
anonymously without fear of dismissal,
disciplinary action or retaliation
of any kind. We ensure that those
reporting in good faith will not be
charged, disciplined, threatened or
discriminated against.
In 2022, we received 17 complaints
through our whistleblower reporting
system. None of them involved
allegations of bribery or corruption.
At year end, 14 cases had been
investigated, resulting in one
substantiated case of fraud and
the employee was dismissed and
one case which, although not fully
substantiated, identied the need for
additional training on managerial skills
for an employee. Three cases are still
under investigation.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 31
STRATEGIC
REPORTOVERVIEW
Jan
2022
Feb
2022
Mar
2022
Apr
2022
May
2022
Jun
2022
Jul
2022
Aug
2022
Sep
2022
Oct
2022
Nov
2022
Dec
2022
(0.1%)
(10.5%)
60
70
80
90
100
110
120
130
GOLD (NYM $/OZ)
Gold
Price – indexed to 100
GDX
Jan
2022
Feb
2022
Mar
2022
Apr
2022
May
2022
Jun
2022
Jul
2022
Aug
2022
Sep
2022
Oct
2022
Nov
2022
Dec
2022
6.5%
10.5%
9.2%
4
5
6
7
8
9
10
11
12
CONSUMER PRICE INDEX (%)
United States
United Kingdom
Eurozone
Jan
2022
Feb
2022
Mar
2022
Apr
2022
May
2022
Jun
2022
Jul
2022
Aug
2022
Sep
2022
Oct
2022
Nov
2022
Dec
2022
4.5%
3.5%
2.5%
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
INTEREST RATES (%)
United States
United Kingdom
Eurozone
Jan
2022
Feb
2022
Mar
2022
Apr
2022
May
2022
Jun
2022
Jul
2022
Aug
2022
Sep
2022
Oct
2022
Nov
2022
Dec
2022
(6.2%)
0.9
1.0
1.1
1.2
1.3
1.4
Euro/USD
Euro
STRATEGIC REPORT
MARKET OVERVIEW
Macroeconomic overview
Following a strong rebound to global output in 2021
following the Covid-19 pandemic and associated
lockdowns, the pace of economic expansion moderated
signicantly in 2022. Global gross domestic product
(“GDP”) grew by 3.2% across the year, albeit the growth
was markedly lower than early expectations as economic
strength heading into 2022 was curtailed by a conuence
of macroeconomic headwinds.
The year was characterised by widespread inationary
pressures which haven’t been consistently observed for
decades. This upward pressure on prices was induced
predominantly by the war in Ukraine which caused energy
prices to spike and strangled global supply chains.
Additionally, the consistently ultra-loose and synchronised
monetary policy conditions and historical economic
support provided through the Covid-19 pandemic by
many governments contributed to price increases. The
inationary pressures were broad-based and felt globally,
with the domestic Ofce for National Statistics consumer
price index estimated to have risen by 10.5% in 2022, as
at year-end the inationary pressures showed limited signs
of abating.
2022 was another year characterised by material uncertainty and periods of acute
volatility across global capital markets, as the Russia-Ukraine conict, monetary
and scal policy dynamics, and spiralling ination drove headlines. Despite these
headwinds which impacted risk appetite across the majority of 2022, Endeavour
was able to deliver guidance for its tenth consecutive year. As we look forward to
2023, lingering concerns for risk assets remain, but the macroeconomic outlook is
stabilising.
ENDEAVOUR MINING PLC ANNUAL REPORT 202232
GEOPOLITICAL FACTORS
In February 2022, Russia embarked
on a full-scale invasion of Ukraine;
commencing one of the most
signicant armed conicts in Europe
since 1945.
Notwithstanding the signicant
humanitarian crisis and tragic impact
on human life, nancial markets
exhibited signicant volatility in the
early stages of the conict, with
Western nations imposing severe
sanctions on the Russian economy as
the severity of the war intensied.
Material risk aversion became
commonplace in equity markets,
spurring a race to haven assets,
including USD, defensive stocks and
gold as investors sought out relative
safety.
Early inationary pressures were
compounded by the imposition of
economic sanctions, while supply side
disruptions brought about both directly
and indirectly by the war accentuated
the pressures further, acting as a
tailwind to gold given its effective
properties as an ination hedge.
However, synchronised monetary policy
tightening in the interim has resulted
in an increase in real interest rates
which has an adverse impact on the
price of gold.
Unfortunately, in light of a number of
failed negotiations between Russia
and Ukraine, analysts see no near-
term catalyst for an end to the ongoing
war, with the outlook for Ukraine
and its people in 2023 remaining
uncertain.
INFLATIONARY PRESSURES
A strong, sustained recovery from
the Covid-19 pandemic coupled with
ultra-loose monetary policy conditions,
commodity and energy market price
spikes related to the Ukraine war
directly and indirectly, supply-side
disruptions induced by the Russia-
Ukraine conict and intermittent
Chinese lockdowns underpinned
persistent and rapidly accelerating
global inationary pressures in 2022;
becoming the dominant economic
force and driver of policy responses
across both central banks and
governments.
Consumer price index for the UK, US
and eurozone continually exceeded
consensus estimates, with developed
regions experiencing multi-decade high
ination levels; unnerving markets as
'peak ination' events – after which
there would likely be an inection –
failed to materialise. The effects of the
data were widely felt, spilling over and
restraining both activity and growth
as consumer condence signicantly
weakened.
The energy commodity complex
was spurred higher by the pricing
pressures, with a deliberate decision
by Russia to cut its energy exports
intensifying the moves. Brent Crude
and Natural Gas climbed as much
as 10% and 20% respectively, raising
fears of a global energy crisis, while
gold also rode the volatility higher
amid softening real rate expectations.
In response to the inationary backdrop, central banks
acted synchronously to tighten monetary conditions and
stem money supply in an effort to control price increases,
ultimately resulting in a step higher for interest rates, debt
funding costs and a constriction of growth rates across
much of the world.
Looking ahead to 2023, several material unknowns look
set to continue weighing on risk assets in the near-term,
while an eventual easing – or at least plateauing – of
interest rates, dollar softening and an alleviation of ongoing
growth concerns could potentially open the door to the
commencement of a new economic cycle.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 33
STRATEGIC
REPORTOVERVIEW
MONETARY POLICY RESPONSE
As pricing pressures became
increasingly entrenched – versus
the prior ‘transitory’ narrative –
central bank policy meeting minutes
indicated a progressively hawkish
tilt, with policymakers weighing the
benets of tightening monetary policy
conditions against stagation, growing
unemployment and economic ‘hard
landing’ risks.
The Bank of England (“BoE”) became
the rst central bank to act, building
upon its December 2021 15bps
base rate hike with a further 25bps
raise in February 2022. The Federal
Reserve (“Fed”) and European Central
Bank (“ECB”) soon followed suit,
culminating in several cycles of rate
tightening – the BoE, Fed and ECB
undertaking 325bps, 425bps and
250bps of tightening respectively;
an occurrence that was largely
inconceivable at the outset of 2022.
The prospect of a prolonged period
of elevated rates and the growing
possibility of an economic hard landing
saw sentiment turn bearish and
equities enter oversold conditions. The
deteriorating outlook also heightened
corporate earnings risk, compressing
valuations on risk assets amid a
broad-based equity and debt market
sell off.
Despite beneting from softening
real rate expectations in early
2022, successive interest rate hike
cycles saw real rate expectations
steadily reverse. As a result of
the commodity’s relatively higher
opportunity cost, gold’s price began
to soften, with further anticipated rate
hikes by Western central banks likely
to remain an overhang to the asset
class heading into 2023.
GOLD MARKET DYNAMICS
Given the sustained uncertainty
throughout the year, the gold price
remained broadly supported and
traded between $1,600 - $2,100/oz
range through 2022 on the London
Metals Exchange.
Evolving risk appetite throughout the
year in tandem with shifting real rate
expectations were the predominant
drivers of gold’s price in 2022, with
early risk aversion in the aftermath of
Russia’s invasion of Ukraine driving
the commodity to an intra-year high in
March as investors sought refuge in
haven assets. However, subsequent
rounds of monetary policy tightening
by central banks thereafter, and
rising real rate expectations, acted
as a headwind to the asset class,
with gold trading lower through the
summer months to a November nadir.
STRATEGIC REPORT
MARKET OVERVIEW CONTINUED
Early indications of ‘peak ination’
events across the West, and growing
optimism that the pace of interest
rate tightening would be moderated
as a result, aided the asset class late
in the year, with narrowing real rate
expectations underpinning a gold rally
into the year-end, trading towards the
$1,800/oz mark.
Risk aversion, catalysed by the
prevailing inationary backdrop and
geopolitical uncertainty, underpinned
strong retail demand for the asset
class, helping to offset a year of
relatively weak institutional interest in
gold ETFs, futures and OTC investment
as higher yields and a rming dollar
acted as a headwind. Central banks,
meanwhile, undertook exceptional
levels of net purchases of gold during
2022, with this dynamic further
counteracting the weak institutional
demand, and in turn pushing central
bank gold reserve holdings to
historical highs
1
.
Looking ahead, gold price expectations
remain broadly supportive, albeit
there remain several key short-to-
medium term headwinds which could
undermine the asset’s performance.
The pace of ination moderation
and magnitude of future rate hikes,
driving an increase to real rates, will
be a key determinant of how the gold
market evolves in 2023. Further dollar
strength, should investors remain
relatively risk averse, would also weigh
on the commodity’s price.
1. World Gold Council, January 2023.
ENDEAVOUR MINING PLC ANNUAL REPORT 202234
CURRENCY PERFORMANCE
Macroeconomic and geopolitical
dynamics continued to have a
pronounced impact on foreign
exchange rates during the year. Key
currencies for Endeavour are the
US dollar, given that we sell gold
which is dollar-denominated, the CFA
Franc, which comprises around 65%
of our operating cost base, and the
Euro, which comprises most of our
remaining currency cost base. The
CFA franc is backed by the French
treasury and pegged to the Euro and
is accepted in 14 member countries.
The US dollar saw a period of
sustained strength over the course
of the year as investors sought out
safe haven assets in light of the
uncertain backdrop. More recently,
however, the currency has experienced
a slight depreciation, coming off intra-
year highs as a result of moderately
improving risk appetite in late 2022.
More specically for Endeavour, the
CFA franc – which is the currency in
which much of the Group’s expenses
are denominated – weakened by some
2% versus the US dollar, the business’
reporting currency. This dynamic
resulted in some foreign exchange
tailwinds for our operating costs but
resulted in an unrealised loss on our
CFA denominated cash balances. See
page 50 - 61 for further detail.
IMPACT OF EXTERNAL FORCES ON THE OPERATING ENVIRONMENT
The factors detailed above are outside
of Endeavour’s control.
In management’s view, the most effective method of
capturing the full nancial benet from the Group’s
operations is to operate low-cost assets, safely and as
efciently as possible. The Group has delivered signicant
shareholder value and Endeavour remains among the
lowest-cost gold producers in the industry.
Given Endeavour’s West Africa focus, country risk
remains inherent. Despite the risks, we rmly believe that
West Africa remains one of the most attractive mining
jurisdictions globally and we continue to maintain excellent
relations with our local partners and with the government
authorities of the jurisdictions in which we operate.
Endeavour earns all of its revenue in US dollars from
gold sales. To protect against gold price volatility and
increase cash ow visibility during the current construction
phase, the Group has entered into a revenue protection
programme for a portion of its 2023 production, which
includes a low premium collar with a put price of $1,750
per ounce and a call price of $2,100 per ounce for
approximately 75,000 ounces per quarter until the fourth
quarter of 2023, as well as gold forward sales contracts
for 30,000 ounces per quarter at an average gold price of
$1,827 per ounce.
In January 2023, the Group extended its revenue protection
programme into 2024 and acquired a gold collar for
450,000 ounces with the written call options and bought
put options having a oor price of $1,800 and a ceiling
price of $2,400 per ounce, to be settled equally on a
quarterly basis throughout 2024. The Group also entered
into additional gold forward sales contracts for 70,000
ounces at an average gold price of $2,032 per ounce to be
settled equally in the rst two quarters of 2024.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 35
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
CHIEF OPERATING OFFICER’S STATEMENT
I am pleased to report that from an operational
perspective, 2022 was another strong year for
Endeavour, despite the difculties posed by the
macroeconomic environment.
Our focus on performance ensured
that we were able to achieve our
guidance for both production and
AISC
1
, which came in at 1,400koz
and $928/oz respectively. This was
the tenth successive year that we
have managed to achieve or beat our
guidance and it is testament to the
hard work and resilience of our teams
across West Africa. We are particularly
pleased to see our legacy mines, Ity
and Houndé which we built, leading
the way in terms of outperformance
while we focused on integrating and
optimising the newly acquired assets.
We are acutely conscious of our
obligations to ensure a safe working
environment and promote safe working
practices. While this focus has led
to our incident frequency rate being
among the lowest in the industry, we
deeply regret the death of a contractor
at our Ity mine. We have carried out
an investigation into what happened
and applied the learnings across our
operations. No job is so important that
it shouldn’t be done safely and we will
continue to make safe operations our
clear priority.
Our cost improvement initiatives
have offset some of the inationary
pressure which caused increases
in fuel and other input prices. As an
example, at Houndé and Sabodala-
Massawa we have implemented a
successful predictive maintenance
regime allowing us to increase the
life of our equipment between major
overhauls. At Houndé, live tracking the
tyre pressure on our mining eet and
establishment of a tyre repair shop
has allowed us to almost double their
expected life over the past ve years
and reduce our costs.
At Ity, the construction of the Recyn
plant will reduce cyanide consumption
by recovering cyanide from the CIL
tailings and recycling it back into
the leach circuit, while also allowing
us to recover more metal from
the process. This will detoxify the
tailings stream, while also providing
signicant operating cost savings as
an added benet. This project will be
commissioned in the second half
of 2023.
We have also been integrating the
use of digital technology within our
mining operations. For example, we
have successfully concluded the rst
phase of a programme to digitise the
high voltage power networks and fuel
management systems at all of our
mines with live electrical and short
interval reporting of fuel consumption.
The initiative has been designed to
better understand the efciency of
our electrical power systems and
fuel consumption. We have identied
signicant power efciency gains
and cost savings and we are now
implementing a number of these
initiatives.
MARK MORCOMBE, CHIEF OPERATING OFFICER
ENDEAVOUR MINING PLC ANNUAL REPORT 202236
GOLD PRODUCTION BY MINE
Sabodala-Massawa (SEN)
Ity (CIV)
Houndé (BF)
Mana (BF)
Wahgnion (BF)
Boungou (BF)
8%
24%
21%
19%
14%
10%
12%
21%
22%
14%
26%
9%
2022 2021
1,400 koz
Total production
$928/oz
AISC
$864/oz
AISC
1,436 koz
Total production
During the year, we also continued
our focus on increasing the social
and economic benets captured by
our host countries by continuing to
develop our local talent and supply
chains to ensure that we continue
to add value in country. Our local
supply chain activities generate
considerable social economic benets
by strengthening local businesses
and creating direct and indirect
employment opportunities. We source
locally wherever we can and last
year supported 1,639 businesses in
our host countries and signicantly
reduced our supply chain risk.
We are continuing on our journey
to play an active role in tackling
climate change. We have committed
to achieving net zero emissions
from our operations by 2050 and
have in place a medium term target
of reducing our emissions intensity
by 30% by 2030. Carbon reduction
targets are now incorporated into all
our executive remuneration schemes
to drive the best output and embed
the commitment across all our
behaviours. To reinforce this message,
this year we set our rst annual
emissions target of 670kg CO
2
/oz
gold produced, which we successfully
met with an outcome of 640kg CO
2
/
oz gold produced. We have now set a
2025 emissions target of less than
600kg CO
2
/oz gold produced as we
investigate additional decarbonisation
initiatives, including a mixture of big
renewables projects, like solar power
at some of our mines, which would
deliver signicant reductions, as well
as a range of smaller initiatives that
cumulatively will contribute to reducing
our carbon footprint.
In the past year, we have gained
additional operational experience with
the four mines that were acquired in
the Teranga and SEMAFO acquisitions.
Our updated life of mine plans for
these assets include revised reserve
and resource estimates, reecting
recent grades and recoveries, as
well as the current operating cost
expectations. As a result of these
insights, we have recognised an
impairment of the Wahgnion and
Boungou mines at 31 December
2022, for $197 million and $163
million, respectively. We will
continue to monitor the geopolitical
environment in West Africa and its
impact on our operations.
Beyond 2022, we are focussed on
continuing to deliver against our
operational objectives. We expect to
produce 1,325 - 1,425koz in 2023,
while our AISC
1
is expected to be
$940 - $995/oz which would maintain
our industry leading cost performance.
We look forward to building on our
strong track record and continuing our
strong operational performance as a
resilient and sustainable business.
MARK MORCOMBE
CHIEF OPERATING OFFICER
15MARCH 2023
1. This is an Alternative Performance Measure (non-GAAP measure). Please refer to the Financial Review (pages 50 to 61) for denitions and reconciliations
of Alternative Performance Measures to IFRS.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 37
STRATEGIC
REPORTOVERVIEW
2022 AISC
1
$691/oz
2022 Insights
2022 production totalled 358koz, achieving near the
bottom end of the guided 360 - 375koz range. 2022 AISC
amounted to $691/oz, within the guided $675 - $725/oz
range.
Production increased from 345koz in 2021 to 358koz
in 2022 due to the full year of production following the
Teranga acquisition in the rst quarter of 2021. 2022 saw
a shift in focus of mining activities, moving away from the
Soa pits which were a key part of the post-acquisition
production to a multi mining area operation (Soa Main was
fully depleted in the rst half of 2022 and Soa North has
gradually reduced in output during the year as the pit nears
completion), to Massawa where the Central and North
Zone pits will become the cornerstone mining areas at the
Sabodala-Massawa complex for the medium term.
Ore tonnes in the year were sourced from a combination
of Sabodala, Soa Main, Soa North, Massawa Central,
Massawa North and the new Bambaraya satellite pit which
commenced production in the second half of 2022 and
provided another source of non-refractory material. Mining
STRATEGIC REPORT
OPERATING REVIEW
Unit
31 December
2022
31 December
2021
2
Tonnes ore mined kt 6,449 6,603
Tonnes milled kt 4,289 3,777
Average gold grade milled g/t 2.88 3.19
Recovery rate % 88.6 89.7
Gold produced oz 358,339 345,280
Gold sold oz 350,578 365,331
Realised gold price
1,3
$/oz 1,764 1,757
Cash cost per ounce sold
1
$/oz 577 507
AISC per ounce sold
1
$/oz 691 645
Sustaining capital
1
$m 40.0 50.3
Non-sustaining capital
1
$m 40.1 34.0
1. This is an alternative performance measure (non-GAAP measure). Please refer to the Alternative
Performance Measures sections in the Financial Review for denitions and reconciliations of
alternative performance measures to IFRS.
2. Results included for the period after its acquisition in the rst quarter of 2021.
3. Realised gold price is inclusive of the Sabodala-Massawa stream.
2022 Production
358 koz
2023 Production and AISC
1
guidance
315 koz – 340 koz
AISC
1
guidance
$760/oz – $810/oz
Location
Senegal
Mining type
Open pit/Owner mining
Processing rate
~4.3Mtpa/CIL plant, 1.2Mtpa/BIOX®
expansion under construction
Work force
1,062 employees, 2,368 contractors
Ownership
90% EDV, 10% Govt of Senegal
TRIFR
1.47
SABODALA-MASSAWA
at the Massawa Central and North Zone pits has included
pre-stripping of waste overburden and an initial focus on
accessing higher grade non-refractory oxide material to
be utilised in the CIL feed blend. Mining at Sabodala has
focused on the phase 4 push back which will allow access
to the nal areas of higher-grade material before the pit is
fully depleted.
Processing plant performance in 2022 has been robust
with an increase in milled tonnes and throughput rates,
although average grades have declined mainly due to the
transition from the higher-grade Soa Main material to
the lower grade non-refractory ore in the Massawa Central
and North Zones (although 2021 results relate only to the
period post acquisition). Recoveries have also decreased
slightly as a result of processing some transitional material
from Massawa Central and North pits.
AISC increased from $645/oz to $691/oz due to lower
volumes of gold sold due to the gold on hand at acquisition
in 2021 and lower average grade processed in 2022, in
addition to increases in fuel and explosive costs, which
were partially offset by foreign exchange benets and
ENDEAVOUR MINING PLC ANNUAL REPORT 202238
lower sustaining capital. Mining unit costs have increased
primarily driven by fuel price increases experienced in
2022, in addition to the increased haulage distances
from the Sabodala pit in particular. Processing unit costs
remained relatively stable with the fuel price increases
impacting the cost of internal power generation, offset by
higher tonnes milled in the year.
Sustaining capital expenditure of $40.0 million related
to purchases of additional mining equipment and waste
capitalisation at the Sabodala pit.
Non-sustaining capital expenditure of $40.1 million
related to the relocation activities of the Sabodala village
which were completed in 2022, Massawa mining area
establishment, Massawa camp infrastructure developments
and the pre-stripping and establishment of the Bambaraya
satellite pit.
Growth Capital amounted to $68.1 million and primarily
related to the ramp up of the BIOX® plant expansion, further
detail of which is provided below.
2023 Outlook
Sabodala-Massawa is expected to produce between 315 -
340koz in 2023 at an AISC of $760 - $810/oz.
Ore is expected to be sourced primarily from the Sabodala
and Bambaraya pits with additional non-refractory ore from
the Massawa Central Zone and Massawa North Zone pits.
Tonnes milled and recoveries are expected to be consistent
with 2022 performance, while grades are expected to be
slightly lower due to lower grade areas of the Massawa
North Zone pit planned to be mined in 2023.
Sustaining capital expenditure is expected to increase from
approximately $40.0 million in 2022 to $45.0million in
2023, primarily related to capitalised waste as well as eet
re-builds and additional mining equipment purchases.
Non-sustaining capital expenditure is expected to decrease
from approximately $40.1 million in 2022 to $35.0million
in 2023 and is related primarily to waste capital stripping,
infrastructure related to the Massawa mining areas and
community resettlement.
Growth capital expenditure is expected to be $170.0 million,
which includes the BIOX® project.
BIOX® Plant Expansion
Construction of the Sabodala-Massawa BIOX® project
was launched in April 2022 and remains on budget and
on schedule for completion in the rst half of 2024.
Growth capital expenditure for the expansion project is
approximately $290.0 million, of which $68.1 million was
incurred in 2022 and approximately $170.0 million is
expected to be incurred in 2023 mainly related to process
plant and power plant construction activities as well as the
TSF-1B construction.
Approximately $154.6 million or 53% of the total growth
capital has now been committed, with pricing in line
with expectations, mainly related to detailed engineering
and design, earthworks, civil works, processing plant
construction and ordering of long lead items including the
mills.
Exploration
An exploration programme of $15.0 million was undertaken
in 2022, which included 88,717 meters of drilling across
836 drill holes focused on dening non-refractory resources
on targets within the Massawa area including Makana,
Matiba, Thianga and Tiwana, expanding resources at
Bamabraya and Delya South, delineating resources at Kiesta
and developing new targets along the Main Transcurrent
Shearzone and Sabodala-Soa Shear Zone rst order
structures.
An exploration programme of $15.0 million is planned
for 2023, primarily focused on adding near-mine non-
refractory resources and extending mineralisation at the
recently discovered deposits. The drilling programme will
focus on extending mineralisation at the Kiesta, Niakari
and the Keredounda Deeps deposits within the Sabodala-
Soa Shear Zone. Reconnaissance drilling is planned at
the Nouma and Missira targets that extend to the north
and south of the Kiesta deposit respectively. South of the
Soa pit, drilling at the new Tinkoto target will follow up on
historical positive intersections. Additionally, reconnaissance
work will target further mineralisation along the Main
Transcurrent Shearzone, mineralised extensions to the Soa
deposit and the Massawa Central Zone deeps deposits.
SABODALACOMMUNITY RESETTLEMENT COMPLETED
The Sabodala village resettlement was largely completed during the
year, resettling 418 households to a new village with high quality
housing and community infrastructure. Buildings included housing,
schools, shops and a mosque with infrastructure including potable
water and electricity. In addition several livelihood restoration
projects are also being implemented to ensure the sustainability of
the resettlement programme.
The relocation was undertaken in consultation with the local
communities and in compliance with the International Finance
Corporation and the Responsible Gold Mining Principles.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 39
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
OPERATING REVIEW CONTINUED
Unit
31 December
2022
31 December
2021
Tonnes ore mined kt 7,044 7,906
Tonnes milled kt 6,351 6,248
Average gold grade milled g/t 1.80 1.67
Recovery rate % 85.0 80.0
Gold produced oz 312,517 271,832
Gold sold oz 309,371 279,226
Realised gold price
1
$/oz 1,798 1,789
Cash cost per ounce sold
1
$/oz 769 750
AISC per ounce sold
1
$/oz 812 836
Sustaining capital
1
$m 13.4 24.0
Non-sustaining capital
1
$m 49.0 35.3
1. This is an alternative performance measure (non-GAAP measure). Please refer to the Alternative
Performance Measures sections in the Financial Review for denitions and reconciliations of
alternative performance measures to IFRS.
ITY
2022 AISC
1
$812/oz
2022 Production
313 koz
2023 Production and AISC
1
guidance
285 koz – 300 koz
AISC
1
guidance
$840/oz – $915/oz
Location
Côte d’Ivoire
Mining type
Open pit/Contractor mining
Processing rate
~6.4Mtpa/CIL plant
Work force
673 employees, 1,599 contractors
Ownership
85% EDV, 10% Govt of Côte d’Ivoire,
5% SODEMI (2 permits), 90% EDV,
10% Govt of Côte d’Ivoire (1 permit)
TRIFR
0.27
2022 Insights
2022 production totalled 313koz, above the guided
255 - 270koz range mainly due to higher-than-expected
grades, higher recoveries associated with processing less
of the transitional material from Daapleu, and improved
processing plant performance from increased throughput
through the use of the surge bin to supplement the
crusher feed. 2022 AISC amounted to $812/oz, which
was in line with the $850 - $900/oz guided range.
Production increased from 272koz in 2021 to 313koz
in 2022 due to an increase in throughput rates from
improvements in plant operating and maintenance
strategies, continued use of mobile screening and crushing
plants to produce supplemental ore introduced via the
surge bin to the mill feed, higher average processed
grades due to higher portions of high-grade material from
Le Plaque in the mill feed and higher recoveries due to a
lower portion of fresh material from Daapleu.
Ore tonnes for the year were sourced from Ity, Bakatouo,
Colline Sud, Walter, Daapleu and Le Plaque pits,
supplemented by ore from historic heap leach dumps
which are screened to remove plastic liner and crushed
before being fed through the surge bin. Daapleu phase 1
was completed in the second quarter of 2022 and mining
activities have been paused at Daapleu as evaluation
is ongoing as to the appropriate methods to extract
maximum value from the semi-refractory material. Ity,
Bakatouo, Walter and Le Plaque pits all provided a steady
source of ore throughout the year, with the Le Plaque
stage 3 cut back commencing in the fourth quarter of
2022. The Colline Sud pit was completed in the third
quarter of 2022.
Plant performance remained strong and continues to
operate well above its original design capacity. Tonnes
milled increased and average grades fed to the plant
were higher than 2021 primarily due to the reduced
reliance on lower grade ore sources including historic
heaps and low grade stockpiles. Recovery rates improved
as a result of the lower proportion of Daapleu material in
the blend in 2022.
ENDEAVOUR MINING PLC ANNUAL REPORT 202240
AISC decreased from $836/oz in 2021 to $812/oz in
2022, driven largely by the increased production and lower
sustaining capital. Mining unit rates increased in 2022 due
to mining contractor cost increases which have been driven
by escalation of fuel and consumable prices. Processing
unit costs increased due to inationary pressures on
consumable materials and increased cyanide usage in the
year due to higher-than-expected copper content in the ore
blend, partially offset by higher tonnes milled.
Sustaining capital expenditure of $13.4 million, a decrease
compared to 2021, related primarily to capitalised
waste development, major critical and strategic spares,
installation of de-watering boreholes at Bakatouo, Daapleu
and Le Plaque and capital spare parts and equipment
related to the processing plant.
Non-sustaining capital expenditure of $49.0 million, an
increase compared to 2021, is primarily related to the
construction of the Recyn project (described below),
the TSF stage 4 lift, pre-leach tank and spargers and
capitalised pre-stripping activity associated to the Ity pit cut
back.
The Recyn project remains on track to be commissioned
in the third quarter of 2023, with approximately 40%
of the project completed to date. Detailed design and
engineering have been completed and procurement is
now 80% complete. Construction works including the
acid storage facility, reagents shed, mixing stations and
absorption tanks are all progressing with construction
at 41% complete, and 65% of the overall capital has
now been committed. The circuit aims to improve costs
by reducing leaching and detox reagent consumption,
improving the quality of the tailings discharge and decant
return water, and increasing gold production through higher
recovery rates. The project is expected to result in 87koz
of additional gold production and $63.0 million in cost
savings over Ity’s current reserve life for an upfront capital
cost of $41.0 million, of which $14.8 million was incurred
in 2022.
2023 Outlook
Ity is expected to produce between 285 - 300koz in 2023
at an AISC between $840 - $915/oz.
INTEGRATING TECHNOLOGY TO OPTIMISE PROCESSING PLANT PERFORMANCE
Data driven optimisation initiatives like the blend optimiser
at Ity is an important, low capital intensity project that can
help monitor, diagnose and optimise plant performance.
Advanced learning algorithms are used to analyse the
properties of the ore blend and incorporate them into an
optimised blending model. Study work has indicated that
the advanced learning algorithms could improve recoveries
by up to 1.6%, delivering improved production and
efciencies for a very low incremental capital cost.
Ore is expected to be sourced from the Ity, Bakatouo,
Le Plaque and Walter pits, supplemented by historical
heap leach dumps and low grade stockpiles. Ore tonnes
processed for 2023 are expected to remain consistent with
the prior period. Grades are expected to decline compared
to the prior year due to the cessation of ore mining at
the higher grade Daapleu open pit in mid-2022, while
recoveries are expected to increase as no Daapleu fresh
material is expected in the mill feed for 2023.
Sustaining capital expenditure is expected to increase from
$13.4 million in 2022 to $25.0million in 2023 related
primarilyto waste stripping, de-watering borehole drilling
and pump installation and capital spares.
Non-sustaining capital expenditure is expected to decrease
from $49.0 million in 2022 to approximately $40.0million
in 2023, related to the completion of the Recyn project,
as well as the TSF Stage 5 raise and commencement
of construction of TSF 2. In addition, the mineral sizer
(crusher duplication) project to feed high moisture content
oxide ore into the processing plant is expected to be
launched in late 2023.
Exploration
An exploration programme of $10.0 million was undertaken
in 2022, which included 51,181 meters of drilling across
330 drill holes. The exploration programme was focused
on extending resources at several near mine deposits and
conrming the continuity of the Ity mineralised system
resulting in a signicantly larger resource adjacent to the
Ity processing plant.
An exploration programme of $14.0 million is planned for
2023, focused on evaluating mineralisation in proximity to
known deposits, where mineralisation is known to extend
including at the Bakatouo, Walter, Ity Flat, West Flotouo
and Colline Sud deposits. In addition, the exploration
programme will continue to advance the recent discoveries
including Gbampleu, located 22km away from the
processing plant where several high grade mineralised
lenses have been identied.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 41
STRATEGIC
REPORTOVERVIEW
2022 Insights
2022 production totalled 295koz, which in accordance with
the previously disclosed outlook, exceeded the guided 260
- 275koz range, due to higher than scheduled volumes of
high-grade ore sourced from the Kari area and better mill
performance following blend optimisation initiatives. 2022
AISC amounted to $809/oz, which is below the guided
$875 - $925/oz range due to the benet of the higher-than-
expected production.
2022 production remained consistent with 2021
as increased mill throughput, driven by efciency
improvements, and improved recoveries associated with
the high-grade ore sourced from the Kari Pump pit offset a
lower average grade milled.
STRATEGIC REPORT
OPERATING REVIEW CONTINUED
Unit
31 December
2022
31 December
2021
Tonnes ore mined kt 5,754 4,397
Tonnes milled kt 5,043 4,622
Average gold grade milled g/t 1.92 2.13
Recovery rate % 93.0 92.0
Gold produced oz 294,993 293,155
Gold sold oz 295,874 292,579
Realised gold price
1
$/oz 1,801 1,785
Cash cost per ounce sold
1
$/oz 701 675
AISC per ounce sold
1
$/oz 809 843
Sustaining capital
1
$m 32.0 49.1
Non-sustaining capital
1
$m 39.2 17.1
1. This is an alternative performance measure (non-GAAP measure). Please refer to the Alternative
Performance Measures sections in the Financial Review for denitions and reconciliations of
alternative performance measures to IFRS.
Location
Burkina Faso
Mining type
Open pit/Contractor mining
Processing rate
~5Mtpa CIL plant
Work force
1,276 employees, 1,755 contractors
Ownership
90% EDV, 10% Govt of Burkina Faso
TRIFR
1.11
HOUNDÉ
2022 AISC
1
$809/oz
2022 Production
295 koz
2023 Production and AISC
1
guidance
270 koz – 285 koz
AISC
1
guidance
$850/oz – $925/oz
Ore tonnes were mined from a combination of the three
main mining areas being Kari Pump, Vindaloo Main and
Kari West throughout the year, all of which alternated
effectively in terms of the focus between ore mining and
waste development. The major waste development stages
undertaken in the year were Vindaloo Main pushback in the
rst half of the year, Kari West development in mid-2022
and at the back end of the year pre-stripping of the Kari
Pump stage 3.
Plant performance remained strong during the year with an
increase from 2021 in terms of tonnes milled with greater
volumes of softer oxide ore from Kari Pump and Kari West
and an improved recovery rate. Average grade of tonnes
milled decreased slightly as greater volumes of lower grade
Kari West material were fed compared to higher grade Kari
Pump in the previous period.
ENDEAVOUR MINING PLC ANNUAL REPORT 202242
AISC decreased to $809/oz in 2022, driven primarily by
a reduction in sustaining capital and increase in gold sold
volumes, partially offset by higher underlying operating
costs. Mining unit costs increased, driven by inationary
impacts on key consumables including fuel and explosives.
Processing unit costs decreased due to the increase in
tonnes milled and greater availability of grid power in the
year.
Sustaining capital expenditures of $32.0 million, a
decrease compared to 2021, related primarily to waste
capitalisation, eet upgrades and re-builds and capitalised
resource denition drilling.
Non-sustaining capital expenditures of $39.2 million, an
increase compared to 2021, related to pre-stripping of the
Kari Pump stage 3 pit, the TSF stage 6 and 7 wall raises
and mining infrastructure establishment at the Kari area.
2023 Outlook
Houndé is expected to produce between 270 - 285koz in
2023 at AISC of $850 - $925/oz.
Mining activities will focus on the Vindaloo Main, Kari
Pump and Kari West pits. In the rst half of 2023, ore
is expected to be mined primarily from the Kari West pit,
while signicant waste stripping is underway at the Kari
Pump and Vindaloo Main pits. In the second half of 2023,
greater ore volumes are expected be mined from the Kari
Pump and Vindaloo Main pits, with Kari West continuing
to provide supplemental feed. Production for the year is
expected to be weighted towards the second half of 2023
as the waste stripping activities in the rst half of 2023
are only expected to provide access to higher grade ore
sources at both the Kari Pump and Vindaloo Main pits in
the second half of the year. Throughput and recoveries are
expected to be slightly lower in 2023 compared to 2022
due to a greater proportion of harder fresh ore in the blend.
Sustaining capital expenditure is expected to increase from
$32.0 million in 2022 to approximately $40.0million in
2023, related mainly to waste stripping, eet re-builds and
plant equipment replacements and upgrades.
Non-sustaining capital expenditure is expected to decrease
from $39.2 million in 2022 to approximately $35.0million
in 2023, and relates primarily to waste stripping activities
and the TSF stage 8 and 9 embankment raise.
Exploration
An exploration programme of $11.6 million was spent in
2022, which included 30,115 meters of drilling across
299 drill holes. The exploration programme was focused
on extending the resources at Vindaloo South, and testing
new targets including Sianikoui and Koho.
An exploration programme of $7.0 million is planned for
2023, focused on extending the mineralisation of Vindaloo
Southeast along strike and delineating underground
resource potential at the Vindaloo Deeps and Kari West
deposits.
IMPLEMENTING AN ECO-FRIENDLY DUST SUPPRESSION SOLUTION
The Houndé mine has introduced a new alternative, eco-friendly
solution for dust suppression on the Kari haul road, which extends
for 15kms through to the processing plant. Working with a local
Burkina entrepreneur, the mine is using a by product from the paper
industry. This new innovative road adhesive is proving to be very
effective, with the added benet of being environmentally friendly to
the animals grazing in the neighbouring elds and the cotton being
grown. The savings compared to the previous molasses product
are multiple, with savings in fuel (approximately 63,000 litres/
year), CO
2
emissions (approximately 168 tonnes of CO
2
-e) and water
consumption (75 million litres/year). In 2023, the mine is planning
to roll this product out across the rest of its road infrastructure.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 43
STRATEGIC
REPORTOVERVIEW
2022 Insights
2022 production totalled 195koz, exceeding the guided 170
- 190koz range due to better-than-expected ore tonnage
mined from the Wona open pit before it was depleted and
greater volumes of ore sourced from the Siou and Wona
underground mines. 2022 AISC amounted to $994/
oz, slightly below the guided $1,000 - $1,100/oz range,
largely due to better-than-expected processed grades and
production from Wona South pit prior to completion.
Production decreased from 205koz in 2021 to 195koz
in 2022 largely due to lower grades milled as a result of
processing more lower grade stockpiles to supplement the
mill feed.
Open pit mining saw the completion of operations at the
Wona open pit in mid-2022 and then the commencement of
the Maoula satellite pit in the fourth quarter of 2022 which
will supplement underground ore sources.
STRATEGIC REPORT
OPERATING REVIEW CONTINUED
Unit
31 December
2022
31 December
2021
Tonnes ore mined - open pit kt 1,260 2,025
Tonnes ore mined - underground kt 944 838
Tonnes of ore milled kt 2,607 2,593
Average gold grade milled g/t 2.49 2.65
Recovery rate % 92.0 91.4
Gold produced oz 194,975 204,507
Gold sold oz 194,403 211,424
Realised gold price
1
$/oz 1,812 1,789
Cash cost per ounce sold
1
$/oz 943 966
AISC per ounce sold
1
$/oz 994 1,026
Sustaining capital
1
$m 9.9 12.6
Non-sustaining capital
1
$m 61.4 63.3
1. This is an alternative performance measure (non-GAAP measure). Please refer to the Alternative
Performance Measures sections in the Financial Review for denitions and reconciliations of
alternative performance measures to IFRS.
MANA
Location
Burkina Faso
Mining type
Open pit/Owner mining
Underground/Contractor mining
Processing rate
~2.6Mtpa/CIL plant
Work force
469 employees, 808 contractors
Ownership
90% EDV, 10% Govt of Burkina Faso
TRIFR
1.69
2022 AISC
1
$994/oz
2022 Production
195 koz
2023 Production and AISC
1
guidance
190 koz – 210 koz
AISC
1
guidance
$950/oz – $1,050/oz
Underground operations continued throughout the year at
the established Siou underground which contributed 793k
tonnes of ore, largely from stope production and mined
grades remained consistent year-on-year. Development at
the Wona underground continued throughout 2022 with
151k ore tonnes mined and 6,270 development metres
achieved.
Processing plant performance remained consistent year-
on-year in terms of tonnes milled with lower grade ore
stockpiles being used to supplement the ore feed for a
period between the cessation of mining at Wona open pit
and the commencement of Maoula. Processed grades
decreased slightly compared to 2021 due to the inclusion
of lower grade stockpiles in the blend as supplemental
feed while recovery rates remained consistent.
ENDEAVOUR MINING PLC ANNUAL REPORT 202244
AISC decreased from $1,026/oz in 2021 to $994/
oz in 2022 primarily due to an increased proportion of
underground mining, and the cessation of open pit mining
in the higher cost Wona open pit during the year. Open
pit unit mining costs increased signicantly due to the
completion of activities at Wona open pit and mobilisation
at Maoula with relatively low volumes mined. Underground
unit costs decreased with higher underground tonnes
mined from the established Siou underground.
Sustaining capital expenditures of $9.9 million, decreased
from 2021, related primarily to mining equipment, plant
strategic spares and infrastructure associated to the Siou
underground mines.
Non-sustaining capital expenditures of $61.4 million,
broadly in line with 2021, related to pre-production
capitalised development costs associated with the Wona
underground including infrastructure and electrication,
Maoula open pit establishment including haul roads and
the TSF stage 5 lift.
2023 Outlook
Mana is expected to produce between 190 - 210koz in
2023 at an AISC of $950 - $1,050/oz.
Ore is expected to be sourced primarily from the Siou and
Wona underground where stope mining is expected to
continue throughout the year, supplemented by ore from
the Maoula open pit. Processed grades are expected
to increase compared to the prior year as higher-grade
underground ore is expected to represent a larger portion
of the mill feed. Production is expected to be weighted to
the second half of 2023 as more stopes are expected to
be accessible at the Wona underground mine following
the development conducted in the rst half of 2023.
The underground development at the Wona underground
deposit is expected to continue throughout the year while
establishment of a third portal is expected to commence in
the rst half of 2023.
AISC
1
guidance
$950/oz – $1,050/oz
CONNECTING TO THE NATIONAL GRID AND REDUCING RELIANCE ON SELF-GENERATION
In October 2022, the processing plant at Mana was
successfully connected to the national grid, thereby
replacing the requirement for some of the onsite LFO diesel
generation capacity. The rst three months of operations
since connection to the grid has resulted in a reduction of
approximately 11,207 tonnes of CO
2
, saving approximately
4.2 million litres of LFO. In 2023, the mine is planning to
connect the elution circuit to the grid, further improving
its overall carbon footprint, with anticipated reductions in
absolute emissions of approximately 1,225 tonnes of CO
2
.
The Wona underground will also be connected to the grid
prior to the commencement of stope production.
Sustaining capital expenditure is expected to increase
from $9.9 million in 2022 to $25.0 million in 2023, with
expenditure relating mainly to capitalised underground
development and plant upgrades.
Non-sustaining capital expenditure is expected to decrease
from $61.4 million in 2022 to $45.0 million in 2023,
relating mainly to Wona underground development, and
associated infrastructure, and the stage 5 lift of the TSF.
Exploration
An exploration programme of $7.0 million was undertaken
in 2022, which included 30,299 meters of drilling across
291 drill holes focused on increasing the size of the
resources at Maoula East, Fona and Nyafe as well as
delineating both near mine and greeneld targets.
An exploration programme of $5.0 million is planned for
2023, primarily focused on underground exploration at the
Siou deposit to upgrade resources in the northern portion.
In addition reconnaissance drilling is planned at the ve
near mines and greeneld targets generated in the fourth
quarter of 2022 from the prospectivity analysis.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 45
STRATEGIC
REPORTOVERVIEW
2022 Insights
2022 production totalled 124koz, which in accordance with
the previously disclosed outlook, stands below the guided
140 - 150koz range mainly due to lower-than-expected
ore tonnes and grades mined from the Nogbele North and
Fourkoura pits during the year. 2022 AISC amounted to
$1,525/oz, which is above the guided $1,050 - $1,150/
oz range due to lower volumes of gold sold and higher than
expected mining costs driven by a combination of increased
unit costs due to the expected higher fuel price and greater
volumes mined at a higher strip ratio.
Production decreased from 147koz in 2021 to 124koz
in 2022 due to lower processed grades associated with
lower grade ore mined and lower recovery rates, which was
partially offset by higher tonnes milled.
STRATEGIC REPORT
OPERATING REVIEW CONTINUED
Unit
31 December
2022
31 December
2021
2
Tonnes ore mined kt 3,797 3,807
Tonnes milled kt 3,831 3,322
Average gold grade milled g/t 1.08 1.43
Recovery rate % 91.8 93.5
Gold produced oz 123,636 147,032
Gold sold oz 126,006 158,795
Realised gold price
1
$/oz 1,791 1,789
Cash cost per ounce sold
1
$/oz 1,341 916
AISC per ounce sold
1
$/oz 1,525 994
Sustaining capital
1
$m 23.2 12.3
Non-sustaining capital
1
$m 31.6 27.5
1. This is an alternative performance measure (non-GAAP measure). Please refer to the Alternative
Performance Measures sections in the Financial Review for denitions and reconciliations of
alternative performance measures to IFRS.
2. Results included for the period after its acquisition in the rst quarter of 2021.
WAHGNION
Location
Burkina Faso
Mining type
Open pit/Owner mining &
Contractor mining
Processing rate
~3.6Mtpa CIL plant
Work force
821 employees, 1,040 contractors
Ownership
90% EDV, 10% Govt of Burkina Faso
TRIFR
0.57
2022 AISC
1
$1,525/oz
2022 Production
124 koz
2023 Production and AISC
1
guidance
150 koz – 165 koz
AISC
1
guidance
$1,250/oz – $1,350/oz
Mining operations covered the key mining areas of Nogbele
North and South for the full year, while operations ceased
at Fourkoura in the later part of the year and commenced
at Samavogo following haul road construction and site
establishment. Ore tonnes were primarily sourced from
Nogbele North with additional contributions from Nogbele
South and Fourkoura up to end of the second quarter of
2022 when mining operations wound down. Samavogo ore
mining commenced in the second half of 2022 following a
quick ramp up.
Processing plant performance remained strong with tonnes
milled higher (although 2021 results relate only to the
period post acquisition). Average milled grades decreased
compared to 2022 as ore mining was in lower grade pits
when compared to 2021, in particular at Fourkoura and
Nogbele North.
ENDEAVOUR MINING PLC ANNUAL REPORT 202246
AISC increased from $994/oz in 2021 to $1,525/oz in
2022 due to higher-than-expected mining costs and mining
at a higher strip ratio. Mining unit costs increased due
to underlying price increases of fuel and consumables.
Processing unit costs increased as a result of higher
underlying fuel costs. Wahgnion recorded an impairment
of $197.0 million in 2022 following an update to the life
of mine plans, which reected a decrease in estimated
recoverable reserves and resources, as well as higher
operating over the life of mine.
Sustaining capital expenditures of $23.2 million, an
increase on 2021, related primarily to capitalised waste
development in addition to mining eet rebuilds and
strategic capital spares.
Non-sustaining capital expenditures of $31.6 million, an
increase from 2021, related to the TSF cell 2 stage 4
lift, capitalised resource drilling campaigns, resettlement
activities, haul road construction, and establishment of the
Samavogo mining area.
2023 Outlook
Wahgnion is expected to produce between 150 - 165koz in
2023 at an AISC of $1,250 - $1,350/oz.
Ore is expected to be sourced from the Nogbele North
and Samavogo pits, with mining at the Nogbele South
pits is scheduled to end in the rst half of 2023 and
commencement of mining at the Stinger pits expected
in the second half of 2023. Production is expected to be
weighted to the second half of the year as greater volumes
of high grade ore are expected to be sourced from the
Samavogo pit in the second half of 2023, as the strip ratio
reduces. Mill throughput rates are expected to be similar
to 2022 while grades are expected to increase with the full
year benet of higher-grade deposits.
Sustaining capital expenditure is expected to increase
slightly from $23.2 million in 2022 to $25.0million
in 2023, and relates primarily to waste stripping at
Samavogo, Stinger and Nogbele North pits.
Non-sustaining capital expenditure is expected to decrease
from $31.6 million in 2022 to $15.0million in 2023,
and relates primarily to completion of the capitalised
resource drilling campaign, resettlement activities and
mining infrastructure at the Stinger pit including haul road
construction, completion of the TSF wall raise.
Exploration
An exploration programme of $9.0 million was undertaken
in 2022, which included 44,149 meters of drilling across
435 drill holes focused on evaluating the Ouahiri South,
Bozogo, Samavogo Nord and Kassera targets.
An exploration programme of $4.0 million is planned for
2023, primarily focused on exploring for open-pit oxide ores
within close proximity to the current exploitation permits.
The Kassera target is located between the Fourkoura and
Stinger deposits, and early works have identied promising
geology along a favourable structural trend. In addition,
further drilling will be conducted on the Samavogo North
deposit where zones of high-grade mineralisation have
been identied and the Samavogo West area will also be
tested with some reconnaissance drilling.
INVESTIGATING IN-PIT TAILINGS
The team at Wahgnion are currently conducting a feasibility
study to use in-pit tailings storage, which involves
backlling abandoned open pit surface mines with the
benign tailings. This would reduce the need to expand the
TSF and displace a nearby community, as well as provide
savings on fuel and CO
2
emissions. The study is due to be
completed in 2023 and includes extensive consultation
with government departments.
AISC
1
guidance
$1,250/oz – $1,350/oz
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 47
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
OPERATING REVIEW CONTINUED
2022 Insights
2022 production totalled 116koz, which stands below
the guided 130 - 140koz range mainly due to lower than
scheduled stripping activities in West pit phase 3 to
access higher grade ore in 2022 due to supply chain
delays getting fuel and some consumables to site. 2022
AISC amounted to $1,064/oz, which is above the guided
$900 - 1,000/oz range due to the lower-than-expected
production, higher fuel prices and increased security costs.
Production decreased from 174koz in 2021 to 116koz in
2022 due to the impact of lower grade material available
in 2022 due to the logistics challenges referred to above
causing unplanned downtime of processing and mining
activities.
Unit
31 December
2022
31 December
2021
Tonnes ore mined kt 990 1,437
Tonnes of ore milled kt 1,348 1,352
Average gold grade milled g/t 2.80 4.07
Recovery rate % 93.7 95.4
Gold produced oz 115,701 174,320
Gold sold oz 117,052 170,936
Realised gold price
1
$/oz 1,811 1,783
Cash cost per ounce sold
1
$/oz 1,008 695
AISC per ounce sold
1
$/oz 1,064 801
Sustaining capital
1
$m 6.6 18.1
Non-sustaining capital
1
$m 27.5 22.9
1. This is an alternative performance measure (non-GAAP measure). Please refer to the Alternative
Performance Measures sections in the Financial Review for denitions and reconciliations of
alternative performance measures to IFRS.
BOUNGOU
Location
Burkina Faso
Mining type
Open pit/Contractor mining
Processing rate
~1.3Mtpa/CIP plant
Work force
305 employees, 634 contractors
Ownership
90% EDV, 10% Govt of Burkina Faso
TRIFR
0.34
2022 AISC
1
$1,064/oz
2022 Production
116 koz
2023 Production and AISC
1
guidance
115 koz – 125 koz
AISC
1
guidance
$985/oz – $1,075/oz
Ore tonnes decreased compared to 2021, primarily
due to the completion of the West pit phase 2 in early
2022 which provided 100% of the ore tonnes mined in
2021, and the focus on the East pit in early 2022 whilst
pre-stripping activity of the West pit phase 3 took place.
Mining operations were also disrupted in the latter part
of 2022 due to some logistics challenges impacting the
delivery of fuel to site.
Plant performance remained consistent with tonnes
milled in line with 2021 whilst grades and recoveries
reduced due to the lower-grade East pit material in the
ore blend in 2022.
ENDEAVOUR MINING PLC ANNUAL REPORT 202248
AISC increased from $801/oz in 2021 to $1,064/oz in
2022 due to the lower grades processed and fuel and other
consumable cost increases impacting underlying operating
costs, in addition to increased security costs. Mining unit
costs increased due to higher fuel and consumable prices.
Processing unit costs increased primarily due to the fuel
price increases as Boungou is reliant on self-generated
power. An impairment charge of $163.3 million has been
recognised in 2022 following an update to the life of mine
plans, which reected a reduction in estimated recoverable
reserve and resources as well as higher operating costs
over the life of mine.
Sustaining capital expenditures of $6.6 million were a
signicant reduction from 2021, related to strategic capital
spares and processing plant projects.
Non-sustaining capital expenditures of $27.5 million
related primarily to pre-stripping at the West pit phase 3
and West Flank pit in the year.
2023 Outlook
Boungou is expected to produce between 115 - 125koz in
2023 at an AISC of $985 - $1,075/oz.
Mining activities in the rst half of 2023 are expected to
focus on continuing the waste stripping at the West Flank
pit and ore mining in the West pit phase 3. In the second
half of 2023, greater ore volumes are expected to be
sourced from the West Flank phase 1 pit. Mill throughput is
expected to decrease slightly while grades are expected to
improve compared to the prior year. Production is expected
to be weighted towards the second half of 2023 when
higher grades are expected to be accessed from the West
Flank phase 1 pit following waste stripping activities.
Sustaining capital expenditure is expected to decrease
from $6.6 million in 2022 to $5.0million in 2023, relating
mainly to waste stripping, plant maintenance and on-site
fuel capacity increases.
Non-sustaining capital expenditure is expected to increase
from $27.5 million in 2022 to $30.0million in 2023,
relating primarily to signicant waste stripping activity at
the West Flank phase 1 pit in the rst half of 2023.
Exploration
An exploration programme of $4.0 million was planned for
2022, of which $2.0 million was spent on 8,600 meters of
drilling across 708 drill holes. The exploration programme
was focused on identifying new targets close to the
Boungou mine and testing the continuity of the Boungou
deposit mineralisation within the mine fence.
An exploration programme of $1.0 million is planned
for 2023 which will continue to focus on geological
reinterpretation of the existing system.
AISC
1
guidance
$985/oz – $1,075/oz
OPTIMISING THE SAG MILL TO DELIVER ENERGY
The SAG Mill Optimiser at Boungou is a good example of operational
excellence and optimisation using a digital solution. This project aims to
increase our grinding efciency and therefore increase production with the
same energy input. A rst version of the tool has been implemented, leading
to 1.8% to 2.0% increase in throughput, which then positively impacted
our emission intensity by the same proportion. Grinding optimisation
is an opportunity on most of our sites that can have an impact on our
performances. We started investigating further improvement to the digital
tool and designed a complementary module to predict mill overloads that will
result in fewer mill stoppages. We expect this new development to lead to an
additional 0.5% - 1.0% improvement. The new module was developed as part
of the thesis by Ella Odounharo, who is a Junior Data Scientist at Endeavour.
Ella’s work will be implemented at Boungou in 2023.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 49
STRATEGIC
REPORTOVERVIEW
2022 was another successful year, as we
focused on internal growth and operational
efciencies.
STRATEGIC REPORT
CHIEF FINANCIAL OFFICER’S STATEMENT
The Company’s strong operational
performance throughout the year
was supported by the healthy gold
price environment, which remained
robust in 2022. Our average realised
gold price was $1,807 per ounce,
up from $1,781 in 2021, having
benetted from the revenue protection
programme that we put in place at
the end of 2021 in anticipation of our
signicant capital investment phase
for the next few years.
Production and AISC
1
was within
the guidance range for the tenth
consecutive year, which was a
JOANNA PEARSON, CHIEF FINANCIAL OFFICER
signicant achievement against
considerable macroeconomic
challenges. Cost ination was partially
offset by the strengthening of the
US dollar and the corresponding
impact on our largely Euro and CFA
denominated costs.
The operating performance and robust
operating cash ow generation allowed
us to nish 2022 with a net cash
position of $121 million, an increase
of $45 million compared to the prior
year, even as we embarked on two
signicant growth projects in 2022.
Furthermore, our liquidity position at
year end, with a cash position of $951
million, alongside our undrawn RCF of
$575 million, ensured that we were
able to repay our Convertible Notes
in cash at maturity in February 2023,
while ensuring minimal dilution to our
shareholders and maintaining a strong
nancial position.
As Mark has noted, our updated
operational expectations for the
Wahgnion and Boungou mines, in
combination with the impact of the
current inationary environment,
resulted in an impairment of the
Wahgnion and Boungou mines at 31
December 2022, for $197 million and
$163 million, respectively. We also
evaluated the updated life of mine
plans for Sabodala-Massawa and
Mana for impairment, and concluded
that these were not impaired at 31
December 2022. We have outlined
the signicant assumptions used in
evaluating these mines for impairment
on pages 53 - 54 of the Financial
Review.
Since the successful integration
of the Semafo and Teranga assets
and completing our primary listing in
London, the Company continued from
strength to strength through 2022.
We remained focused on disciplined
capital allocation, strengthened
our balance sheet, maintained our
commitment to shareholder returns,
and enhanced our growth prole in
launching two organic projects.
JOANNA PEARSON
CHIEF FINANCIAL OFFICER
15MARCH 2023
We nally saw travel restrictions ease in 2022,
allowing teams to get off zoom calls and meet
in person once again. Many functions took the
opportunity to bring employees together from sites
and the regional ofces to complete training, share
ideas, discuss challenges, and set objectives for the
team moving forward.
The Finance team held their seminar in September 2022 in Côte d’Ivoire, and for some, it was their rst time
meeting their colleagues in person. The seminar provided a great opportunity for everyone to understand the size of
Endeavour and the importance of the various roles that everyone plays in the success of the Group.
ENDEAVOUR MINING PLC ANNUAL REPORT 202250
Statement of comprehensive (loss)/earnings
$m unless otherwise stated
31 December
2022
31 December
2021 Change
Revenue 2,508.1 2,642.1 (5)%
Operating expenses (979.5) (982.5) 0%
Depreciation and depletion (616.0) (599.8) 3%
Royalties (152.9) (162.3) (6)%
Earnings from mine operations 759.7 897.5 (15)%
Corporate costs (47.7) (62.5) (24)%
Other expenses (51.9) (45.6) 14%
Impairment of mining interests and goodwill (360.3) (247.7) 45%
Share-based compensation (32.8) (32.5) 1%
Exploration costs (33.9) (23.6) 44%
Earnings from operations 233.1 485.6 (52)%
(Loss)/gain on nancial instruments (22.3) 28.0 (180)%
Finance costs, net (66.2) (65.7) 1%
Earnings before taxes 144.6 4 47.9 (68)%
Tax expense (175.6) (143.3) 23%
Net comprehensive (loss)/earnings from continuing operations (31.0) 304.6 (110)%
(Loss)/earnings per share from continuing operations
Basic (loss)/earnings per share (0.27) 1.02 (126)%
Diluted (loss)/earnings per share (0.27) 1.01 (127)%
STRATEGIC REPORT
FINANCIAL REVIEW
Revenue
Revenue for 2022decreased by $134.0 million to $2,508.1 million. The
decrease was driven by the lower sales volumes of 85,007 ounces, an impact of
$151.3 million, which was partly offset by the higher realised gold price in 2022,
an impact of approximately $16.7 million. The lower gold volumes sold were
due to lower processed grades at the Wahgnion and Boungou mines, as well as
logistics challenges at Boungou which caused delays in supplies arriving at site,
resulting in interruptions in mining and processing during the year. The realised
gold price increased from $1,781 per ounce in 2021 to $1,807 per ounce in
2022, after taking into account the realised gains from our revenue protection
programme.
To mitigate the risk of gold price uctuations in this period of strong gold prices,
in particular with the Group’s signicant capital investment over the next two
years, the Group expanded its revenue protection programme in the fourth
quarter of 2021 and in early 2022. As part of the programme, the Group entered
into both gold collars and forward contracts maturing through 2022 and 2023.
The gold collars have a oor price of $1,750 per ounce and a ceiling price of
$2,100 per ounce and were for a total of 600,008 ounces, of which 300,004
were settled in 2022 and the remainder will be settled on an equal quarterly
basis in 2023. The gold forward contracts consist of multiple contracts with
average prices ranging from $1,817 to $1,860 per ounce. In 2022, 348,703
ounces related to the gold forward contracts were settled while the remaining
120,000 ounces are outstanding at 31 December 2022 at an average gold price
of $1,829 per ounce and will settle in equal quarterly amounts in 2023. In 2022,
the revenue protection programme resulted in a realised gain of $19.8million,
compared to a realised gain of $1.5million in 2021. The realised gain on the
Group’s revenue protection programme had a positive impact on the Group’s
realised gold price of $14 per ounce in 2022.
8%
20%
19%
14%
11%
24%
12%
21%
23%
14%
25%
9%
$2,508.1m
2022
2021
$2,642.1m
Sabodala-Massawa (SEN)
Ity (CIV)
Houndé (BF)
Mana (BF)
Wahgnion (BF)
Boungou (BF)
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 51
STRATEGIC
REPORTOVERVIEW
Realised gold price
$m unless otherwise stated 2022 2021
Revenue 2,508.1 2,642.1
By product revenue (10.8) (11.2)
Gold revenue 2,497.3 2,630.9
Realised gains on collars and forward contracts 19.8 1.5
Adjusted gold revenue 2,517.1 2,632.4
Ounces sold in the year 1,393,284 1,478,291
Realised gold price for the period, per ounce sold 1,807 1,781
STRATEGIC REPORT
FINANCIAL REVIEW CONTINUED
Burk ina
Consumables
Contractors
Drilling
Fuel
Other
Power
Salaries
Transport and rening
$979.5m
$982.5m
1%
2022
14%
30%
24%
1%
8%
7%
15%
1%
17%
26%
27%
1%
6%
7%
15%
2021
200
400
600
800
1000
1200
1400
1600
1800
AISC from continuing operations, $/oz
2022 2021
Boungou
Houndé
Ity
ManaSabodala-Massawa Wahgnion
Group
Total 928
Group
Total 865
The increase in the Group AISC in 2022 reects the decrease in the gold ounces sold at Boungou and Wahgnion
in particular, and the impact of adjustments to cash costs in 2021 relating to non-cash adjustments to inventories
recognised upon the acquisition of Teranga, which were, as expected, signicantly lower in 2022. Sustaining capital in
2022 was $127.3 million, which was lower than 2021 due to lower capital expenditures at all sites apart from Wahgnion,
but primarily at Houndé, Boungou, Sabodala-Massawa and Ity, due to timing of capital expenditures and production stage
stripping incurred.
Operating expenses
Operating expenses for 2022 were $979.5 million which presents a slight decrease compared to $982.5 million in
2021. The decrease is due to the foreign exchange benet on our operating costs associated with the weakening Euro
against the Dollar, offset by increased energy and consumable costs across all operating sites following global inationary
pressures, increased processing costs at Ity and Houndé due to higher volumes processed, and higher costs related to
the drawdown of stockpiles during the year.
ENDEAVOUR MINING PLC ANNUAL REPORT 202252
Sabodala-Massawa
Ity
Houndé
Mana
Wahgnion
Boungou
Lagué project
Greeneld and development projects
2%
10%
12%
18%
9%11%
7%
31%
Total $82.3m
2022
6%
16%
12%
14%
10%
9%
11%
22%
Total $90.1m
2021
Exploration spend, %
Earnings from mine operations
Earnings from mine operations was $759.7 million for the year representing a decrease of 15% compared to 2021, due
primarily to the lower revenues in 2022 discussed above, while total operating expenses remained relatively consistent
with the prior year. Depreciation was relatively consistent with the prior year, with the slight increase being driven by the
carrying values for the various properties, other than Boungou, being consistent year over year but with a lower depletable
base of reserves in 2022.
Earnings from operations
Earnings from operations was $233.1 million for the year representing a decrease of
52% when compared to 2021. The primary reason for the decrease in the earnings
from operations relative to the prior year is lower revenues and the impairment
recognised in 2022 of $360.3 million which is $112.6 million higher than the
impairment recognised in 2021, discussed below. Other signicant expenses which
had an impact on earnings from operations include:
• Corporate costs decreased to $47.7million in 2022 compared to $62.5million in
2021due primarily to the non-recurring expenses related to the LSE listing incurred
in 2021 amounting to $12.6million.
• Other expenses for the year include $19.6 million related to the impairment of
various receivables, a provision for certain legal claims of $13.7 million, and costs
related to the write-off of certain consumables and equipment as a result of the
disturbance at Houndé in May 2022. In 2021, other expenses included $29.5
million in acquisition and restructuring costs, primarily as a result of the Teranga
acquisition in February 2021, compared to $7.8 million in 2022.
• Exploration costs for the year was $82.3 million of which $48.4 million was
capitalised as non-sustaining exploration costs, and the remaining $33.9 million
was expensed. During the year, exploration activities were mainly focused on
expanding resources at existing operations and delineating new greeneld
opportunities, with signicant success achieved at the greeneld Tanda-Iguela
property in Côte d'Ivoire, where a maiden resource was dened in the last three
months of 2022.
Impairment
During the fourth quarter of 2022, the Group performed a review for indicators
of impairment at each of the cash generating units (“CGUs”) and evaluated key
assumptions such as signicant revisions to the mine plan including current estimates
of recoverable mineral reserves and resources, recent operating results, and future
expected production based on the reserves and resources. In addition, those CGUs to
which goodwill has been allocated are tested at least annually for impairment (Mana
and Sabodala-Massawa). As a result, the Sabodala-Massawa, Mana, Boungou and
Wahgnion CGUs were tested for impairment at 31 December 2022. There were no
indicators of impairment identied at the Group's other mine site CGUs in the year.
The projected cash ows used in impairment testing are signicantly affected by changes in assumptions for gold prices,
changes in the amount of recoverable reserves, resources, and exploration potential expected to be converted into
reserves, production costs estimates, and discount rates. The Group’s impairment testing incorporated the following key
assumptions:
Assumption Boungou Mana
Sabodala-
Massawa Wahgnion
Gold price - 2023 $1,741 $1,741 $1,741 $1,741
Gold price - 2024 $1,739 $1,739 $1,739 $1,739
Gold price - 2025 $1,734 $1,734 $1,734 $1,734
Long-term gold price $1,641 $1,641 $1,641 $1,641
Mine life 9 years 11 years 17 years 10 years
Life of mine production (koz) 981 2,075 5,509 1,486
Discount rate 9.8% 8.5% 6.3% 9.0%
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 53
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
FINANCIAL REVIEW CONTINUED
Following our assessment, the Mana and Sabodala-Massawa CGUs, the two CGUs to which goodwill is allocated, were not
impaired. However, the Group recognised an impairment expense of $360.3 million in the year ended 31 December 2022
with respect to the Wahgnion and Boungou mines based on the discounted future cash ows for those mines (compared
to an impairment of $247.7 million related to Boungou in the prior year).
In the year ended 31 December 2022, the Boungou mine continued to experience lower than expected grades and higher
operating costs, due primarily to security and logistics costs. In developing a revised life of mine plan, management
reected the current estimates of recoverable mineral reserves and resources, including exploration potential, the
increase in strip ratio over the life of the mine and the increased operating costs of the mine, and based on the expected
discounted future cash ows, recognised an impairment charge of $163.3 million related to the mining interests in the
year ended 31 December 2022. The Boungou mine had been impaired by $247.7 million in the prior year.
The Wahgnion mine, acquired in 2021, experienced higher operating costs and lower than expected grades relative to
expectations during the year ended 31 December 2022. In developing a revised life of mine plan, management reected
the current estimates of recoverable reserves and resources, including exploration potential, as well as the increased
operating costs of the mine, and based on the expected discounted future cash ows, recognised an impairment of
$197.0 million related to the mining interests in the year ended 31 December 2022.
(Loss)/gain on nancial instruments
In 2022, the loss on nancial instruments was $22.3 million compared to a gain in 2021 of $28.0million. The loss in
the current year is primarily the result of a loss of $45.7million on foreign exchange due to the weakening of the Euro
relative to the US dollar, and an unrealised loss of $23.8million on the outstanding gold collar and forward contracts at
31 December 2022, offset by the realised gain of $19.8million on the gold collar and forward contracts settled during
the year, and the unrealised gain of $30.3 million on the conversion option on the Convertible Notes, which were repaid in
February 2023.
Taxes
Current income tax expense was $273.3million in 2022 compared to $195.1million in 2021, with the increase being
attributable to an increase in tax expense at Sabodala-Massawa of $50.6 million as the Massawa tax holiday expired
from 1 January 2022. In addition, current income taxes related to the withholding tax expense increased by approximately
$23.7 million in 2022 as the Group’s operating subsidiaries declared higher dividends in 2022 compared to the prior
year. The payment of dividends to the corporate parent requires withholding taxes to be paid to host governments
calculated at a rate of 6.25% in Burkina Faso, 10% in Senegal and 15% in Côte d’Ivoire. The dividends declared to
minority shareholders were $63.9 million in 2022 compared to $29.9 million in the prior year.
Deferred taxes reect a recovery of $97.7 million in 2022 compared to a recovery of $51.8 million in 2021. The increase
in the recovery is related primarily to the deferred tax impact of the impairments recognised on Wahgnion and Boungou in
the year.
Net comprehensive (loss)/earnings from continuing operations
The Group had a net comprehensive loss for the year of $31.0million compared to earnings of $304.6million in 2021.
The decrease is a result of decreased revenues generated compared to 2021, an increase of $112.6 million in the
impairment charge, an increase of $50.3 million in the loss on nancial instruments and a $32.3million increase in the
tax expense.
Cash ows
$m
2022 2021 Change
Operating cash ows before changes in working capital 1,108.7 1,132.7 (2)%
Changes in working capital (91.6) (0.5) >100%
Cash generated from discontinued operations 4.9 24.1 (80)%
Cash generated from operating activities 1,022.0 1,156.3 (12)%
Cash used in investing activities (521.4) (511.7) 2%
Cash used in nancing activities (385.0) (421.3) (9)%
Effect of exchange rate changes on cash and cash equivalents (70.7) (31.8) 122%
Increase in cash 44.9 191.5 (77)%
ENDEAVOUR MINING PLC ANNUAL REPORT 202254
0
10
20
30
40
50
60
70
80
Taxes paid, $m
2022 (Total $189.1m) 2021 (Total $225.7m)
Boungou
Houndé
Ity
Mana
Sabodala-Massawa Wahgnion Other
1
0
20
40
60
80
100
120
140
160
Sabodala-Massawa
Expenditures on mining interests included in the cash ow statement, $m
2022 (Total $518.3m) 2021 (Total $517.1m)
Ity Houndé Mana
Boungou
Wahgnion
Other
1
1. Other includes capital expenditure incurred at the Corporate, Exploration, Kalana and Projects segment.
Cash generated from operating activities decreased by $134.3 million in 2022 compared to the prior year. The operating
cash ows before changes in working capital include the earnings before income taxes adjusted for non-cash items
included in earnings, which, when considered together, decreased by $93.2 million compared to the prior year, due
primarily to the lower revenues and higher operating expenses discussed above. Other signicant items impacting
operating cash ows include the additional cash received in 2022 on settlement of nancial instruments, which as $16.4
million higher than the prior year, while the cash paid on the settlement of DSUs and PSUs decreased by $16.3 million
in 2022. Income taxes paid decreased this year, which is discussed in more detail below. Working capital had a negative
impact on operating cash ows by $91.6 million in 2022 compared to a negligible change in the prior year. The signicant
items contributing to the negative working capital change in 2022 was a $57.5 million increase in inventory due to higher
stockpiles, primarily at Sabodala-Massawa, as well as increased consumables across all sites. Finally, the current year
included operating cash ows from discontinued operations of $4.9 million which was lower than the prior year amount of
$24.1 million as the current year includes only those operating cash ows from Karma which was sold in March 2022.
During the year, the Group paid $189.2 million in income taxes which included withholding tax payments of $44.5
million. This represents a decrease from the $225.7 million income taxes paid in the prior year, due to the lower pre-
taxable income generated at Group level, in particular lower taxes paid at Boungou, which is partially offset by the higher
withholding taxes paid.
Cash ows used by investing activities were $521.4 million in 2022 compared to outows of$511.7 million in 2021,
mainly consisting of expenditures on mining interests of $518.3million which is in line with $517.1 million in the prior
year.
Cash ows used in nancing activities amounted to $385.0 million in 2022 compared to $421.3 million in 2021. The
outows in 2022 consisted of payments associated with the Group’s shareholder returns programme, including dividends
paid of $166.6 million and share buybacks of $98.7 million, payments of minority dividends of $57.2million and payment
of nancing and other fees of $46.6 million related primarily to interest on Senior Notes and Convertible Notes as well as
other bank charges and commitment fees.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 55
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
FINANCIAL REVIEW CONTINUED
Summarised balance sheet
$m
As at
31 December
2022
As at
31 December
2021 Change
Assets
Cash and cash equivalents 951.1 906.2 5%
Other current assets 495.3 459.8 8%
Total current assets 1,446.4 1,366.0 6%
Mining interests 4,517.0 4,980.2 (9)%
Other long term assets 451.3 424.7 6%
Total assets 6,414.7 6,770.9 (5)%
Liabilities
Other current liabilities 461.9 3 97. 8 16%
Current portion long-term debt 336.6 — 100%
Income taxes payable 247.1 169.3 46%
Total current liabilities 1,045.6 567.1 84%
Long-term debt 488.1 841.9 (42)%
Environmental rehabilitation provision 165.0 162.9 1%
Other long-term liabilities 54.1 141.0 (62)%
Deferred income taxes 574.6 672.3 (15)%
Total liabilities 2,327.4 2,385.2 (2)%
Total equity 4,087.3 4,385.7 (7)%
Total equity and liabilities 6,414.7 6,770.9 (5)%
At 31 December 2022, Endeavour held $951.1 million in cash and cash equivalents, a 5% increase compared to the prior
year. The Group’s net cash increased to $121.1million as at 31 December 2022 compared to net cash of $76.2million
as at 31 December 2021, reecting the Company’s strong operating performance. The balance sheet is in a robust
position with a net cash/adjusted EBITDA ratio of 0.09.
NET CASH POSITION AT 31 DECEMBER 2022, $
m TotalIncrease Decrease
Net cash at
31 December
2021
1. Income taxes paid of $189.2 million included tax payments of $141.2 million and $48.0 million in withholding taxes paid. Cash outows on cash upstreaming includes the
cash paid for withholding taxes and the minority dividends of $57.2 million.
2. Growth capex includes cash expenditures on the BIOX® plant, Lagué and Kalana in the year, which is included in the expenditures on mining interests in the statement of
cash ows
3. Expenditures on mining interests for the year were $518.3 million, of which $333.0 million related to sustaining and non-sustaining capital expenditures, and $185.0 million
related to growth capex projects.
4. Other investing and nancing activities include all investing and nancing activities per the statement of cash ows except for expenditures on mining interests, and cash
outows on dividends, minority dividends and share buybacks.
Operating
cash ows
before income
taxes paid
Income taxes
payments
1
Sustaining
and non-
sustaining capital
expenditures
3
Other
investing and
nancing
activities
4
Net cash
before other
items
Growth capex
2
Cash outows
on cash
upstreaming
1
Dividends
and share
buybacks
Impact of
foreign
exchange on
cash and cash
equivalents
Net cash
position
31 Dec 2022
76.2
1,211.2 (141.2)
(333.3)
(65.6)
747.3 (185.0)
3
(105.2)
(265.3)
(70.7)
121.1
ENDEAVOUR MINING PLC ANNUAL REPORT 202256
Current assets are relatively consistent with the prior year, reecting the stability of the Company’s balance sheet in
the last twelve months after the signicant acquisitions of Teranga and SEMAFO in 2021 and 2020. The slight increase
relative to the prior year reects changes at the various mine sites in the year, in particular an increase in stockpiles
at Sabodala-Massawa as the mine stockpiled certain refractory ore until the completion of the BIOX® plant to process
the material.
Mining interests decreased to $4,517.0 million as a result of an impairment charge of $360.3 million recognised on
the Wahgnion and Boungou mines, and the disposal of the Karma mine in the rst quarter of 2022. Additions to mining
interests were $546.2 million for the year, representing an increase of 4% over the prior year due primarily to increased
expenditure on the BIOX® and Lagué growth projects and non-sustaining capital costs at Houndé and Ity which was partly
offset by lower non-sustaining exploration capital expenditures.
The Group’s liabilities were relatively consistent at the end of 2022 relative to the prior year, reecting a slight decrease
due to the deferred tax recovery and the settlement of share warrant liabilities during the year. Current liabilities increased
at 31 December 2022 due to the classication of both the Convertible Notes and the Barrick contingent consideration as
current as both were repaid in the rst quarter of 2023. On 15 February 2023, the Company repaid the principal amount
outstanding under the Convertible Notes of $330.0 million in cash and issued and issued a further 835,254 in shares to
holders of the Convertible Notes to settle the share price premium to the strike price.
Reconciliations of alternative performance measures
This Annual Report as well as the Company’s other disclosures contain multiple non-GAAP measures, which the Company
believes that, in addition to conventional measures prepared in accordance with GAAP, certain investors use to assess the
performance of the Company. These do not have a standard meaning and are intended to provide additional information
which are not necessarily comparable with similar measures used by other companies and should not be considered
in isolation or as a substitute for measures of performance prepared in accordance with GAAP. The denitions of these
measures, and the reconciliation to the amounts presented in the consolidated nancial statements, and the reasons for
these measures are included below. The non-GAAP measures are consistent with those presented previously and there
have been no changes to the bases of calculation, except as otherwise disclosed below.
Additions to mining interests, $m
9%
23%
23%
Sustaining Capital
Non-sustaining capital expenditures
Non-sustaining exploration
Growth projects
SHOW %S, NOT AMOUNTS
2022
45%
15%
12%
32%
2021
41%
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 57
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
FINANCIAL REVIEW CONTINUED
Realised gold price by mine
The Company believes that, in addition to conventional measures prepared in accordance with GAAP, certain investors
use the realised gold price taking into account the impact of the Company’s revenue protection programme, whereby the
Group has entered into gold forward contracts and gold collars to protect against volatility of the gold price, particularly
in a period of signicant capital investment. For accounting purposes, the Company does not account for these contracts
as hedges, but includes them in the gain/(loss) on nancial instruments for the period. Management believes that
reecting the impact of the revenue protection programmes on the Group’s realised gold price is a relevant measure as
the programme is determined based on estimated production and sales, and increases the consistency of this calculation
with our peer companies.
In addition to the above, in calculating the realised gold price, management has adjusted the revenues as disclosed in
the consolidated nancial statement to exclude by product revenue, relating to silver revenue, and has reected the by
product revenue as a credit to operating expenses in the determination of AISC for the periods presented. The revenues
as disclosed in the consolidated nancial statements have been reconciled to the gold revenue for all periods presented
below.
31 December 2022 31 December 2021
$m Revenue
By product
revenue Gold revenue Revenue
By product
revenue Gold revenue
Sabodala-Massawa
618.9 0.6 618.3
642.7 0.8 641.9
Ity 563.6
7.5 556.1
506.8 7. 2 499.6
Houndé 533.5
0.6 532.9
523.1 0.8 522.3
Mana 353.0
0.7 352.3
379.0 0.8 378.2
Wahgnion 226.8
1.1 225.7
285.3 1.2 284.1
Boungou 212.3 0.3 212.0 305.2 0.4 304.8
Total 2,508.1 10.8 2,497. 3 2,642.1 11.2 2,630.9
Cash costs and all in sustaining costs
The Company reports cash costs and AISC per ounce sold. The Group believes that, in addition to conventional measures
prepared in accordance with GAAP, these nonGAAP measures provide investors with transparency regarding the cost
of producing an ounce of gold in each period, and the AISC including those capital expenditures that are required for
sustaining the operation of the mines. By product revenues are included as a credit to operating expenses, and included
in non-cash and other adjustments below. For the purposes of the Group AISC, the corporate costs is included to provide
a Group-wide AISC per ounce sold. The following is a reconciliation of the Group AISC for 2022 and 2021, while the
Operational Review on pages 38 to 49 discusses the AISC on a mine-by-mine basis.
$m unless otherwise stated 2022 2021
Operating expenses from mine operations
(979.5)
(982.5)
Royalties (152.9) (162.3)
Non-cash and other adjustments
1
13.9 84.0
Cash costs from continuing operations
(1,118.5)
(1,060.8)
Corporate costs (47.7) (49.9)
Sustaining capital (1 27. 3) (166.5)
All-in sustaining costs from continuing operations
(1,293.5)
(1,277.2)
Gold ounces sold from continuing operations 1,393,284 1,478,291
Total cash costs per ounce of gold sold 803 718
Total AISC per ounce of gold sold 928 864
1. Non-cash and other adjustments relate primarily to non-cash fair value adjustments to inventory associated with the purchase price allocation of SEMAFO
and Teranga, net realisable value adjustments and adjustment for revenue from silver sales.
ENDEAVOUR MINING PLC ANNUAL REPORT 202258
AISC by mine
$m unless otherwise stated
Sabodala-
Massawa Ity Houndé Mana Wahgnion Boungou Other Total
2022
Operating expenses 171.6 214.2 170.5 162.9 154.1 105.6 0.6 979.5
Royalties 34.7 31.1 37.5 21.2 15.7 12.7 — 152.9
Non-cash operating
expenses
(4.0) (7. 5) (0.6) (0.7) (0.8) (0.3) — (13.9)
Cash costs 202.3 237. 8 207.4 183.4 169.0 118.0 0.6 1,118.5
Corporate costs — — — — — — 47.7 47.7
Sustaining capital 40.0 13.4 32.0 9.9 23.2 6.6 2.2 127.3
All-in sustaining costs 242.3 251.2 239.4 193.3 192.2 124.6 50.5 1,293.5
Gold sold 350,578 309,371 295,874 194,403 126,006 117,05 2 — 1,393,284
All-in sustaining costs
per ounce sold 691 812 809 994 1,525 1,064 — 928
2021
Operating expenses 210.0 189.0 162.7 180.3 135.5 105.1 — 982.6
Royalties 35.9 27. 5 35.7 25.2 19.5 18.5 — 162.3
Non-cash operating
expenses
(60.5) (7. 2) (0.8) (1.2) (9.5) (4.8) — (84.0)
Cash costs 185.4 209.3 197.6 204.3 145.5 118.8 — 1,060.9
Corporate costs — — — — — — 49.9 49.9
Sustaining capital 50.3 24.0 49.1 12.6 12.3 18.1 — 166.4
All-in sustaining costs 235.7 233.3 246.7 216.9 157.8 136.9 49.9 1,277.2
Gold sold 365,331 279,226 292,579 211,424 158,795 170,936 — 1,478,291
All-in sustaining costs
per ounce sold 645 836 843 1,026 994 801 — 864
EBITDA and adjusted EBITDA
The Group believes that, in addition to conventional measures prepared in accordance with GAAP, certain investors use
EBITDA and Adjusted EBITDA to evaluate the Group’s performance and ability to generate cash ows and service debt.
The following tables provide the illustration of the calculation of this margin, for the year ended 31 December 2022 and
31 December 2021.
$m 2022 2021
Earnings before taxes
144.6
4 47. 9
Add back: Depreciation and depletion 616.0 599.8
Add back: Finance costs, net 66.2 65.7
EBITDA from continuing operations 826.8 1,113.4
Add back: Impairment charge of mineral interests
360.3
247.7
Add back: Other expense 51.9 45.6
Add back: Non-cash and other adjustments
1
3.1 84.0
Add back: Net loss/(gain) on nancial instruments
2
42.1 (26.5)
Adjusted EBITDA from continuing operations 1,284.2 1,464.2
1. Non-cash and other adjustments relate primarily to non-cash fair value adjustments to inventory associated with the purchase price allocation of SEMAFO
and Teranga, and net realisable value adjustments. Non-cash and other adjustment have been included in the adjusted EBITDA as they are non-recurring
items which are not reective of the Company’s on-going operations, as well as to be consistent with calculation of adjusted earnings.
2. Net loss/(gain) on nancial instruments is the loss/(gain) on nancial instruments excluding the realised (gain)/loss on forward contracts and gold
collars.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 59
STRATEGIC
REPORTOVERVIEW
Net earnings and adjusted net earnings
Net earnings have been adjusted for items considered exceptional or unusual in nature and not related to Endeavour’s
core operation of mining assets or reective of current operations. The presentation of adjusted net earnings may assist
investors and analysts to understand the underlying operating performance of our core mining business. However,
adjusted net earnings and adjusted net earnings per share do not have a standard meaning under IFRS. They should not
be considered in isolation, or as a substitute for measures of performance prepared in accordance with IFRS and are not
necessarily indicative of earnings from mine operations, earnings, or cash ow from operations as determined under IFRS.
The following table reconciles these nonGAAP measures to the most directly comparable IFRS measure.
$m unless otherwise stated 2022 2021
Total net and comprehensive (loss)/earnings
(21.9)
275.8
Net (earnings)/loss from discontinued operations (9.1) 28.8
Net loss/(gain) on nancial instruments
1
42.1 (26.5)
Other expenses 51.9 45.6
Non-cash, tax and other adjustments
2
28.1 118.0
Impairment charge on mineral interests 360.3 247.7
Adjusted net earnings 451.4 689.4
Attributable to non-controlling interests
3
93.5 107.7
Attributable to shareholders of the Company 357.9 581.7
Weighted average number of shares issued and outstanding 247.8 240.1
Adjusted net earnings from continuing operations per basic share
4
1.44 2.42
1. Net loss/ (gain) on nancial instruments excludes the realised gain/loss on forward contracts and gold collars.
2. Non-cash, tax and other adjustments mainly relate to the impact of the foreign exchange remeasurement of deferred tax balances, non-cash fair value
adjustments to inventory associated with the purchase price allocation of SEMAFO and Teranga, and the listing fees associated with listing on the LSE.
3. Adjusted net earnings attributable to non-controlling interests is equal to net earnings from continuing operations attributable to non-controlling interests
adjusted, which on average is approximately 13% (2021: 11%) for the Company’s operating mines.
4. The prior year adjusted net earnings has been restated to be consistent with the current year calculation. The following changes have been made to
the prior year adjusted net earnings calculation: reclassication of Karma’s earnings to discontinued operations, inclusion in adjusted earnings of
the realised gains/ losses on forward contracts and gold collars, exclusion from adjusted earnings of the impact of foreign exchange rate differences
on deferred taxes, and impact of non-controlling interest on the above, as well as impairment. The impact of these changes was to change adjusted
earnings per share from $2.40 per share to $2.42 per share.
Net cash and net cash/adjusted EBITDA
The Group is reporting Net cash and net cash/adjusted EBITDA for the trailing twelve months (“LTM”) ratio. This non
GAAP measure provides investors with transparency regarding the liquidity position of the Group. It is intended to provide
additional information and should not be considered in isolation or as a substitute for measures of performance prepared
in accordance with GAAP. The following table explains the calculation of net cash/adjusted EBITDA LTM ratio using the last
twelve months of Adjusted EBITDA.
$m unless otherwise stated
31 December
2022
31 December
2021
Cash and cash equivalents
951.1
906.2
Less: Principal amount of Senior Notes (500.0) (500.0)
Less: Principal amount of Convertible Notes (330.0) (330.0)
Net cash 121.1 76.2
Net cash/adjusted EBITDA LTM ratio
1
0.09 0.05
1. Trailing twelve month adjusted EBITDA is calculated using adjusted EBITDA as reported in prior periods for each quarter prior to the fourth quarter of
2022 adjusted to exclude results of discontinued operations and for the effects of retrospective PPA adjustments.
STRATEGIC REPORT
FINANCIAL REVIEW CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 202260
Operating cash ow and operating cash ow per share
$m unless otherwise stated
31 December
2022
31 December
2021
Operating cash ow
Cash generated from operating activities by continuing operations 1,017.1 1,132.2
Changes in working capital from continuing operations 91.6 0.5
Operating cash ows before working capital from continuing operations 1,108.7 1,132.7
Divided by weighted average number of outstanding shares, in millions 247.8 240.1
Operating cash ow per share from continuing operations 4.10 4.72
Operating cash ow per share before working capital from continuing operations 4.47 4.72
Return on capital employed
The Company uses Return on Capital Employed (“ROCE”) as a measure of long-term operating performance to
measure how effectively management utilises the capital it has been provided. The calculation of ROCE, expressed as
a percentage, is adjusted EBIT (based on adjusted EBITDA calculated above adjusted to include adjusted EBITDA from
discontinued operations) divided by the average of the opening and closing capital employed for the twelve months
preceding the period end. Capital employed is calculated as total equity of the Group adjusted by net (cash)/debt
as determined above. Previously, management determined capital employed as total assets less current liabilities.
Management believes that including long-term liabilities and determining capital employed based on total equity is more
reective of the long-term management of capital of the Group and is also more consistent with the similar calculation of
our peer companies. The calculation has been restated for all periods presented.
The decrease in ROCE for the trailing twelve months (“LTM”) to 31 December 2022 reects the lower Adjusted EBIT in
2022 compared to 2021 due to lower revenues and increased operating costs, as discussed above, while average capital
employed increased compared to the prior year due to the inclusion of Teranga for a full twelve month period.
$m unless otherwise stated
31 December
2022
31 December
2021
Adjusted EBITDA
1
1,286.2
1,515.8
Depreciation and amortisation (620.8) (648.7)
Adjusted EBIT (A) 665.4 867.1
Opening capital employed (B) 4,309.5 2,174. 2
Total equity 4,087.3 4,385.7
Net cash (121.1) (76.2)
Closing capital employed (C) 3,966.2 4,309.5
Average capital employed (D)=(B+C)/2 4,137.9 3,241.9
ROCE (A)/(D) 16% 26%
1. Adjusted EBITDA has been calculated to include the adjusted EBITDA from discontinued operations.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 61
STRATEGIC
REPORTOVERVIEW
OUR APPROACH
Endeavour recognises that risk is inherent
to our business, and our risk management
process aims to identify, mitigate and
monitor our risks, while enabling us to
deliver our strategic objectives and create
value for all our stakeholders.
STRATEGIC REPORT
RISK MANAGEMENT AND PRINCIPAL RISKS
SUSTAINABLE
RISK
MANAGEMENT
62 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
1.
2.
3.
4.
5.
6.
E
S
T
A
B
L
I
S
H
C
O
N
T
E
X
T
A
N
D
O
B
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E
C
T
I
V
E
S
I
D
E
N
T
I
F
Y
A
N
A
L
Y
S
E
E
V
A
L
U
A
T
E
R
E
S
P
O
N
D
M
O
N
I
T
O
R
&
R
E
P
O
R
T
Establish context and objectives - We dene the external,
internal and risk management context in which the rest of the
process will take place, establishing timelines and criteria for
analysing, evaluating, treating and reporting key risks in line with
our risk appetite and risk tolerance thresholds.
Monitor and report risks - Ongoing review and validation of (i) the
risk thresholds against the business objectives (and any change
to the risk appetite), (ii) changes in the risk exposure, and (iii) the
effectiveness and appropriateness of the controls to treat risks.
Evaluate risks - Using the results
from our analysis, in conjunction with
available data, we make evidence-based
decisions and initiate evaluation, prioritisation
and allocation of resources.
Identify risks - Risk events, along
with primary causes, that have the
potential to inuence our ability to
achieve our strategic objectives
are identied. This preliminary list
is subject to further qualication
and renement as part of the
Analyse step.
Analyse risks - We estimate the potential
magnitude of each risk event applying
our criteria for understanding the likelihood,
consequence and velocity of the relevant risk
and plotting it on the heat map. Risks above the
dened criticality threshold will be deemed principal risks
and will be reported to the Board. Risks below a dened criticality
threshold may continue to be monitored and managed within the
business but are not considered a principal risk.
Respond to risks - Risk owners are
assigned to proactively manage
all principal risks. This requires
applying a combination of risk
treatment options to change the
risk exposure and bring it within
the risk tolerance.
Risk management process
Our corporate risk management (“CRM”) process
for understanding and managing corporate risks in a
systematic way allows us to make informed decisions
and respond to risks and opportunities as they arise,
while taking into consideration our appetite for risk.
Our six-step process is described in more detail below.
Risk governance framework – roles and
responsibilities
We are committed to understanding emerging and principal
risks and managing them with effective controls in a
consistent manner across the Group. The Board oversees
Risk management helps drive our strategy, inform
our decision making and improve our performance
by identifying and managing risks, while taking into
account our appetite for risk, and promotes good
corporate governance through dened accountabilities
and transparency in relation to identied risks.
the Group’s risk management process, assesses and
approves our overall risk appetite, and monitors our risk
exposure and response to our principal risks. They are
supported by the Audit Committee who monitors the risk
management process as well as the Group’s internal
controls. As part of the risk management process, the
Company’s executives, which includes senior management
as well as functional and operational managers, regularly
engage in an evaluation of the risks facing the organisation,
and the appropriate controls which mitigate these risks.
The Internal Audit (“IA”) function regularly follows up on the
continuance of our risk management programme to inform
their risk assessment and IA plan.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 63
STRATEGIC
REPORTOVERVIEW
THIRD LINE OF ACCOUNTABILITY
Internal Audit Board of Directors
and Audit Committee
• Provide assurance on risk
management controls
• Evaluate adequacy and
effectiveness of CRM
• Develop risk-based internal
audit plans
• Understand how the Company
manages and monitors
principal risks
• Conrm strategies are within
the risk appetite and tolerance
• Audit Committee conducts
risk deep dives
• Review semi-annual CRM
Board Report
• Provide guidance and
expectations for reporting
SECOND LINE OF ACCOUNTABILITY
CRM team CRM committee Executive Committee
• Determine risk tolerance
criteria & risk matrix with ExCo
• Ensure CRM programme
is reviewed
• Maintain and document
principal risks in risk register
• Support risk owners in all
their functions
• Identify risk owners
• Review risk register, risk
threshold & risk treatment
plans
• Facilitate semi-annual principal
risk assessment
• Approve CRM standard
• Produce management and
Board reporting with Exco and
CRM team
• Dene risk tolerances and
support CRM committee to
approve risk tolerance criteria
and risk matrix
• Review emerging and principal
risks, participate in annual risk
assessment and review risk
register
• Review and adjust materials
(including CRM Board Report)
before communicating to Board
FIRST LINE OF ACCOUNTABILITY
Business units Risk owners
• Takes and manages risks
for business activities
• Executes risk management
activities
• Escalates & reports risks
• Performs risk assessments
• Implements, monitors and
reports the effectiveness of risk
treatment plans and controls
in the internal and external
environment
• Escalates & reports risks
TOP - DOWN
Oversight,
identication,
assessment and
mitigation of risk
at a Group level
BOTTOM - UP
Oversight,
identication,
assessment and
mitigation of risk
at a business
unit and risk
owner level
STRATEGIC REPORT
RISK MANAGEMENT AND PRINCIPAL RISKS CONTINUED
Emerging risks
In addition to refreshing our principal risks, this year we
conducted an exercise to support the identication of our
emerging risks. We dene emerging risks as risks in a new
or unfamiliar context, familiar risks that cannot yet be fully
assessed, or risks that are known to some degree but are
not likely to materialise for several years, all of which may
have signicant implications on our business model and
our ability to achieve our strategic goals. Due to the high
degree of ambiguity and uncertainty related to emerging
risks, their underlying indicators require ongoing monitoring
should they signal an escalation or change in the risk
over time.
Principal risks and uncertainties risk criteria
The Group’s risk matrix is regularly reviewed and monitored
by our Risk Management Committee, as well as the
Audit Committee. We dene a principal risk as a risk
or combination of risks that could seriously affect the
performance, future prospects or reputation of Endeavour.
These include those risks which would threaten the
business model, future performance, solvency or liquidity
of the Group. Each risk is evaluated based on the potential
likelihood of occurrence, and the potential consequence.
The Group analyses risks holistically, seeking to understand
the potential consequences of a risk event across a range
of potential outcomes such as legal implications and
nancial costs.
ENDEAVOUR MINING PLC ANNUAL REPORT 202264
Likelihood of Risk
Impact of Risk
1
1
2
3
4
5
2 3 4 5
1
2
3
4
5
6
7
8
9
10
11
Market sentiment regarding artisanal and small-
scale gold mining
Artisanal and Small-Scale Gold Mining (“ASGM”) refers
to artisanal and small scale mining activities conducted
in the locality of our operations, by individuals who are
not afliated with Endeavour. These miners operate
using their own resources, and typically employ intensive,
manual methods. Traditionally, ASGM has been a source of
subsistence income for local communities, but health and
safety practices, and the environmental impacts of ASGM
remain uncontrolled. As a business, we may be impacted
by the operational or environmental effects of ASGM, for
example, the depletion of our reserves or restricted access
to our operational sites.
Despite Endeavour sourcing all gold from its own mines,
there is an underlying risk that gold extracted by ASGM
enters our operations, and Endeavour may be impacted
by the environmental and societal challenges that ASGM
presents at or near its operations, as well as the regulatory
consequences.
Alignment to environmental targets within our
growth strategy
Endeavour continues to monitor its environmental impact,
ensuring we continually work towards the objectives listed
within our ESG strategy, to deliver wider societal benets.
We operate in areas where signicant focus remains on
the management and preservation of natural capital (e.g.
water), as well as our broader environmental impact. This
may require the development of additional considerations
when executing our growth strategy, particularly with
regards to the requirement for additional assessment and
scrutiny around our mergers and acquisitions (“M&A”)
activity.
Without the active management of the environmental
impacts of our operations, the reputation of the Group
may be impacted, with potential further impacts to our
stakeholder relations and Endeavour’s social licence to
operate.
Increasing regulatory complexity
Beyond our wider, industry-set regulatory and compliance
obligations, we must continue to be cognisant of changing
regulations and government rules within the jurisdictions
we operate within. Certain legislation may change rapidly
and unexpectedly, and we must continue to ensure that we
maintain the necessary internal processes to adapt to, or
react to, changing regulations.
Risk appetite
We continue to monitor our exposure to risk, with
consideration to the related upside opportunities. In order
to ensure we manage risk appropriately, we have dened
our risk appetite levels across each of our Principal Risks.
Where risks are deemed to exceed our appetite, supporting
mitigation plans have been developed.
OUR EMERGING RISKS
ERM RESIDUAL RISK HEAT MAP
To help visualise our principal risks,
we have plotted them on the heat
map below. The individual risks are
described in more detail on the
following pages.
PRINCIPAL RISKS
1 Security Risk
2 Geopolitical Risk
3 Community Relations Risk
4 Macroeconomic Risk
5 Environmental Risk
6 Concentration Risk
7 Supply Chain Risk
8 Operational Performance Risk
9 Succession Planning & Talent Risk
10 Regulatory & Compliance Risk
11 Capital Projects Risk
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 65
STRATEGIC
REPORTOVERVIEW
2022 Principal Risks
During the current nancial year, Endeavour has undertaken an exercise to review and refresh its Principal Risks, ensuring
these are reective of our current operating environment, industry trends and wider macroeconomic factors. These risks
have been assessed as per our established risk assessment criteria and are subject to ongoing review by our Executive
Committee, Audit Committee and Board.
2 – Geopolitical Risk
RISK LEVEL
High
TREND
No change
APPETITE
Low
STRATEGIC LINK
Create a resilient
business
DESCRIPTION & IMPACT
The geopolitical environments in our operating locations remain complex and require ongoing
monitoring.
Endeavour operates in countries in West Africa with developing, complex or unstable political and/
or social climates. In Burkina Faso, there were two separate coups of the national government
during the year. Though they did not signicantly impact on our operations, it underscores the
unstable political climate in the countries where we operate. As a result, the political, economic, and
regulatory environments we face can be unstable and require intensive, ongoing management.
The risk is that the unstable geopolitical environments introduce uncertainty to the political,
economic, taxation and regulatory environments we operate in, which may challenge our ability to
develop in line with our strategic objectives. Failure to actively monitor and manage changes in
our geopolitical environment may impact our ability to explore, operate and develop, impacting the
longer-term viability of our business.
MITIGATIONS
• Ongoing liaison with local and national government authorities, in conjunction with our external
counsel to maintain our regulatory framework.
• Through active engagement strategy with the governments, regulators, and other stakeholders
within the countries in which we operate, we strive to secure and maintain our permits and
licences to operate.
• Active participation in the National Chambers of Mines to ensure we remain abreast of regulatory
and tax changes. This is supported by weekly engagement with in-country management, including
Tax and Legal teams, by the EVP of Public Affairs & Security.
• The Group has established a Regional Crisis Management Organisation and supporting
Emergency Procedures which are subject to continuous communication to employees.
• Active presence in the countries where we operate promotes socioeconomic development.
STRATEGIC REPORT
RISK MANAGEMENT AND PRINCIPAL RISKS CONTINUED
1 – Security Risk
RISK LEVEL
High
TREND
No change
APPETITE
Low
STRATEGIC LINK
Maintain a
high-quality
portfolio, Be a
trusted partner
DESCRIPTION & IMPACT
Our operating jurisdictions expose Endeavour to signicant security threats.
Due to the jurisdictions within which we operate, there is an underlying risk of terrorism, kidnapping,
extortion, and harm to our people.
If a security event were to materialise, we may experience theft of assets, loss of access to sites,
the inability to operate, the inability to transport required supplies to mine sites, inability to recruit
staff and/or perform exploration activities. In addition to the operational disruption caused, such
events may impact the underlying value of our assets.
MITIGATIONS
• Ongoing review of our security risks, to allow us to implement safeguards when required, to help
mitigate terrorist threats.
• Communication of our security arrangements with local governments, simultaneously cooperating
with national government requirements.
• Air strips are present at all of our mine sites.
• Use of private security contractors to provide security services at our mine sites.
• All security contractors are trained to ensure they respect human rights.
ENDEAVOUR MINING PLC ANNUAL REPORT 202266
3 – Community Relations Risk
RISK LEVEL
High
TREND
Increase
APPETITE
Low
STRATEGIC LINK
Be a trusted
partner
DESCRIPTION & IMPACT
Through our operating activities, we have the potential to deliver signicant and positive
contributions to the local communities in the jurisdictions within which we operate. However, it
remains critical that we continue to monitor and manage our impact to ensure we protect our
reputation.
An external perception that Endeavour is not generating sustainable benets for local communities
or may not be acting in accordance with human rights legislation or environmental laws may impact
the organisation’s reputation and affect our stakeholder relations and social licence to operate. In
Burkina Faso, there were incidents with the local communities at two of our mines during the year.
Though these did not signicantly impact our operations, it highlighted the importance of good
relations with the local communities where we operate.
This may further result in adverse community relations, impacting the costs, protability, access
to nance or viability of our operations and the safety and security of our workforce and assets.
Localised events may escalate to disputes with local, regional and/or national governments and
other external stakeholders, resulting in damage to our reputation and the real value of our assets.
MITIGATIONS
• Implementation of a Group Stakeholder Engagement procedure, that outlines our objectives,
principles, and requirements to engage with local stakeholders.
• Management of a Whistleblowing process to allow for anonymous reporting of violations of our
values, Code of Conduct and potential human rights abuses.
• Ongoing development of local, long-term partnerships with our host countries, to support the
development of local communities. This is facilitated through the creation of direct employment
opportunities, and procurement of goods and services to local businesses, as well as wider
community investment.
• We act in line with United Nations Guiding Principles.
• Implementation of the Voluntary Principles on Security and Human Rights (“VPSHR”) in the
regions where we operate.
• Emphasis on the use of local suppliers within the areas we operate, as part of our procurement
strategy.
4 – Macroeconomic Risk
RISK LEVEL
High
TREND
New
APPETITE
Medium
STRATEGIC LINK
Reward
shareholders
DESCRIPTION & IMPACT
Due to the nature of our operations, Endeavour is exposed to the volatility of gold prices, as well as
for our production inputs, such as oil.
Recent global events have increased volatility in nancial markets, impacting not only commodities
but also interest rates and foreign exchange rates.
A rise in interest rates may impact our cost of capital for existing and future development projects
whilst foreign exchange rate uctuations may affect our input costs and revenue.
With consideration to all of these macroeconomic factors in aggregate, there is an underlying risk to
Endeavour Mining’s ability to continue to generate cash ows.
MITIGATIONS
• Active management of forward contracts and gold collars to mitigate risk of commodity price
downturns.
• Evaluation of foreign denominated cash ows and implementation of foreign exchange contracts
to mitigate exposure to changes in foreign exchange rates.
• Ongoing management of cash balances at each of our entities, to ensure sufcient cash ow is
maintained to support operations.
STRATEGIC REPORT
RISK MANAGEMENT AND PRINCIPAL RISKS CONTINUED
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 67
STRATEGIC
REPORTOVERVIEW
5 – Environmental Risk
RISK LEVEL
High
TREND
Increase
APPETITE
Low
STRATEGIC LINK
Be a trusted
partner
DESCRIPTION & IMPACT
Mining operations carry the inherent risk of environmental damage, illness or injury and disruption
to local communities and ecosystems.
Endeavour is subject to complying with environmental regulations and standards which continue
to evolve (e.g. the Global Industry Standards on Tailings Management and the Transition to a
Low Carbon Economy), as well as our own environmental targets to manage the impacts of our
operations and support efforts to reduce the impacts of climate change. Failure to do so may impact
our ability to operate within the expectations of our external stakeholders (including governments of
our host countries and regulators).
As environmental practices continue to face further scrutiny, there is an underlying risk our mine
sites are impacted through the loss of our operating licences, or increased scrutiny impacting the
Group’s access to capital.
MITIGATIONS
• Establishment of the following Policies and Standards:
– Environmental Policy
– Energy Management Policy
– Tailings Policy
– Group-Level Environmental Standards (“EMS”)
– Biodiversity Policy (and supporting strategy)
– Site-specic Environmental Management Plans (“EMPs”)
• Our policies are supported by a Group-wide monitoring matrix and triggered actions plans for
environmental non-conformance.
• Maintenance and management of Environmental, Legal and Compliance registers.
• Development of a response plan to the Task Force on Nature Related Disclosures (“TNFD”).
• Ongoing review and update of mine closure and rehabilitation plans.
• Emphasis on environmental targets relating to tailings facilities, renewable power, and carbon
emissions through inclusion of targets in management’s short term and long-term incentive plans.
• Improved our understanding of climate related risks and opportunities through the climate change
scenario analysis conducted in 2022, discussed further in our TCFD disclosures on pages 86
to 107.
6 – Concentration Risk
RISK LEVEL
High
TREND
New
APPETITE
Medium
STRATEGIC LINK
Maintain a
high-quality
portfolio
Reward
shareholders
DESCRIPTION & IMPACT
Our operations face an inherent risk of not achieving our targeted returns, which are crucial for the
achievement of our strategic objectives.
At present, the mining interests of Endeavour are concentrated in gold mines within West Africa, in
particular Burkina Faso, due to the signicant commercial opportunities present. However, to ensure
the continued commercial success of our organisation, we constantly evaluate the diversication
of our portfolio beyond this region to ensure our longer-term revenues and the Group’s strategic
objectives.
Without ongoing consideration to wider opportunities for development outside of the region, the
Group faces the risk of reduced commercial performance.
MITIGATIONS
• Ongoing review of our current operating mines and projects to ensure these remain viable and in-
line with our capital allocation strategy and strategic objectives.
• Monitoring the geopolitical climate and security in the regions where we operate, as discussed
above.
• Ongoing assessment of our existing asset portfolio and third party assets to identify opportunities
for diversication where these are accretive to our current asset portfolio and consistent with the
Group’s overall capital allocation strategy and strategic objectives. The expansion of Sabadola-
Massawa and the construction of Lagué, both approved in 2022, will further diversify our
production across three countries.
STRATEGIC REPORT
RISK MANAGEMENT AND PRINCIPAL RISKS CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 202268
7 – Supply Chain Risk
RISK LEVEL
High
TREND
Decrease
APPETITE
Medium
STRATEGIC LINK
Maintain a
high-quality
portfolio
DESCRIPTION & IMPACT
Endeavour relies on a stable supply chain of goods and services to support the continuation of
operations at a site level.
At present, our supply chains remain sensitive to disruption due to a combination of a
microeconomic and macroeconomic factors, outside of the control of Endeavour.
Microeconomic factors include the local security environment of operating regions and regulatory
changes. Macroeconomic factors include the volatility of prices caused by foreign exchange rates
and global conicts, and access to freight services, including the ability to transport goods safely to
mine sites and the ability to access reliable shipping lines to transport our products internationally.
Without the ability to source and obtain the required inputs into our operations, our mining activities
could face signicant disruption, impacting cash ow generation for Endeavour Mining.
MITIGATIONS
• We are actively partnering with key suppliers for in-country stock for critical inputs.
• Ongoing monitoring of the political environments within the jurisdictions where we operate and
maintaining a proactive dialogue with host governments and key stakeholders.
• Negotiation of longer term and Group wide supply chain contracts to mitigate exposure to short
term supply chain volatility.
• Implementation of Business Resilience planning to manage disruptions as they arise.
• Planned implementation of a robust Maintenance, Repair and Operation (“MRO”) system to
increase the efciency of our reordering process and to optimise our inventory of goods.
• Active engagement with our internal clients and our local partners to increase collaboration to
better adjust to the new local decree and mitigate any impact on operations.
8 – Operational Performance Risk
RISK LEVEL
Medium
TREND
Decrease
APPETITE
Medium
STRATEGIC LINK
Maintain a
high-quality
portfolio, Reward
shareholders
DESCRIPTION & IMPACT
There is an underlying risk that our existing operations and development projects fail to deliver
planned production rates and AISC levels.
Our operational performance is exposed to a number of external risks, often outside of the Group’s
control (including, but not limited to, extreme weather, natural disasters, geotechnical challenges or
loss or interruption to key supplies (e.g. electricity and water)). Internal risks may also be present,
including the failure of equipment, including xed plant.
These factors, combined with lower than expected below-ground reserves may result in the inability
to recover targeted resource levels, impacting the Group’s ability to meet forecasted revenue
targets. Where further extraction is needed to meet targets, the Group may experience higher-than
expected costs.
MITIGATIONS
• Establishment of a risk assessment process for each mining asset, with an associated mitigation
plan.
• Formalised maintenance schedule for equipment and facilities, which are subject to parallel
inspection (inclusive of preventative and predictive maintenance).
• Implementation of a Group Asset Management Strategy for xed plant and heavy mining
equipment (“HME”).
• Critical spares included inventory balances to monitor availability of critical maintenance parts
across the Group.
• Ongoing review and uplift of our risk assessment strategy, including the sharing of best practices
between operating assets.
• Performance of grade control reconciliations and our reserves and resources (“R&R”) process.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 69
STRATEGIC
REPORTOVERVIEW
9 – Succession Planning & Talent Risk
RISK LEVEL
Medium
TREND
Decrease
APPETITE
Medium
STRATEGIC LINK
Maintain a
high-quality
portfolio, Be a
trusted partner
DESCRIPTION & IMPACT
Endeavour must continue to ensure we retain the best talent, retaining the experience to ensure our
continued success.
Endeavour Mining prides itself on the combination of experience and expertise within its Executive
group, Senior Management team and across its operations.
The organisation faces an underlying risk that it may be unable to continue to retain or attract
employees with the appropriate skills and experience. Without these, the Group may experience
short term disruption to operations and production, with the longer-term impact being the inability to
effectively execute the organisational strategy.
MITIGATIONS
• Focus on retention strategies driven through training and development and the formalisation of
development opportunities.
• Regular benchmarking of compensation and benets against the wider market.
• Implementation of an annual people review, and supporting succession planning across
Endeavour Mining to ensure career development plans are in place for critical employees.
• Management development programme for successors to critical positions / high potential
employees.
STRATEGIC REPORT
RISK MANAGEMENT AND PRINCIPAL RISKS CONTINUED
10 – Regulatory and Compliance Risk
RISK LEVEL
Medium
TREND
Increase
APPETITE
Medium
STRATEGIC LINK
Be a trusted
partner
DESCRIPTION & IMPACT
The geographical spread of Endeavour’s operations and assets makes its regulatory and compliance
environment diverse and complex.
Endeavour must continue to manage its legal and regulatory obligations, including within the areas
of human rights, anti-bribery and corruption, privacy, and international sanctions.
Failure to effectively manage and deliver our requirements under these regulations could result in
regulatory nes, reputational damage, and the potential for the Group to face litigation.
MITIGATIONS
• A Group Compliance Programme has been established that includes policies, procedures,
compliance certicates, training, third-party due diligence, monitoring, and investigations.
• Investment into compliance assessments, including but not limited to Human Rights & Anti
Bribery and Anti-Corruption Baseline Risk Assessments, Human Rights Online Training, Voluntary
principles on Security and Human Rights (“VPSHR”) implementation, Sanctions Training, and
Introduction and promotion of a new Code of Conduct.
• Legal, tax, and public affairs teams based in the jurisdictions in which we operate actively monitor
local regulatory requirements, to allow us to respond effectively to identied changes.
ENDEAVOUR MINING PLC ANNUAL REPORT 202270
11 – Capital Projects Risk
RISK LEVEL
Medium
TREND
Increase
APPETITE
Medium
STRATEGIC LINK
Maintain a
high-quality
portfolio, Reward
shareholders
DESCRIPTION & IMPACT
The identication and construction of advanced project development opportunities is essential
to meeting our strategic goals. However, large construction projects may fail to achieve desired
economic returns due to: inability to recover estimated mineral resources, design or construction
inadequacy, failure to achieve the expected operating parameters, capital or operating costs being
higher than expected.
Failure to manage new projects effectively - from the evaluation of the expected returns on the
project relative to the Group’s capital allocation strategy; accurate estimation of the capital costs
to complete the project; and accurate estimates related to the life of mine of the project upon
its completion from both a resource recovery and operating cost perspective - may result in the
Company not meeting its longer-term strategic goals and shareholder objectives.
During the year, the Board of Directors approved the construction of two signicant capital
projects, the BIOX® plant at Sabodala-Massawa in Senegal and the Lagué project in Côte d’Ivoire,
with total capital investment of approximately $740 million from 2022 through to their expected
commissioning in 2024.
MITIGATIONS
• Rigorous assessments prior to approval including feasibility or technical studies and capital
appraisals, which include an assessment of the project in relation to the Group’s capital allocation
strategy and objectives.
• Project charters for all new capital projects requiring Group level support.
• Implementation of a project risk register and risk mitigation.
• Project steering committee meetings on a monthly basis involving key stakeholders to monitor
progress relative to budget, S-curve, and the use of contingency, as well as oversight of
non-nancial areas, including but not limited to safety, permitting, community relations, or
environmental issues.
• Monthly progress reports to the Board of Directors and more detailed project updates on a
quarterly basis to the Technical, Health & Safety Committee of the Board.
• Advanced grade control programmes to improve mine planning and forecast recoveries in the
initial months of operation.
• Construction of the mine under an EP&CM contract using a contractor with a proven track record
for delivering similar scale projects, and especially gold projects in West Africa, on budget, on time
and that generally exceed nameplate capacity.
• Review of capital costs prior to nal nancial modelling and approval to assess the impact of the
inationary market seen in late 2021 and through 2022 and inclusion of a suitable contingency,
which was conrmed by a Monte Carlo probability analysis.
• Operational readiness detailed planning has commenced to ensure an efcient start-up. Operating
parameters used for the DFS were benchmarked against similar operations in the Endeavour
Group to ensure adequacy and suitability. Identication of operating team with suitable skills at
Endeavour’s other operations to join the project operating team and ensure smooth and fast
ramp-up of operations.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 71
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
VIABILITY STATEMENT
Going concern
The Directors have performed an assessment of
whether the Group would be able to continue as a
going concern until at least March 2024. In their
assessment, the Group has taken into account
its nancial position, expected future trading
performance, its debt and other available credit
facilities, future debt servicing requirements, its
working capital and capital expenditure commitments
and forecasts.
At 31 December 2022, the Group’s net cash was
$121.1 million with cash and cash equivalents of
$951.1 million, and debt with a principal outstanding
of $830.0million. The Group also has an undrawn
revolving credit facility of up to $575.0 million.
Subsequent to 31 December 2023, the Convertible
Notes and the contingent consideration payable to
Barrick were repaid, using a combination of cash, a
portion of the revolving credit facility, and the issue of
0.8 million common shares to satisfy the conversion
feature of the Convertible Notes.
Based on a detailed cash ow forecast prepared by
management, in which it included any reasonably
possible changes in the key assumptions on which
the cash ow forecast is based, the Directors have
a reasonable expectation that the Group will have
adequate resources to continue in operational existence
until at least March 2024 and that at this point in time
there are no material uncertainties regarding going
concern. Key assumptions underpinning this forecast
include consensus analyst gold prices and production
volumes in line with annual guidance.
The Board is satised that the going concern basis of
accounting is an appropriate assumption to adopt in the
preparation of the consolidated nancial statements for
the year ended 31 December 2022.
Viability statement
In accordance with Provision 31 of the UK Corporate
Governance Code 2018 issued in July 2018 (“UK Code”),
management has prepared a viability statement which
considers the Group’s current nancial position, the
appropriate assessment period, as well as the principal
risks and sensitivities of the Company which was evaluated
by the Board for approval.
Period of assessment
The UK Code states that the Directors should assess
the ability of a Group to continue operations and meet
its liabilities over an appropriate period. The Board has
determined that the most appropriate timeframe for this
assessment is the ve-year period ending 31 December
2027. This period covers the strategic, operational and
exploration targets of the Group, the signicant capital
investment over the next two years, the period over which
the Senior Notes are due, anticipated shareholder returns,
as well as the period over which the primary and emerging
risks identied have the potential to impact the Group.
Risks and stress tests
To evaluate the Group’s viability, the Board considered
Group-wide principal and emerging operational risks that
could impair the liquidity of the Company. The risks were
established through discussion with senior management
and other personnel across the operations. Through this
process, the principal and emerging risks of the Group were
identied and considered for the purposes of analysing the
viability of the Group over the assessment period.
For the purposes of analysing the Group’s viability, the
Directors have determined that the following risks are
fundamental in assessing the Company’s liquidity and
solvency.
Macroeconomic factors
The price of gold is central to the Group’s revenue
projections and can uctuate signicantly as it is
dependent on several macroeconomic factors. A signicant
fall in the gold price would impact the Group’s revenues,
operating cash ows and net cash position and is
considered to be a principal risk for the Group. The overall
viability was prepared using the median analyst consensus
gold price for the duration of the viability period.
The prices of critical materials and services, changes in
ination rates, and exposure to foreign exchange rates
can have a signicant impact on the protability of the
Company’s operations and the ability for the various mine
sites to generate cash ows. Management has evaluated
the impact on operating costs in scenarios where operating
costs across all sites increased 40% due to the factors
mentioned above.
Security threat or geopolitical event
Due to the nature of the gold mining business and the
geographic locations of our operating mines, there are
potential direct or indirect security threats or geopolitical
risks to the operating mine sites, the assets within, as well
as to our employees. These security or geopolitical risks
can be the result of a major security incident, social or civil
ENDEAVOUR MINING PLC ANNUAL REPORT 202272
disruption, or changes in government expectations affecting
the agreed mining authorisation, licenses, or conventions
with the government. The Directors consider these to be
primary risks for the Group and management has evaluated
scenarios which include a complete shutdown of two
mines, or approximately 50% of production, in Burkina Faso
over the assessment period.
Operational performance risk
The Company’s existing operations may fail to achieve
or maintain planned production levels at the expected
operating cost proles over the viability period, due to
issues such as lower than expected grades or recoveries,
and/or higher costs of mining and processing due to
operating challenges or increase in supply chain costs.
To consider the impact of these risks, we considered a
scenario whereby there was a 25% reduction in production,
while operating costs remain unchanged across all mines
for the assessment period.
Capital projects
In addition to our on-going sustaining capital requirements,
the Company has entered a capital investment phase with
regards to the construction of the Sabodala-Massawa BIOX®
plant expansion and the Lagué project, which is expected
to take place over the next two years. Over this period,
the primary risks identied by the Directors are the risk of
cost overruns due to macroeconomic factors or changes
in technical requirements, as well as a material change in
the delivery timeline. Management has stress tested these
scenarios over the viability period by increasing the growth
capital costs by 50%.
Environmental risk
The Company is exposed to climate-related risks and
subject to environmental compliance obligations which
are continually developing. The occurrence of a climate-
related event or failure to comply with environmental
obligations could lead to operational interruptions,
reputational damage, the imposition of nancial penalties
or the suspension of operating licences. As environmental
practices continue to face further scrutiny, this could affect
the Company’s operations or access to capital. The factors
noted are considered emerging risks to the Group and have
been stress tested through an increase of operating cost of
20% over the assessment period.
Analysis
Management conducted the viability assessment using
the risks above which are considered to be severe but
reasonably possible scenarios for the Group. The viability
assessment prepared by management assumes the
payment of dividends as part of the Company’s shareholder
return programme and the renewal of the revolving credit
facility, which matures in October 2025, for an additional
four years. The assessment also includes the repayment
of the Convertible Notes which were due and repaid in
February 2023 and the Senior Notes which are due in
October 2026. The Group is constantly monitoring the
possibility of the risks identied above and has multiple
control measures in place to prevent or mitigate the impact
of any of the above scenarios. Were any of the above
scenarios to occur, the Company has several options
available to mitigate the impact of these scenarios,
and ensure sufcient liquidity to continue operations,
which include, but are not limited to, the reduction of the
dividends paid to shareholders, deferral or reduction of
capital and/ or exploration expenditures, reduction in
corporate costs, the use of funds available to be drawn
down on the RCF, or the renancing of the Senior Notes
prior to their maturity in October 2026.
All scenarios were initially assessed using the consensus
analyst gold prices. The results of this analysis concluded
that the scenario of macroeconomic factors (increase in
operating expenses by 40%) identied above produced
a negative cash balance during the assessment period,
however the impact of this downside scenario could
be managed in the normal course of business, through
the mitigating factors noted above. Further to this, the
scenarios were re-run using a gold price of $1,600/oz over
the assessment period. At these lower gold price levels
used over the entire assessment period, the scenarios
identied above of macroeconomic factors (increase in
operating expenses by 40%), security threat or geopolitical
event (decrease in Burkina Faso production by 50%), and
operational performance risk (decrease in production
by 20%) produced a negative cash balance during the
assessment period, however the impact of this downside
scenario could be managed in the normal course of
business, through the mitigating factors noted above.
In addition, management reverse stress tested the gold
price in the viability analysis to determine at what price
during the viability period the Group would have a $nil cash
balance and all available revolving credit facility drawn. The
result of the reverse stress test determined the gold price
would need to drop to $1,416/oz over the entirety of the
viability period for this to occur, prior to the consideration
of any mitigating factors that could be taken under this
scenario.
Further to management’s analysis, under the scenarios
considered above, Endeavour is a viable business
supported by its strong nancial position at 31 December
2022, with cash and cash equivalents of $951.1 million,
a net cash position of $121.1 million and $575.0 million
available on its revolving credit facility.
Conclusion
Taking into consideration the Group’s current nancial
position, the robust assessment of the principal risks, as
well as the mitigating factors available to the Group, the
Directors conrm that they have a reasonable expectation
that the Group will be able to meet its liabilities and
continue operations over the period ending 31 December
2027. This longer-term assessment process supports the
Directors’ statements on both viability and going concern.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 73
STRATEGIC
REPORTOVERVIEW
ENGAGING WITH OUR STAKEHOLDERS
STRATEGIC REPORT
Employees
CommunitiesSuppliers and
contractors
Government
and regulatory
bodies
Capital
providers
Unions
Industry
associations
Non-
governmental
organisations
$7.1m
invested in local
community projects
81%
of procurement
spent on national
and local suppliers
Strong and mutually respectful relationships with our
diverse group of stakeholders is critical to the success
and performance of our business. We continually
monitor and afrm our social licence to operate, which
we dene as broad acceptance of our projects, through
our stakeholder engagement.
We have identied eight key stakeholder groups based
on their importance to Endeavour and the inuence they
have on our business. Our stakeholder engagement
programmes are tailored to suit the needs and
expectations of each group. This helps encourage better
decision making, promotes mutually benecial outcomes
and manages the risks present in our business.
We strive to be culturally sensitive in all our
engagements and have completed stakeholder
assessments across all our sites to be certain we do
not impact any indigenous people or communities,
conrming no presence of indigenous groups in the
areas where we operate.
ENDEAVOUR MINING PLC ANNUAL REPORT 202274
Stakeholders How we engage Examples of engagement in 2022
Employees Safety briengs, employee
well-being programmes,
collective bargaining and/
or contract negotiations,
performance reviews and
appraisals, training and
development programmes,
CEO and senior leadership
town hall meetings,
employee communication
channels, whistle-blower
hotline, policies and
standards
• Group safety and awareness campaigns, including malaria, hand and
nger injury prevention, motorbike safety and HIV/AIDS
• Group-wide healthcare and capability audit
• Launched an anti-harassment campaign
• Quarterly CEO seminars
• Members of the Board visited our Ity, Houndé and Sabodala-
Massawa mines
• New regional ofce in Abidjan, designed to improve employee
well-being and collaboration, with a focus on natural daylight, more
meeting rooms and informal meeting areas
• Launched an updated bilingual intranet to improve the sharing of
information across the Group
• Participation in sports activities organised by the Group (CEO Cup)
or by the Chamber of Mines (Mining Olympics in Côte d'Ivoire) to
strengthen the feeling of belonging to Endeavour
• Implemented a range of professional development initiatives
with certied coaches, including the Management Development
Programme and a women’s ‘Transformation Day’
Industry
associations
Formal meetings,
correspondence and
events
• Signed the Declaration of Responsibility and Sustainability
Principles via our membership of the World Gold Council
• Participated in the annual conference of Côte d’Ivoire’s largest
association for the private sector to promote the benets of the
gold mining sector to the Ivorian economy
• Chaired the He4She Association in Côte d’Ivoire to promote gender
equality in the mining sector
• Active participation in the Senegal, Côte d’Ivoire and Burkina Faso
Chamber of Mines, with Endeavour representation on the Boards
• Financial supporter of Women in Mining Senegal
Non-governmental
organisations
Meetings, correspondence,
conferences, corporate
social responsibility
(“CSR”) forums,
roundtables and strategic
partnerships
• Joined the African Business Leaders Coalition (“ABLC”), an
initiative sponsored by the United Nations Global Compact, which is
committed to advancing sustainability and ambitious climate action
across Africa
• Partnered with Plastic Odyssey on our “Towards Zero Plastic”
campaign
• Held a number of discussions concerning ESG-related projects with
various NGO potential partners
Communities Regular meetings with
community stakeholders,
participation in ESIAs,
public hearings and
consultations, grievance
mechanisms, resettlement
committees, local
cultural and sporting
events, community
health awareness
campaigns, mine site
visits, newspapers, radio,
television, and the annual
sustainability reports
• $7.1 million invested in local community projects
• Contributed $16.2 million to the Local Development Mining Funds in
Burkina Faso, Côte d’Ivoire and Senegal
• 242 formal community engagement meetings, and 4,688 informal
meetings held across our mines
• Implementation of a new Social Performance management system
across the Group, which includes stakeholder engagement and
grievance standards and procedures
• Updated the stakeholder engagement plans for Houndé and Ity
• Finalised the resettlement village at our Sabodala-Massawa mine
• Creation of a consultation framework to maintain dialogue with
stakeholders at Ity, Lagué and Tanda
• Launch of a literacy programme for 500 residents of the Lagué
communities.
• Launch of a vocational training programme for 150 young people in
the Dabakala region
• Finalised the resettlement at Samavogo, which is part of our
Wahgnion mine
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 75
STRATEGIC
REPORTOVERVIEW
Stakeholders How we engage Examples of engagement in 2022
Suppliers and
contractors
Policies and standards,
supplier appraisal
process, supply contracts
process, meetings,
grievance mechanism,
relationship building
by group and site level
procurement teams and
safety meetings
• 81% of procurement spent on national and local suppliers
• Continued engagement with our Top 15 suppliers (by spend) on
Scope 3 emissions
• Participated in a workshop with the German Development Agency
GIZ to discuss proposed updates to Local Content law in Côte
d’Ivoire
• Participated in Burkinabe and Senegal supplier conferences and
roundtables
• Completed Group audit report on practices of local content as
part of our continuous engagement to increase our commitment in
developing local champions
• Organised supplier visits in Côte d’Ivoire, Burkina Faso and Senegal
to reinforce our partnership with key national suppliers
• Held annual C-suite meetings with strategic suppliers to discuss
mid to long-term partnerships
• Participated in meetings at the Chamber of Mines in Burkina Faso
to exchange ideas on supply chain related matters to adopt an
industry approach
• Continuous monthly meetings on site with key contractors for
performance review and compliance with Endeavour policies
including the Supplier Code of Conduct
• Updated Endeavour’s Supplier Code of Conduct Handbook to outline
our business and ethics standards, including our modern slavery,
human rights and anti-bribery and corruption policies
• Developed and tracked monthly KPIs for national owned suppliers
to reinforce our reporting and transparency
Government and
regulatory bodies
Meetings, local subsidiary
Board meetings, site visits
and inspections, hosting
and attending government
and private sector
meetings and attending
national and international
mining conferences
• Contributed a total of $562.7 million to the host governments in
Burkina Faso, Côte d’Ivoire, Mali and Senegal
• Presented the 2021 Sustainability and Tax and Economic
Contribution Reports to key government ministries in Burkina Faso,
Côte d’Ivoire and Senegal
• Engaged with the Côte d’Ivoire Government on the mining
convention for the Lagué development project
• Engagement with Senegal Government regarding the integration of
Sabodala and Massawa into one combined entity
• Validation of the ESIA for the combined Sabodala-Massawa project,
including the BIOX® expansion
• EITI data submission in Senegal
• World Bank visit to Sabodala-Massawa mine in Senegal
• Organised a round table gathering with all the ministerial
delegations from Burkina, Côte d'Ivoire, Senegal and Guinea during
Africa’s largest mining conference
• Engagement with environmental authorities to obtain authorisation
for new Endeavour projects in Côte d'Ivoire, including the Lagué
mine under construction and the Recyn project at Ity
• Meeting with Prime Minister, parliamentarians and Chamber of King
and traditional chiefs in Côte d’Ivoire to present the positive impact
of Endeavour’s activities
• Held meetings with the Burkinabe government and the local
supplier alliance and Endeavour’s Supply Chain department, as well
as via the Burkina Chamber of Mines
STRATEGIC REPORT
ENGAGING WITH OUR STAKEHOLDERS CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 202276
Stakeholders How we engage Examples of engagement in 2022
Capital providers Regulatory lings, press
releases, annual and
quarterly reports, AGM,
investor meetings,
conferences, site
visits, website, annual
sustainability reports, and
communications by email
and telephone
• Engagement with 90% of active institutional shareholder register to
provide updates on the Company’s performance
• Attended more than 20 conferences hosting presentations, reside
chats, group meetings and one-on-one meetings with current and
potential shareholders
• Held quarterly webcasts following the publication of results
• Hosted over 20 investors and analysts at a site visit to our agship
operations: Sabodala-Massawa, Ity and Houndé
Unions Formal meetings with the
unions, safety briengs,
employee well-being
programmes
• Organised a meeting between the union delegates at all our mines
in Burkina Faso and the Endeavour Burkina Human Resources
Department to try to address common problems at a national level
• Signed a Memorandum of Understanding with the delegates of
Sabodala-Massawa on issues of regularisation regarding Teranga's
(former owners of the mine) liabilities
• Held regular meetings between union representatives and site-
based management at all our sites
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 77
STRATEGIC
REPORTOVERVIEW
Approval to build the Lagué mine
STRATEGIC REPORT
S172 STATEMENT
Endeavour engages with a wide variety of stakeholders on a regular basis. This engagement informs our
thinking and decision-making. During the year, members of our Board visited three of our mines, Sabodala-
Massawa, Houndé and Ity, which enabled them to meet with employees, see rst-hand how the mines are
being run, and gain an improved understanding of the operations and the challenges they face. The Board also
had opportunities to meet with members of the Group’s Management Committee throughout the year, both
formally and informally, to gather their perceptions of the business. Alongside this, our new Chair also met with
a number of shareholders to garner their feedback on Endeavour and its performance.
Section 172 statement
In accordance with the requirements of section 172 of the Companies Act 2006 (“the Act”), the Board of Directors
takes into account the interests of all of its stakeholders when determining the Group’s strategy and objectives. A good
understanding of our stakeholders enables the Board to factor the potential long-term impact of strategic decisions on our
various stakeholders. The following disclosure comprises our Section 172(1) statement, setting out how the Board has, in
performing its duties over the course of the year, had regard to the matters set out in Section 172(1) (a) to (f) of the Act
when performing its duties and forms the Directors’ statement required under section 414CZA of the Act.
Further information on the Board’s strategic decision making can be found on pages 110 - 125 in the Governance Report.
In October 2022, the Board
considered management’s
recommendation to build the Lagué
mine following completion of a positive
DFS. Lagué is a greeneld discovery
made by Endeavour, with more than
3Moz of M&I resources delineated
since drilling began on the project in
2018.
The Board considered the Lagué
project as it relates to the Company’s
strategic objectives, within its capital
allocation framework. The Board
evaluated the impact of the Lagué
project on the Company’s overall
portfolio, and considered that the
production prole of 203koz per year
and a life of mine AISC of $871/oz
over a 12.8 year initial mine life, the
Lagué project is aligned with the
Company’s overall portfolio objectives.
In addition, the Lagué project DFS
had an estimated internal rate of
return of 21%, which is consistent with
the Company’s capital allocation
strategy. An additional mine in Côte
d’Ivoire further diversies the
Company’s production in West Africa,
decreasing the proportion of its
production from its operating mines in
Burkina Faso. As part of its decision-
making, the Board and senior
management considered the capital
investment required, estimated to
be approximately $448.0 million,
and the Group’s ability to nance
the construction of the project
through current cash ows, cash on
hand, both on-shore and off-shore, and
the Company’s available liquidity in
its revolving credit facility.
Establishing a new greeneld
mine requires a local workforce,
complemented and supported by
existing employees, to construct and
then operate the mine in accordance
with the Company’s management
systems and processes. This provides
opportunities to existing employees
to expand their experience at a new
mine, while also providing employment
opportunities to the local communities
surrounding the mine.
Constructing a new mine with its
associated infrastructure will allow
the Company to engage with the
community around the Lagué project
while helping expand the Company’s
footprint in Côte d’Ivoire. In making
the decision, the Board considered
the impact on local communities,
including additional social
investment programmes, educational
opportunities, skills development for
the local workforce, and community
health initiatives. In addition, upon
commencement of production, the
Lagué mine will contribute to the
host government paying taxes and
royalties, as well the region around the
mine with an additional contribution of
0.5% of revenue to the Local Mining
Development Fund.
In addition to the contribution to the
local economy through employment,
both the construction and subsequent
operation of the Lagué mine will
result in signicant capital and
operating expenditures, which will
benet the Group’s existing suppliers
and contractors, many of them local
Ivorian companies, as well as resulting
in new suppliers and contractors
to meet the demands of the new
operation. Given the estimated capital
expenditure of approximately $448.0
million, and the expenditures related
to the on-going operation of a 203koz
per year mine, there is a signicant
component of these expenditures
which will be undertaken with local
suppliers, increasing the contribution
to the region’s economy. The addition
of an additional mine in Côte d’Ivoire
will also improve the Group’s ability to
leverage its size in obtaining favourable
pricing and terms for many of its larger
contracts.
Outcome
The Board’s approval of the
construction of the 80% owned Lagué
Project on the Fetekro property in
Côte d’Ivoire reects the Lagué
project’s potential to meet Endeavour’s
strategic objectives and provide
signicant value for a wide range of
stakeholders including employees,
communities, suppliers, contractors,
local governments and shareholders.
The impact of Section 172 on our principal decisions during the year:
ENDEAVOUR MINING PLC ANNUAL REPORT 202278
Browneld expansion of Sabodala-Massawa
InApril 2022, the Board considered
management’s recommendation to
launch the expansion of Sabodala-
Massawa by supplementing the
current 4.2Mtpa CIL plant with a
1.2Mtpa BIOX® plant to process the
high-grade refractory ore from the
Massawa deposits.
The Board was cognisant of the
strategic benets of launching
construction of the BIOX® facility,
as it considered the impact of
the expansion on the Company’s
overall portfolio. With an expected
incremental production yield of
1.35Moz at a low AISC of $576 per
ounce over the life of the plant, the
expansion is consistent with the
Company’s overall portfolio objectives.
The DFS for the BIOX® plant indicated
that the project has an estimated
internal rate of return of 72%, which
achieves Endeavour’s hurdle rate and
is aligned with its capital allocation
strategy. As part of decision-making
process, the Board and senior
management considered the upfront
capital investment required, estimated
to be approximately $290.0 million,
which is expected to be self funded by
cash ows from the existing Sabodala-
Massawa operation.
The construction of the BIOX® project
will provide additional employment
opportunities in Senegal, both during
the construction of the project, and
upon commencement of operations,
when the Sabodala-Massawa mine’s
production is expected to increase to
over 400koz per year. These additional
employment opportunities are expected
to impact both the local and regional
communities close to the mine,
creating new jobs, as well as providing
training opportunities for the current
workforce.
Furthermore, both the construction
and subsequent operation of the
expanded Sabodala-Massawa plant
will result in signicant operating and
capital expenditures, which will benet
the Group’s existing suppliers and
contractors. Additionally, the Board and
senior management considered how
the expansion will be benecial to the
Senegalese Government as increased
production and sales will lead to an
increase in taxes and royalties paid
to the government, as well as an
increased contribution to the Local
Mining Development Fund.
Outcome
The launch of the construction of
the Sabodala-Massawa expansion in
Senegal was approved in April 2022
following the completion of a DFS.
The Board considers the expansion to
have the potential to create value for
employees, communities, suppliers,
contractors and shareholders.
Decarbonisation strategy
In 2021, the Group updated its ESG
strategy to reect the ambitions of the
Group, this included tackling climate
change. To demonstrate the Group’s
commitment to reducing its carbon
footprint, the Board approved a carbon
reduction target of Net Zero by 2050
with a medium--term target to reduce
Endeavour’s emissions intensity by
30% by 2030 (from our 2022
baseline year).
To achieve these carbon reduction
objectives, the Group has identied
a number of near-term abatement
initiatives in the following areas:
renewable energy (solar power),
process efciencies, eet
optimisation, grid connection and
fuel switching. The implementation
of certain of these initiatives will
require additional technical studies,
government and Board approvals,
and additional investment, both in
equipment and employee training,
as we emphasise more sustainable
mining practices.
In formulating these abatement
initiatives, the Group considered a
range of stakeholders and they could
be impacted.
As the largest gold producer in West
Africa, we have an important role to
play in assisting our host countries’
transition to a low carbon economy
through more renewable energy
sources. Our plans to introduce
renewable solar power at our Sabodala-
Massawa mine in Senegal and our
Houndé mine in Burkina Faso will
reduce our carbon emissions and
increase the portion of renewable
energy in both countries. In the longer
term, once the mines have nished
operating, it is expected that these
solar plants will be available to provide
power to the local communities.
Climate change is a key focus area for
shareholders and investors, with many
of them requiring measurable carbon
reduction targets in order to be able
to invest in a company. By providing
detailed plans on how we will achieve
our reduction targets, the Group hopes
to increase investor condence in the
Company’s commitment to addressing
climate change and producing gold in a
sustainable manner.
Outcome
In 2022, the Board approved the
Group’s rst ever annual emissions
target, 670kg CO
2
-e per ounce of
gold produced, in the Company’s
annual short-term incentive plan,
as well as a target to replace 50%
of the utilised capacity of diesel
generators with equivalent renewable
power in the three-year long-term
compensation plan. The Company has
established carbon reduction targets
to drive its long-term sustainable
growth while addressing the impact
of the Company’s operations on the
communities and the environments in
which it operates. More information
on our decarbonisation strategy,
governance and initiatives can be
found in our TCFD section on pages 86
to 107.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 79
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
UN SDGS / IMPACT ON STAKEHOLDERS
OUR
CONTRIBUTION
TO THE UN SDGS
Adopted in 2015, the United Nations
Sustainable Development Goals (“SDGs”) are
a universal set of 17 goals and 169 targets
aimed at eliminating poverty, protecting
the environment and ensuring everyone
everywhere can enjoy a peaceful and
prosperous life.
WE HAVE IDENTIFIED AND INTEGRATED
10 PRIORITY TARGETS INTO OUR ESG STRATEGY
80 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
We support the United Nations SDGs and
strive to make a meaningful contribution
to their achievements. We are pleased to
see this commitment is in line with our key
shareholders’ goals. 75% of our top 20
institutional shareholders are signatories
to the United Nations backed Principles of
Responsible Investment (“PRI”) and are
integrating the SDGs into their investment
strategies, investment decisions and
engagement strategies.
Determining our
UN SDG priority targets
Our approach to sustainability management
and community development aligns with the
expectations of the SDGs.
While we recognise the importance of all
17 SDGs, following analysis of all 169 SDG
underlying targets, we have identied and
integrated ten priority targets into our ESG
strategy. This is to ensure alignment between
our material issues, our actions on the
ground and contributing to our host countries
successfully implementing the SDGs.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 81
STRATEGIC
REPORTOVERVIEW
GOVERNANCEOVERVIEW
SDG Priority SDG Target Endeavour's 2022 contribution
1.4 By 2030, end hunger and ensure access
by all people, in particular the poor and
people in vulnerable situations, to safe,
nutritious and sufcient food all year
round.
Implemented a range of income-generation
and livelihood restoration projects
$7.1m million invested in
community projects
2.3 By 2030, double the agricultural
productivity and incomes of small-scale
food producers.
Supporting 15 projects around our mines
in the agricultural improvement and
food security, including market gardens,
poultry farms, pork farms and agricultural
equipment, such as tractors
3.3 End the epidemics of AIDS, tuberculosis,
malaria and neglected tropical diseases
and combat hepatitis, water-borne
diseases and other communicable
diseases.
15% reduction in Group's malaria
incidence rate
Total investment of approximately
$0.5 million in health projects around
our mines
402 employees received voluntary
counseling and testing for HIV/AIDS
Widespread malaria prevention campaign
conducted across the Group
Launched 'One Village without Malaria' pilot
programme in Burkina Faso, a partnership
between the Endeavour Foundation and
the Burkinabe Health Ministry
4.1 Ensure that all girls and boys complete
free, equitable and quality primary and
secondary education.
4.4 Substantially increase the number of
youth and adults who have relevant
skills, including technical and vocational
skills, for employment, decent jobs and
entrepreneurship.
263 bursaries awarded to children of
Endeavour employees to reward and for
academic success
504 internships provided to men and
women for on-the-job experience
Provided literacy skills to 500 adults near our
Lagué project
Partnered with the Ivorian Government and
GIZ to develop and nance the training of
150 youths in key vocational skills
Launched a three-year partnership with ve
Burkinabe universities to support 60 students
a year to study mining-related courses
Total investment of approximately
$0.7 million in education
5.5 Ensure women’s full and effective
participation in and create equal
opportunities for leadership at all levels
of decision-making in political, economic
and public life.
33% female representation on our Board
27% of direct reports to the Executive
Management Committee are women
12% women in technical or skilled jobs
12% of women in management roles
STRATEGIC REPORT
UN SDGS / IMPACT ON STAKEHOLDERS CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 202282
SDG Priority SDG Target Endeavour's 2022 contribution
6.1 By 2030, achieve universal and equitable
access to safe and affordable drinking
water for all.
6b Support and strengthen the participation
of local communities in improving water
and sanitation management.
Construction of a mini-water tower at Lagué
to improve the quantity and quality of
drinking water supply
We invested 46 million CFA towards
improving access to water around our
mining communities
7.2 By 2030, substantially increase the
share of renewable energy in the
global energy mix.
Total investment of approximately
$2.1 million
Electrication project of six villages around
our Sabodala-Massawa mine
Continued engagement with the Burkinabe
and Senegalese governments to progress
our renewable solar projects
See pages 86 - 107 for more information
8.5 Achieve full and productive employment
and decent work for all women and men.
8.8 Protect labour rights and promote safe
and secure working environments for
all workers.
94% of our employees are nationals
57% of our Senior Management are
West African
9% of our employees are women
Supported more than 1,635 West African
businesses and suppliers
49% reduction in TRIFR
LTIFR well below industry benchmark
13.1 Strengthen resilience and adaptive
capacity to climate-related hazards
and natural disasters in all countries.
Set our rst annual emissions target, which
was included as part of the 2022 Group KPI
Net Zero ambition by 2050
Targeting 30% reduction in emissions
intensity by 2030
Reported emissions intensity of 640kg
CO
2
-e/oz, beating our 2022 Group KPI target
of <670kg CO
2
-e/oz
Expanded Scope 3 disclosure to include
top suppliers by emissions
Improved CDP rating from C to B-, ranking
Endeavour 3
rd
amongst its gold peers and
in the top 47% of respondents
15.5 Take urgent and signicant action
to reduce the degradation of natural
habitats, halt the loss of biodiversity
and protect and prevent the extinction
of threatened species.
We have committed to not mining in
World Heritage sites
Set our rst targets for rehabilitation and
reclamation
Supporting the Great Green Wall project
via our Endeavour Foundation, with an
annual target of reforesting 130ha a year
and 45,000 trees
DISCOVER MORE AT
endeavourmining.com
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 83
STRATEGIC
REPORTOVERVIEW
VALIDATE
Step 4 Validate
prioritised issues by the
Executive ESG SteerCo
RANK
Step 3 Rank issues
based on prioritisation scores
STRATEGIC REPORT
HOW WE MAKE DECISIONS
PRIORITISE
Step 2 Prioritise identified issues
assess importance to internal
and external stakeholders
using 1-3 scale
OUR MATERIAL ISSUES
It is important to us to have a solid
understanding of the sustainability issues
that could impact our business and our
ability to deliver long-term value to our
stakeholders. To identify and evaluate
these topics, we regularly conduct
a sustainability-related materiality
assessment that considers input from
within our business and from external
stakeholders to nd common material
topics. Our process for determining these
topics involves consultation, survey,
analysis and validation.
IDENTIFY
Step 1 Identify relevant issues
through industry review and
peer benchmarking
Our most recent assessment was undertaken in
the fourth quarter of 2021 and captured more
than 300 responses from our employees, our
leadership, local community members, suppliers,
host and local governments representatives, non-
governmental organisations and investors.
In the rst half of 2023 we plan to conduct a
double materiality assessment, in line with the
new GRI Universal Standards, to include the
nancial impact of our material issues. This
double materiality assessment will be published
in our 2022 Sustainability Report.
ENDEAVOUR MINING PLC ANNUAL REPORT 202284
Anti-bribery and corruption
Artisanal and small
scale mining
IMPORTANCE TO INTERNAL STAKEHOLDERS
IMPORTANCE TO EXTERNAL STAKEHOLDERS
Our highest priority issues were identied as:
cyanide and hazardous waste management
community development
local employment
climate change
water stewardship
zero harm
artisanal and small scale mining
Our medium priority aspects are:
human rights
bribery and corruption
payments to government
stakeholder engagement
employee skills training
employee well-being
access to water
local procurement
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 85
STRATEGIC
REPORTOVERVIEW
MATERIALITY MATRIX
STRATEGIC REPORT
ADDRESSING CLIMATE CHANGE
MINIMISING
OUR FOOTPRINT
AND PROMOTING
SUSTAINABLE
DEVELOPMENT
86 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Climate action is integral to solving
Africa’s most-pressing issues. As one
of the world’s largest gold producers,
and the largest in West Africa, we have
an important role to play in the energy
transition and supporting our host
countries with their just transition.
We will do this by producing a metal in a way that will contribute to a lower carbon
world, decarbonising our assets and partnering with our host countries to support the
development of their renewable energy infrastructure.
Gold’s role in the energy transition
With the substantial risks resulting from climate
change, it is important to fully understand gold
mining’s energy transition and climate impacts,
and the specic steps needed for the industry to
substantially reduce its carbon footprint. As the
sector seeks to decarbonise its power sources,
the industry is looking to replace electricity from
direct fossil fuel consumption with connections
to ‘greener’ power grids and to make more use of
directly generated renewable electricity. Alongside
this activity, incremental improvements in energy
and operational efciency, often facilitated by
technological advancements, is also playing a key
role in reducing the industry’s power emissions.
Based on current plans across the gold mining
industry, the emissions intensity of power used in
gold production is estimated to fall 35% by 2030
1
.
As these plans become commonplace across the
sector over the next decade, and if the industry
sees substantially reduced production from high
emission mines, the gold mining sector’s energy
transition should be broadly aligned with ‘well
below’ 2ºC or 1.5ºC climate targets. This will
require a substantial focus on the move away
from fossil fuel-based power, but the continued
improvement in the economics and practicality of
renewables, alongside improvements in energy and
operational efciency, will also support the sector’s
ongoing transition.
Decarbonising our assets
We support the global climate change goals
outlined in the United Nations Framework
Convention on Climate Change (“UNFCCC”) and
the Paris Agreement. Our climate change targets
are aligned with the Paris Agreement and, based
on our analysis, will achieve just below the 2ºC
pathway, although our ultimate aim will be to
achieve a 1.5ºC pathway.
GOAL: TO BE NET ZERO BY 2050 AND TO REDUCE
OUR EMISSIONS INTENSITY BY 30% BY 2030.
1. World Gold Council
87
STRATEGIC
REPORTOVERVIEW
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022
To achieve our targets, we have identied a number of
abatement initiatives, including:
Grid connection
We have identied the opportunity to connect our Mana
and Sabodala-Massawa mines to the power grids, thereby
reducing the reliance on Light fuel oil (“LFO”) and heavy
fuel oil (“HFO”) for self-generation. In October 2022, we
successfully connected the processing plant at our Mana
mine to the power grid in Burkina Faso. In the rst three
months of operations, this grid connection resulted in
approximately 15% reduction in absolute emissions at
Mana. In Senegal, the government commissioned the
Kédougou substation during 2022, and we are currently
working on an agreement with SENELEC for a grid
connection from Kédougou to Sabodala-Massawa, which
is anticipated to be in operation in 2025.
Renewable energy
We are progressing with our plans to install renewable solar
power at our Houndé and Sabodala-Massawa mines. At
Sabodala-Massawa, we are conducting technical studies for
a 36MW solar farm. Every kWh of production from the solar
farm will displace the equivalent in the burning of fossil
fuels via HFO generated power, which currently supplies
all electrical power at the mine. During the year, we have
been engaging with the Senegalese authorities and the
state utility company SENELEC on permitting, as well as
progressing studies on site. We anticipate concluding an
agreement with the Government during 2023. In Burkina
Faso, we are in discussions with SONABEL, the state utility
company, regarding a solar project at Houndé.
Optimising power consumption and
efciency
In 2022, we undertook an initiative, using data collection
and analysis, to improve visibility on our electrical energy
and fuel consumption in order to control consumption and
drive efciency. We developed an integrated dashboard
to record fuel consumption data via the electronic fuel
management system at each site which is reported directly
to a centralised reporting dashboard. This has enabled
the sites to identify where each kilowatt of power is being
consumed, control over-consumption, and adjust operating
parameters to drive energy efciency. While some of these
opportunities identied may not reduce the absolute carbon
emissions, there will be a positive impact on Endeavour’s
emissions intensity due to increased gold produced for the
same energy consumption.
Processing efciencies
Other processing optimisations include many throughput
studies and recovery opportunities that are in progress,
such as the SAG Mill Optimiser at Boungou. Some of
these opportunities may not reduce the absolute carbon
emissions, however they do impact the emissions intensity
due to increased gold produced for the same energy
consumption.
Fleet optimisation
A benchmarking review between Endeavour’s mine sites
was completed in 2022 and is now part of its monthly
reporting and review process. The key components
Endeavour is focused on for eet optimisation is
maximising the efcient and productive capacity of its
mining eet. The largest lever for improved mining efciency
identied as an initiative at both our Sabodala-Massawa
and Houndé mines is payload management. Current
estimates place the truck factor (payload) for a Komatsu
785 at 91 tonnes, based on 2022 actuals. A complete
initiative and action plan is in place to improve the payload
to the target of 95 tonnes resulting in an improvement of
4%. Achieving this target would result in a 4% reduction
in trips or haulage hours used across both operations,
thereby decreasing fuel consumption and related
emissions.
Fuel switching
There is the potential to use cleaner fuel in our eets.
Endeavour will be investigating the potential for biofuel
in West Africa and working with a large fuel provider to
understand the main drivers of biofuel penetration in West
Africa during 2023.
Developing opportunities
Endeavour is currently completing studies into the
feasibility of undertaking in-pit TSF deposition in Senegal
and Burkina Faso. As an example of potential savings,
we forecast at our Sabodala-Massawa mine that we can
decrease the size of the above-surface facilities that will
need to be constructed. We estimate this will reduce the
need of construction materials by approximately 35 million
tonnes as well as save approximately 6.8 million litres
of diesel, that would have been required for the mobile
machines. We believe there is potential for this technique
to be applied at our Sabodala-Massawa and Wahgnion
mines in the near-term and potentially at the Mana and
Houndé mines over the medium-term.
Reforestation
In 2022, we started preliminary discussions with potential
partners to measure our carbon sequestration through our
reclamation programmes across our sites. In 2023, we will
seek to expand this to include our external reclamation
programmes as well, such as the Great Green Wall initiative
we are supporting in Senegal, which includes the annual
reforestation of more than 100 hectares in the department
of Bakel, which is located in the east of the country.
STRATEGIC REPORT
ADDRESSING CLIMATE CHANGE CONTINUEDADDRESSING CLIMATE CHANGE CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 202288
Partnering with our host countries
Endeavour is aware of the projected societal and climate
trends that are expected to affect the communities living
in and around our mining operations. To assist our host
communities address climate change, we are implementing
a range of nancial, technical and policy led investments,
demonstrated as follows:
•
Investments focused on education, with a particular
emphasis on children and women. This supports a
potential step change away from subsistence farming
in the future.
•
The education of women, in tandem with bursaries
to support entrepreneurial initiatives, provides
empowerment and promotes the role of women as
key contributors to both the household and the wider
community.
•
The provision of freshwater for both village supplies
and irrigation to improve access in/around the mine
sites reduces the direct risk to communities that are
competing with industry for supply.
We are proud to have joined the African
Business Leaders Coalition (“ABLC”), an
initiative sponsored by the United Nations
Global Compact and launched during
COP27 in November 2022.
The ABLC is committed to sustainable development and
ambitious climate action by bringing the perspectives
of African CEOs and Board Chairs into the global
conversation. We believe we can help enable an
equitable and just transition in Africa by addressing the
social and environmental effects of climate change in
the countries where we operate.
The ABLC has appealed to African governments
to translate climate plans into bankable climate
projects and urged the international community to
exchange knowledge and technologies with local
companies, communities, and governments to tackle
decarbonisation and adaptation. The statement also
called for the international community to provide more
access to global nance for African businesses to
accelerate the transition to a future-t economy.
•
Our decarbonisation strategy is aligned with our
host governments’ desire to increase their country’s
renewable energy mix. For example, Côte d’Ivoire has set
an ambitious target to produce 42% of its energy from
renewable energy sources by 2030.
•
The potential to use in-pit tailings at two of our
operations, Sabodala-Massawa in Senegal and Wahgnion
in Burkina Faso. In-pit tailings have been widely used
in Australia and are a proven method of safe tailings
storage, however this technique has been under-utilised
in West Africa. We have been working with the relevant
mine regulators to explain how in-pit tailings work and
the benets they offer, including removal of signicant
earthworks and potential to reduce the need to displace
communities to make way for an above surface TSF.
This is a technique that could also be adopted by other
mining operations in the region.
The implementation of key mitigation measures including a corporate reduction in carbon emissions, a corporate
reduction in water demands, and a corporate transition to renewable power supplies promotes a clear commitment by
Endeavour to reducing the contributory impact of our mines to climate change.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 89
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
Governance
Disclose the organisation’s governance around climate-related risks and opportunities
Recommended disclosures
and disclosure level Page 2020* 2022 Summary of progress in 2022
a) Describe the Board’s
oversight of climate-
related risks and
opportunities
Page 92 includes a
summary of the Board’s
oversight of climate-
related risks and
opportunities
• Inclusion of carbon reduction targets in
Company’s incentive plans.
• The Board, and its ESG, TS&H and Audit
Committees regularly review and evaluate risks,
opportunities and impacts related to Endeavour’s
climate change strategy.
b) Describe
management’s role in
assessing and managing
climate-related risks and
opportunities
Page 93 includes
a summary of
management’s role in
assessing and managing
climate-related risks and
opportunities
• Management executes our climate change
strategy, monitors our performance, and reports
to the Board on our progress against targets.
• Decarbonisation Working Group established,
reporting into the ESG Executive Steering
Committee.
Strategy
Disclose the actual and potential impacts of climate-related risks and opportunities on the organisation’s businesses,
strategy and nancial planning where such information is material.
Recommended disclosures
and disclosure level Page 2020* 2022 Summary of progress in 2022
a) Describe the climate-
related risks and
opportunities the
organisation has
identied over the
short, medium and
long-term
Pages 95 to 100
describes physical risks
and opportunities, pages
101 to 102 describes
transition risks and
opportunities.
Page 85 includes details
of the emerging risks.
• We face a broad range of climate-related risks.
These include physical risks such as extreme
weather events and transitional risks such as
reputational, legal and technological risks. These
are all monitored and evaluated as part of our
overall strategic planning.
b) Describe the impact of
climate-related risks
and opportunities on
the organisation’s
businesses, strategy,
and nancial planning
Page 100 described
impact of physical
risks, pages 101 to
102 describes impact
of transition risks and
opportunities.
• We have identied a range of abatement
opportunities, including solar power, which will
reduce both our carbon emissions as well as
operating costs.
• Whilst adapting to climate change, we have
produced opportunities through cost saving and
efciency improvements in resource usage.
c) Describe the resilience
of the organisation’s
strategy, taking into
consideration different
climate-related
scenarios, including a
2°C or lower scenario
Page 102 describes
the resilience of the
organisation’s strategy.
• Transition risks are evaluated as low in the
particular region Endeavour is operating over
the short, medium and long-term.
• Conducted climate change scenario planning for
the Group, which was aligned with the qualitative
risks assessment by sites and the planned
mitigation measures.
*2020 Deloitte TCFD readiness assessment
Disclosed in line with all TCFD recommendations
Disclosed in line with some TCFD recommendation
Not disclosed
DISCLOSURES RELATED TO TCFD
In line with the UK Listing Rules, the Company conrms that its 2022 Annual Report includes climate-related nancial
disclosures consistent with the Task Force for Climate-related Financial Disclosures (“TCFD”) Recommendations and
Recommended Disclosures, and that areas of non-compliance with the TCFD recommendations have been appropriately
identied. This section contains the relevant disclosures or otherwise provides cross-references where the disclosures
are located elsewhere in the report.
ENDEAVOUR MINING PLC ANNUAL REPORT 202290
Risk management
Disclose how the organisation identies, assesses, and manages climate-related risks
Recommended disclosures
and disclosure level Page 2020* 2022 Summary of progress in 2022
a) Describe the
organisation’s
processes for
identifying and
assessing climate-
related risks
Refer to page 63 for
risk identication and
management process,
and page 103 for further
detail and specic
examples.
• We conducted a multi-disciplinary risk
assessment workshop to review and assess our
risks, including physical and transitional climate-
related risks.
• In 2022 we identied two emerging risks,
including one related to climate change.
b) Describe the
organisation’s
processes for
managing climate-
related risks
Refer to page 63 for
risk identication and
management process,
and page 103 for further
detail and specic
examples.
• Management and employee incentivisation
through bonus scheme metrics to drive
appropriate behaviour.
• Climate Change Scenario Risks Assessments
have been completed across all operations.
These risks will be incorporated into Endeavour’s
risk management framework and will be governed
accordingly.
c) Describe how
processes for
identifying, assessing,
and managing climate-
related risks are
integrated into the
organisation’s overall
risk management
Refer to page 63 for
risk identication and
management process,
and page 104 for
specic examples of
2022 initiatives.
• Climate-related risks are considered and
managed within Endeavour’s corporate risk
management framework, which includes board
oversight.
Metrics and targets
Disclose the metrics and targets used to assess and manage relevant climate-related risks and opportunities where such
information is material
Recommended disclosures
and disclosure level Page 2020* 2022 Summary of progress in 2022
a) Disclose the
metrics used by the
organisation to assess
climate-related risks
and opportunities in
line with its strategy
and risk management
process
Pages 14 to 25 includes
details of our strategy.
Page 105 includes further
details of our strategy.
• We use and disclose a wide range of climate-
related metrics in order to manage the business
and our risks.
• We plan to introduce an internal carbon price
during 2023 to better understand, manage and
control potential costs related to climate change.
b) Disclose Scope 1,
Scope 2, and, if
appropriate, Scope 3
GHG emissions, and
the related risks
Page 105 shows our
Scope 1, 2 and 3 GHG
emissions. Page 107
shows emissions by mine.
• We publish our Scope 1, 2 and 3 emissions
annually, including commentary on our
performance.
c) Describe the
targets used by
the organisation to
manage climate-
related risks and
opportunities and
performance against
targets
Our climate-related
goals and ambitions
are described on
pages 21 and 79.
Further details are
on page 107.
• Endeavour sets emission reduction targets
that support our goal to reduce our emissions
intensity by 30% by 2030 and our ultimate
ambition to be Net Zero by 2050.
• Disclosure of our climate-related targets enable
us to track our progress toward our 2030 and
2050 targets.
• In 2022, we set an annual target of 670kg CO
2
oz
produced, which we beat, producing
640kg CO
2
oz produced.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 91
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
Governance
TCFD recommendation:
Disclose the organisation’s governance around climate-related issues
and opportunities.
a) Describe the board’s oversight of climate-related risks and opportunities
Responsibilities Key Outcomes in 2022
Board The Board is accountable and has ultimate
responsibility for ensuring that material climate-
related risks, opportunities and issues are
appropriately integrated into the Group’s business
plans, risk management and decision making. The
Board reviews the Group’s climate-related issues,
compliance, decarbonisation strategy, actions and
performance.
• Decision to include carbon reduction targets
in the short and long-term incentive plans.
• Approval of an annual target for 2022 –
670kg CO
2
emissions per ounce of gold
produced. See further details in s172
statement on pages 78 to 79.
• Approval of a three-year target to replace
50% of existing diesel Genset capacity
utilised with equivalent solar power capacity.
Board
committees
ESG – Sets the Group’s ESG strategy and supports
the Company in fullling its responsibilities in
respect of ESG targets and commitments (page
140 for further details).
Technical, Health & Safety – Monitors the technical
aspects and capital projects related to the Group’s
ESG strategy, including safety, occupational health,
tailings and renewable energy projects (page 139
for further details).
Audit – corporate risk management, including ESG-
related risks (pages 130 to 138 for further details).
Board committees assist the Board in their review
of the Group’s climate-related issues, compliance,
decarbonisation strategy, actions and performance.
• Monitoring progress of 2022 CO
2
emissions
target and the tracking of Scope 3
emissions.
• Inclusion of climate change as an emerging
risk. Refer to further details in the risk
management section on pages 62 to 71.
• Review of 2021 Sustainability Report and
climate-related disclosures.
• Review of climate scenario analysis and
associated risks.
DISCLOSURES RELATED TO TCFD CONTINUED
Board
Board ESG CommitteeBoard TS&H Committee
Exco ESG Steering Committee
CEO, CFO, COO, EVP ESG, IR,
Sustainability, Tech Services
Operational Management
Reporting on emissions, fuel & energy consumption, progress of
abatement initiatives, identifying decarbonisation opportunities
Decarbonisation Working Group RGMP Working Group
Quarterly
Quarterly
Quarterly
Weekly
Monthly
ENDEAVOUR MINING PLC ANNUAL REPORT 202292
b) Describe management’s role in assessing and managing climate-related risks
and opportunities
Responsibilities Key Outcomes in 2022
Chief Executive
Ofcer
The CEO is responsible for driving Endeavour’s
climate change strategy, supported by his senior
management team and functional leads.
Remuneration package includes incentives linked to
climate change and decarbonisation performance
(pages 141 to 156 for further details).
• Leading negotiations with the relevant
Government authorities in Burkina Faso and
Senegal in relation to Endeavour’s planned
solar projects.
Executive
ESG Steering
Committee
Composition and responsibilities:
CEO, CFO, COO, EVP for Public Affairs and
Security, EVP of Supply Chain and ESG, as well
as senior management from Technical Services,
Sustainability, and Investor Relations.
Reports into the Board ESG Committee on a
quarterly basis and provides internal oversight of
our decarbonisation strategy, initiatives, progress
and performance.
• Approval of Energy and GHG Emissions
Management Policy.
• Commissioned climate scenario planning
analysis work.
Decarbonisation
Working Group
The DWG is a multi-disciplinary group comprising
key functions across the business who are
responsible for the implementation and delivery of
our decarbonisation strategy, as well as compilation
of the Group’s climate-related data and disclosure.
Its members include representatives from technical
services, investor relations, water management and
sustainability.
• Improved reporting of Scope 3 emissions.
• Conducted climate change risk
assessments at all sites.
• Climate change roadshow to all operations,
promoting decarbonisation strategy and the
Energy and GHG Emissions Management
policy.
• Improvement in CDP rating from C to
B-, ranking Endeavour 3
rd
amongst its
gold peers.
RGMP Working
Group
Responsible for implementing the RGMPs, including
RGMP 10, related to climate change
• Successful external assurance conrming
conformance with all the RGMPs at our Ity
and Houndé mines, including RGMP 10, as
per the World Gold Council timeframe.
Operational
Management
Provide regular reports (daily, weekly, monthly) to
management on operating environment, which
includes any climate-related issues. Responsible
for ensuring climate risk awareness is embedded
into day-to-day operations, including climate risk
identication, and implementation of climate
risk mitigation programmes. The mine General
Managers report to the COO, who is a member
of the ESG Executive Steering Committee and
regularly attends the DWG.
• Conducted energy audits at all sites
• Updated climate change risks at each site.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 93
STRATEGIC
REPORTOVERVIEW
Strategy
TCFD recommendation:
Disclose the actual and potential impacts of climate-related risk and
opportunities on the organisation’s business, strategy and nancial planning.
Endeavour recognises climate change as a key risk. In
2022 we conducted a climate change scenario analysis,
in accordance with TCFD, which details an overview
of the governance structure and business resilience
surrounding climate related risks and opportunities,
the outcomes of the scenario analysis and climate risk
assessment, including actual and potential impacts, and
the approaches for analysis and mitigation of climate
related risks.
Climate-related physical risks may include a variety
of effects:
• Direct damage to assets, as a result of extreme
weather events (i.e. oods, storms) or rising sea levels.
• Changes in water availability, sourcing, and quality,
often with consequent social impacts.
• Disruption to operations, ability to transport goods and
supplies and impacts on employee/community safety,
and more.
The scenario analysis considered acute and chronic
physical climate risks over three time periods: 2025 (short-
term), 2030 (medium-term) and 2040 (longer-term), based
on the current life of our asset base, and built on existing
site level risk assessments to identify site vulnerabilities
and options for mitigation, as well as transition risks.
The scenario analysis was built on available climate
scenarios, including a “pessimistic” high carbon (or high
physical risk) scenario
1
, and an “optimistic” ambitious and
disruptive low carbon scenario
2
as outlined below to ‘stress
test’ the resilience of the business.
1. Pessimistic scenario: projected socioeconomic global changes towards deeper fossil-fuelled development (SSP5). Emissions continue to rise throughout
the entire 21
st
century (RCP8.5)
2. Optimistic scenario: projected socioeconomic global changes towards sustainability (SSP1). Carbon dioxide emissions start declining by 2020 and go to
zero by 2100 (RCP2.6).
STRATEGIC REPORT
DISCLOSURES RELATED TO TCFD CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 202294
PHYSICAL RISKS
a) Describe climate-related risks and opportunities that the organisation has identied
over the short, medium and long-term.
Chronic risks
Scenario
Change in max daily rainfall (mm) Change in median temperature (˚C)
2025 2030 2040 2025 2030 2040
Sabodala-Massawa
Optimistic 1.8 2.0 3.6 0.7 0.8 0.9
Intermediate 1.9 3.4 2.5 0.6 0.7 1.1
Pessimistic 3.1 1.2 4.1 0.6 0.9 1.3
Ity
Optimistic (0.7) (1.3) (0.1) 0.6 0.7 0.9
Intermediate — (1.4) (0.1) 0.6 0.7 0.9
Pessimistic (0.9) 1.6 (0.5) 0.6 0.8 1.2
Lagué
Optimistic 1.1 (0.9) 3.3 0.6 0.8 0.9
Intermediate 3.3 1.1 5.2 0.6 0.7 1.0
Pessimistic 1.5 1.6 4.1 0.6 0.8 1.2
Houndé
Optimistic 4.3 4.5 4.3 0.6 0.8 0.9
Intermediate 5.5 4.4 6.9 0.6 0.7 1.0
Pessimistic 6.3 5.8 8.1 0.5 0.7 1.2
Mana
Optimistic 5.0 5.5 3.3 0.6 0.8 0.9
Intermediate 4.2 3.5 7.2 0.6 0.7 1.0
Pessimistic 5.8 5.7 9.0 0.6 0.7 1.2
Wahgnion
Optimistic 4.5 2.0 4.6 0.6 0.8 0.9
Intermediate 7.4 3.9 5.3 0.6 0.7 1.0
Pessimistic 5.9 5.4 6.6 0.6 0.7 1.2
Boungou
Optimistic 3.6 5.6 5.1 0.7 0.8 0.9
Intermediate 3.7 1.9 8.0 0.6 0.7 1.0
Pessimistic 6.4 6.1 8.9 0.5 0.6 1.1
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 95
STRATEGIC
REPORTOVERVIEW
Acute risks
Delineation of acute risks
Extreme heat Extreme precipitation Severe storms Wildres
by 2025
Low risk > 5 exceptionally hot
days per year
Max daily rainfall in
1% (100 year) event
> 100mm
No. days weather
conducive to storms
> 5 per year
Mean no. of wildres
> 2 per year
Medium risk > 10 exceptionally hot
days per year
Max daily rainfall in
1% (100 year) event
> 150mm
No. days weather
conducive to storms
> 10 per year
Mean no. of wildres
> 4 per year
High risk > 20 exceptionally hot
days per year
Max daily rainfall in
1% (100 year) event
> 200mm
No. days weather
conducive to storms
> 20 per year
Mean no. of wildres
> 8 per year
By 2030
Low risk > 5 exceptionally hot
days per year
Max daily rainfall in
1% (100 year) event
> 100mm
No. days weather
conducive to storms
> 5 per year
Mean no. of wildres
> 2 per year
Medium risk > 10 exceptionally hot
days per year
Max daily rainfall in
1% (100 year) event
> 150mm
No. days weather
conducive to storms
> 10 per year
Mean no. of wildres
> 4 per year
High risk > 20 exceptionally hot
days per year
Max daily rainfall in
1% (100 year) event
> 200mm
No. days weather
conducive to storms
> 20 per year
Mean no. of wildres
> 8 per year
By 2040
Low risk > 5 exceptionally hot
days per year
Max daily rainfall in
1% (100 year) event
> 100mm
No. days weather
conducive to storms
> 5 per year
Mean no. of wildres
> 2 per year
Medium risk > 10 exceptionally hot
days per year
Max daily rainfall in
1% (100 year) event
> 150mm
No. days weather
conducive to storms
> 10 per year
Mean no. of wildres
> 4 per year
High risk > 20 exceptionally hot
days per year
Max daily rainfall in
1% (100 year) event
> 200mm
No. days weather
conducive to storms
> 20 per year
Mean no. of wildres
> 8 per year
Strategy continued
PHYSICAL RISKS
STRATEGIC REPORT
DISCLOSURES RELATED TO TCFD CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 202296
Burkina Faso
Acute risks
Climate scenario
Extreme heat Extreme precipitation Severe storms Wildres
by 2025
Optimistic scenario
Remaining
low
— Remaining
high to very high
1
— Remaining
medium
— Remaining
medium to high
2
Intermediate scenario
Remaining
low
— Remaining
high to very high
1
Remaining
medium
— Remaining
medium to high
2
Pessimistic scenario
Remaining
low
— Remaining
high to very high
1
Remaining
high
— Remaining
medium to high
2
By 2030
Optimistic scenario
Remaining
low
— Remaining
high to very high
1
— Remaining
medium
— Remaining
medium to high
2
Intermediate scenario
Remaining
low
— Remaining
high to very high
1
Remaining
medium
— Remaining
medium to high
2
Pessimistic scenario
Remaining
low
— Remaining
high to very high
1
Remaining
high
— Remaining
medium to high
2
By 2040
Optimistic scenario
Remaining
low
— Remaining
medium to high
3
— Remaining
medium to high
4
— Remaining
medium to high
3
Intermediate scenario
Remaining
low
Remaining
medium to high
3
Remaining
medium to high
3
— Remaining
medium to high
3
Pessimistic scenario
From
low to medium
Remaining
medium to high
3
Remaining
medium to high
3
— Remaining
medium to high
3
1. Very high risk only applicable to Wahgnion
2. Medium risk only applicable to Houndé and Boungou
3. High risk only applicable to Houndé and Boungou
4. High risk only applicable to Houndé
— No Increase in likelihood Steady increase in likelihood Sharp increase in likelihood
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 97
STRATEGIC
REPORTOVERVIEW
Senegal
Climate scenario
Acute risks
Extreme heat Extreme precipitation Severe storms Wildres
by 2025
Optimistic scenario
Remaining
low
— Remaining
very high
— Remaining
medium
Remaining
very high
Intermediate scenario
Remaining
low
— Remaining
very high
— Remaining
medium
Remaining
very high
Pessimistic scenario
Remaining
low
— Remaining
very high
— Remaining
high
Remaining
very high
by 2030
Optimistic scenario
Remaining
low
— Remaining
very high
— Remaining
medium
Remaining
very high
Intermediate scenario
Remaining
low
— Remaining
very high
— Remaining
medium
Remaining
very high
Pessimistic scenario
Remaining
low
— Remaining
very high
— Remaining
high
Remaining
very high
by 2040
Optimistic scenario
From
low to medium
— Remaining
very high
— Remaining
medium
Remaining
very high
Intermediate scenario
From
low to medium
— Remaining
very high
— Remaining
medium
Remaining
very high
Pessimistic scenario
From
low to medium
— Remaining
very high
— Remaining
high
Remaining
very high
— No Increase in likelihood
Steady increase in likelihood Sharp increase in likelihood
STRATEGIC REPORT
DISCLOSURES RELATED TO TCFD CONTINUED
Strategy continued
PHYSICAL RISKS
ENDEAVOUR MINING PLC ANNUAL REPORT 202298
Côte d’Ivoire
Climate scenario
Acute risks
Extreme heat Extreme precipitation Severe storms Wildres
By 2025
Optimistic scenario
Remaining
low
Remaining
very high
Remaining
medium to high
1
— Remaining
medium to high
2
Intermediate scenario
Remaining
low
Remaining
very high
Remaining
medium to high
1
— Remaining
medium to high
2
Pessimistic scenario
From
low to medium
Remaining
very high
Remaining medium
to high
1
— Remaining
medium to high
2
by 2030
Optimistic scenario
From
low to medium
Remaining
very high
Remaining
medium to high
1
— Remaining
medium to high
2
Intermediate scenario
From
low to medium
Remaining
very high
Remaining
medium to high
1
— Remaining
medium to high
2
Pessimistic scenario
From
low to medium
Remaining
very high
Remaining
medium to high
1
— Remaining
medium to high
2
by 2040
Optimistic scenario
From
low to medium
Remaining
very high
Remaining medium
to high
1
— Remaining
medium to high
2
Intermediate scenario
From
low to medium
Remaining
very high
Remaining medium
and increasing
likelihood from
medium to high
4
— Remaining
medium to high
2
Pessimistic scenario
From
low to high
Remaining
very high
Remaining
medium to high
1
— Remaining
medium to high
2
1. Lagué at medium risk, Ity at high risk
2. Ity at medium risk, Lagué at high risk
3. Lagué at medium risk, Ity at high risk
4. Steady increase in likelihood remaining at medium risk at Lagué, Increasing likelihood at medium to high risk at Ity
— No Increase in likelihood Steady increase in likelihood Sharp increase in likelihood
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 99
STRATEGIC
REPORTOVERVIEW
b) The impact of climate-related risks and opportunities on the organisation’s business
strategy and nancial planning.
Acute physical risks are included in our climate change risk assessments and we work to develop and implement
appropriate management plans. For example, we manage the risks of ooding in the pits, which can stop or slow
operations and lead to discharge of sediment, as well as negatively impacting our communities around these mines. All
of our mines have a wet season preparation strategy and sediment control plans in place. We are also aware of the social
risks of increased temperature, leading to vector-borne diseases, impacting our workforce and our productivity.
Potential impacts of physical risks
Risks
Burkina
Faso Senegal
Côte
d’Ivoire Potential impacts Mitigations & adaptions
Increase
in extreme
precipitation
— —
• Stormwater/tailings pond overow
• Flooding in open pits, causing
disruption to production
• Flooding or heavy rains causing
damage to transport infrastructure,
potentially disrupting our supply
chain
• Tailings management & design.
• Wet weather programme in place.
• Warehouse stock management.
Increase in
storm surge
and coastal
ooding
X
• Impact to shipping ports, causing
a disruption in supply chain and
potentially a shortage in supplies
• Warehouse stock management.
• Adaptions to mining operations.
Increase in
instances of
extreme heat
• Worker health and safety
• Increased cooling costs
• Endeavour’s health and safety
management systems.
• Equipment specication.
Decrease
in water
availability/
droughts
• Increased competition for water with
community
• Decrease in availability of
hydroelectric power in Côte d’Ivoire
and Senegal, thereby increasing use
of fossil fuel for power generation,
and consequently increasing
Endeavour’s emissions
• Setting of annual water targets to
improve recycling and efciency use
and to ensure less consumption from
the water table.
• Abatement projects to decrease our
carbon footprint.
• Potential solar project in Senegal to
decrease both reliance on fossil fuel
and carbon emissions.
Increase in
wildres
—
— • Operational disruptions resulting
from damage / destruction of power
transmission lines, which could
impact production
• Employee commuting routes
impacted
• Adaptions to mining operations and
employee rosters.
Increase in
extreme wind
—
• Increased dust in operational areas,
as well as nearby communities, from
mining activities
• Increased dewatering and adaptions
to mining operations.
Increase in
vector-borne
disease
• Increase in health risks with
employees, contractors and local
communities potentially impacted,
causing a possible disruption in
production due to labour shortages
• Building on lessons learnt managing
Ebola and COVID-19, a health
crisis management plan will be
implemented with site restrictions,
changes to employee rosters.
— Risk reamins steady
Increasing risk X Not relevant
In 2023, as an outcome of this scenario planning, we plan to revisit the site level climate change risk assessments in
order to update and expand them, which will include a comprehensive risk matrix and risk register at each site which is
informed by the latest acute and chronic risk assessments from the climate scenario analysis.
STRATEGIC REPORT
DISCLOSURES RELATED TO TCFD CONTINUED
Strategy continued
PHYSICAL RISKS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022100
TRANSITION RISKS
Risk/
opportunity Area
Description of
risk/opportunity Impact
Risk Policy and
Legal
Increase in climate
change regulations
• Cost of compliance to carbon pricing/taxes.
• Increased cost of energy.
• Increased cost of raw materials.
• Increased compliance and disclosure costs.
Risk Policy and
Legal
Increases in fuel
excise taxes
• Increases in fuel excise taxes, an implicit form of carbon pricing, could
increase the cost of fuel in Burkina Faso and Côte d'Ivoire resulting in
increased costs to transportation and other products and services.
• Senegal is discussing carbon pricing as one of the instruments to
consider in reducing its GHG emissions.
• Endeavour is subject to current domestic climate change policy.
There is the potential for future legislation and additional policy
requirements. Endeavour monitors the situation closely.
Risk Policy and
Legal
Exposure to Litigation
• Litigation to hold companies to account for their actions to address
and contributions to climate change is becoming increasingly
common.
• Endeavour may be negatively impacted by climate change-related
litigation, however there currently is no precedent for legal action on
climate in Endeavour's countries of operations.
Opportunity Policy and
Legal
Increase in renewable
energy opportunities
• As host countries step up the ght against climate change, more
renewable energy projects could come on stream, providing Endeavour
with an opportunity to source renewable energy to power its
operations, thereby reducing its Scope 2 carbon footprint.
Opportunity Policy and
Legal
Nature-based
solutions
• With an increased focus on nding nature-based solutions to
tackle climate change, Endeavour’s biodiversity actions, including
rehabilitation and reforestation, could contribute to lowering its overall
carbon emissions.
Risk Reputation Investor demand
for environmental
disclosures
• Companies that don’t meet investor expectations regarding carbon
performance and disclosure may experience increased costs of
capital or inability to access capital. Conversely, companies that
are able to meet investor expectations may benet from decreased
costs of capital or increased ability to access capital. Endeavour is
already reporting to investors and disclosing climate change related
information. In 2023, it plans to develop an internal cost of carbon.
Opportunity Markets
and
Economy
Gold can play a vital
role in technologies
that may help
facilitate the
transition to a low-
carbon future
• Increased demand for gold in future technologies could increase
the value of the product, which could positively impact Endeavour’s
revenues.
Opportunity Markets
and
Economy
Gold’s risk-return
prole and its
sensitivity to climate-
related physical
and transition risks
looks relatively
robust, particularly in
comparison to many
other mainstream
assets
• Increased demand for gold in future technologies could increase
the value of the product, which could positively impact Endeavour’s
revenues.
• Heightened market volatility and uncertainty from climate-related risks
are likely to be supportive of further investment demand for gold, as
gold’s roles as a risk hedge, portfolio diversier and market insurance
asset are well established. Gold may have an additional role to play
as a climate risk mitigation asset in long-term investment strategies.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 101
STRATEGIC
REPORTOVERVIEW
Risk/Opportunity
Future climate change legislation and policy may impose increasingly stringent restrictions on fossil fuels for power
generation and other end-uses
The likelihood and anticipated consequence of transition risks that are considered to have signicant potential to directly
impact Endeavour have been assessed. An independent evaluation by an external consultant of Legal, Technological,
Market and Reputational related risks within the mine jurisdictions has concluded that there is no tangible risk to
Endeavour Mining within the projected timeframes (i.e. to 2040). There is however a future potential for climate-related
legislation and policy requirements, as set out within the table below.
>3ºC Scenario
Description Likelihood Consequence
A less rapid and less stringent national decarbonisation pathway is not likely to affect projected
company economics and offtake demand (as this pathway largely corresponds to existing
national policies and plans)
Unlikely Minor
≤2ºC Scenario
Description Likelihood Consequence
A more rapid and more stringent national decarbonisation pathway may affect the future
economic viability of the company, depending on each country’s approach to transitioning to
renewable energy technologies
Low Moderate
In summary, Endeavour is considered to have no high signicant Transition Risks.
Group’s overall performance against our global gold peers,
the results demonstrate we have one of the lowest carbon
emissions. Refer to page 107 for emissions presented on
a mine-by-mine basis.
We believe the resilience of the business to climate change
has been strengthened by the effective use of scenario
analysis to determine the impact of climate-related risks
and opportunities on the organisation’s businesses,
strategy, and nancial planning, and will allow us to
nd effective measures to mitigate risk and maximise
opportunity.
We have identied solar power opportunities in Senegal and
Burkina Faso that will reduce our reliance on hydrocarbons,
thereby improving our emissions and cost prole, along with
the added benet of providing solar power to communities
surrounding the mines in the longer term and increasing
the host countries renewable energy prole. To implement
these projects, we will need government approvals and we
are in discussions with the relevant authorities to progress
these to a positive outcome.
We believe in the face of a growing global crisis,
technological advancements will gain pace and become
available over the next few years. With that in mind, we
plan to update our Group emissions target by 2025 to
reect the realistic possibility of including some of these
additional levers, such as hydrogen energy, electrifying
material movement and nature-based solutions.
The World Gold Council has previously identied that the
source of most of the GHG emissions from the gold sector
are related to gold mining operations. They estimate around
95% of those emissions are associated with purchased
power or fuel combustion. Of this, electricity represents the
largest source of emissions at the mine site. The ability for
the gold industry to demonstrate its capacity to contribute
to emissions reduction aligned to Paris targets is therefore
largely dependent on its ability to change how it sources
and uses power and fuels.
Our Group ‘Energy and GHG Emissions Management Policy’
sets a clear precedent for GHG emission objectives, targets
and commitments that align with the Paris Agreement on
Climate Change.
Our 30% reduction in emissions intensity by 2030 is
aligned to a below 2ºC climate change scenario. To
support the achievement of this target, we plan to continue
progressing our decarbonisation strategy over the coming
years as we recognise that, ultimately, we need to develop
an emissions reduction target and strategy that is aligned
with a 1.5C pathway and with the Science-Based Targets
initiative (“SBTi”).
A comparison of Endeavour’s annual GHG emissions on a
mine-by-mine basis against peer operations indicates that
our performance is commensurate with other similar scale
gold mines across West Africa, although comparing the
c) The resilience of the organisation’s strategy, taking into consideration different
climate-related scenarios, including a 2ºC or lower pathway scenario.
Strategy continued
TRANSITION RISKS
STRATEGIC REPORT
DISCLOSURES RELATED TO TCFD CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 2022102
Risk management
TCFD recommendation:
Disclose how the organisation identies, assesses and manages
climate-related risks.
a) Describe the organisation’s processes for identifying and assessing climate-related
risks.
b) Describe the organisation’s processes for managing climate-related risks.
c) Describe how processes for identifying, assessing and managing climate-related
risks are integrated into the organisation.
Our risk management framework is designed to, among
other things, meet the requirements of TCFD for identifying,
managing and monitoring climate-related risks. Climate-
related risks are reviewed annually as part of our multi-
disciplinary Group-wide risk management process over
both the short and medium-term. They are integrated
within our CRM system as part of our broader review of
ESG-related risks.
The materiality of risks, as well as opportunities, are
evaluated based on their nancial or operational impact
over the short, medium and long-term using both
qualitative and quantitative judgements. These risks are
also embedded in our strategy and our decision-making
for each of our mines and development-stage projects.
During 2022, to deepen our understanding of the
climate-related risks and opportunities posed to our
business, we conducted site-specic climate-related
risk analysis and commissioned a climate-scenario risk
planning analysis. The main acute and chronic physical
risks identied by the assessment were broadly aligned
with our previous site level qualitative risk assessment
ndings, afrming a good appreciation by the operations
of the main physical risks applicable and subsequent
mitigation options available. The acute and chronic risk
assessments have enabled a deeper appreciation of
climate change over the selected time periods and
provided us with an option to further scrutinise both the
climate risks and the key vulnerabilities at our mines,
as well as to further increase the resilience of future
operations from the physical effects of climate change.
Our CRM system identies and manages key physical
risks from climate change.
We have noted the possibility of more frequent,
severe weather patterns which could compromise our
infrastructure, impact any number of functions at our
operations, and disrupt supply chain.
Acute physical risks are included in our climate change
risk assessments and we work to develop and implement
appropriate management plans. For example, some of our
mines experience a prolonged wet season with signicant
rainfalls. We manage the risks of ooding in the pits,
which can stop or slow operations and lead to discharge of
sediment, as well as negatively impacting our communities
around these mines. All of our mines have a wet season
preparation strategy and sediment control plans in
place. We are also aware of the social risks of increased
temperature, leading to vector-borne diseases, impacting
our workforce and our productivity.
We monitor climate-related regulatory and policy changes
in our host countries. Notications of changes in legislation
and regulations are regularly received from the ofcial
gazette subscription service of the Ivorian, Burkinabe and
Senegalese Governments and disseminated across the
business. Changes to climate regulation could impact our
business and operations through potential increased cost
of water and energy supplies.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 103
STRATEGIC
REPORTOVERVIEW
2022 Initiatives
To foster an energy efciency culture, we approved a Group
Energy and GHG Emissions Management Policy, which was
rolled out across all our sites, along with a climate change
awareness campaign and workshops.
We implemented a range of initiatives during the year
to both support our decarbonisation strategy as well as
manage our exposure to climate change, which are also
part of our focus on optimising operational efciencies.
For example, we commenced in-pit disposing of waste
material, also known as waste backlling, to reduce
the creation of above ground waste dumps. This led to
a reduction in the haulage distances required for the
placement of waste rock material. For operations such
as Boungou, this methodology has resulted in saving
approximately 500,000 litres of LFO in ten months and at
Sabodala-Massawa, a reduction of approximately 600,000
litres of LFO for 2022. In 2023, Endeavour will continue to
dispose of mine waste material into mined out pits where
appropriate to further reduce fuel usage and associated
emissions. These locations include a section of nal wall
in Sabodala’s main pit, as well as a section of nal wall at
Houndé’s Kari Pump pit.
In addition to the in-pit disposal initiatives, fragmentation
optimisation is ongoing at all operations. The three
agship assets, Ity, Houndé, and Sabodala-Massawa,
have developed to a stage where their drill and blast
engineers are now using photographic fragmentation
monitoring software to improve blast outcomes. Improved
fragmentation is set to reduce excavator hours through
improved dig rates, reduced drill hours through wider
spacing, reduced crushing hours through reduced particle
size, or a combination of all three.
We successfully connected the Mana mine to the grid,
thereby reducing its reliance on HFO self-generation and
decreasing its carbon footprint. We also commenced the
process of transitioning portable generators onto the grid.
This project is nearing completion at the Ity Mine and
will shortly be rolled at the Houndé mine. The expected
reduction of fuel required for these generator sets is
approximately 870,000 litres at Ity and 500,000 litres at
Houndé per annum.
In 2021 we implemented a Fuel Management
System (“FMS”) at our Ity mine to reduce fuel
consumption and so far the results have been
encouraging. During 2022 Endeavour rolled out the
FMS system throughout the business on all mine
mobile equipment. The data being returned from this
system is now feeding into centralised databases
and reported monthly to mine management, it is
included as part of initiative framing, and forms a
critical KPI for operational improvement.
We also reviewed our Scope 3 emissions categories
and data collection with our suppliers to improve the
robustness of our reporting.
In 2021, Endeavour entered a digital transformation
journey. Our vision is to leverage digital as a core
operational excellence lever to move down the
cost curve and gain market resilience. Operational
excellence and costs optimisation denitely link to
ESG in the sense that operational efciencies will
ultimately lead to reduced emission intensity, and
it is the beauty of it, as a group we are all working
towards the same goals.
We completed two digitalisation projects during the
year to optimise the processing plants at our Ity and
Boungou mines. At Ity, the digitalisation of the blend
management has improved gold recovery thereby
contributing to better energy efciency. At Boungou,
the SAG mill digitalisation helps to optimise the
SAG mill's performance by improving ore throughput,
which also improves energy consumption.
In 2023, In addition to GHG emissions data,
Endeavour plans to develop additional metrics to
measure the progression of identied climate-related
risks and opportunities with reference to Table
C1 of the Task Force on Climate-related Financial
Disclosures Guidance on Metrics, Targets, and
Transition Plans (2021).
Refer to pages 62 to 71 for further details of our risk
management process.
Risk management continued
STRATEGIC REPORT
DISCLOSURES RELATED TO TCFD CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 2022104
Metrics and targets
TCFD recommendation:
Disclose the metrics and targets used to assess and manage relevant
climate-related risks and where such information is material.
a) Disclose the metrics used by the organisation to assess climate-related risks and
opportunities in line with its strategy and risk management process
For 2022, our total Scope 1 and 2 GHG emissions in
absolute terms increased by 4% to 884,929 tCO
2
-e,
compared to 853,151 tCO
2
-e in 2021, predominantly due
to a 57% increase in Scope 2 emissions year on year.
For 2022, our Scope 1 emissions were 749,338 tCO
2
-e,
a 2% decrease over 2021. Key drivers of our Scope 1
emissions for the year were Sabodala-Massawa mining
the Massawa deposit, which was not in operation in 2021,
an increase in Ity’s self-generation, while the Mana mine
reported a 15% reduction following the connection of the
processing plant to the national grid in the third quarter of
2022. Overall, our Sabodala-Massawa mine accounted for
30% of our Scope 1 emissions.
Improving the efciency of our operations, reducing energy
use and associated costs, and lowering our emissions
are key drivers for the long-term sustainability of the
Group’s business. In line with the Company’s strategy
of being a trusted partner (pages 18 to 21), Endeavour
has identied tackling climate change as a key priority
within its ESG strategy (page 19). The Group reports on
its GHG emissions (Scope 1 and Scope 2) as a KPI to
assess the Group’s performance against its strategy and
decarbonisation targets. The Group also reports its Scope
3 emissions for categories 1-4,6,7,9 and 10.
During 2022, the Company continued to improve its
collation and reporting of its Scope 1 and 2 GHG data and
for 2022, has expanded its reporting to include exploration
activities and approved capital projects that are not yet in
production, such as the Lagué development project, which
is currently in construction.
Over 99% of our emissions are from our operations in West
Africa. Our Scope 1 and 2 GHG emissions originating from
the UK are immaterial compared to the Group as whole and
contribute less than 1% to our total emissions.
b) Disclose Scope 1, Scope 2, and, if appropriate, Scope 3 GHG emissions,
and related risks
Unit 2022 2021
Scope 1 emissions tCO
2
-e 749,338 766,934
Scope 2 emissions tCO
2
-e 135,590 86,217
Total Scopes 1 and 2 emissions tCO
2
-e 884,928 853,151
Group emission intensity tCO
2
-e/oz 0.64 0.54
Scope 3 emissions tCO
2
-e 414,641 226,883
Group energy use kWh 618,441,311 616,545,486
Our Scope 2 emissions were 135,590 tCO
2
-e for 2022
from our Houndé, Ity and Mana mines, which represents
a 45% increase year on year. The main reason for the
increase was the 37% rise in purchased electricity
across the Group. On a mine-by-mine basis, Houndé was
the largest contributor, accounting for 55% of Scope 2
emissions. Interestingly, the electricity purchased from
Houndé exceeded Ity by only 16%, however, due to the
location-based Scope 2 emissions factors, Houndé
exceeded Ity by 110% as the emission factor for Burkina
Faso was 0.000661 tCO
2
-e/kWh, which is substantially
higher than the emission factor from Côte d’Ivoire, which
was 0.000401 tCO
2
-e/kWh as Burkina Faso saw a 17%
increase in thermal power generation.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 105
STRATEGIC
REPORTOVERVIEW
Scope 1
Scope 2
Scope 3
71%
8%
21%
57%
12%
31%
2022
2021
1,400,161koz
Total from continuing operations
928US$
Total from continuing operations
1,299,569
1,080,034
CURRENT STRUCTURE OF ENDEAVOUR'S
CARBON FOOTPRINT (tCO
2
-e)
SCOPE 3 EMISSIONS BREAKDOWN
(%)
6%
3%
2%
2%
82%
44%
43%
8%
1%
3%
6%
2022
2021
Category 1
Category 3
Category 2
Category 7
Category 4
Category 6
Category 9
Category 10
Our emissions intensity per ounce of gold production in
2022 increased by 18% to 0.64 tCO
2
-e/oz, compared
to 0.54 tCO
2
-e/oz in 2021 due to a decrease in gold
production, although it was below our 2022 target and
Group KPI of 0.67 tCO
2
-e/oz. Ity was the best performer
with 0.46 tCO
2
-e/oz and Wahgnion was the worst, with an
emissions intensity of 1.19 tCO
2
-e/oz, which represents
a 48% increase year-on-year which was mainly due to a
decrease in gold production.
Our overall energy use for 2022 was 10.3 million GJ, a
minor decrease compared to 10.5 million GJ in 2021.
Eight of the 15 Scope 3 emission categories are counted
by Endeavour. Approximately 80% of our Scope 3 emissions
come from just 15 suppliers. Our Scope 3 emissions
were 414,641 compared to 226,883 tCO
2
-e in 2021,
representing a 83% increase. This is predominantly due to
an improvement in our methodology and calculations
In 2021 a spend-based approach was used to calculate
Scope 3. Improvements in data collection and data
management around materials consumed during 2022
allowed Endeavour to improve their Scope 3 calculation
methodology.
We have revised the inclusion of Category 1 (purchased
goods), this year we have included it in Scope 3 and it
accounts for approximately 45% of our total Scope 3
emissions.
Category 3 (fuel and energy related activities) accounts
for 43% of our Scope 3 emissions in 2022. Category 7
(employee commuting) increased by 376% year-on-year
due to improved accounting, as we are now including
road transport for local employees travelling from host
communities. In 2021, we were just accounting for air
transport. We have also included a new category, Category
9 (downstream transportation of sold products), which
accounts for less 1% of the total.
If we analyse Scope 3 emissions, without the two new
categories (Category 1 and 9), there is only a 1% increase
in 2022 compared to 2021.
Our Scope 1,2 and 3 emissions were calculated by an
external consultant who used industry accepted and global
standardised frameworks and methodologies developed by
the GHG Protocol to manage and measure GHG emissions.
Calculation methodologies are also aligned with the IFC
Standards and utilised the following:
• Corporate Accounting and Reporting Standard (revised
edition) developed by the World Business Council for
Sustainable Development (WBCSD) and the World
Resources Institute (WRI); and
• GHG Protocol’s Scope 2 Guidance and Scope 3
Calculation Guidance documents.
Metrics and targets continued
STRATEGIC REPORT
DISCLOSURES RELATED TO TCFD CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 2022106
SCOPE 1 AND 2 EMISSIONS BY SITE
(tCO
2
-e)
tCO
-e)
Sabodala-
Massawa
Ity
Houndé
Mana
Wahgnion
Boungou
Lague
Kalana
Exploration
226,141
192,761
85,982
162,767
113,628
117,602
132,884
46,188
1,339
77,640
176,784
143,044
136,780
109,095
6,035 9,409
2022
2021
8.0
7.0
6.0
5.0
4.0
3.0
2.0
1.0
2021
ENERGY INTENSITY /
(GJ/oz gold produced)
2022
ENERGY CONSUMPTION
(GJ)
11,000
10,500
10,000
9,500
9,000
8,500
2022
2021
Our Scope 2 emissions are location-based, where possible.
We have disclosed our emissions and climate change work
to CDP since 2019. In 2022, we improved our rating from
a C to a B-, which places us in the management band and
the top 47% of respondents for our climate change work.
In 2022, we consumed a total of 618,441,311 kWh of
electricity at our West African operations, of which 40%
was from purchased electricity. Electricity consumption
from a UK source was immaterial relative to the rest of
the Group and constituted less than 1% of total
electricity consumed.
c) Describe the targets used by the
organisation to manage climate-related
risks and opportunities and performance
against targets.
Our goal is to be Net Zero by 2050 and to reduce our
emissions intensity by 30% by 2030. We’ve identied a
number of abatement initiatives to enable us to achieve
this target. Further details are described on pages 88
to 89.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 107
STRATEGIC
REPORTOVERVIEW
STRATEGIC REPORT
NON-FINANCIAL INFORMATION STATEMENT
Relevant
policies and
standards Information related to policies, any due diligence progress and the outcome
Environmental
policy
1
This policy sets out our objectives for sustainable development, with a focus on protecting the environment, efcient
management of the exploration and extraction of mineral resources, and the sustainable use of resources for the benet
of all stakeholders. Our values are based on "zero harm" environmental management and we are required to comply
with relevant laws and regulations or the relevant industry standards. We consider environmental issues in our decision-
making and our longer term business strategies. We ensure that internal and external stakeholders are aware of this
policy and the applicable responsibilities.
Environmental
policy
1
This policy highlights that we seek to make a meaningful contribution towards the people in the countries in which
we operate and to create resilient and self-sustaining communities, where people are equipped with the skills and
knowledge they need to prosper. Through our operations, and interactions with all stakeholders, we demonstrate our
respect for people, customs and beliefs.
Code of
Business
Conduct &
Ethics
1
This requires that Directors, employees, and contractors maintain the highest level of integrity in their dealings with
each other and with the public, as representatives of the Company. The policy promotes honest and ethical conduct; fair,
accurate and timely disclosures in our public lings; and compliance with laws and regulations. The policy also provides
a mechanism for reporting unethical conduct and outlines procedures in relation to conicts of interest, and their
resolution. We consider this policy when evaluating potential dealings with external stakeholders.
Diversity
Policy
1
This policy recognises that a diverse and talented workforce is a competitive advantage and states that we consider
highly qualied individuals at all stages of employment, while aiming to promote diversity including of race, sex, religion,
ethnic origin and disability. In particular, the policy highlights our commitment to the representation of women and ethnic
minorities at Board and management levels. We have increased our reporting on diversity throughout the organisation to
identify opportunities to increase diversity in the workplace.
Produced to comply with sections 414CA and 414CB of the Companies Act. The information listed is incorporated by cross-
reference.
Reporting requirement Relevant policies and standards Relevant information
Environmental matters Environmental policy
Social responsibility policy
TCFD
RGMPs 8-10
UN Global Compact Principles 7-9
Tailings Management policy
Energy and GHG policy
Information related to policies,
pages 108 to 109
TCFD disclosure, pages 86 to 107
RCMPs
UN Global Compact COP
Employees Environmental policy
Sustainability policy
Harassment prevention policy
Diversity policy
TCFD
RGMPs 4,6
UN Global Compact Principles 3-6
Information related to policies,
pages 108 to 109
Social (or employees), pages 26 to 31
RGMPs
Social matters Social responsibility policy
RGMPs 2, 3, 7
Local Procurement Reporting Mechanism
Information related to policies,
pages 108 to 109
RGMPs
Human rights Human rights policy
Supplier Code of Conduct
Modern Slavery Statement
Code of Business Conduct & Ethics
RGMP 5
UN Global Compact Principles 1-2
Information related to policies and standards,
pages 108 to 109
RGMPs
UN Global Compact COP
Anti-bribery and anti-corruption Anti-Bribery and Anti-Corruption Policy
Code of Business Conduct & Ethics
Supplier Code of Conduct
RGMP 1
Whistleblower Policy
UN Global Compact Principle 10
Information related to policies and standards,
pages 108 to 109
Governance, pages 110 to 163
UN Global Compact COP
Principal risks and impact on
business activity
Risk Management, pages 62 to 71
TCFD disclosures, pages 86 to 107
Business model Business model, pages 10 to 11
Non-nancial KPIs Strategic progress, pages 14 to 25
Reconciliation of non-GAAP measures
to IFRS in nancial review, pages 50 to 61
ENDEAVOUR MINING PLC ANNUAL REPORT 2022108
Relevant
policies and
standards Information related to policies, any due diligence progress and the outcome
Harassment
Prevention
Policy
1
This highlights our commitment to maintaining a work environment which respects all individuals, regardless of their age,
race, gender or religion. Harassment of any nature is considered unacceptable and will not be tolerated. This applies to
all of our stakeholders. Any issues can be reported without the complainant suffering adverse consequences.
Safety and
Health Policy
1
This policy states that Endeavour places the highest priority on safety and health in work practices and systems. We
are committed to complying with all occupational health and safety laws, or in the absence of such standards, leading
industry practices. Appropriate training and protective equipment is provided to ensure a safe work environment. Safety
at work is the responsibility of all levels of employees, through participation in safety inspections, training, reporting and
grievance mechanisms. Safety shares are undertaken at all levels of the organisation - daily pre-start safety meetings by
each department, weekly HSE meetings by management and monthly safety toolbox meetings. Safety shares are at the
forefront of our monthly operational reviews.
Local
Procurement
Reporting
Mechanism
2
We have committed to reporting to the LPRM, the aim of which is to increase and standardise information on local mine
site procurement processes and results. We prioritise local procurement as we understand the positive impact on the
local, regional, and national communities in which we operate. To monitor our progress in supporting LPRM, we have
categorised our database to better monitor and measure our local procurement processes.
Human Rights
Policy
1
This policy emphasises our respect for human rights and our commitment to treating all of our stakeholders fairly and
with dignity. We respect the values, religious beliefs, traditions and cultures of the communities in which we operate and
all applicable labour, child labour, modern slavery, and employment laws. In addition, we uphold the right to freedom of
expression, safe working conditions and the respect of human rights for our people by any security personnel operating
at our sites. The availability of the whistleblowing facility to report any breach of this policy underlies our commitment to
these principles.
Supplier Code
of Conduct
1
This policy outlines the conduct expected of our suppliers, including their subcontractors and sets out the ethical
standards that they must follow and upon which they will be assessed, which are consistent with Endeavour's own
policies as described herein. We carry out a due diligence process for our signicant suppliers to ensure that they are
aware of and comply with our various policies. Any violations of this policy can be reported on our whistleblower hotline.
Sanctions
Policy
1
This outlines the Company's policy of compliance with all applicable economic sanctions and trade control laws, rules
and regulations and of the identication and management of risks of a breach. We will not conduct business in, or have
any dealings with governments of any countries that are subject to comprehensive sanctions, or with any individuals who
are subject to economic sanctions. We have implemented a screening process to ensure compliance with this policy.
Modern
Slavery
Statement
1
This statement, made annually in response to section 54(1) of the UK Modern Slavery Act 2015, sets out the steps
taken by Endeavour to identify and mitigate the risk of modern slavery occurring in our business and supply chain.
Our commitment is highlighted in our other policies and the due diligence completed on our suppliers, with the inclusion
of a modern slavery clause in all of our new contracts.
Anti-Bribery
and Anti-
Corruption
Policy
1
The policy highlights our zero-tolerance approach to bribery and corruption and sets out the commitment of the Company
and its representatives to conducting business in an honest and ethical manner, reecting the highest standards of
integrity and compliance. The policy is posted on our website and throughout our mine sites and includes guidance
on identifying and avoiding improper payments. Our employees are made aware of this policy through the onboarding
process, and acknowledgement of it is required annually. Third party compliance with this policy is mandated in our
contracts.
Energy
Management
Policy
1
The purpose of this policy is to set out the Group’s commitment to achieving a reduction in its carbon emissions, with the
aim of achieving Net Zero by 2050 and a 30% reduction in emissions intensity by 2030. The Group commits under this
policy, to procuring energy in compliance with the Responsible Gold Mining Principles and complying with all applicable
legal and other requirements related to energy management and improving energy efciency.
Tailings
Management
Policy
1
The Group commits under this policy to comply with all applicable national or local governmental statutes, laws and
regulations in the jurisdictions in which it operates with regard to tailings facilities. It sets out that the Group is working
towards alignment with relevant international conventions and industry standards such as the Global Industry Standard
on Tailings Management (“GISTM”) and the World Gold Council. It states that the Group designs its TSFs in line with
industry good practice and in accordance with relevant industry guidelines such as the International Commission
on Large Dams (“ICOLD”), the Australian National Committee on Large Dams (“ANCOLD”) and the Canadian Dam
Association (“CDA”). The Group states that it recognises the sensitivity around water management and aims to return
water to the tailings facilities and that it develops emergency preparedness, management and response plans.
Whistleblower
Policy
1
This policy emphasises our commitment to compliance with laws, regulations, and the Company's own business and
ethics policies. It outlines the condential and anonymous process that is available under which people can report
violations of Group policies. The policy is communicated to all employees, electronically on our website, on social media
and posters at all of our sites. All employees are made aware of the whistleblower policy during their onboarding at the
Company. All whistleblower complaints are forwarded to the Audit Committee Chair directly who, with the appropriate
management who determines the appropriate action to be taken. There are no adverse consequences for anyone who
makes a whistleblower complaint in good faith. A summary of the whistleblower complaints made, the actions taken and
outcomes are reviewed by the Audit Committee and the Board at least quarterly.
1. Complete policy is available on the Endeavour website (www.endeavourmining.com).
2. Additional disclosures included in our 2021 Sustainability Report and will be included in our 2022 Sustainability Report.
This Strategic Report has been prepared in accordance with the requirements of the Companies Act 2006, has been
approved and signed on behalf of the Board.
SRINIVASAN VENKATAKRISHNAN
CHAIR
15MARCH 2023
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTSGOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 109
STRATEGIC
REPORTOVERVIEW
CHAIR’S
INTRODUCTION
TO
GOVERNANCE
More information on these changes
and initiatives are set out on the
pages that follow.
As at 31 December 2022, the Board
conrms that the Company has
applied the principles and complied
with the provisions outlined in the
UK Code other than in respect of
provision 38 and some elements
of provision 41.
Provision 38 states in respect of
executive directors, that “only basic
salary should be pensionable.” Under
our Remuneration Policy, although
the pension contribution rate for the
Chief Executive is aligned with that
available to the UK workforce, at 6%,
it is measured, (for both the Chief
Executive and the workforce), on
the quantum of the STIP (or bonus)
award in addition to basic salary.
We are pleased to report however,
that following engagement with proxy
advisers and shareholders, and
receipt of their feedback, we have
decided to change the structure of
the pension contribution framework
in order to be aligned with this
provision of the UK Code. We are
putting forward a resolution at the
forthcoming Annual General Meeting
to make one amendment to our
Remuneration Policy, to change the
calculation methodology for pension
contributions. If the resolution
is passed by shareholders, then
Company pension contributions for
all UK employees, including the Chief
Executive, will be calculated solely
as a percentage of base salary (at
10% to ensure that the UK based
employees are no worse off) and there
will no longer be any element relating
to the STIP. This change will have
retrospective effect from 1 April 2023.
We are not required to report under
the Gender Pay Gap Reporting
Regulations or the Pay Ratio
Regulations due to the Group having
less than 250 employees in the
UK. We have therefore not provided
these ratios in illustrating executive
remuneration as would otherwise be
required under provision 41. Due to
the small percentage of executives
we employ, the manual nature of
mining and because our operations
Since my appointment as Chair of the
Company, I have had the opportunity,
working with my Board colleagues,
to embed and build on the good
governance practices which were put
in place in preparation for the June
2021 London listing. I have reviewed
the structure of the Board and its
Committees (“Committees”), overseen
some changes to them and also
undertaken other initiatives during the
year to improve further our governance
framework.
Compliance with the UK Corporate
Governance Code
Endeavour is required to comply with
the UK Corporate Governance Code
2018 (“UK Code”) which is available
to view on the FRC’s website at www.
frc.org.uk. The Board is committed
to strong governance and this is
evidenced by the work carried out by
the Board and the Committees over the
last 12 months, to progress further the
Group’s compliance with the UK Code.
Good governance is the foundation on
which we build our strategy and it is
essential in supporting the long-term
sustainability of the Company and to
balance the interests of our diverse
stakeholders.
For the rst part of the year, the
Company was not in compliance with
provisions 5, 9, 12, 19, 21 and 32 of
the UK Code, but these gaps have now
been addressed. In 2022 the following
important changes were made:
• I was appointed as independent Chair
of the Board (May 2022);
• Ian Cockerill was appointed as Senior
Independent Director (May 2022);
• Livia Mahler (an Independent Non-
Executive Director) was appointed
Chair of the Remuneration Committee
(May 2022);
• The Remuneration Committee is now
comprised solely of Independent
Non-Executive Directors and the Chair
of the Board is not a member of that
Committee;
• Tertius Zongo was appointed as Non-
Executive Director for the workforce
on 1 July 2022; and
• We undertook an independent Board
evaluation during the second half of
the year.
Dear Shareholders,
I have pleasure in introducing
Endeavour’s Governance Report for
the year ended 31 December 2022.
This is my rst year as Chair of the
Company having been appointed
on 24 May 2022 following the
conclusion of the 2022 Annual
General Meeting (“AGM”). I am both
fortunate to follow in the footsteps
of Michael Beckett and delighted
to have been appointed at such
an important stage in Endeavour’s
growth, the Company having recently
listed in London and entered the
FTSE100.
GOVERNANCE
CHAIR’S INTRODUCTION TO GOVERNANCE
110 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
are located in West Africa, where the
cost of living is very different from
that in the UK, these statistics would
not provide meaningful data when
benchmarking executive pay at a
FTSE 100 company. We do however
offer performance related pay under
the STIP, to almost all employees
worldwide, with the same Group
level targets that apply to the Chief
Executive and we strive to ensure we
pay all employees fairly and that there
are no disparities based on gender
or ethnicity. We regularly keep under
review the pay rates throughout the
Company and may in the future opt
to produce pay ratio and pay gap
data. We believe we have an industry
leading ESG programme (as reected
throughout this Annual Report) and our
approach to diversity in the workplace
(described on pages 30 to 31) is a
key ingredient in our long-range vision
for the Company, as a progressive and
inclusive place to work and grow.
Stakeholder engagement
Since joining the Board, I have spent
considerable time engaging with
the Company’s 20 largest active
shareholders, to understand any areas
of particular interest to them and
to learn from their feedback on the
Company. We plan to continue such
engagements at appropriate junctures
going forward.
I have had many opportunities to
meet with the Company’s senior
management team in London and
their direct reports and have met
many members of the team in
Abidjan. I have also taken the time
to visit the Sabodala-Massawa, Ity,
and Houndé mines, as well as the
Lagué project, meeting with the site
teams at each of the mines. This has
allowed me to gain a detailed rst-
hand understanding of the Company’s
values, leadership, strategic
priorities, entrepreneurial culture
and accountability, the geographies
in which the Group carries out its
business, the Company’s operations
and its projects’ capabilities. I also
had an opportunity to engage with
different parts of the workforce and
to gain an understanding of the work
culture and the Group’s commitment
to ESG.
To enable the Board to obtain a
closer insight on the views of our
workforce and to improve our direct
communication with our workers,
during 2022, Tertius Zongo, as
Endeavour’s designated Employee
Engagement Director travelled to a
number of our sites where he has
been able to communicate directly
with site employees and to understand
better their views and any concerns
they may have. More information can
be found on pages 31 and 120.
Culture and values
In a fast evolving and dynamic
business such as ours, we are
consistently monitoring our Company
culture in the decisions that we
make, including within areas such as
workforce diversity, entitlements and
our social licence to operate. We have
also worked hard on sustainability
initiatives, including making progress
on the Responsible Gold Mining
Principles developed by the World Gold
Council and committing to and signing
up to, the gold industry’s Declaration
of Responsibility and Sustainability
Principles in October 2022.
New appointments to the Board
There have been a number of
changes made to the Board and
the Committees in the past year to
improve governance and to reect the
evolving needs of the business.
Three new appointments were made
to the Board during the year. In
addition to the appointment of Ian and
myself, in September 2022, Sakhila
Mirza was appointed as an additional
Independent Non-Executive Director.
As an executive director at the London
Bullion Market Association, Sakhila
brings considerable experience within
the precious metals sector, particularly
in the area of sustainability and
responsible sourcing.
As a result of the changes to the
Board during the year, we refreshed
the composition of the Committees,
to align them better with the
requirements of the UK Code. More
information on these changes can be
found in the Corporate Governance
and Nominating Committee Report on
pages 126 to 129.
Further details of the way the UK
Code has been applied can be
found in the following pages:
BOARD LEADERSHIP AND
COMPANY PURPOSE
PAGES 113 TO 115
DIVISION OF RESPONSIBILITIES
PAGES 121 TO 122
COMPOSITION, SUCCESSION AND
EVALUATION
(including the Corporate
Governance and Nominating
Committee Report)
PAGES 126 TO 129
AUDIT, RISK AND INTERNAL
CONTROL
(including the Audit Committee
Report)
PAGES 130 TO 138
REMUNERATION
(the Directors’ Remuneration
Report)
PAGES 141 TO 156
GOVERNANCE
COMPLIANCE
WITH THE UK CORPORATE
GOVERNANCE CODE 2018
Diversity
Despite the profound changes in the
Company’s scale and governance
owing from the transformational
acquisitions in 2020 (SEMAFO) and
2021 (Teranga), and the listing of the
Company on the premium segment
of the LSE (2021), we have made
commensurate progress in the
critical area of diversity. Briey, the
FCA’s “comply or explain” diversity
targets stipulate that (i) 40% of the
Board should be female, (ii) at least
one of the Chairman, SID, CEO or
CFO should be female, and (iii) at
least one director should be from an
ethnic minority background. We are
on a pathway to achieving all of these
targets.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 111
GOVERNANCEOVERVIEW
At the Board level a majority of
our Directors are from diverse
backgrounds, with 66% being either
female or from ethnic minorities, which
we believe makes our Board one of
the most diverse in the fullest sense.
Currently our Board is composed of
33% female Directors and we intend to
appoint one additional female Director
in the next 12 months, thus bringing
us in line with the 40% target. Two out
of our ve Committees are chaired
by women. Directors from an ethnic
minority comprise 44% of our Board
which is well above the targets set by
the Parker Review.
At the management level, looking
below Board and C-suite, the
percentage of female staff who are
either on the Executive Committee or
who report to the Executive Committee
at 31 December 2022 stands at 27%.
The Chief Executive and the Board
are committed to ensuring that our
workplace is diverse and inclusive and
this commitment is reected in the
STIP metric that has been introduced
for 2023, under which we have
incentivised management to increase
female recruitment.
We are proud of the diverse makeup
of our Executive Committee under
the leadership of Sébastien, with its
membership drawn from diverse
social backgrounds, comprising
seven nationalities (Australian,
British, French, Irish, Italian,
Malian and Canadian), counting
four religions, different sexual
orientations and as a team, it
houses diverse skills and valuable
experience gained from building the
Endeavour you see today.
In light of the 2022 Board
appointments and recently
announced senior management
changes, we now intend to give
priority consideration to how best
we can satisfy the requirement
to have at least one of the Chair,
Senior Independent Director, Chief
Executive or Chief Financial Ofcer
being female in the shortest
practicable timeframe, having regard
to the exigencies of the business.
We will disclose our progress
towards this goal as and when
appropriate, bearing in mind the
sensitivity of such appointments.
Board evaluation
In 2022, we undertook a formal,
externally facilitated Board
evaluation by the advisory
rm Lintstock. The evaluation
acknowledged the rapid progress
that has been made in the second
GOVERNANCE
CHAIR’S INTRODUCTION TO GOVERNANCE CONTINUED
half of the year and concluded that
the new Board and its reconstituted
Committees are working well. Areas
of focus identied in the report
for the year ahead will include:
management succession planning,
continued execution of our strategy,
a more regular and tailored review
of the Group’s risk management
programme and further initiatives on
the Company’s employee engagement.
Additional information on the review
and its outcomes are discussed on
page 129. The 2023 Board evaluation
will be conducted internally and in
accordance with the UK Code, another
externally facilitated Board evaluation
will be carried out in 2025.
The Governance Report which follows
sets out our approach to governance
and the areas of focus for the Board
and the Committees during the year,
together with the decisions we have
made, whilst taking into consideration
our duties to all our stakeholders
under s172 of the Companies Act
2006.
SRINIVASAN VENKATAKRISHNAN
CHAIR
15MARCH 2023
112 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
GOVERNANCE
BOARD LEADERSHIP AND COMPANY PURPOSE
Board leadership
The Board’s role is to provide
leadership of the Company
reecting the entrepreneurial spirit
of the management team, within a
framework of robust and effective
controls and which enables risk
to be thoroughly appraised and
effectively managed. The Board
sets the Company’s strategic
aims, ensuring that the necessary
nancial and human resources are
in place for the Company to meet its
objectives. The Board determines the
purpose, values and standards of the
Company and the Group, ensuring
that the Company’s obligations to its
shareholders and other stakeholders
are understood and met. The Board
promotes the long-term success of
the Company by aiming to generate
value for shareholders and contribute
to wider society, particularly to the
near-mine and regional stakeholders.
Endeavour’s business model and
strategy is set out on pages 10
to 25of the Strategic Report and
describes the basis upon which the
Company generates and preserves
value over the long term.
How the Board operates and matters
reserved for the Board
The Board has overall authority for
the management and conduct of
the Group’s business, strategy and
development. The Board ensures the
maintenance of a system of internal
controls and risk management
(including nancial, operational and
compliance controls) and reviews the
overall effectiveness of the systems
in place. The Board has delegated
responsibility for the delivery of
the Group strategy and the day-to-
day management of the business
to the Chief Executive who leads
the Executive Management Team
to deliver that strategy. The Board
has in place a Board of Director’s
Charter and Corporate Governance
Guidelines which sets out principles
and policies that assist the Board
in exercising its responsibilities.
There is a schedule of matters
reserved for the Board’s decision
which forms part of a delegated
authority framework. Matters for the
Board’s approval include approving
the Group’s strategy and objectives,
setting the purpose and values of
the Group, approving annual budgets,
material agreements and major capital
expenditure, oversight of the Group’s
operations, risk appetite statements
and corporate policies, as well as
the remuneration policy for Directors
and senior executives. The schedule
of matters reserved for the Board is
reviewed regularly to ensure that it is
kept up to date with any regulatory
obligations or changes to the way in
which the Company operates so that it
is t for purpose.
Time commitment
Implementation of the Company’s
strategy has involved intense Board
level commitment from Directors in
recent years. Committee obligations
have been particularly demanding,
owing to the need for regular support
of the many strategic changes that
have taken place and bearing in
mind the delegations of authority to
Committees over specic specialist
topics.
The Non-Executive Directors
are required, by their letters of
appointment, to devote sufcient time
to meet the expectations of their role
as required by the Board from time
to time. The Board remains satised
that all of the Directors spend
considerably more than this amount
of time on Board and Committee
activity. Their letters of appointment
further acknowledge that the
Company’s growth strategy means that
demands on Directors’ time may be
unpredictable and may be signicantly
greater than that at other comparable
companies.
Directors are required to advise the
Chair of the Board and the Chief
Executive in the rst instance,
(followed by obtaining Board approval),
prior to accepting any directorship of
any other public or listed company.
Directors must avoid a situation in
which they have, or can have, a direct
or indirect interest that conicts,
or possibly may conict, with the
interests of the Company. Where such
conicts do arise, or may reasonably
be expected to arise, Directors
must report any such matters to the
Company Secretary and the Chair
of the Corporate Governance and
Nominating Committee. Directors
are also expected to report changes
in their business and professional
afliations or responsibilities,
including retirement, to the Company
Secretary and to the Chair of the
Corporate Governance and Nominating
Committee.
Conicts of interest
Directors have a statutory duty to
avoid situations in which they have or
could have a direct or indirect interest
that conicts or may conict with
the interests of the Company. The
Company’s Articles of Association give
the Directors authority to approve such
situations subject to such conditions
or limitations as the Directors may
resolve and there is no breach of duty
by a Director if the relevant situation
has been authorised in advance by
the Board. In addition, a Director has
a duty to disclose to the Board any
transaction or arrangement under
consideration by the Company, in
which he or she has a personal
interest.
Director concerns
All Directors have access to the
advice and support of the Company
Secretary and have the right to raise
any concerns at Board meetings and
can ask for any such concerns to
be recorded in the Board minutes.
The appointment of the Company
Secretary is a matter for the Board
and the current Company Secretary is
Morgan Carroll, EVP Corporate Finance
and General Counsel, supported by
Susanna Freeman as Deputy Company
Secretary & Head of Secretariat. The
Board has also adopted a procedure
in accordance with the UK FRC’s
Guidance on Board Effectiveness,
which enables Directors, in relevant
circumstances, to obtain independent
professional advice at the Company’s
expense.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 113
GOVERNANCEOVERVIEW
Performance against 2022 Board objectives
Some of the objectives achieved by the Board over the
course of the year include:
• the appointment of a new independent Chair;
• the appointment of a Senior Independent Director;
• an independent external Board evaluation was
conducted;
• the membership of the Committees was reconstituted;
• monitored the delivery of shareholder returns;
• reviewed milestones and spend on capital projects;
• oversaw the advancement of a number of important
ESG projects;
• advanced the level of UK Code compliance; and
• monitored and oversaw risk mitigation regarding the
security environment in West Africa.
2023 Board objectives
The Board has set the following objectives for the 2023
nancial year:
• Allocate and delegate the oversight for all identied
corporate risks to the appropriate Board Committee
• Focus on portfolio optimisation
• Prioritise the rate of ESG projects advancement
• Monitor critical schedules and milestones for major
capital projects
• Monitor delivery of shareholder returns programme
• Focus on liquidity management
• Monitor evolution of workplace diversity
• Improve the gender diversity of the Board.
Board activity during the year
The past year has witnessed signicant changes to the Board and the structure of its Committees and these changes
have greatly enhanced our governance practices under the UK Code. Major areas of focus during the year have
been: taking investment decisions on funding our high growth projects, monitoring regional security and exploration,
reviewing the Group’s strategy and corporate governance processes, continuing to work on our targets for improving our
environmental impact and overseeing shareholder returns.
2022 has been a successful year for the business, achieving both cost and production guidance and delivering strong
shareholder returns. In addition we have continued to cement our position as a trusted partner this year. Alongside
launching ve new initiatives under the Endeavour Foundation in the areas of education, health and the environment, we
also successfully received external assurance for the RGMPs at our Ity and Houndé mines and published our rst Tax and
Economic Contribution Report, which expands upon the ESTMA reports we have been ling annually.
Strategic pillar Responsibilities Activities during 2022
Create a resilient
business
Approving the Group’s strategy
and objectives, setting the
purpose and values of the
Group, reviewing and approving
material agreements and
overseeing the Group’s
operations and risk appetite
statements
• Approved the 2022 key strategic priorities for the Group
• Received presentations from the Chief Executive at every
scheduled Board meeting, updating the Board on progress as
against the Group’s key strategic priorities
• Considered the 2022 exploration budget and programme
• Considered and approved construction of three major projects,
namely Sabodala BIOX®, Ity ReCyn and Lagué
• Considered and approved the sale of the Karma mine, as well
as the sale of a non-core royalty portfolio
Overseeing the Group’s
corporate policies and
procedures, receiving regular
reports from the Board
Committees, reviewing and
approving the overall corporate
organisational structure and
monitoring compliance with
the UK Code and Canadian
National Policy 58-201
– Corporate Governance
Guidelines
• Considered and approved the appointment of four new
Directors: Venkat as Chair and Ian Cockerill as Senior
Independent Director in March 2022, Sakhila Mirza as an
independent Non-Executive Director in September 2022 and
in January 2023 Patrick Bouisset as a Non-Executive Director
with effect from May 2023 (subject to the shareholder vote at
the 2023 AGM)
• Approved major changes to the composition of the Board
Committees in July 2022
• Approved amendments to the Group’s corporate policies
• Approved the notice convening the 2022 AGM
• Approved the 2021 Annual Report
• Approved the 2021 Sustainability Report, UK Modern Slavery
Statement and ESG baseline decarbonisation strategy
• Approved the 2021 Annual Information Form required in
accordance with Canadian National Instrument 51-102
• Approved the new Remuneration policy and 2021
Remuneration Report
• Approved the Group’s new Business Code of Conduct & Ethics
GOVERNANCE
BOARD LEADERSHIP AND COMPANY PURPOSE CONTINUED
114 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Strategic pillar Responsibilities Activities during 2022
Be a trusted
partner
Successful engagement with
both our workforce and local
communities
• Held the November 2022 Board meeting in Abidjan, Côte
d’Ivoire, and the Directors carried out a site visit to the Lagué
project and the Ity mine
• Appointed Tertius Zongo as the designated Employee
Engagement Director with dedicated terms of reference and
his employee engagement meetings began during the year
• Received regular updates from the ESG Committee concerning
the work carried out for local communities and environments,
as well as progress against ESG targets
• Approved executive and employee performance share plans
• Invited members of the executive team and their direct reports
to attend and present at Board meetings
Reward
shareholders
Effective communication with
shareholders and engaging
directly and regularly with major
shareholders to understand
their views on governance,
remuneration and performance
against the Company’s strategy
• Discussed shareholder considerations related to shareholder
returns programmes, including dividends and share buybacks
following engagement by management with the largest
shareholders on their views on this area
• Approved the payment of two dividends in 2022 (nal 2021
and interim 2022) and the second interim dividend for 2022 in
January 2023
• Solicited investor feedback in relation to the Remuneration
Report, as well as proxy adviser feedback on remuneration
matters generally
• Approved the implementation of a dividend reinvestment
programme (“DRIP”)
• Approved the renewal of the share buyback programme for a
further 12 months
Reviewing and approving
annual budgets, major capital
expenditure and nancial
statements
• Approved the 2022 and 2023 budgets and the 2021 and
2022 Annual Reports and Financial Statements
• Approved the condensed interim consolidated nancial
statements and the related Management Reports and press
releases for each of the quarters in 2022
• Approved the capital expenditure for the Sabodala BIOX®, Ity
Recyn and Lagué projects
• Recommended the reappointment of BDO LLP (“BDO”) as
external auditor which was approved at the 2022 AGM
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 115
GOVERNANCEOVERVIEW
GOVERNANCE
OUR BOARD
The Endeavour
Board provides
leadership to the
Group and is
responsible for
its long-term
success.
SRINIVASAN
VENKATAKRISHNAN
Chair
APPOINTMENT 05/2022
QUALIFICATIONS
CA, BCOM
British/Indian
COMMITTEES*
CAREER
Srinivasan
Venkatakrishnan
(“Venkat”) brings a wealth
of mining and financial
experience to the Board,
gained through his vast
experience of leading
global mining businesses,
in a career that spans
across six continents and
several metals, notably
gold. He served as CEO
of Vedanta Resources plc
from 2018 to 2020 and
was CEO of AngloGold
Ashanti Limited between
2013 to 2018, having
previously been Chief
Financial Officer of the
business from 2005,
and of Ashanti Goldfields
Limited from 2000.
His earlier career was
as an accountant and
restructuring specialist
with Deloitte & Touche in
India and the UK. He has
deep and longstanding
relationships in the metals
sector with investors,
financiers, governments,
regulators, and employees,
amongst others.
SKILLS AND EXPERTISE
Strategy & Leadership,
Metals & Mining,
Finance and Accounting,
International Business,
Operations &, Projects,
M&A, Restructuring,
Corporate Governance,
Sustainability &
Stakeholder relations
EXTERNAL
APPOINTMENTS
BlackRock World
Mining Trust plc
The Weir Group PLC
Audit Committee
ESG Committee
Technical, Health &
Safety Committee
Corporate Governance
& Nominations
Committee
Remuneration
Committee
Chair
COMMITTEE KEY
QUALIFICATIONS
Chartered Accountants
of England and Wales,
B.Sc Mathematical
Sciences
ALISON BAKER
Independent
Non-Executive Director
British
COMMITTEES
CAREER
Alison Baker has over
25 years’ experience in
providing audit, capital
markets, advisory and
assurance services to
the energy and mining
sectors, particularly in
emerging markets, having
previously been a partner
at both PWC and EY. She
is a member of Chapter
Zero, the Directors’
Climate Forum for UK
non-executive directors
She is currently a non-
executive director and
Audit Committee Chair at
listed companies Capstone
Copper Corp. and Helios
Towers plc and senior
independent director and
audit committee chair at
Rockhopper Exploration
plc.
SKILLS AND EXPERTISE
Strategy & Leadership,
Metals & Mining, Finance,
Accounting, International
Business, Corporate
Governance, Sustainability
EXTERNAL
APPOINTMENTS
Helios Towers plc
Rockhopper Exploration plc
Capstone Copper Corp
APPOINTMENT 03/2020
QUALIFICATIONS
Msc Mineral Production
Management,
Bsc (Hons) Geology
IAN COCKERILL
Senior Independent
Director
APPOINTMENT 05/2022
British
COMMITTEES
SKILLS AND EXPERTISE
Strategy & Leadership,
Metals & Mining,
International Business,
Finance, Public Policy,
Human Resources,
Corporate Governance,
Operations and Exploration
EXTERNAL
APPOINTMENTS
BHP Group Limited
CAREER
Ian Cockerill has nearly 50
years of experience in the
global natural resources
industry, having previously
been Chief Executive
Officer at Gold Fields Ltd,
and Chief Executive Officer
at AngloCoal, a subsidiary
of the Anglo American
group. He holds a BSc
(Hons) degree in Geology
from London University, an
MSc in Mineral Production
management from the
Royal School of Mines and
the AMP from Templeton
College Oxford
Mr Cockerill was the
former Chair of the
BlackRock World Mining
Trust and also of Polymetal
Plc. He was the former
lead independent director
of Ivanhoe Mines Ltd
and a non-executive
director of Orica Ltd. He
is associated with two
private businesses as
the non-executive Chair
of Cornish Lithium, and a
non-executive director of
I-Pulse Ltd.
* as Chair of the Board,
Venkat attends all other
Committee meetings as
an invitee
QUALIFICATIONS
Escp – Paris Business
School
SÉBASTIEN DE
MONTESSUS
President and
Chief Executive
APPOINTMENT 06/2016
French
COMMITTEES
CAREER
Sébastien de Montessus
joined Endeavour in 2016.
Under his leadership,
he has introduced key
strategic objectives, the
achievement of which have
created a sustainable
business that generates
long term cash flow. Prior
to this, he has held a
number of senior positions
in the mining industry,
including CEO of the La
Mancha Group (2012-
2016) member of the
Executive Board and Group
Deputy CEO of AREVA
Group, a leading nuclear
energy company and CEO
of AREVA Mining, a director
of Evolution Mining and
ERAMET. Before joining
AREVA Mr de Montessus
was an investment banker
at Morgan Stanley in
London specializing in
M&A and Equity Capital
Markets.
SKILLS AND EXPERTISE
Strategy & Leadership,
Metals & Mining, Finance,
Public Policy, Human
Resources, Accounting,
International Business,
Operations & Exploration
EXTERNAL
APPOINTMENTS
He has no external
appointments
116 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
QUALIFICATIONS
LLB
SAKHILA MIRZA
Independent
Non-Executive Director
COMMITTEES
SKILLS AND EXPERTISE
Strategy & Leadership,
Metals & Mining,
International Business,
Finance
EXTERNAL
APPOINTMENTS
She has no external
appointments
APPOINTMENT 09/2022
British/Pakistani
CAREER
Sakhila Mirza has over 15
years’ experience in the
energy and commodities
industry. She is currently
general counsel and
an executive director of
the board of the LBMA,
working closely with
the directors and the
CEO on the strategic
direction of the LBMA,
providing guidance
on the governance,
legal and compliance
risks. On behalf of
the LBMA members
she leads discussions
with governments and
regulators on issues
affecting the market,
refiners, and bullion banks.
She is a trustee of the
Recruitment Employment
Confederation and of
Speakers for School.
Ms Mirza has an LLB in
Law from the London
School of Economics and
is a qualified solicitor.
QUALIFICATIONS
Diploma of Mechanical
Engineering with a
Masters in Technical
Administration
NAGUIB SAWIRIS
Non-Executive Director
COMMITTEES
CAREER
Naguib Sawiris founded
Orascom Telecom Holding
(OTH) which subsequently
merged with VimpelCom
Ltd. creating the world’s
sixth largest mobile
telecommunications
provider in April 2011.
Today, he is the Chairman
of Orascom Investment
Holding and Chairman
of Ora Developers, a
company undertaking
high-end real estate
developments and
hospitality projects in
various prime locations
around the world. At
international and regional
levels Mr. Sawiris serves
on a number of boards,
committees and councils
and is a recipient of
numerous honorary
degrees, awards and
honors such as the
“Legion d’Honneur” the
“Stella della Solidarieta
Italiana” and “Sitara-e-
Quaid-e-Azam.
SKILLS AND EXPERTISE
Strategy & Leadership,
Metals & Mining, Finance,
Public Policy, International
Business
EXTERNAL
APPOINTMENTS
La Mancha Holding
Beltone Financial Holding
S.A.E
Euronews SA
Prima TV SpA
APPOINTMENT 11/2015
Egyptian
QUALIFICATIONS
MBA, B.SC.
LIVIA MAHLER
Independent
Non-Executive Director
COMMITTEES
CAREER
Livia Mahler’s background
includes 12 years in
developing exploration
technologies in natural
resources and 20 years
of experience in venture
capital. She has been a
member of a number of
boards, audit committees
and remuneration
committees. Ms. Mahler
is currently president
and chief executive
officer of Computational
Geosciences Inc., a
company that provides
geophysical data
processing services
to the mining and oil &
gas industries. She has
previously served on the
boards of Ivanhoe Mines,
Diversified Royalty Corp.,
Turquoise Hill Resources
Ltd. and DuSolo Fertilizers
Inc.
SKILLS AND EXPERTISE
Strategy & Leadership,
Metals & Mining, Finance,
Public Policy, Human
Resources, Accounting,
International Business,
Operations & Exploration
EXTERNAL
APPOINTMENTS
She has no external
appointments
APPOINTMENT 10/2016
Canadian
QUALIFICATIONS
BA, Master’s in
Economics, Business
Management Degree
TERTIUS ZONGO
Employee
Engagement Director
APPOINTMENT 07/2020
Burkinabe
COMMITTEES
CAREER
Tertius Zongo is a former
Prime Minister of Burkina
Faso (2007-2011).
Prior to this, Mr. Zongo
served as Burkina Faso’s
Ambassador Extraordinary
and Plenipotentiary to
the USA (2002-2007). He
has also held a number
of positions within the
Burkinabe government
including Minister of State
for Planning and Budget
and Minister of Economy
and Finance. Since 2018,
Mr Zongo is the director
of the “Chair Sahel”
of the Foundation for
Studies and Research on
International Development
(FERDI), which aims to
better inform public and
private decision-makers
to ensure the sustainable
development of the Sahel
region.
SKILLS AND EXPERTISE
Strategy & Leadership,
Finance, Public Policy,
International Business,
Corporate Governance
EXTERNAL
APPOINTMENTS
ECOBANK Côte d’Ivoire
Central Bank of West
African States Countries
(BCEAO)
SKILLS AND EXPERTISE
Strategy & Leadership,
Metals & Mining, Finance,
Public Policy, Human
Resources, Accounting,
International Business,
Operations & Exploration
EXTERNAL
APPOINTMENTS
Syrah Resources Limited
Evolution Mining Ltd.
QUALIFICATIONS
Masters of Engineering
Science
JAMES ASKEW
Non-Executive Director
APPOINTMENT 07/20 17
Australian
COMMITTEES
CAREER
Jim Askew is a mining
engineer with more
than 45 years broad
international experience as
a Director and
Chief Executive Officer
for a wide range of
international publicly
listed mining, mining
finance and other mining
related companies. He
has extensive technical
expertise in open
pit and underground
mines including design,
construction and
operations.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 117
GOVERNANCEOVERVIEW
GOVERNANCE
OUR EXECUTIVE MANAGEMENT TEAM
SÉBASTIEN DE
MONTESSUS
President and Chief
Executive Ofcer
APPOINTED 06/2016
French
QUALIFICATIONS
Graduate, ESCP-Europe
Business School
CAREER
Sébastien de
Montessus joined
Endeavour in 2016.
Under his leadership,
he has introduced key
strategic objectives,
the achievement of
which have created a
sustainable business
that generates long-term
cash ow. Prior to this,
he has held a number of
senior positions in the
mining industry, including
CEO of the La Mancha
Group (2012-2016)
member of the Executive
Board and Group Deputy
CEO of AREVA Group,
a leading nuclear
energy company and
CEO of AREVA Mining,
member of the boards
of Evolution Mining and
ERAMET. Before joining
AREVA Mr. de Montessus
was an investment
banker at Morgan Stanley
in London specialising in
M&A and Equity Capital
Markets
.
JOANNA PEARSON
Executive VP and Chief
Financial Ofcer
APPOINTED 01/2021
Canadian
QUALIFICATIONS
CPA, CA
CAREER
Joanna Pearson joined
Endeavour in September
2020 and assumed the
role of Executive Vice
President and Chief
Financial Ofcer in
January 2021. Joanna
is stepping down as
Chief Financial Ofcer
in March 2023. Prior to
joining Endeavour, Joanna
was an audit partner for
more than ten years at
Deloitte LLP (Canada),
with experience
serving publicly listed
companies, with a focus
on multinational mining
clients.
MARK MORCOMBE
Executive VP and Chief
Operating Ofcer
APPOINTED 05/2019
Australian
QUALIFICATIONS
B.Eng (Mining),
M.Eng.Science (Mining
Geomechanics)
CAREER
Mark Morcombe joined
Endeavour in May 2019
as Chief Operating
Ofcer, bringing with
him more than 30
years of experience in
the mining industry.
He has extensive
expertise in leading
safety, environment,
mine planning, cost and
productivity initiatives in
underground and open
pit mines in Africa and
Australia. Prior to joining
Endeavour, Mark was
Chief Operating Ofcer of
Centamin Plc, operator
of the Sukari Mine in
Egypt, and before this,
he held the same role
at Acacia Mining with
three operating mines in
Tanzania. Between late
2010 and April 2016, he
held several senior roles
at AngloGold Ashanti,
including Senior Vice
President, Planning and
Business Development
for the Continental Africa
Region and Senior Vice
President Ghana, during
which he led the Obuasi
gold mine turnaround
project.
PASCAL BERNASCONI
Executive VP Public
Affairs and Security
APPOINTED 06/2016
French
QUALIFICATIONS
PhD Chemistry
CAREER
Pascal joined Endeavour
in 2016 from the La
Mancha Group, where he
was General Manager of
the Société des Mines
d’Ity, bringing with him
signicant experience
managing complex
operating environments.
He began his career
in the nuclear industry
at COGEMA, where he
managed a large nuclear
site in France for ve
years before moving to
Areva’s mining operations
in Kazakhstan and in
Niger.
MORGAN CARROLL
Executive VP Corporate
Finance & General
Counsel
APPOINTED 06/2016
Irish
QUALIFICATIONS
LL.B, LL.M, M.A., Attorney
(New York), Solicitor
(Supreme Court of
England & Wales)
CAREER
Morgan Carroll joined
Endeavour at its
inception as a mining
company in 2011, and
has over 20 years of
experience in mining
nance and advisory.
He is responsible for
the corporate nance
function at Endeavour as
well as for overseeing the
legal function as General
Counsel, having worked
on all of Endeavour’s
major acquisitions and
nancings since 2011.
Morgan initially practised
at a large international
law rm in New York
and London, and
worked at several US
and European banks
in structured nance
roles, before joining
Endeavour Financial on
the corporate advisory
side in 2008. He has
wide-ranging experience
advising on base and
precious metals and
corporate transactions.
Throughout his career,
his areas of focus have
been corporate and
project nance, debt and
equity capital markets,
M&A and corporate
development, and Board-
level governance.
118 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
DAVID DRAGONE
Executive VP HR and
Communication
APPOINTED 01/2023
French/Italian
QUALIFICATIONS
MSc in Economics and
Human Resources
CAREER
David Dragone joined
Endeavour in January
2023 as EVP Human
Resources and
Communications. David
has over 20 years’
experience in human
resources, with expertise
in organisational
design, culture, people
development and talent
management, industrial
relations, integration
processes and change
management.
Prior to joining
Endeavour, David held
senior positions in
large, multinational
organisations operating
in a variety of sectors,
including Schlumberger,
multinational nuclear
fuel cycle company
Orano, the world's
leading international
Geosciences company
CGG and most recently
at Nexans the cable and
bre optics business as
EVP HR and ESG.
JONO LAWRENCE
Executive VP Exploration
APPOINTED 01/2023
Australian
QUALIFICATIONS
BAppSci (Geology);
BAppSci (Geology)
Honours; MBA
CAREER
Jono Lawrence joined
Endeavour as Exploration
Manager in 2016,
with over 25 of years’
experience in mineral
exploration. He was
promoted to SVP
Exploration in 2020
and subsequently EVP
Exploration in January
2023. Prior to joining
Endeavour, Jono was
Exploration Manager
Central and East
Africa with Randgold
Resources, based out of
the Kibali Gold Mine in
the DRC, Africa. Between
2004 and 2012 he
held senior roles with
Australian and Canadian
companies exploring
for gold and copper
resources in Laos (Pan
Australia), the Philippines
(Medusa Mining) and the
DRC (African Metals).
GUÉNOLÉ PICHEVIN
Executive VP Strategy
and Business
Development
APPOINTED 01/2023
French
QUALIFICATIONS
Graduate of EDHEC
Business School
CAREER
Guénolé Pichevin joined
Endeavour in 2016 and
as Executive VP Strategy
& Business Development
he is responsible for
the company’s M&A,
strategic planning and
business development
functions. Since 2016
he has been closely
involved in a number
of transformational
initiatives for Endeavour
including the acquisitions
of SEMAFO and Teranga,
asset disposals,
strategic plans and long
term nancings.
Prior to joining Endeavour,
Guénolé held several
roles in Europe and Asia
with European banks
in natural resources
nancing and advisory.
DJARIA TRAORE
Executive VP ESG and
Supply Chain
APPOINTED 01/2023
US/Mali
QUALIFICATIONS
B.Sc. Business
Administration from
Tours, France, B.Sc
International Business
from New Jersey, USA
and Executive MBA at
the school of business
Darden, University of
Virginia, USA
CAREER
Djariatou (Djaria) Traore
joined Endeavour in
January 2019 as VP
Supply Chain and was
promoted to EVP ESG
and Supply Chain in
January 2023. She
has over 22 years of
experience in the mining
industry with extensive
expertise in procurement
and logistics
management.
Prior to joining Endeavour,
Djaria held several senior
management positions
including Procurement
Director for Nordgold
in Russia and Supply
Chain Director at its
Lefa Mine in Guinea
until 2018. She began
her career at Connell
Mining, a subsidiary of
Connell Company, one
of the largest privately
held corporations in
the US, where she
held successively the
positions of Sales
Director and Global
Sales Director for Africa
from 2005 until 2014.
In 2020, Djaria was
recognised as one of the
‘100 Global Inspirational
Women in Mining’.
MARTIN WHITE
Executive VP Projects
APPOINTED 06/2022
British
QUALIFICATIONS
B.Sc (Hons) Mining
Engineering, PhD Mining
Engineering (Rock
Mechanics)
CAREER
Martin White joined
Endeavour in September
2020 as the General
Manager of the Mana
Mine in Burkina Faso,
before being appointed
EVP Projects in mid
2022. Martin has over
30 years of experience
in the mining industry
with expertise in mine
production management,
safety and environmental
controls, mine feasibility
and environmental
studies, and project
development.
Prior to joining
Endeavour, Martin
held several senior
management positions
including Technical
Director for Nordgold and
General Manager at its
Lefa Mine, as well as
Chief Operating Ofcer
of Aureus Mining and
General Manager for
Arcon Mines.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 119
GOVERNANCEOVERVIEW
STAKEHOLDER ENGAGEMENT
Workforce engagement
The Board recognises that employee engagement is the
responsibility of the whole Board but in order to increase
the direct engagement of the Board with the workforce,
Tertius Zongo was appointed as the Employee Engagement
Director in July 2022. He was selected as the most
appropriate Independent Non-Executive Director for the
role, due to his being a Burkinabe national and native
French speaker and having worked for many years in senior
government roles. These qualities enable him to have
a good ability to understand the types of concerns and
interests of our operational workforce.
During the Board’s visit to Abidjan and the Ity mine in
November 2022, Mr Zongo undertook an employee
outreach programme that included meeting with local
management to explain the role of the Employee
Engagement Director and also to gain an insight into
employee sentiment and working conditions on site. He
received a report on the health issues experienced by
workers and on the facilities in place to prevent and treat
such illnesses, as well as an update on the new rotational
shift that had been introduced to improve the life/work
balance of the workers. Mr Zongo explained the Board’s
particular interest in leadership development within the
workforce and expressed the Board’s concern with regard
to inationary pressures on workers and its desire to
improve the living conditions local to the mine. It was
agreed that future meetings would be set up at operational
sites to allow the “employee voice” to communicate any
concerns to the Board through Mr Zongo, with a view to
improving the living conditions of the workers. He also
expressed his desire to strengthen the managerial powers
of those promoted to managerial roles and those on the
leadership track locally.
The Board gains an awareness of employee sentiment
via employee surveys, regular site visits and by receiving
presentations at Board meetings from key employees who
present on their areas of expertise. The Board gains further
insight into social dynamics affecting the Company through
the ESG and Technical Health and Safety Committees.
Employees can raise any concerns with their line manager
or local HR manager or they can escalate them to their
relevant mine General Manager or any Executive Committee
member. If they have any serious concerns they can use
the Company’s independent whistleblower service which is
condential and anonymous and their report will go directly
to the Chair of the Audit Committee.
Shareholder engagement
The Chair or another appropriate Independent
Non-Executive Director is responsible for effective
communication by the Group with the shareholders and
engaging directly and regularly with major shareholders to
understand their views on governance and remuneration.
The Chief Executive and the Investor Relations department
are the Company’s principal contacts for investors,
analysts, press and other interested stakeholders. The
Board receives investor feedback reports as part of the
Chief Executive’s report at Board meetings, outlining recent
dialogue with investors and the feedback received. The
Company reports quarterly on its nancial results (owing to
TSX obligations), which includes the nancial statements
and a management report highlighting the Group’s nancial
performance for the quarter. There is an active investor
relations programme, which, in 2022, included over 20
conferences and over 405 meetings attended by the
Investor Relations team and senior management as well as
a site visit for major investors and research analysts, which
encompassed the Sabodala, Ity and Houndé mines.
Following the 2022 AGM, the Company conducted a formal
outreach with a signicant number of shareholders to
discuss their views and to solicit feedback on the nature
of the issues which had led to a lower vote of 70.14% of
shareholders in support of the Remuneration Report. The
Chair met with shareholders representing over 70% of the
register, including the largest shareholders who had voted
against the Remuneration Report. The matters raised by
the shareholders principally related to the pensionable
treatment of STIP awards for the Chief Executive, the
one-off award granted to the Chief Executive linked to the
Company’s redomiciliation to the UK in anticipation of the
London listing, and consequently the total quantum of the
Chief Executive’s remuneration for 2021.
The Remuneration Committee has worked with Willis
Towers Watson, the external independent remuneration
adviser to the Board and the Chair of the Remuneration
Committee has spoken to major institutional shareholders,
to determine how the Company could best address these
matters ahead of this year’s AGM. As a result some
changes have been proposed by the Board with respect to
the pension contributions of the Chief Executive and the UK
workforce, in order to comply with the UK Code. The aim is
to remove the element that is calculated on the STIP and
instead, for pension contributions for the Chief Executive
and the UK workforce to be limited to 10% of base pay. A
resolution to make this change to the Remuneration Policy
is being put to the shareholders at the AGM. The Chair of
the Remuneration Committee will also undertake follow-up
engagement with proxy advisers and shareholders prior to
the AGM.
GOVERNANCE
120 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Annual General Meeting
The AGM is the annual opportunity for all shareholders
to meet with the Directors and to discuss with them the
Company’s business and strategy. For 2023, the AGM
will take place on 11 May 2023 at Linklaters LLP and it
is intended that the AGM will be held as a hybrid meeting
so that shareholders can attend and vote remotely if they
wish, via an electronic platform. Questions may be asked
via the electronic platform either in advance of, or during
the meeting.
The notice of AGM will be posted to all shareholders
at least 20 working days before the meeting. Separate
resolutions will be proposed on all substantive issues and
voting will be conducted by poll. The Board believes that
this method of voting is more democratic than voting via
a show of hands, since all shares voted at the meeting,
including proxy votes submitted in advance of the meeting,
are counted.
For each resolution, shareholders will have the opportunity
to vote for or against or to withhold their vote. Following
the meeting, the results of votes lodged will be announced
to the London Stock Exchange and the Toronto Stock
Exchange and displayed on the Company’s website.
Other stakeholders
For further information on the Group’s stakeholders
(employees, communities, suppliers and contractors,
government and regulatory bodies, capital providers,
unions, industry associations and NGOs) and the ways
in which their interests have been considered in Board
discussions and decisions, please see our Section 172
Statement on pages 78 to 79 and the Engaging with our
Stakeholders section in the Strategic Report on pages 74
to 77.
DIVISION OF RESPONSIBILITIES
The Board is comprised of Directors who bring a wide range
of relevant professional experience, and who put at the
disposal of the Company a deep knowledge of the mining
sector and the issues that affect the Company, specically
as a West African gold miner. The roles of the Chair and
the Chief Executive are clearly segregated, with each role
having a distinctly dened perimeter of responsibility.
Beyond those two roles, each of the Directors contributes
individual skills and experience which respond to the
Company’s needs as a senior global gold producer. The
responsibilities of the Chair, Chief Executive, Senior
Independent Director, Independent Non-Executive
Directors and non-independent Non-Executive Directors
are clear and are set out in writing below.
Role Responsibilities
Chair
Venkat
The Chair of the Board is responsible for ensuring overall Board and individual Director effectiveness.
Specic responsibilities include:
• Effective running of the Board including setting a forward-looking agenda with an emphasis on strategy,
performance, value creation, culture, stakeholders and accountability
• Ensuring members of the Board receive accurate, timely and clear information
• Reviewing and agreeing training and development for the Board
• Ensuring there is effective communication with the Group’s shareholders and other stakeholders
• Ensuring that the performance of the Board as a whole, its Committees and individual Directors are
formally evaluated
• Promoting high standards of integrity and corporate governance throughout the Group, particularly at
Board level
• Ensuring that both appointments and succession plans are based on merit and objective criteria
• Ensuring clear and timely Board and Committee succession plans are in place
• Promoting a culture of openness and debate and fostering relationships based on trust, mutual respect
and open communication between the Non-Executive Directors
• Ensuring the Board determines the nature and extent of signicant risks the Company is willing to embrace
in the implementation of its strategy
• Ensuring the Board as a whole has a clear understanding of the views of shareholders
• Representing the Company to its key stakeholders and ensuring that the Board listens and understands
the views of the workforce, customers and other key stakeholders
• Overseeing the development of the Group’s business culture and standards
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 121
GOVERNANCEOVERVIEW
Role Responsibilities
Chief Executive
Sébastien de
Montessus
The Chief Executive reports to the Chair and to the Board directly and is responsible for all Executive
Management matters of the Group. In addition the Chief Executive is responsible for:
• Managing the Group on a day-to-day basis within the authority delegated by the Board
• Developing and proposing the Group’s strategy, annual budget and business plans and commercial
objectives with regard for the Group’s shareholders, customers, employees and other stakeholders
• Being the primary relationship with institutional shareholders and ensuring effective communications with
shareholders
• Being the primary contact with the Group’s regulators and fostering an open and honest relationship with
the them and ensuring compliance with their regulations
• Promoting a Group culture that fosters a prudent, safe and sound business that has long term sustainability
• Advising and making recommendations in respect of management succession planning and to make
recommendations on the terms of employment and remuneration of the executive leadership team
• Setting an example to the Company’s workforce, communicating to the workforce expectations in terms of
culture and ensuring that operational policies and practices drive appropriate behaviour
• Ensuring that the Board is made aware of the views gathered via workforce engagement
• Managing the Group’s risk prole in line with the risk appetite approved by the Board and ensuring that
appropriate internal controls are in place
Senior Independent
Director
Ian Cockerill
The Senior Independent Director is to be available to shareholders if they have concerns and if contact through
the normal channels of the Chair or Chief Executive has not resolved those concerns or is not appropriate.
Other responsibilities include:
• Acting as a sounding board for the Chair and serving as an intermediary for the other Directors when
necessary
• Being available for condential discussions with other Non-Executive Directors
• Evaluating the Chair’s performance as part of the Board evaluation process
• Chairing meetings of the Non-Executive Directors or other meetings where appropriate
• Being available to shareholders should there be a need to convey concerns to the Board other than through
the Chair or the Chief Executive
Independent Non-
Executive Directors
• Monitor and evaluate the Company’s performance against its strategic goals and nancial plans
• Bring objective perspective to the Board’s deliberations and decision-making, drawing on their collective broad
experience and individual expertise and insights
• Play a lead role in the functioning of the various Board Committees
• Monitor and assess the Company’s culture, use appropriate and effective means to engage with the
workforce and acquire an understanding of the views of the various stakeholders
• Monitor and assess the effectiveness of the Executive Directors
Non-Executive
Directors (non
independent)
• Similar to the responsibilities of the Independent Non-Executive Directors set out above, with extensive
experience in senior roles in the gold mining industry but without the independence aspect and with the
additional role of representing La Mancha’s shareholding in the Company
GOVERNANCE
DIVISION OF RESPONSIBILITIES CONTINUED
122 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
THE BOARD
SEE
PAGES 130 - 138
The Board delegates certain matters to its principal committees, which are responsible for:
SEE
PAGES 141 - 156
SEE
PAGES 126 - 129
SEE
PAGE 140
SEE
PAGE 139
GOVERNANCE
OUR GOVERNANCE FRAMEWORK
The Board’s role is to provide leadership reecting the entrepreneurial spirit of the management team of the Company
within a framework of prudent and effective controls which enables risk to be assessed and managed. The Board
sets the purpose, the Company’s strategic aims, governance, values and standards of the Company and ensures that
its obligations to its shareholders and other stakeholders are understood and met. The Board promotes the long-term
success of the Company generating value for shareholders and contributing to wider society.
Audit Committee
Reviewing the
Group’s accounting
and nancial
policies, periodic
nancial statements
and disclosures
related to the
Company’s nancial
performance, its
disclosure practices,
internal controls,
internal audit and
risk management;
and overseeing all
matters associated
with appointment,
terms, remuneration
and performance of
the external auditor.
Remuneration
Committee
Reviewing and
recommending the
framework and policy
for remuneration of the
Executive Directors and
senior executives, as
well as setting
appropriate
performance-based
targets for incentive
programmes, and
monitoring the
remuneration
philosophy applicable
to the wider workforce.
Corporate Governance
and Nominating
Committee
Ensuring that the
structure, size and
composition of the
Board and the senior
leadership team are
best suited to deliver
the Company’s strategy
and meet current
and future needs.
Monitoring of best
practice trends and
particular areas of
governance interest
to our stakeholders.
Oversight of Board
succession and
appointments
and annual Board
performance reviews.
Environmental, Social
and Governance
Committee
Oversight of the
ESG strategy and
supporting the
Company in fullling
its responsibilities in
respect of ESG targets
and commitments
and ensuring its
governance aligned
with market practice
and stakeholder
expectations.
Technical, Health
and Safety
Committee
Assisting and
advising the Board
and senior
management, and
discharging the
Board’s oversight
responsibilities in the
areas of technical,
health and safety
matters affecting the
Company and its
strategy.
Endeavour’s Executive Management Team
The Board has delegated responsibility for the delivery of the Group strategy and the day-to-day executive management
of the business to the Chief Executive who leads the Executive Management team to deliver this strategy.
Endeavour’s Executive Management team has a signicant track record of value creation, a proven ability to operate
consistently, as well as to optimise operations and build projects in West Africa, and has signicant exploration
knowledge of, and capabilities within, the region.
Disclosure Committee
The Disclosure Committee is a management committee comprised of the Chief Executive, Chief Financial Ofcer,
Chief Operating Ofcer, Company Secretary, Head of Investor Relations, Deputy Company Secretary and Head
of Secretariat. It is responsible for implementing the disclosure procedures of the Company, as governed by the
Disclosure Procedures Manual, and in particular for id entifying inside information and material information and in
what circumstances information should be disclosed having regard to EU Market Abuse Regulation (“MAR”) obligations.
The Disclosure Committee meets on an as needed basis.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 123
GOVERNANCEOVERVIEW
Balance of independence
The Board currently comprises the Chair, ve Independent
Non-Executive Directors, two non-independent Non-
Executive Directors and one Executive Director. The
Board is of the opinion that the Non-Executive Directors
declared as independent remain independent, in line with
the denition set out in the UK Code and are free from
any relationship or circumstances that could affect, or
appear to affect, their independent judgement. Following
an assessment of the Independent Non-Executive Directors
by the Corporate Governance and Nominating Committee,
it was concluded that each of them continues to make an
important contribution to the Board and to demonstrate
independence of character and provide challenge to the
Board on many topics.
Chair Independent Non-independent
Srinivasan
Venkatakrishnan
Alison Baker James Askew
Ian Cockerill Naguib Sawiris
Sakhila Mirza Sébastien
de Montessus
Livia Mahler
Tertius Zongo
Relationship agreement with La Mancha
The Company is party to a relationship agreement with La
Mancha, the terms of which became effective upon the
Company’s listing in London in 2021 (the “Relationship
Agreement”). The Relationship Agreement replaces the
2015 Investor Rights Agreement, and provides that for so
long as La Mancha and its associates hold an interest that,
in aggregate: (a) is equal to or greater than 15% of the
issued ordinary share capital of the Company, La Mancha
shall have the right to appoint two Directors to the Board;
or (b) is equal to or greater than 10% but less than 15%
of the issued ordinary share capital of the Company, La
Mancha shall have the right to appoint one Director to
the Board. Accordingly, as La Mancha has a stake of circa
19.4% in the Company, both James Askew and Naguib
Sawiris have been nominated to the Board by La Mancha
under the terms of the Relationship Agreement and they
are not considered independent. At the 2023 AGM, James
Askew intends to step down from the Board and will not
stand for re-election and Patrick Bouisset who has been
nominated by La Mancha as his successor, will stand
for election. For more information on the Relationship
Agreement please see page 160of the Directors’ Report.
Attendance
Each of the Directors has committed to attend all
scheduled Board meetings and all meetings of each Board
Committee on which they serve and to be reasonably
available to senior management and the other Directors for
consultations between meetings.
The Board held six scheduled meetings during the year. A
rolling agenda and forward calendar are agreed annually
and the agenda for each meeting is agreed with the
Chair and Chief Executive. Board papers are circulated to
Directors in advance of the meetings. If a Director cannot
attend a meeting, he or she is able to consider the papers
in advance of the meeting and will have the opportunity
to discuss them with the Chair or Chief Executive and to
provide comments or ask any questions.
GOVERNANCE
OUR GOVERNANCE FRAMEWORK CONTINUED
124 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
The Non-Executive Directors have the opportunity to meet without the Executive Directors and the Chair present on a
regular basis.
Board
Attendance
Audit Committee
Attendance
Remuneration
Committee
Attendance
CG and
Nominating
Committee
Attendance
Environmental,
Social and
Governance
Committee
Attendance
Technical, H&S
Committee
Attendance
Venkat
1
4/4 - - 2/2 2/2 3/3
James Askew
2
6/6 - - 3/4 6/6
Alison Baker
3
6/6 5/5 - 2/2 4/4 -
Michael Beckett
4
3/3 - 1/2 2/2 2/2 2/3
Soa Bianchi
5
2/3 2/2 2/2 2/2 - 3/3
Ian Cockerill
6
3/3 2/2 2/2 2/2 3/3
Carmen Letton
7
2/3 - - - - 3/3
Livia Mahler
8
6/6 5/5 4/4 2/2 - 6/6
David Mimran
9
3/3 - - - - -
Sakhila Mirza
10
2/2 - - - 1/1 -
Sébastien de Montessus 6/6 - - - - -
Naguib Sawiris 6/6 - - - - -
Tertius Zongo
11
6/6 5/5 2/2 2/2 4/4 -
1. Venkat has attended every Board and Board Committee meeting since his appointment as a Director on 24 May 2022.
2. Mr Askew missed one meeting of the ESG Committee due to an unforeseen schedule conict.
3. Ms Baker attended every meeting of the Corporate Governance and Nominating Committee since her appointment in May 2022.
4. Mr Beckett missed one meeting of the Remuneration Committee and one meeting of the Technical, Health and Safety Committee due to medical
reasons. He resigned from the Board on 24 May 2022.
5. Ms Bianchi missed one Board meeting. She resigned from the Board on 24 May 2022.
6. Mr Cockerill has attended every Board and relevant Board Committee meeting since his appointment as a Director on 24 May 2022.
7. Ms Letton missed one Board meeting. She resigned from the Board on 24 May 2022.
8. Ms Mahler has attended every Corporate Governance and Nominating Committee meeting since she became a member of that Committee in May 2022.
9. Mr Mimran resigned from the Board on 15 August 2022.
10. Ms Mirza has attended every Board and ESG Committee meeting since her appointment as a Director on 29 September 2022.
11. Mr Zongo has attended every Remuneration Committee meeting since he became a member of that Committee in May 2022.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 125
GOVERNANCEOVERVIEW
GOVERNANCE
CORPORATE GOVERNANCE AND
NOMINATING COMMITTEE REPORT
COMPOSITION,
SUCCESSION
AND
EVALUATION
Corporate Governance and
Nominating Committee membership
The current members of the
Committee are Venkat (Chair), Alison
Baker, Ian Cockerill and Livia Mahler.
There were four scheduled meetings
and the Directors who served as
members of the Committee over
the course of the year are set out
below:
Committee Members Attendance
Venkat: Chair
1
2/2
Alison Baker
1
2/2
Soa Bianchi
2
2/2
Michael Beckett
2
2/2
Ian Cockerill
1
2/2
Livia Mahler
1
2/2
Tertius Zongo
3
2/2
1. They attended every meeting of the
Corporate Governance and Nominating
Committee since becoming members in
May 2022.
2. They attended every meeting of the
Corporate Governance and Nominating
Committee until they stepped down from
the Board on 24 May 2022.
3. He attended every meeting of the
Corporate Governance and Nominating
Committee until he stepped down from
this Committee in May 2022.
Dear Shareholders,
On behalf of the Board, and as Chair of the Corporate
Governance and Nominating Committee, I am pleased
to present the Corporate Governance and Nominating
Committee Report for the year ended 31 December 2022.
The purpose of the Corporate
Governance and Nominating
Committee is to ensure that the
Company’s corporate governance
arrangements are t-for-purpose and
that effective succession planning is
maintained in order that the Board,
its Committees and the senior
management team, have the right
combination of skills, experience and
knowledge. It also sets and oversees
the Board evaluation process annually.
Board changes
Succession planning, Board and
Committee composition, diversity and
Board effectiveness were key areas of
focus for the Corporate Governance
and Nominating Committee this
year. I took up my appointment as
independent Chair of the Board in
May 2022, following Michael Beckett’s
retirement at the 2022 AGM. Soa
Bianchi and Carmen Letton also
stepped down at the 2022 AGM and
two further Independent Non-Executive
Directors were appointed to the Board:
Ian Cockerill in May 2022 and Sakhila
Mirza in September 2022. There was
one further change in August 2022
when David Mimran resigned from
the Board. David had been a valued
Board member since the Teranga
acquisition in 2021 and, through
Tablo Corporation, he continues
to be a supportive shareholder;
we are immensely grateful for his
contribution.
Ian Cockerill has over 48 years of
experience in the global natural
resources industry and has extensive
operational, project and leadership
experience having held executive
roles at major international mining
companies. Sakhila Mirza brings
considerable experience within the
precious metals sector, particularly in
the highly valued area of sustainability
and responsible sourcing which is an
area of focus for the Company.
When deciding which candidates to
nominate, the Corporate Governance
and Nominating Committee took into
account the balance of skills on the
Board and areas of expertise that
would be benecial to it, as well as the
necessity of maintaining and improving
Board diversity. Following the changes to
Board composition in 2022, I am proud
to report that 33% of the Board are
women and 44% are ethnically diverse.
Furthermore, the Board’s overall diversity,
(taking into account gender and ethnic
diversity) is 66% and both the Audit and
Remuneration Committees are chaired
by women.
Changes to membership of the
Committees
Since becoming Chair of the Committee
I have welcomed Ian Cockerill, Alison
Baker and Livia Mahler as members of
the Committee and have benetted from
their insights on the business we carry
out. The membership of the Committee
is drawn from the chairs of the other
Committees, with the aim being for the
Committee to be an effective forum
to draw together any governance-level
concerns or risks emanating from, or
identied by, the various Committees’
work. In light of the changes to Board
composition, all of the Committee
memberships were reviewed in July (to
reect the changes owing from the
2022 AGM), and again in October (to
reect the appointment of Sakhila Mirza).
Most importantly in terms of compliance
with the UK Code, we appointed Livia
Mahler as Chair of the Remuneration
Committee following the 2022
AGM, replacing the previous Board
Chair Michael Beckett in this role.
Furthermore, to ensure the highest
standards of governance in an area as
important as remuneration, I decided
that (as with the Audit Committee),
it was best if the Board Chair was
not a member of the Remuneration
Committee. The Corporate Governance
and Nominating Committee also took
further steps to comply with the UK Code
by appointing Ian Cockerill as Senior
Independent Director and Tertius Zongo
as Employee Engagement Director.
126 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
GENDER BALANCE
OF THE BOARD
MALE/6
67%
FEMALE/3
33%
BOARD ETHNICITY
BOARD NATIONALITY
44%
BAME
56%
WHITE
British
French
Australian
Canadian
Egyptian
Indian
Burkinabe
Pakistan
Board evaluation
During 2022, the Board undertook
an independent evaluation of its
own performance and effectiveness,
bearing in mind the Board changes
and Chair succession. This review was
conducted by Lintstock and its terms
of reference and key ndings are set
out on page 129.
I would like to thank you our
shareholders for your support during
the year and look forward to your
participation at our AGM on 11 May
2023. Please feel free to make
contact if you have any questions.
SRINIVASAN VENKATAKRISHNAN
CHAIR OF THE CORPORATE GOVERNANCE
AND NOMINATING COMMITTEE
15MARCH 2023
Corporate Governance and Nominating
Committee key responsibilities
• Regularly reviewing the structure,
size and composition of the Board
and its Committees (including
skills, knowledge, experience and
diversity).
• In conjunction with the
Remuneration Committee ensuring
plans are in place for an orderly
succession to Board and Senior
Management positions and
overseeing the development of a
diverse pipeline for succession.
• Selecting and appointing external
search consultants to identify
potential candidates for Directors
when required.
• Recommending the re-election
by shareholders of Directors in
accordance with the provisions of
the UK Code.
• Identifying and nominating for
approval candidates to ll Board
vacancies.
• Evaluating the Board’s diversity and
balance of skills.
• Developing and implementing
an orientation and education
programme for new appointees to
the Board.
• Reviewing the results of the Board
performance evaluation process
that relate to the composition of the
Board and succession planning.
• Reviewing the time needed to full
the role of Non-Executive Director.
• Overseeing matters relating to
corporate governance, including
bringing any issues in relation
thereto to the attention of
the Board.
• Maintaining the Board Charter and
Corporate Governance Guidelines,
including matters reserved for the
Board and reviewing them annually
and recommending modications to
the Board.
How the Corporate Governance and
Nominating Committee operates
The Corporate Governance and
Nominating Committee meets a
minimum of twice a year and then
ad-hoc as and when required. During
the year, the Corporate Governance
and Nominating Committee met four
times, owing to the various changes
at Board level.
Only members of the Corporate
Governance and Nominating
Committee are entitled to attend the
meetings. However other individuals
such as the Directors, employees or
external advisers may be invited to
attend for all or parts of any meeting
as and when appropriate.
The Company Secretary acts as
secretary to the Corporate Governance
and Nominating Committee.
The Charter was reviewed and updated
during the year to ensure that it was
compatible with the UK Code and best
practice and is available to view on the
Company’s website.
Board induction & Director training
The Corporate Governance and
Nominating Committee, through
the Company Secretary, oversees
the orientation and educational
programme of all new Directors.
The purpose of the orientation and
educational programme is to ensure
that all Directors have an appropriate
understanding of the business of the
Company, its operations and facilities,
its management and professional
advisors, the duties of the Board
and its members, and the legal and
regulatory environment in which the
Company operates.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 127
GOVERNANCEOVERVIEW
GOVERNANCE
CORPORATE GOVERNANCE AND
NOMINATING COMMITTEE REPORT CONTINUED
Once a search process has concluded, onboarding of new
Directors involves the initial step of providing them with
a draft appointment letter for review prior to the terms
being nalised. The next phase of induction involves
the distribution (usually by email) of a comprehensive
compendium of governance materials for review by the
new Director. Following this, a one-to-one session is held
with the Company Secretary and the legal team to allow
the new Director full opportunity to clarify any questions or
concerns. New Directors are offered follow-up one-on-one
sessions with other executives to ensure uency of the
Director with the portfolio of each of the main executives
and to help build initial relations. Directors are also offered
the opportunity, if they wish, to meet and ask any questions
of our corporate brokers, our lead external legal counsel
and our external auditor.
Talent and succession planning
The Company considers succession planning for critical
positions such as the Chief Executive, but also other
senior management, to be of paramount importance to
risk mitigation and the continuity of the business strategy.
The Company conducts annual appraisals in search of
high-potential individuals, with those appraisals focused
on the specic features or qualities necessary to replace
a position one or more levels above the individual, or
even laterally. Each Vice President level employee reviews
the potential and performance of each team member
annually and reports on the outcome to the Executive
Committee so that an appropriate successor for each
management position can be identied. This enables the
Executive Committee to have reliable intelligence on the
pool of potential successors and the time horizon within
which those persons might be appointed. Succession
planning goes hand in hand with dynamic human resources
management and the importance of demonstrating realistic
progression opportunities in the eld. Since 2016, the
Company has maintained a programme known as ’growing
local talents’ which aims to identify key individuals in the
Company who can be promoted to positions of greater
responsibility, and the approach has yielded impressive
results with at least four West African nationals being
appointed to General Manager positions and numerous
others being appointed to management positions across
the organisation. The Company has not currently identied
an internal successor for the Chief Executive position
but will focus on identifying and developing two potential
internal successors, who will be benchmarked as part of
any CEO search should the need arise in the future.
Diversity policy
The Company recognises that a diverse and talented
workforce is a competitive advantage and that the
Company’s success is the result of the quality and skills
of its people. Diversity contributes to the achievement of
the Company’s corporate objectives by extracting the best
potential from the available pool of candidates for any one
position. To this end, a Board approved Diversity Policy,
designed to assist in achieving various diversity objectives
is in place. These objectives include the following:
• Recruiting, managing, and promoting based on an
individual’s competence, qualication, experience,
and performance.
• Considering criteria that promote diversity such as
gender, age, race, nationality, religious beliefs, cultural
background or sexual orientation.
• Considering the level of representation of women and
ethnic minorities on the Board and in senior management
along with other markers of diversity when making
recommendations for nominees to the Board or for
appointment as senior management and in general
with regards to succession planning for the Board and
senior management.
• Creating and fostering a workplace characterised by
inclusive practices and behaviours for the benet of
all staff and stakeholders, which is free from
discriminatory behaviours and business practices.
• Identifying relevant factors to be taken into account
in the employee selection process.
• Developing practices to limit potential unconscious bias.
• Attracting and retaining a diverse range of talented
individuals to further the Company’s strategic goals.
• Establishing procedures for monitoring, encouraging
and assessing diversity within the Company.
• Taking action to discourage discrimination, bullying
and harassment in the workplace.
Gender balance and diversity at 31 December 2022
Board
Senior
board
positions
Executive
management
No % No No %
Men 6 67% 3 7 88%
Women 3 33% 0 1 12%
White 5 56% 2 8 100%
Asian/Asian British 2 22% 1 0 0%
Black/African/
Black British
1 11% 0 0 0%
Other 1 11% 0 0 0%
128 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Activities of the Corporate Governance and
Nominating Committee during the year
Succession planning & Board composition
As noted in the Chair’s introduction, during the year the
Corporate Governance and Nominating Committee devoted
a signicant amount of its resources to succession
planning and the composition of the Board and the
Board Committees. The appointment of an Independent
Chair and two Independent Non-Executive Directors
was recommended to the Board for approval: Venkat
(May 2022); Ian Cockerill (May 2022); and Sakhila
Mirza (September 2022). The membership of the Board
Committees was also refreshed to achieve compliance with
the UK Code and to ensure the optimum utilisation of skills
and expertise.
Code of Business Conduct & Ethics
The Corporate Governance and Nominating Committee
considered and recommended to the Board for approval a
revised Code of Business Conduct & Ethics which reects
the Company’s purpose and values and provides a clear
framework for how we aim to conduct our business.
This code applies to employees, Directors, contractors,
agents and consultants and guides our interactions with
each other and with our stakeholders, including host
communities and governments.
Independent Board evaluation
As noted in the compliance statement, the Company
conducted an independent Board Evaluation during 2022.
The evaluation was led by the Chair, Venkat and
conducted by Lintstock (which has no connection with
the Company or any of its Directors) who conducted
one-on-one interviews with all members of the Board and
the Executive Committee. Representatives of Lintstock
attended the September 2022 meetings of the Board
and the Committees. Lintstock then compiled separate
reports detailing their ndings. There was a report for each
Committee, one in respect of the Board, one in respect of
the Chair and a separate report compiled from the views
of senior management on the Board and these reports
were circulated to all Board members in October 2022. The
Board report contained a review of the Board composition,
dynamics, stakeholder oversight, meeting management,
strategy, risk and succession planning. The Committee
considered these reports, discussed the recommendations
with the Board and put in place an action plan.
Key ndings included:
• The meetings of the Board were well run and there was
contribution from all Directors and an open environment
for management to contribute;
• The Chair had made a positive start to his new role and
was focused on ensuring there was a good dynamic
between the Board and management so that the Board
could operate effectively in its decision making;
• There was a strong degree of respect by management for
the counsel of the Board;
• The Board composition was deemed to be appropriate
but further progress was needed against gender diversity
targets;
• Stakeholder oversight was judged to be a strength
of Endeavour and the appointment of the Employee
Engagement Director and the new EVP Human Resources
were expected to provide more insight on employee
sentiment and culture;
• Board support was rated positively and deemed to be
professional, although some Board reports were deemed
to be over lengthy and could be more focused;
• The Committee dynamic had transformed positively over
the course of the year and there was good transparency;
and
• The Company’s strategy was clear and there was high
regard for its focus on ESG.
2023 Objectives
• Board dynamics were deemed positive but following
the extensive Board changes over 2022, it is planned
to build on relationships to consolidate them further
through the Board spending more informal time with
management in and around meetings;
• There will be continued focus on improvement of Board
gender diversity over the coming year with the aim of
achieving a target of 40% women on the Board;
• Succession planning and talent management will be
improved under the new EVP Human Resources in
conjunction with the Chief Executive; and
• The Board plans to review the Group risk management
programme, including increasing its oversight of the risks
identied through the different Committees which report
directly into the Board.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 129
GOVERNANCEOVERVIEW
GOVERNANCE
AUDIT COMMITTEE REPORT
AUDIT, RISK
AND INTERNAL
CONTROL
Dear Shareholders,
On behalf of the Board, I am pleased to
present our Audit Committee Report for the
nancial year ended 31 December 2022.
This report provides an overview
of how the Audit Committee has
operated during the year. It also
provides an insight into the Audit
Committee’s activities and its role
in ensuring integrity of the published
nancial information and the
effectiveness of risk management and
internal control processes, along with
oversight of the assurance provided by
internal and external audit.
The Committee met ve times
during the year and has met twice
since the year end. These meetings
have focused primarily on the
external audit and approval of the
consolidated nancial statements
for the years ended 31 December
2022 and 2021, the 2022 Annual
Report and condensed interim
consolidated nancial statements
for each of the quarters in 2022, as
well as monitoring the effectiveness
of internal controls, developing our
response to policy outcomes from
the BEIS consultation, and monitoring
those key areas of judgements
and estimates, such as potential
impairments and uncertain tax
positions, which can have a signicant
impact on the nancial position
and results from operations of the
Company.
During 2022, we actively engaged
with regulators. I am pleased to
report that the Committee received
limited comments from the audit
quality review team (“AQRT”) following
the review of the BDO 2021 audit
and the Corporate Reporting team
(“CRR”) review of the 2021 nancial
statements. The two principal matters
are discussed within this report.
Audit Committee membership
The current members of the
Committee are Alison Baker
(Chair), Livia Mahler and
Tertius Zongo.
There were ve scheduled
meetings and the Directors
who served as members of the
Committee over the course of the
year are set out below:
Audit Committee Members Attendance
Alison Baker: Chair 5/5
Soa Bianchi
1
2/2
Livia Mahler 5/5
Tertius Zongo 5/5
1. Ms Bianchi resigned from the Board on
24 May 2022.
As Chair of the Audit Committee,
I meet regularly with the Chief
Executive, Chief Financial Ofcer,
Head of IA and the external audit lead
partner. After each Audit Committee
meeting, I report to the Board on the
business undertaken.
In setting our agenda for 2023, we will
comply with the requirements of the
UK Code. In addition to our routine
agenda, specic areas of focus will
include:
• Reviewing the signicant tax
positions of the Company, and
management’s assessment of the
outcomes of those positions;
• Monitoring the impact of system
changes during the year;
• Monitoring our response to the
UK regulatory reforms and the
FRC position paper, Restoring
Trust in Audit and Corporate
Governance including the adoption
of an Audit and Assurance Policy
and undertaking a fraud risk
assessment; and
• Ongoing monitoring of cyber risks.
I am available to engage with
shareholders and will be attending
the 2023 AGM. I look forward
to answering any questions that
shareholders may have.
ALISON BAKER
CHAIR OF THE AUDIT COMMITTEE
15MARCH 2023
130 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Audit Committee key responsibilities
The Audit Committee’s key objectives include:
• the provision of effective governance over the
appropriateness of nancial reporting of the Group,
including the adequacy of related disclosures;
• the performance of both the IA function and the external
auditor; and
• the oversight of the Group’s internal control systems,
business risks and related compliance activities.
Detailed responsibilities are set out in the Audit
Committee’s Charter which can be found on the
Company’s website.
The Audit Committee reports to the Board with its
assessment of effective governance in nancial reporting,
internal control and assurance processes, and on the
procedures in place to identify and manage risk.
Alison Baker, the Committee Chair, is a chartered
accountant with over 25 years’ experience in providing
audit, capital markets, advisory and assurance services
and serves, or has served, on the boards of several other
LSE and TSX listed resource and Africa-focused companies.
She is currently a non-executive director and audit
committee chair at FTSE250 listed company Helios Towers
plc, TSX-listed Capstone Copper Corp. and Rockhopper
Exploration plc. She is a qualied chartered accountant
of the Institute of Chartered Accountants of England
and Wales. The experience of the other Audit Committee
members is summarised on pages 116 and 117.
The Board considers that each Audit Committee member
is independent and has a broad and diverse spread of
commercial and relevant industry experience. This provides
the Board with assurance that the Audit Committee has the
appropriate skills and experience to be fully effective and
meets the UK Code requirement that at least one member
has signicant, recent and relevant nancial experience.
How the Audit Committee operates
In accordance with the Audit Committee’s charter, the Audit
Committee is required to meet at least four times a year.
During the year, the Audit Committee met ve times.
Only members of the Audit Committee have the right to
attend the meetings. However, the Chief Executive, Chief
Financial Ofcer, the Chair, Head of IA and external audit
lead partner may be invited to attend for all or parts of
any meeting as and when appropriate. The Chief Financial
Ofcer, Head of IA and external audit lead partner are
invited to attend meetings of the Audit Committee on a
regular basis. The Company Secretary acts as secretary to
the Audit Committee.
Audit Committee effectiveness
In conjunction with the Lintstock review of Board
effectiveness during the year, the effectiveness of the
Audit Committee was reviewed and the performance of the
Committee was rated highly. This is discussed further on
pages 132 to 133.
Activities during the year
In planning its own agenda to discharge its responsibilities,
the Audit Committee takes account of signicant issues
and risks, both operational and nancial that may have an
impact on the Group’s consolidated nancial statements
and/or the execution and delivery of its strategy. The Audit
Committee requested management to provide a number
of in-depth reviews as part of the meeting agenda. These
reviews and other Audit Committee activities in 2022 are
summarised on the pages that follow. Following these
reviews, action items were agreed, and progress against
each item is being tracked and reviewed by the Audit
Committee.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 131
GOVERNANCEOVERVIEW
GOVERNANCE
AUDIT COMMITTEE REPORT CONTINUED
Area of focus Responsibilities Activities during 2022
Integrity of nancial
reporting and
nancial information
provided to
stakeholders
Reviewing the nancial
statements, including
ensuring the appropriateness
of the Group’s signicant
accounting policies, the
accounting treatment for
signicant transactions, the
reasonableness of signicant
estimates and judgements,
and the completeness and
clarity of disclosures
• Reviewed the condensed interim consolidated nancial
statements and the related Management Reports and
press releases for each of the quarters in 2022, alongside
management papers on key judgements and accounting
matters
• Reviewed alternative performance measures
• Reviewed the preparation and signicant assumptions in the
viability statement for the 2022 year-end
• Reviewed the going concern analysis by management on a
quarterly basis
• Reviewed the signicant corporate transactions during the
2022 year, in particular the impairment assessments of
Wahgnion and Boungou
• Quarterly reports on material tax and treasury matters
• Quarterly reports on material legal matters
• Reviewed nancial and stakeholder considerations related to
shareholder returns programmes, including dividends and share
buybacks
• Reviewed the FRC comment letter and management’s response
to the comment letter, as well as how comments were
addressed in the 2022 Annual Report. The principal matter
related to the Company’s TCFD disclosures and compliance
with the TCFD Recommendations and Recommended
disclosures
Internal controls and
risk management
Reviewing the effectiveness of
the Group’s Internal Controls
over Financial Reporting
(“ICFR”), and the Group’s risk
management programme
• Reviewed the Corporate Risk Management (“CRM”) roadmap
and plan for the Group for 2022, as well as principal and
emerging risks identied as part of the 2022 CRM programme
• Deep dives on IT infrastructure and cybersecurity risks,
processes and procedures around the calculation of reserves
and resources, the Company’s cash management processes,
tax processes and structures
• Monitored the Group’s response to policy outcomes from the
BEIS consultation
• Monitored the Company’s ICFR assessment for the year ended
31 December 2022
• Monitored ongoing nancial reporting and system improvement
projects based on prior year ndings
• Reviewed the Finance function’s annual strategic objectives and
organisational structure
Internal Audit Overseeing the work and
ndings of IA
• Monitored the effectiveness of IA
• Reviewed reporting from IA on projects undertaken during the
year and approved the internal audit plan
• Reviewed the ndings of ad hoc projects undertaken by IA
during the year, as a result of whistleblower reports or other
internal ndings
Audit Committee effectiveness
132 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Area of focus Responsibilities Activities during 2022
External auditor Reviewing the effectiveness of
the external audit process
Overseeing the Company’s
relationship with the external
auditor
Reviewing the independence
and objectivity of the external
auditor and the appropriateness
of any non-audit services
provided
• Approved the external audit plan and the terms of the
engagement for the 2022 year-end audit and the interim
reviews in 2022
• Reviewed and approved the external audit and interim review
fees for 2022, as well as the nal audit fee for the 2021 audit,
with the agreed upon cost overruns
• Reviewed the independence and the effectiveness of the
external auditor
• Discussed ndings from the quarterly reviews and annual audit
with the external auditor, both with and without management
present
• Reviewed the Audit Quality Review ndings which highlighted
limited improvements required
• Pre-approved all non-audit services provided during the year and
reviewed audit and non-audit services for the year, in particular
as it related to the independence of the external auditor
Policies and
procedures
Reviewing the Group’s policies
and procedures for preventing
and detecting bribery and
fraud, and the systems and
controls in place to ensure that
the Group complies with the
relevant regulatory and legal
requirements
• Reviewed the updates to the Company’s Anti-Bribery and
Corruption, Whistleblowing, Treasury and other policies and
procedures
• Reviewed approach to and disclosures of related party
transactions in the year
• Reviewed updates to the Delegation of Financial Authority
procedures which were revised to reect the Company’s growth
and changes to its organisational structure
Financial reporting
As noted above, the Audit Committee provides governance
and oversight of our nancial reporting through a review of
quarterly nancial statements. Details of our oversight of
the key judgements and estimates is set out below, along
with our review of critical disclosures including:
• Viability statement and going concern;
• Fair, balanced, and understandable; and
• Alternative performance measures (“APMs”).
Viability statement and going concern
The Audit Committee has reviewed and challenged the
basis for the Company’s Viability Statement and advised
the Board on the process which has been undertaken in
the year to support the Viability Statement required under
the UK Code. The Viability Statement and the Board’s
assessment of the Company as a going concern are set
out in the Strategic Report on pages 72 to 73.
Fair, balanced and understandable
The Directors are required to conrm that they consider,
taken as a whole, that the Annual Report is fair, balanced
and understandable and that it provides the information
necessary for shareholders to assess the Company’s
position and performance, business model and strategy.
The Audit Committee has satised itself that the controls
over the accuracy and consistency of information presented
in the Annual Report are robust, that the information is
presented fairly (including the calculations and use of
alternative performance measures) and has conrmed
to the Board that the processes and controls around the
preparation of the Annual Report are appropriate, allowing
the Board to make the “fair, balanced and understandable
statement” in the Directors’ Responsibility Statement.
Alternative Performance Measures (“APMs”)
Historically, the mining industry has used a wide range
of APMs to compare and assess business performance.
As noted below, the Audit Committee reviewed in detail
the use of APMs within the Annual Report and throughout
the year.
The Audit Committee reviewed the consistency of the
calculation of certain APMs for all periods presented.
Where the calculation of an APM was modied in the
current year to better reect the nature of the APM and to
be more consistent with peer disclosures, we ensured that
there was clear disclosure with the reason for the change,
as well as a reconciliation of the impact of the change on
prior periods.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 133
GOVERNANCEOVERVIEW
GOVERNANCE
AUDIT COMMITTEE REPORT CONTINUED
We ensured that the APMs were disclosed with equal prominence to the IFRS measures, and that the disclosures
related to the adjusting items were transparent and agreed to the underlying consolidated nancial statements. Given
the relevance of the APM in our investor information, the Audit Committee ensured that the APM reconciliations and
explanations were included in the Financial Review section of the Annual Report.
Key judgements and estimates
In assessing the Annual Report, the Audit Committee considers the key judgements and estimates, along with detailed
reports from management and the external auditor. The signicant issues considered by the Audit Committee in respect of
the year ended 31 December 2022 are set out in the table below:
Signicant issues and judgement
addressed by the Committee
How the Committee addressed the issues during 2022
Impairment of mining interests and goodwill
Under IAS 36, the Group is only required to
perform a detailed impairment test if there are
indicators of potential impairment, however
for the two mines to which goodwill has
been previously recorded and not previously
impaired (Mana and Sabodala-Massawa), a
full impairment review needs to be performed
annually, as a result of the goodwill attached to
each of these CGUs.
The preparation of the life of mine models that
are used in the impairment reviews requires
management to make critical judgements and
estimates regarding gold prices, reserves and
resources, production rates, operating costs
and capital expenditure, as well as economic
variables such as ination and discount rates.
See note 6 of the consolidated nancial
statements.
The Audit Committee reviewed the impairment indicator assessment
prepared by management which included a review of operating
performance against budget of each of the individual operating mines
and against previous comparative periods to identify any indication
the assets were not performing in line with expectations. The Audit
Committee reviewed management’s conclusion for those mines for
which an impairment analysis was required during the year, due
to the identication of indicators of impairment at Wahgnion and
Boungou, related to lower than expected production and grades
and higher costs during the year. Management also completed an
impairment test for those mines to which goodwill is allocated,
being the Sabodala-Massawa and Mana mines. Given the indicators
of impairment at Boungou and Wahgnion during the year, the Audit
Committee was satised with management’s conclusion that there
was no indication that the previous impairment recognised at the
Boungou mine should be reversed in 2022.
The Audit Committee evaluated the signicant assumptions and
judgements used in the determination of the recoverable amounts for
the four mines for which impairment assessments were completed
at 31 December 2022, in particular as it relates to the gold prices,
discount rates, and the sensitivities of management’s conclusions to
changes in those assumptions. The Audit Committee evaluated the
reserves and resources (“R&R”) incorporated into the impairment
models and the consistency with the latest R&R estimates as publicly
disclosed and previously used by management. As a result of this
analysis, the Company recognised impairments at the Wahgnion and
Boungou mines of $197.0 million and $163.3 million, respectively.
The Audit Committee noted that management had retained a third-
party expert to assist in the determination of the recoverable values.
The Audit Committee also received a report from the external auditor
and reviewed management’s disclosures in the 2022 consolidated
nancial statements.
The Audit Committee reviewed and challenged management’s
conclusion that as a result of the above assessment, impairments
were recognised for the Wahgnion and Boungou mines. The Audit
Committee is satised that the appropriate impairment of mining
interests to recoverable value has been recognised and disclosed
in the consolidated nancial statements for the year ended 31
December 2022.
134 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Signicant issues and judgement
addressed by the Committee
How the Committee addressed the issues during 2022
Tax claims in differing jurisdictions
There are material tax claims present across
the Group. There is a risk that the identied
claims are incomplete and that management
has not recorded adequate provisions for those
claims which have been received. Management
is required to assess income tax claims with
reference to IFRIC 23, Uncertainty over Income
Tax Treatments and for non-income taxes, and
those arising out of other taxes and customs
audits, under IAS 37, Provisions.
See note 21 of the consolidated nancial
statements.
Throughout the year, the Audit Committee received updates on
the status of tax claims and the associated provisions. The Audit
Committee reviewed the year-end tax report prepared by management
summarising all signicant actual and potential tax claims present
across the Group which in some instances included input from
external auditor to the Group, other external advisors as well as
management’s evaluation of each in accordance with the relevant
guidance (IAS 37 - Provisions, Contingent Liabilities, Contingent Assets,
IAS 12 - Income Taxes, and IFRIC 23 - Uncertainties over Income Tax
Treatments). The Audit Committee reviewed the judgements made
in evaluating the various tax exposures as well as the signicant
changes to the prior year. The Audit Committee also received a report
from the external auditor and reviewed management’s disclosures
related to income taxes and uncertain tax provisions in the 2022
consolidated nancial statements and is satised that the appropriate
amounts are recognised at 31 December 2022.
Each of these areas also represented key audit matters or
otherwise areas of audit focus for BDO and, accordingly,
the Committee was provided with detailed written and oral
presentations by the engagement team on each of these
matters. The BDO team reporting to the Audit Committee
also covered other matters of judgement and estimates
included in note 3 to the consolidated nancial statements.
On the basis of their work, BDO reported to the Committee
no inconsistencies or misstatements that were material
in the context of the Financial Statements as a whole.
A summary of the work undertaken by BDO on these
key matters is set out in their Audit Report on pages
165 to 171.
Relationship with the external auditor
The Audit Committee has primary responsibility for
managing the relationship with the external auditor,
including assessing their performance, effectiveness and
independence annually and recommending to the Board
their reappointment or removal.
The Committee noted the draft new minimum standards
for Audit Committees which was issued by the FRC in
November 2022 and conrms that it will continue to comply
with these recommended standards. The paragraphs
below set out how the Audit Committee has discharged its
responsibilities with respect to the external auditor.
Scope of work and professional scepticism
During the year, the Audit Committee has considered the
nature, scope and results of the external auditor’s work
and reviewed, developed and implemented a policy on the
supply of any non-audit services that are to be provided
by the external auditor. It has also received and reviewed
reports from the Group’s external auditor relating to the
Group’s Annual Report and Accounts, interim reviews and
the external audit process.
The quality of the audit is of paramount importance to
the Committee and the agenda and accounting matters
presented to the Committee are often the outcome of
many weeks or months of work undertaken by BDO and
management. The regular discussions held outside the
Committee meeting allow the Chair of the Audit Committee
to assess the level of professional scepticism and
challenge that our external auditor applies to management.
After each Committee meeting, the Committee also
holds a private session with the external auditor, without
management present, where BDO is challenged on whether
they have maintained their independence and objectivity
from management in considering key matters and whether
there are areas of concern that they wish to bring to the
Committee’s attention.
In respect of the audit for the nancial year ended
31 December 2022, BDO presented their audit plan to
the Audit Committee. The audit plan included the audit
strategy, scope, timeline and an assessment of audit risks
and robust testing procedures. The audit plan also outlined
the impact of ISA (UK) 315 (Revised) which introduced
signicant changes in the approach to risk identication
and assessment, which are intended to drive a more
focused response from the external auditor to identied
risks, and which had implications for the completion of the
2022 audit.
The Audit Committee approved the plan following
discussions with both BDO and management.
The Committee received a detailed report from BDO in
advance of the March 2023 meeting and I can report
that all key matters and areas of challenge were
satisfactorily resolved with no disagreements between
the external auditor and management. Some immaterial
unadjusted audit differences were noted and reported
to the Committee.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 135
GOVERNANCEOVERVIEW
GOVERNANCE
AUDIT COMMITTEE REPORT CONTINUED
Audit tendering
BDO was rst appointed as external auditor of the Group
in August 2020, when a formal tender was conducted to
appoint the new external auditor. Matt Crane has been the
BDO lead partner since August 2020, before the Company
listed in London in June 2021. He can remain lead partner
for a ve-year period from the start of his tenure. Another
audit tender must be concluded on or before the 2030
audit and the Audit Committee will continue to review the
appropriate timing of any such tender.
Audit and non-audit fees
The Companyincurred $1.7million in fees to BDO, the
external auditor of Endeavour Mining plc, for the nancial
year ended 31 December 2022.
The Company has adopted a non-audit services policy in
compliance with the FRC’s Revised Ethical Standard which
limits BDO to working on the audit or such other matters
where their expertise as the Company’s external auditor
makes them the logical choice for the work and/ or it is
required by law or regulation. All of the services to be
provided, require pre-approval by the Chair of the
Audit Committee. This is to preserve BDO’s independence
and objectivity. The Company paid $0.3 million in audit
related assurance services which related to the quarterly
and interim reviews to BDO for the nancial year ended
31 December 2022. The Audit Committee therefore
expects the ratio of non-audit fees to audit fees will not
exceed an average of 70% over a three-year period, which
will rst be applicable in the year ending 31 December
2023. Further details can be found in note 5 to the
consolidated nancial statements.
Audit effectiveness and independence
In accordance with the guidance set out in the Financial
Reporting Council’s ‘Practice Aid for Audit Committees’
the assessment of the external audit has not been a
separate compliance exercise, or an annual one-off
exercise, but rather it has formed an integral part of the
Audit Committee’s activities. This has allowed the Audit
Committee to form its own view on audit quality and on the
effectiveness of the external audit process, based on the
evidence it has obtained during the year.
Sources of evidence obtained and observations during the year:
• By referring to the FRC’s
‘Practice Aid on Audit Quality’.
The Audit Committee has looked to this practice aid for guidance and has ensured
that assessment of the audit is a continuing and integral part of the Audit
Committee’s activities. The Audit Committee has reviewed the FRC 2021/22 Audit
Quality Inspection Report on BDO along with a qualitative assessment against key
criteria for a high-quality audit such as lead partner engagement, effective project
management, and issues resolution including appropriate evidence of challenge to
management.
The Audit Committee Chair also reviewed and discussed the FRC report on BDO
which highlighted rm wide improvements for BDO from the audit quality reviews
conducted in 2021/22. In conjunction with the ndings from the FRC AQRT
review of the Endeavour audit le, the Committee was satised that appropriate
responses to the ndings had been taken.
• Observations of, and
interactions with, the external
auditor including demonstration
of professional scepticism
and challenge.
The Audit Committee has met with the external audit lead partner without
management present several times and has considered the effectiveness,
objectivity, skills, capacity and independence of BDO considering all current ethical
guidelines, and was satised that all these criteria were met. Areas where the
external auditor challenged management included the key assumptions related to
the calculations of impairment and assessment of tax exposures.
• The audit plan, the audit ndings
and the external auditor’s report.
The Audit Committee examines these documents and reviews them carefully
at meetings and by doing so the Audit Committee has been able to assess the
external auditor’s ability to explain in clear terms what work they performed in
key areas, and also assess whether the description used is consistent with what
they communicated to the Audit Committee at the audit planning stage. The
Audit Committee has also regularly challenged these reports in the meetings
and reviewed the content of the long-form audit report that has described for
shareholders the key audit matters and other signicant information.
• Input from those subject to
the audit.
The Audit Committee has requested insights from the Chief Financial Ofcer, Group
Controller, and the Head of IA during the audit process on the performance of BDO
against pre agreed audit quality KPIs. We expect to review this detailed feedback at
our meeting in May 2023.
136 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Having regard to these matters the Audit Committee
is satised with the effectiveness of the external
audit process and is satised that BDO continues to
be independent and objective. The Audit Committee
recommended to the Board that BDO be re-appointed
as the Group’s external auditor. Accordingly, a resolution
proposing the re-appointment of BDO will be put to
shareholders at the 2023 AGM.
Risk management and internal controls
Internal control structure
The Board oversees the Group’s risk management and
internal controls and determines the Group’s risk appetite.
The Board has, however, delegated responsibility for review
of the risk management process and the monitoring of the
effectiveness of internal controls to the Audit Committee.
This monitoring includes oversight of all material controls
including nancial, operational, regulatory and compliance.
It is anticipated that as a result of the Lintstock ndings,
the mapping of risks within the organisation may in future
result in the oversight and control framework for individual
risks being allocated to the Board Committee whose
function and subject-matter discipline is most closely
aligned with that risk.
The Board and the Audit Committee provide oversight
through:
• Holding regular Board and Audit Committee meetings to
consider the matters reserved for their consideration.
• Receiving monthly management accounts: site level
and consolidated nancial metrics are provided to
management and the Board on a timely basis.
• Scheduling regular Board reviews of strategy including
reviews of the material risks and uncertainties (including
emerging risks) facing the business.
• Ensuring there is a clear organisational structure
with dened responsibilities including an established
delegation of authority matrix that sets out authorisation
limits for expenditures.
• Ensuring there are documented policies and procedures
in place.
• The Group’s IA team providing assurance on the overall
control environment reporting to the Audit Committee on
a quarterly basis.
• Reviewing a report from IA which highlighted a number
of control deciencies which have been, or are in the
process of being remediated. No single item was
considered material.
• The Chief Financial Ofcer presenting to the Audit
Committee quarterly a summary of the nancial results
of the Group in preparation for the release of quarterly
interim results required on the TSX. This includes the
year-on-year movement in earnings, cash ows as well as
the statement of nancial position, overview of relevant
KPIs (production and all-in sustaining costs), impairment
assessment, update on accounting and results of recent
acquisitions or disposals, internal control deciencies,
going concern assessment, related parties, changes in
accounting policies and critical areas involving judgement
and estimate.
Risk management
The Group’s CRM framework and CRM function is led by
the Chief Financial Ofcer who reports regularly to the
Board and the Audit Committee on the Company’s principal
risks including an update on key risks, emerging risks and
the status of risk mitigation plans and controls. The CRM
process in place allows the Board to satisfy itself that risks
to the business are appropriately managed.
The Group IA function provides independent assurance
to both management and the Audit Committee on
the effectiveness of the Corporate Risk Management
framework and assurance on the system of internal
controls over nancial reporting (“ICFR”) to manage risks.
IA also evaluates the adequacy and effectiveness of CRM
on a periodic basis and uses information from risk owners
and the CRM Function to develop risk based IA plans.
Effectiveness of internal control and risk management
The Audit Committee is satised that an effective
review of the system of risk management and ICFR was
undertaken during the year. The Committee reviewed and
recommended to the Board the principal risk disclosures
for approval, including emerging risk considerations, for
inclusion in the 2022 Annual Report. Further details of the
Corporate Risk Management process, together with the
principal risks, can be found in the Risk Management and
Principal Risk section on pages 62 to 71.
Internal Audit function
A key source of internal assurance is the delivery of an IA
plan, which is designed to help the organisation achieve its
strategic priorities.
The Company has an established in-house IA function led
by the Head of IA, Jaco Dercksen, who is supported by one
regional IA manager and two additional IA analysts. Mr
Dercksen has over 25 years of audit related experience,
previously held a position as Head of IA of another listed
gold mining company, and has been with Endeavour since
September 2018. The IA function provides assurance on
the overall control environment of the Group by working
with management on key risks identied and it submits an
annual audit plan for approval by the Audit Committee. The
IA function covers operational and nancial risks across
key processes within the Group. IA reports are circulated
once completed and updates are presented at each
quarterly Audit Committee meeting. The scope of the IA
function’s work includes all of the Company’s operations,
including those from the most recent acquisitions, from the
date of acquisition.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 137
GOVERNANCEOVERVIEW
GOVERNANCE
AUDIT COMMITTEE REPORT CONTINUED
The scope of work of the IA function is to assess whether
the Company's risk management, control and governance
processes, as designed and adopted by management,
are adequate and functioning to provide reasonable
assurance that:
• Risks are appropriately identied and managed.
• Operations and programmes of the Company are
transacted in accordance with established objectives and
high ethical standards.
• Control processes emphasise quality, efciency and
continuous improvement.
• The integrity of signicant nancial and operating
information is accurate, complete and timely.
• Employee actions are in compliance with policies,
procedures and applicable laws and regulations.
• Signicant legislative or regulatory issues impacting the
Company are recognised and properly addressed.
The Head of IA presents to the Audit Committee an update
on key audit ndings and recommendations. This includes
a summary of the observations, issue rating and expected
remediation date and management response.
Effectiveness of the IA function
The Audit Committee Chair meets regularly with the Head
of IA and sets objectives at the beginning of the year that
are approved by the Audit Committee. The Head of IA
meets at least quarterly with the Audit Committee without
management or the external auditor present and is in
direct regular communication with the Chair of the Audit
Committee. Objectives are assessed at the end of the
year to establish the effectiveness of the IA function. The
Audit Committee has assessed the effectiveness of the IA
function this year and continues to challenge the current
arrangements to ensure that they remain appropriate and
effective for the Group.
Whistleblower policy
The Company is required to maintain, subject to the
oversight by the Audit Committee, a mechanism for the
condential reporting of suspected fraud, breach of policies
and other wrongdoing. In accordance with Canadian
regulations a whistleblower procedure was already in place
at the Group and this policy was updated upon listing of
the Company in London. The Company has also retained
the services of an independent service provider to receive
both telephone and web-based reports. Persons wishing
to make complaints or report concerns on a condential
basis, can do so via a worldwide call collect/reverse
charge number, or via an anonymous email portal. Details
of the policy and how to report concerns is notied to
employees and posted in corporate ofces and at the mine
sites. All issues raised are reported to a group of primary
reviewers which includes the Chair of the Audit Committee.
Signicant matters are elevated to the EVP Corporate
Finance & General Counsel and where appropriate reported
to the IA function. The Chair of the Audit Committee has
oversight of the condential whistleblower system, including
access to all reports by, and correspondence with, all
whistleblowers. A summary of the whistleblower activity
is provided to the Audit Committee on a quarterly basis.
Whistleblower matters are condential in nature (for the
benet of the whistleblower) but are reported regularly by
the Audit Committee to the Board. For more information on
the statistics of reports under the whistleblower system
see page 31 of the Strategic Report.
Statement of compliance
The Company conrms that it has complied with terms of
The Statutory Audit Services for Large Companies Market
Investigation (Mandatory User of Competitive Tender
Processes and Audit Committee Responsibilities) Order
2014 (“the Order”) throughout the year. In addition to
requiring mandatory audit re-tendering at least every ten
years for FTSE350 companies, the Order provides that only
the Audit Committee, acting collectively or through its Chair,
and for and on behalf of the Board is permitted:
• To the extent permissible in law and regulation, to
negotiate and agree the statutory audit fee and the
scope of the statutory audit.
• To initiate and supervise a competitive tender process for
the external audit.
• To make recommendations to the Directors as to the
auditor appointment pursuant to a competitive tender
process.
• To inuence the appointment of the audit engagement
partner.
• To authorise an external auditor to provide any non-audit
services to the Group, prior to the commencement of
those non-audit services.
138 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
GOVERNANCE
TECHNICAL, HEALTH AND SAFETY COMMITTEE
Committee purpose
The Technical, Health and Safety Committee (“Tech
Committee”) assists the Board in fullling its oversight
responsibilities in respect of specic technical and health
and safety matters.
The Tech Committee oversees and advises the Board and
senior management in relation to the development and
advancement of the Company’s mining assets and the
adoption of mining industry best practices for operations,
health and safety, which includes operational risk
management and, signicantly, the design, construction,
monitoring and audit of tailings facilities and the related
industry standards that must be adhered to. The Tech
Committee’s activities and sphere of responsibilities reect
the fact that the Company’s principal concern is the well-
being of people, whether they are employees, contractors,
near-mine affected persons, or communities or other
stakeholders. The health and safety of its stakeholders is
a critical factor in measuring the long-term success of the
Company’s business.
Tech Committee key responsibilities
• Conducting analysis and diligence to validate and test
the technical aspects of the Company’s exploration
opportunities, project development or mining operations.
• Considering project economic analysis, appraisal of
technical risk factors, appropriate longer-range, as well
as early stage, preparations for project development and
construction.
• Overseeing and reviewing the technical aspects of the
Company’s exploration programmes, project development
lifecycle and construction, permitting and mining
operations, including reviewing project milestones
and proposals for project construction and making
recommendations to the Board.
• Overseeing the design, construction, operation,
monitoring and audit of tailings storage facilities, and
adherence to related industry standards.
• Advising senior management on implementing,
maintaining and improving the technical, health and
safety aspects of the Company’s business.
• Considering reports on risks facing mining operations
with a view to providing senior management with advice
about solutions, actions and risk mitigants.
• Annually reviewing the resource and reserve estimates of
the Company’s mineral properties and the methodology
behind those estimates.
• Overseeing periodic benchmarking by senior
management of the technical policies, systems and
monitoring processes of the Company compared with
industry best practice.
• Reviewing and reporting to the Board on the sufciency
of nancial, technical and human resources, to ensure
advancement of the Company’s exploration, project and
mining operations.
• Receiving and reviewing updates from senior
management regarding the technical, health and safety
performance of the Company.
The Tech Committee membership
Current members of the Committee are James Askew (Chair),
Venkat, Ian Cockerill and Livia Mahler. The members of the
Tech Committee over the course of the year are set out below:
Committee Members Attendance
James Askew: Chair 6/6
Venkat
1
3/3
Michael Beckett
2
2/3
Soa Bianchi
3
3/3
Ian Cockerill
4
3/3
Carmen Letton
3
3/3
Livia Mahler 6/6
1. Venkat was appointed a member of the Committee in May 2022 when he
joined the Board.
2. Mr Beckett missed one meeting due to illness. He stepped down from the
Board in May 2022.
3. Ms Bianchi and Carmen Letton stepped down from the Board in May 2022.
4. Mr Cockerill was appointed a member of the Committee in May 2022 when
he joined the Board.
How the Tech Committee operates
In accordance with the Tech Committee’s terms of reference,
it aims to meet at least quarterly. During 2022, the Tech
Committee met six times. The Tech Committee comprises
a minimum of three members, and in accordance with the
Tech Committee Charter, at least two members must be
Independent Non-Executive Directors. The Tech Committee
Chair may invite members of management and advisors
to attend the meetings. The Company Secretary acts as
secretary to the Tech Committee.
Tech Committee activities
During the year the Tech committee has focused upon the
following activities:
• Review of the circumstances of the fatality at Ity during
blasting activities.
• Review of the 2021 and 2022 exploration results and
2022 and 2023 exploration strategic plan and programme.
• Review of the 2022 and 2023 budgets.
• Review of capital projects including the Lagué,
Sabodala-Massawa BIOX® and Ity Recyn projects.
• Consideration of the 2021 and 2022 Reserves &
Resources statements.
• Oversight of the Security team’s preparedness for, and
responses to, regional security issues.
• Consideration of the management of artisanal mining
issues.
• Monitoring the Group’s tailings facilities and related
activities.
• Monitoring critical 2022 technical priorities, especially
around mine planning and grade reconciliation.
• Review of HSE incidents, practices, statistics and areas
for improvement.
• Review of the Group’s proposed renewable-energy
initiatives.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 139
GOVERNANCEOVERVIEW
GOVERNANCE
ENVIRONMENT, SOCIAL AND
GOVERNANCE COMMITTEE
ESG Committee purpose
The Environmental, Social and Governance Committee
(“ESG Committee”) supports the Board in fullling its
responsibilities in respect of ESG matters. The Board
recognises that the long-term success and viability of
the business requires responsible stewardship of our
environmental impact, a strong licence to operate and
ethical business practices. The Company’s focus on
ESG matters is intended to benet its employees and
contractors, host communities and countries, suppliers
and shareholders.
The ESG Committee oversees and advises the Board and
senior management in relation to the development and
implementation of the Company’s ESG initiatives, including
policies, compliance systems and monitoring processes,
to ensure the Company is performing and reporting in a
manner consistent with mining industry best practice and
having regard to the Company’s commitments as a member
of the World Gold Council.
ESG Committee key responsibilities
• Advising senior management in connection with the
development and implementation of ESG strategies to
preserve and enhance long-term shareholder value and to
promote stakeholder interests.
• Establishing ESG targets for senior management to
achieve, to assist the Company in implementing its ESG
strategies, evaluating progress against those targets and
reporting on them to the Board.
• Considering and advising senior management on emerging
ESG issues and requirements.
• Annually reviewing the Company’s policies, processes
and systems regarding ESG matters and recommending
updates as well as disclosures required by TCFD
• Annually reviewing the Sustainability Report.
• Reviewing environmental incident reports, results
of investigations into material events, ndings from
environmental audits and the action plans following the
ndings.
• Reviewing the Company’s performance on community
relationships, along with recommended actions based on
that performance.
• Reviewing and reporting to the Board on the sufciency
of the nancial and human resources allocated to
ensuring the proper development, training, education
and management of our people in order to advance the
Company’s ESG strategies.
ESG Committee membership
The members of the ESG Committee during the year are
set out below:
Committee Members Attendance
Ian Cockerill
1
: Chair 2/2
Venkat
2
2/2
James Askew
3
3/4
Alison Baker 4/4
Michael Beckett
4
2/2
Sakhila Mirza
5
1/1
Tertius Zongo 4/4
1. Mr Cockerill joined the Committee on 24 May 2022 and has attended all
meetings since joining the Committee.
2. Venkat joined the Committee on 24 May 2022 and has attended all
meetings of the Committee since joining the Committee.
3. Mr Askew missed one meeting due to an unforeseen schedule conict.
4. Mr Beckett stepped down from the Board on 24 May 2022.
5. Ms Mirza joined the Committee on her appointment to the Board in
September 2022 and has attended all meetings of the Committee
since that date.
How the ESG Committee operates
In accordance with the ESG Committee’s Charter, the ESG
Committee aims to meet at least four times a year. The
ESG Committee met four times in 2022.
The ESG Committee comprises a minimum of three
members, and per the ESG Committee’s Charter, at
least two members must be Independent Non-Executive
Directors. The ESG Committee Chair may invite members of
management and advisors to attend the meetings.
The Company Secretary acts as secretary to the ESG
Committee.
ESG Committee activities
During the year the ESG Committee has focused upon the
following activities:
• Review and approval of the Company’s 2021 and 2022
Annual Report ESG-related disclosures and performance.
• Review and approval of the Company’s 2021
Sustainability Report.
• Consideration of the Company’s 2022 ESG initiatives and
work programme, including regular updates on its carbon
emissions performance and tracking against the 2022
annual target.
• Review of performance against the Company’s ESG
targets for 2022.
• Monitoring the Company’s progress towards compliance
with the RGMPs.
• Review of signicant community social projects.
• Overseeing the reporting frameworks that the Company
adheres to, including TCFD, SASB, UN Global Compact,
CDP etc, as well as monitoring the Company’s ESG Rating
Agency rankings.
140 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
GOVERNANCE
DIRECTORS’ REMUNERATION REPORT
Dear Shareholders,
This my rst year as Chair of
the Remuneration Committee,
following the retirement of
Michael Beckett from the Board
and I am pleased to present the
Directors’ Remuneration Report
for the nancial year ended
31 December 2022. There have
been some changes to the
composition of the Committee
during the year and I am
delighted to welcome our Senior
Independent Director Ian Cockerill
to the Committee, as well as
Tertius Zongo.
Our Remuneration Policy was approved
last year at the AGM, with over 90%
of votes in favour. It put in place
many positive changes to Executive
Director remuneration to support our
stakeholder interests, taking into
account UK requirements and investor
expectations in a number of areas,
while ensuring that we preserve our
talent and meet our performance
aspirations. These include:
• implementing a 50% annual bonus
(or “STIP”) deferral into shares for a
period of two years;
• we have improved our methodology
including a performance scale that
runs from threshold to maximum
in our incentive schemes for all
of our performance objectives,
reducing reliance on Remuneration
Committee discretion in the ordinary
course of determining outcomes of
the STIP and Long-term incentive
plan (“LTIP”) awards;
• putting in place an additional two
year holding period on the vesting of
LTIP awards so that there is a total
vesting and holding period of ve
years;
• increasing the threshold vesting for
the relative TSR measure on LTIP
awards from third quartile to median
performance;
• increasing the mandatory minimum
shareholding from 300% of salary
to 900% of salary in respect of the
Chief Executive;
• introducing a post cessation
shareholding requirement of 100%
in year 1 and 50% in year 2 post
termination;
• removing the tax gross up
mechanism previously used for
benets; and
• extending malus and clawback to
align with UK listed company best
practice.
We are an unusual company in the
London market in that we are listed
in both London and Toronto, having
listed on the premium segment of
the Ofcial List in 2021, yet retaining
our original Toronto Stock Exchange
listing. Our Remuneration Policy
and structure considers both our
positioning as a premium listed
company on the London Stock
Exchange and our global gold mining
peer group, while also respecting our
North American heritage and culture.
Since our listing on the London Stock
Exchange, we have transformed our
pay policy and practices as explained
above so that they include the
expected UK governance elements
and at the same time in some areas,
grandfather former pay practices and
contractual obligations.
Executive remuneration in context
We align executive compensation with
our shareholder interests, by linking
variable pay with the achievement
of key strategic and operational
objectives and correlating metrics
with the achievement of our purpose
“producing gold that provides lasting
value to society".
The primary objective of Endeavour’s
executive compensation programme,
is to support the Group’s stakeholders
by successfully executing its
entrepreneurial high-growth business
strategy. Our people are key to our
success so it is important for us
to attract and retain highly talented
executives, with a depth of experience
in the mining, and specically the gold
mining industry.
With six mines, two major capital
projects in construction, four
earlier-stage projects, an intensive
exploration programme, four countries
of operation and four government
partners with a challenging political
and security environment, it is
essential that management has
direct contact and spends in person
time managing these challenges
with relevant stakeholders: local
management, the general workforce,
government bodies and host
communities. Remuneration is
therefore designed to be highly
competitive relative to the gold and
mining market, in order to attract
and retain top-calibre executives. The
structure of compensation is heavily
focused on pay for performance
metrics and the delivery of core
objectives and I am pleased to report
that the Company has performed
strongly against these objectives in
2022.
Committee member Attendance
Livia Mahler: Chair 4/4
Ian Cockerill
1
2/2
Tertius Zongo
2
2/2
1. Mr Cockerill was appointed to the Board
on 24 May 2022 and has attended all
meetings of the Committee since his
appointment.
2. Mr Zongo was appointed as a member
of the Committee on 24 May 2022
and has attended all meetings of the
Committee since his appointment.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 141
GOVERNANCEOVERVIEW
Remuneration outcomes for 2022
2022 Performance Context
Endeavour has had another successful year, joining the
FTSE 100 index less than a year after listing on the
London Stock Exchange. It has been a year during which
we have delivered against all our objectives and met
guidance; the Company has now achieved guidance for
the past ten consecutive years. We produced 1.4Moz of
gold, reaching the top end of our production guidance
and we are particularly pleased to have attained our
AISC guidance of below $930/oz, despite the inationary
pressures impacting the industry. This is largely due to
our achievement of solid production volumes and the
successful optimisation initiatives we have put in place.
Our operational success during the year generated strong
operating cash ow of $1,022.0 million, resulting in a
net cash position at year-end of $121.1 million, enabling
the payment of $265.3 million in shareholder returns
(dividends paid of $166.6 million, and share buybacks of
$98.7 million). The balance sheet is strong, helped by our
low positioning on the global cost curve, due to judicious
strategic management, with low leverage notwithstanding
our intensive growth strategy and despite our generous
shareholder returns programme. Our exploration plan has
also been successful, with the discovery of the Tanda-
Iguela deposit during the year, which has the potential to
become a cornerstone asset for the Company.
These operating results have been achieved while
navigating the longer-term effects of the post pandemic
world, in particular severe supply chain issues and
inationary pressure. Our “Strategic Progress” section of
this Annual Report on pages14 to 25provides some key
perspectives on the excellent achievements of Endeavour
this year and on its continued long-term success in creating
value for all its stakeholders.
Chief Executive Remuneration for 2022
The Remuneration Committee carefully considered
the Company’s performance in determining the Chief
Executive’s remuneration outcome for 2022 and the
outcome is set out below. For the year ended 31 December
2022, the resulting remuneration for the Chief Executive
was 83% performance based, with the balance being
comprised of his xed remuneration.
Annual bonus
The Remuneration Committee reviewed performance
against the core KPIs during 2022 across the STIP
scorecard (further detailed on page150). The 2022
STIP award was for the rst full year in the new FTSE
listed environment, with targets set in advance. The STIP
scorecard for 2022 was comprised of seven factors:
production levels, net free cash ow, cost management,
exploration success, key capital projects, one safety
and health metric and ESG (made up of three individual
metrics). Due to the tragic fatality in 2022, there was no
award for the safety and health metric.
Based on the overall calculated scorecard outcome, the
Remuneration Committee determined that the 2022 KPIs
for the Chief Executive derived a performance score of
189% of base salary. The 2022 annual bonus outturn was
therefore calculated at $3.0million. In comparison with the
prior year, the corresponding 2021 STIP scorecard, derived
an outcome of 250% of base salary (or $4.0 million).
Long-term incentive
The long-term incentive is an equity-based award, settled
in shares upon measurement of performance conditions
set at the time of the grant of the award and which are
measured over a minimum vesting period of three years.
The 2020 award which has vested this year was a legacy
award under the previous remuneration practices, set when
the Company was listed solely on the TSX. The award is
fully calculable against nancial metrics, including total
shareholder return (“TSR”) (as further detailed in the “LTIP
Scorecard”). The vesting outcome of the 2020 award,
which vested in early 2023, measured based on meeting
or exceeding the performance conditions, was 125% of
the original target award amount, which was the maximum
outcome.
Full details on the targets set and performance against
them can be found on pages 150 to 151.
Remuneration in 2023 for the Chief Executive
Salary and pension
No changes to salary are proposed for 2023 and details
of the 2023 STIP metrics and the 2023 LTIP award are
summarised on page 154 and set out in the table on
page 147. The maximum bonus potential for the 2023
STIP is unchanged at 250% of salary and the LTIP award
also unchanged at 400% of base salary with a potential
1.5x vesting multiplier, both of these being in accordance
with the Remuneration Policy. In response to feedback
from proxy advisory rms during 2022 and the early part
of 2023, we considered ways to restructure the manner
in which pension contributions for the Chief Executive
(and the wider UK workforce) are calculated. The Board
is recommending to shareholders a resolution at the
AGM to reduce the pension entitlement for the Chief
Executive under the Remuneration Policy. If the resolution
is approved, then the pension entitlement for the Chief
Executive (and the UK workforce) will be altered to 10%
of base salary only, with retrospective effect from 1 April
2023. This would replace the current practice whereby the
Chief Executive’s pension entitlement is 6% of salary plus
6% of the STIP payout.
GOVERNANCE
DIRECTORS’ REMUNERATION REPORT CONTINUED
142 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Our stakeholder community and pay
We believe that our people should be rewarded
appropriately and we strive to continually improve our
reward offering. Our annual bonus plan is a short-term
incentive plan available to almost all employees of
Endeavour, allowing them the opportunity to benet from
Endeavour’s success based on common Group-level
targets.
As a mining company, safety is a core component of our
operational philosophy and a strong licence to operate is
underpinned by healthy social relations with communities,
and with local employees and labour unions. Throughout
the year, our leadership team has been active on the
ground at our mine sites, overseeing the physical safety
and gaining an understanding of the mental well-being of
our people and listening to their concerns, in order to gain
assurance on and nd ways of improving, their experience.
We are conscious of the impact of our operations on the
environment and of the fatality which took place during
2022 and we aim to ensure that our behaviours are aligned
with our ESG commitments, which is why health & safety
and ESG targets constituting 30% of the award have been
set under our incentives for 2023. Further examples can be
found in the Our People section on pages 26 to 31 of how
we support our employees. Information can be found on
how the Board engages with all our stakeholders including
the wider workforce, on pages 120 to 121.
The Remuneration Committee remains cognisant of
executive pay in the broader context of mining industry
trends and the Remuneration Policy aims to ensure our
approach to remuneration is aligned to our strategy and
supports the delivery of long-term sustainable success for
the benet of all our stakeholders.
Shareholder engagement on the 2021
Remuneration Report
At the 2022 AGM the Remuneration Policy was approved
by 90.52% of votes. However the Directors’ Remuneration
Report only received 70.14% of votes in favour. In response
to this, we contacted and met shareholders representing
over 70% of the active register, including the largest
shareholders who had voted against the resolution, as well
as proxy advisors, to gain an awareness of their views and
to receive feedback on the reasons for the voting result on
the Directors’ Remuneration Report resolution.
Their two main concerns were the Chief Executive’s pension
contributions and the one-off award to the Chief Executive
linked to the Company’s redomiciliation to the UK in
anticipation of the London listing. The one-off award was
made due to the associated costs to the Chief Executive
of the move to the UK and the unique nature of the London
listing. No further such one-off award will be made.
The concerns regarding the pension were due to the
pensionable treatment of the STIP awards for our Chief
Executive and as a result of this feedback, we are
proposing to shareholders the change to the Remuneration
Policy in respect of Company pension contributions to the
Chief Executive, as mentioned above. I have also begun
follow-up engagement with proxy advisers and shareholders
in preparation for the 2023 AGM season to seek feedback
and to answer any questions.
AGM
This statement and the Annual Report on Remuneration
will be subject to an advisory vote at the 2023 AGM. The
Company has operated successfully and achieved strong
nancial and operational results during the year, despite
the geopolitical unrest and ensuing challenges.
The Committee and I look forward to the 2023 AGM and we
welcome any questions shareholders may have in relation
to remuneration.
LIVIA MAHLER
CHAIR OF THE REMUNERATION COMMITTEE
15MARCH 2023
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 143
GOVERNANCEOVERVIEW
SUMMARY OF DIRECTORS’ REMUNERATION POLICY
GOVERNANCE
DIRECTORS’ REMUNERATION REPORT CONTINUED
Base Salary • Typically reviewed annually, with any increases normally effective from 1 January.
• Base salaries take account of role, experience, business performance, the external
environment, salary increases for the wider workforce and salary levels at global competitors.
• Increases are made in the context of the broader pay environment or where there is a
signicant change in role, bearing in mind the growth and complexity of the business.
• No recovery or withholding applies.
• The current salary of the Executive Director is set out on page 149 of the Annual Report on
Remuneration.
Benets
• Provision of benets such as inclusion in car schemes, private health and life insurance,
relocation allowance.
• The current Chief Executive’s service contract entitles him to health, life and disability cover
for himself and/or his family.
• There is no overall maximum.
Pension
• Executive Directors may participate in a dened contribution scheme. Individuals may receive
a cash allowance in lieu of some or all of their pension contribution.
• The employer contribution is a maximum of 6% of base salary and 6% of annual bonus, in
line with all UK employees. However if the resolution to amend the Remuneration Policy in
respect of the pension element is approved by shareholders at the 2023 AGM, then with
effect from April 2023, the employer contribution will be amended to 10% of base salary
only, which will apply to both Executive Directors and the UK workforce, in compliance with
provision 38 of the UK Code.
Short-Term Incentive
Plan
• The purpose is to provide alignment between the successful delivery of the short-term
annual strategic business priorities and reward.
• The bonus is earned on the achievement of one-year performance targets and is delivered in
cash or a combination of cash and deferred shares.
• Half of any bonus is deferred into shares for a period of two years. Dividend equivalents may
be accrued on deferred shares.
• The bonus is based on a combination of nancial, operational and strategic and individual
measures.
• Performance measures and weightings are reviewed annually to ensure they continue to
support the Company’s strategic priorities.
• The Committee retains discretion to adjust bonus outcomes to ensure they are reective
of underlying business performance and any other factors but will consult with major
shareholders before use of any material discretion. Malus and clawback discretions may
also apply.
• Maximum bonus potential of 250% of salary.
144 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Long-term Incentive
Plan
• The aim is to incentivise and reward management over the long term for sustained delivery
of the business strategy and shareholder value and provides longer term alignment with the
shareholder experience.
• LTIP awards will typically be granted annually and may be in the form of performance share
units or such other structure as the Remuneration Committee determines.
• Vested shares are subject to a holding period of two years.
• Dividend equivalents may be accrued on shares.
• LTIP awards are based on a combination of nancial, shareholder return and strategic
performance measures which are aligned with the business priorities, usually measured
over a minimum three-year period.
• The targets, measures and weightings are determined annually by the Remuneration
Committee.
• For threshold performance, typically payment starts at no higher than 33% of maximum
award.
• The Committee retains discretion to adjust the vesting level, based on a review of underlying
performance of the Company.
• Annual awards at 400% of base salary, with a potential 1.5x vesting multiplier set at the
time of the grant of the award to take the maximum vested opportunity to 600%, in the
event that all performance conditions are exceeded.
Shareholding Policy
• To provide alignment between the interests of shareholders and Executive Directors over the
longer term.
• Shareholding guidelines are a minimum of 900% of salary for the current Chief Executive.
If appointed, shareholding guidelines for other new Executive Directors will be at least 300%
of salary.
• Executive Directors are expected to build up to their shareholding guideline within a ve year
period from their date of appointment to the Board.
• All Executive Directors are required on cessation, to hold the lower of (i) their shareholding
at the date of termination of their employment or (ii) shares equivalent to the minimum share
ownership guideline at that date. This must be retained for one year post-employment and
thereafter, at the level of 50% until two years post-employment.
Payments for loss of
ofce
• For newly appointed Executive Directors the Company may require the Executive Director to
work their notice period or may choose to place the individual on “garden leave.” Payment in
lieu of notice may be made for the unexpired portion of the notice period which is limited to
base salary (and benets but not pension contributions in the case of the Chief Executive)
and is subject to mitigation. Mr de Montessus has provisions which broadly replicate his
2016 contract and use certain North American practices. More detail can be found in the
Remuneration Policy section of the 2021 Annual Report. No payments for loss of ofce were
made to Executive Directors during the year.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 145
GOVERNANCEOVERVIEW
Performance
period
GOVERNANCE
REMUNERATION AT A GLANCE
2022 Key highlights
1,400 koz
Total gold production
$928/oz
AISC
TSR – 3 years relative
13%
Share price based
on 10-day VWAP
$299m
Shareholder returns
($200m dividends,
$99m buybacks)
3.0 Moz
Indicated resource
discoveries
CEO variable pay
Annual bonus
76%
of maximum
Long term incentive
100%
of maximum
TSR – 7 years in gold relative
304%
Increase from December 2015
Implementation of the policy in 2023
ELEMENT
OF PAY
2023 2024 2025 2026 2027 2028
IMPLEMENTATION FOR 2023
CEO – $1,600,000
Salary
STIP
LTIP
Performance
period
$
50% paid
in cash
Holding period of shares
One year performance period.
50% paid in cash after performance period
50% of any award is deferred for two years in shares.
Performance assessed against nancial, operational,
and ESG measures as highlighted on the following page.
Three year performance period with additional two year
equity holding period.
Performance assessed against nancial and non-
nancial measures as highlighted on the following page.
Performance period
Holding period
1. Before growth capex, debt repayments, contingent consideration and shareholder returns.
146 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
1. Weightings are interpolated where applicable.
2. At a realised gold price of $1,500/oz, before
shareholder returns, growth capex, debt repayments
and other contingent financial liabilities.
3. Based on a gold price of $1,500/oz.
4. RGMP compliance at our remaining mines within the
timeframe set out by the World Gold council.
5. TSF - Reportable (Level 5) event that warrants public
disclosure would result in Zero for ESG.
6. Objectives based on portfolio and status quo as at 1
January 2023.
7. Recyn commissioning + (BIOX®) Wartsila Power Plant to
provide commissioning power by 31 December 2023
and dry commissioning of the main crusher.
8. In addition to the Target, the Lafigué installation
of HPGR completed by 31 December 2023.
2023 MEASURES WEIGHTING (%) THRESHOLD TARGET MAXIMUM
TSR - Performance
(Rank 1-20)
3,4
25.0% Mid point Mid point Top quartile
Absolute shareholder
returns
25.0% $475m $525m $600m
Net debt 10.0% <0.5x <0.3x ≤0.2x
Projects
5
12.5% IRR ≥ 18% IRR ≥ 20% IRR > 25%
Exploration 12.5% ≥ 13.5Moz Indicated
resource discovery
target
15Moz Indicated
resource discovery
target
≥16.5Moz Indicated
resource discovery
target
ESG: ISO 14001 /
ISO 45000 certification
7.5% 80% compliant by
31 December 2025
90% compliant by
31 December 2025
100% compliant by
31 December 2025
ESG: Carbon emissions
strategy
7.5% < 625kg CO
2
/oz by
31 December 2025
< 600kg CO
2
/oz by
31 December 2025
<575kg CO
2
/oz by
31 December 2025
2023 MEASURES WEIGHTING (%) THRESHOLD TARGET MAXIMUM
Net free cash flow
2
20.0% 5% below target $35m
2
10% above target
Production 12.5% >1,300koz 1,391koz Beat high end of
guidance
AISC 12.5% Within guidance $970/oz
3
Beat low end of
guidance
ESG: RGMP
4,5
7.5% One additional mine
compliant
Two additional mines
compliant
Three mines compliant
ESG: level of Group wide
female recruitment
5
7.5% 12.50% 15% 20%
Health and Safety
(fatality = zero)
15.0% TRIFR in line with 2022
(incl. projects)
TRIFR decrease by 5%
from 2022
(incl. Projects)
TRIFR decrease by 10%
from 2022
(incl. projects)
Projects
6
15.0% Recyn commissioning
date by 31 December
2023
Commissioning of
specified projects by
31 December 2023
7
Commissioning of
specified projects by
31 December 2023
8
Exploration: Replacement
of average depletion over
2022 and 2023
5.0% Miss target by <10% Meet target Exceed target by >10%
Exploration:
Tanda Iguela Discoveries
5.0% 2.0Moz Indicated at
31 December 2023
2.0Moz Indicated and
2.0Moz Inferred at
31 December 2023
2.5Moz Indicated and
2.0Moz Inferred at
31 December 2023
1. Weightings are interpolated where applicable.
2. Objectives based on portfolio and status quo
as at 1 January 2023.
3. Subject to averaging pricing mechanism and
three-month backward looking average, in line
with UK best practice.
4. Peer group as defined by Remuneration Committee.
5. A new Pre-Feasibility Study published by
31 December 2025 at $1,500/oz reference price,
with upfront CAPEX of at least $200m and increasing
the Group’s current average operating mine life
(as at 1 January 2023).
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 147
GOVERNANCEOVERVIEW
STIP matrix for 2023 award
LTIP matrix for 2023 award
GOVERNANCE
ANNUAL REPORT ON REMUNERATION
This Report has been prepared in accordance with the
Companies Act 2006 and Schedule 8 to the Large and
Medium-sized Companies and Groups (Accounts and
Reports) Regulations 2008 (as amended in 2013). It also
meets the requirements of the Financial Conduct Authority’s
Listing Rules and describes how the Board has applied
the principles of good governance as set out in the UK
Code. This Report sets out how the Remuneration Policy
was implemented in 2022, shows the remuneration paid
to Directors in respect of the 2022 nancial year and how
remuneration outcomes are linked to actual performance
as well as how we plan to implement the Remuneration
Policy in 2023. It is presented to shareholders for approval
at our AGM.
Remuneration Governance
The Remuneration Committee’s responsibilities are set out
in our terms of reference which we review each year and
are published in the corporate governance section of the
Endeavour website.
Our responsibilities include:
• Determining the policy and structure for Directors’
remuneration and setting remuneration for the Chair of
the Board.
• Designing remuneration policies and practices that
support strategy and promote long-term sustainable
success reecting the Company’s entrepreneurial
culture, purpose and values; clearly linking remuneration
outcomes to successful delivery of strategy; and with
responsibility for the Chief Executive and Executive
Management team remuneration structure.
• Consideration and review of appropriate market
positioning of remuneration for the Executive
Management team so that it is fair and equitable.
• Ensuring an appropriate mix of xed and variable pay, and
use of short and long-term incentive plans for executives,
having regard to the Company’s strategic objectives, and
setting appropriate annual targets with a mix of nancial,
non-nancial and strategic performance conditions.
• Determining the satisfaction or non-satisfaction of
performance conditions that apply to the STIP and LTIP
during any annual period, and conrming the vesting of
any awards.
• Ensuring that the precepts of the UK Code are reected
in remuneration policies and practices, including the
need for clarity, simplicity, risk mitigation, predictability,
proportionality and alignment to culture.
• Entering into contractual arrangements with Executive
Directors, ensuring appropriate termination provisions
and protecting the interests of Endeavour.
• Appointing remuneration consultants and commissioning
reports, surveys or information deemed necessary to the
proper functioning of the Remuneration Committee.
• In determining remuneration policies for Executive
Directors, reviewing and having regard to remuneration
of the wider workforce, including considering pay gaps
and disparities in the Company’s broader approach to
workforce remuneration, particularly considering gender
and ethnic diversity.
The Remuneration Committee is comprised solely of
Non-Executive Directors, all of whom are independent.
In order to ensure it is fully informed in making its
decisions, the Remuneration Committee regularly invites
the Chair of the Board and members of management
(as well as its independent remuneration advisor, Willis
Towers Watson), to attend meetings, to provide reports
and updates. The Company Secretary attends meetings
as secretary to the Remuneration Committee. At the
invitation of the Chair of the Remuneration Committee,
other management attendees sometimes include the
Chief Executive, EVP Human Resources and VP Finance.
Members of management are not present when decisions
are considered or taken concerning their own remuneration.
When determining Executive Director remuneration, the
Remuneration Committee considers any decisions in the
context of the requirements of the business, its talent
needs, competitive market practices, principles of the UK
Code, any relevant legacy contractual obligations and its
North American heritage.
Remuneration Committee membership
The table below shows current members and attendance.
Sophia Bianchi and Michael Beckett were both members
of the Committee until May 2022 when they stepped down
from the Board. Ms Bianchi attended both meetings up
to that date and Mr Beckett attended one meeting and
missed one due to medical reasons.
Committee member Member since
Years on the
Committee Attendance
Livia Mahler: Chair 2020 2.5 4/4
Ian Cockerill
1
2022 1 2/2
Tertius Zongo
2
2022 1 2/2
1. Mr Cockerill was appointed to the Board on 24 May 2022 and has
attended all meetings of the Committee since his appointment.
2. Mr Zongo was appointed as a member of the Committee on 24 May
2022 and has attended all meetings of the Committee since his
appointment.
Remuneration Committee performance and effectiveness
The agenda for the Remuneration Committee reected
the intensity of 2022 activity, given the adoption of the
Company’s rst Remuneration Policy which included the
enhancement of remuneration practices under the STIP and
LTIP schemes, the preparation for the rst proxy season as
a London Stock Exchange issuer and the changes to the
composition of the Remuneration Committee itself.
In 2022 we undertook a formal, externally facilitated
evaluation of the Committee; the meetings of the
Committee were assessed as effective and the
appointment of an Independent Non-Executive Director
as Chair of the Committee instead of the Board Chair,
was stated to be an important step forward in terms of
governance. The terms of reference for this review and the
outcomes are discussed on page 129.
148 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Remuneration Committee activities during 2022
• Reviewed the pay positioning for 2022 and the outcomes
from incentive awards for 2021 and 2022.
• Reviewed market data on quantum of executive pay and
carried out gap analysis against North American and
previous Endeavour practices.
• Determined the 2022 STIP KPIs for the Executive
Management team including bonus targets and vesting
of incentive payments based on the achievement of
performance conditions.
• Implemented a new and fully calculable STIP template
which applies to the Chief Executive and other executives
and increases the transparency of calculations, removing
value judgements by the Remuneration Committee and
examined the appropriateness of the metrics used and
the level of stretch embedded in the various KPIs.
• Debated and approved all target KPIs to be included in
the 2023 incentive awards, both for the STIP and LTIP.
• Formulated and developed the Remuneration Policy which
was approved by shareholders at the 2022 AGM.
• Engaged with key institutional shareholders and
proxy agencies on the Remuneration Policy and 2022
Remuneration Report.
• Reviewed and approved the content of the Company’s
annual Management Information Circular to ensure that
it included:
–
the broad structure and the objectives of the
Remuneration Policy and its links to performance;
–
the quantum of remuneration; and
–
all monetary and non-monetary components of the
policy.
• Approved the annual fee levels for the incoming Chair,
the Senior Independent Director and the Employee
Engagement Director.
Engagement of independent remuneration advisers
The Remuneration Committee seeks and considers
advice from independent remuneration advisers where
appropriate. Remuneration advisers are engaged by, and
report directly into, the Remuneration Committee.
Willis Towers Watson was appointed by the Remuneration
Committee in September 2020 as the independent
remuneration adviser in contemplation of the forthcoming
London listing. The Willis Towers Watson team that advises
Endeavour on remuneration and related HR issues, does
not provide any other services to the Group and Willis
Towers Watson is currently the only remuneration adviser
appointed by the Remuneration Committee. Total fees paid
to the Willis Towers Watson team on remuneration-related
matters for 2022 were $0.3 million. Willis Towers Watson
is a member of the Remuneration Consultants’ Group,
and operates under its Code of Conduct in relation to
executive remuneration consulting in the UK. The Code of
Conduct is based upon principles of transparency, integrity,
objectivity, competence, due care and condentiality.
The Code of Conduct is available online at www.
remunerationconsultantsgroup.com.
The Remuneration Committee is satised that the
advice provided by Willis Towers Watson is objective and
independent, as Willis Towers Watson provides limited
consulting services to the Company and only within the
areas of UK remuneration practices and human resources.
It has no other connection with the Company or any of its
Directors.
Remuneration paid in respect of 2022
Single gure remuneration for the 2022 nancial year (audited information)
The table below shows payments for the Chief Executive for the 2022 nancial year.
Director / Year
Salary/
Fees
1
$’000
Benets
2
$’000
Pension/
cash in lieu
of pension
3
$’000
Other
4
$’000
Bonus
5
$’000
Performance
Awards
6
$’000
Total
remuneration
$’000
Total xed
remuneration
7
$’000
Total variable
remuneration
8
$’000
Sébastien de Montessus
Year to
31 December
2022 1,600 10 278 — 3,026 5,930 10,844 1,706 9,138
December
2021 1,600 23 336 10,000 4,000 6,786 22,745 1,719 21,026
1. This is the base salary payable for the year.
2. Benets disclosure includes tax assistance, nancial advice, private medical, travel and life insurance.
3. Pension contributions consist of employer dened contribution benets equivalent to 6% of base salary and 6% of bonus, in line with the UK workforce.
The gure excludes any salary sacrice payments made by the Chief Executive. Changes to this pension practice, as recommended by proxy advisers and
described in more detail on page 144, are proposed by the Board and will be put to the shareholders at the 2023 AGM.
4. The remuneration for 2021 includes a $10 million one-off exceptional award which was granted to the Chief Executive in respect of his unanticipated
costs associated with the redomicile and restructuring relating to the London listing.
5. The bonus shown for 2022 is the bonus payable in respect of the year ended 2022. The bonus shown for 2021 is the bonus payable in respect of the
year ended 2021.
6. Value of performance awards for 2022 relates to the 2020 LTIP which had a three-year performance period ending 31 December 2022. The share price
at vesting was CAD28.98 converted to USD at an exchange rate of 0.74. Value of performance awards for 2021 relates to the 2019 LTIP which had a
three-year performance period ending 31 December 2021. The share price at vesting was CAD27.73.
7. Total xed remuneration includes salary, benets and pension contributions based on salary.
8. Total variable remuneration includes bonus, performance awards and pension contributions based on bonus.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 149
GOVERNANCEOVERVIEW
2022 Annual bonus outcomes
The assessment of the STIP or annual bonus for 2022 was determined by a performance scorecard against targets which
were pre-dened at the beginning of the year. For the Chief Executive the performance scorecard delivers a target award of
150% of base pay and the maximum that can be achieved is 250% of base pay.
2022 bonus performance against the STIP scorecard
Our annual performance scorecard is based on core KPIs vital for the advancement of the business, which are measured
against nancial, operational, HSE and ESG objectives as well as specic projects. This has the benet of clear objectives
being set in advance and has been effective in delivering the performance required from the executive team.
We have not applied downward discretion to the calculable outcomes of the 2022 scorecard but zero was awarded for
safety due to the fatality which took place during blasting activities at Ity during the year. In addition management missed
the depletion targets set and accordingly there was zero award for this portion of the scorecard. More detail on the level
of achievement of the other targets is set out in the table below which shows performance against nancial and non-
nancial targets under the STIP scorecard for the Chief Executive:
Measure Weighting % Threshold STIP target Maximum Actual
%
achievement
1
Net free cash ow
2
20% >$134m $137m
3
>$151m >$151m 50.0%
AISC
12.5%
Within guidance
$905/oz
3
<$880/oz
$898/oz
4
22.3%
Production 12.5% Within guidance 1.380 Moz
3
>1,400koz 1.400Moz 31.3%
ESG - TSF
15%
Reportable event
5
Same as threshold Same as threshold Achieved 12.5%
ESG - local
procurement
>65% host country
sourcing
>75% host country
sourcing
>85% host country
sourcing
81% 10.5%
ESG - CO
2
emissions/oz
<670kg CO
2
oz produced Achieved 12.5%
Safety
(fatality = zero)
15%
TRIFR in line with
2021 (incl projects)
TRIFR decrease by
5% (incl projects)
TRIFR decrease by
10% (incl projects)
1 Fatality 0.0%
Projects
15%
Reach the milestones
for key project
development on
Lagué, BIOX® and
Recyn
Used <50% of
Contingency
(based on the work
packages under
construction)
Used <25% of
Contingency
(based on the work
packages under
construction)
<25%
contingency
37.5%
Exploration -
replacement
10%
90% of target Replace average
depletion measured
over 2021 and 2022
>10% of target Below 90%
of target
0.0%
Exploration 90% of target Add 2.5Moz of
Indicated Resources
for the Group
>10% of target Above
110% of
target
12.5%
Total 100% 189%
1. The annual bonus assesses individual performance by way of a multiplier of 0-1.67 applied to the target bonus opportunity. The Chief Executive had a
target bonus of 150% of salary and based on calculated performance during the course of 2022, the Committee validated the multiplier of 1.26x to his
scorecard outcome.
2. Net free cash ow is before shareholder returns (dividends and buy-backs), growth capital expenditure and other adjustments in line with calculation
methodology approved by the Committee.
3. Adjusted for the disposal of Karma during the year.
4. Adjusted for $1,500/oz royalties and contributions linked to gold price, and IFRS 16 impact of change in methodology adopted during the year.
5. TSF - a reportable event that warrants public disclosure would result in zero for ESG.
GOVERNANCE
ANNUAL REPORT ON REMUNERATION CONTINUED
150 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
2022 bonus outcome for the Chief Executive
1
Final Outcome ($) 3,025,600
as % of salary 189%
as % of maximum 76%
1. The overall performance of the Company is assessed against a scorecard of seven KPIs; safety of personnel, ESG, production levels, net cash ow, cost
management, exploration success and key projects as detailed on the table above.
2020 Long-Term Incentives
The 2020 LTIP was granted under the Performance Share Plan, part of the Endeavour Rewards programme, which runs
annually and benets senior executives as well as high potential employees. The LTIP reects similar plans of comparable
peers and aims to incentivise senior management to achieve mid to longer term targets, rather than taking decisions
based on short-term planning or results. The 2020 LTIP was provided in the form of performance share units which are
entitlements to shares in Endeavour and are linked to the share price of Endeavour over the three-year performance
period over 2020, 2021 and 2022.
Awards are made subject to performance targets, to which (for certain performance targets) a multiplier may be applied,
depending on the achievement of stretch objectives. This approach of including a multiplier factor is a common structure
seen in North American practice for LTIPs.
2020 LTIP award vesting
The vesting outcome for the 2020 LTIP award which vested in early 2023, was 125% of the original target award amount,
representing the maximum outcome. The 2020 award was an award made under the previous remuneration practices
which were in place prior to the London listing.
Measure Weighting % Threshold Maximum Actual % achievement
Discretion or
adjustment to
targets?
Production 12.5% >600koz in 2022
1
608koz 12.5% Y
ESG 12.5% RGMP target
2
Achieved
3
12.5% N
Net Debt 25% 0.5x <0.5x 25% N
Relative Total
Shareholder
Return (rTSR)
4,5
50% Lower Quartile ≥ 75th
percentile
The Company
was ranked
6 out of 34
companies
75% N
Total 100% 125% out of a
max of 125%
1. The target was adjusted to 487koz, to take into consideration the revised portfolio after the disposal of Karma and Agbaou. The Company achieved
608koz at Ity and Houndé during 2022.
2. Align ESG reporting to 2019 World Gold Council RGMP Framework and achieve external assurance on all ten principles and 51 sub principles by 2022.
3. Final report from the external assurer has been issued to the Company for Houndé and Ity and conrms both sites are compliant.
4. TSR weightings were subject to a multiplier of 150% applied if maximum was exceeded, being the core objective over this period that reected the
delivery of shareholder value.
5. Relative TSR measured from 1 January 2020 to 31 December 2022 against components of the S&P TSX Global Gold Index over the same period. As of
31 December 2022, the Group had achieved an 13% total shareholder return during the three-year vesting period. Overall, the Group was ranked six out
of 34 mining companies.
Long-term incentives awarded during the nancial year 2022 (audited information)
Share awards granted to the Chief Executive during the year are set out below:
Executive
Date of
award
Award
Type
Face
Value
(% basic
salary)
Face
Value
($m)
1
Number
of Awards
granted
Fair Value
(% basic
salary)
Fair
Value
($m)
Threshold
performance
(% face value)
Maximum
performance
(% face value)
End of
performance
period
End of
vesting/
holding period
Sébastien
de Montessus
January
2022
LTIP 400% 6.4 302,894 215% 3.4 50% 150% 31 Dec 24 31 Dec 26
1. Face value represents the value granted at award at 400% salary. Performance measures are subject to a multiplier of 150% applied if maximum is
exceeded.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 151
GOVERNANCEOVERVIEW
Three-year targets are set annually considering the Company’s overall strategic plan. The 2022 targets for the LTIP awards
in the preceding table are set out below.
Measure
1
Weighting Threshold Target Maximum
Vesting at
threshold
Vesting at
maximum
rTSR
2
25% Mid-point Above mid-point 1
st
quartile 12.50% 37.50%
Absolute shareholder
returns
3
25% $450m $500m $600m 12.50% 37.50%
Net debt 10% <0.5x <0.3x ≤0.2x 5% 15%
Projects 12.5% Within
production
guidance for
2024
4
185koz BIOX®
recovered gold
in 2024 and
Lagué LoM target
5
BIOX® recovered
gold in 2024
>210koz and
Lagué LoM target
6
6.25% 18.75%
Exploration
7
12.5% Miss target <10% Meet target Exceed target >10% 6.25% 18.75%
ESG - solar power
8
7.5% 25% of capacity
utilised
50% of capacity
utilised
75% of capacity
utilised
3.75% 11.25%
ESG - TSF 7.5% All TSFs compliant with ICMM Standard 3.75% 11.25%
Total 100% 50% 150%
1. Weightings are interpolated where applicable.
2. rTSR is subject to a multiplier of 150% applied if maximum is exceeded. rTSR is measured against selected major global gold producers as at the start of
the performance period.
3. Deliver shareholder returns strategy subject to the disclosed plan for the 2021-2023 period.
4. Production from BIOX® and Lagué projects within guidance for the 2024 nancial year.
5. Projects target includes an optimised life of mine plan for Lagué to produce sustainably 200-250koz per annum and AISC of less than $900/oz.
6. Projects maximum includes an optimised life of mine plan for Lagué to produce more than 250koz per annum and AISC of less than $900/oz.
7. Exploration target is for an additional 10Moz of Indicated resources for the Group to be discovered from 2021 to 2024.
8. As part of the overall CO
2
emission reduction strategy, accelerate deployment of equivalent solar power capacity to replace existing diesel Genset capacity.
Single gure of total 2022 remuneration for Non-Executive Directors (audited information)
The remuneration of the Non-Executive Directors for 2022 is set out below:
Fees
OtherCash DSUs Total
Non-Executive Directors
2022
$000
2021
$000
2022
$000
2021
$000
2022
$000
2021
$000
2022
$000
2021
$000
Venkat
1
319 — — — — — 319 —
James Askew 170 — 50 240 — — 220 240
Alison Baker 170 170 72 60 — — 242 230
Livia Mahler 119 119 123 126 — — 242 245
Naguib Sawiris 170 170 — — — — 170 170
Tertius Zongo 136 136 94 94 — — 230 230
Ian Cockerill
2
87 — 153 — — — 240 —
Sakhila Mirza
3
43 — 5 — — — 48 —
Dr. Carmen Letton 59 81 24 20 420
4
— 503 101
Soa Bianchi 68 170 36 105 560
4
— 664 275
Michael Beckett 159 400 52 147 — 228
5
211 775
David Mimran — — 85 151 — — 85 151
Total
6
1,500 1,246 694 943 980 228 3,174 2,417
1. Venkat was appointed to the Board at the 2022 AGM.
2. Mr Cockerill was appointed to the Board at the 2022 AGM.
3. Ms Mirza was appointed to the Board on 29 September 2022.
4. These amounts include payments for loss of ofce and are described in the paragraph below.
5. Mr Beckett’s 2021 benets gure relates to an exceptional award granted to him by the Board in 2016 to recognise his role in facilitating the transition from
the former management team to the new Chief Executive and the new management team. It was payable on his retirement but was accelerated in advance
of the London listing. The original award was $150,000 which was linked to a reference share price at the time of the award.
6. Mr Beckett, Ms Bianchi and Dr. Letton stepped down from the Board at the 2022 AGM, while Mr Mimran stepped down on 15 August 2022. The fees shown
here for 2022 include fees paid for the pro-rated part of the year for each of them, as described above.
GOVERNANCE
ANNUAL REPORT ON REMUNERATION CONTINUED
152 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Payments for loss of ofce
Endeavour
FTSE All Share
S&P/TSX Global Gold Index – Total Return
Dec 2015 Dec 2016 Dec 2017 Dec 2018 Dec 2019 Dec 2020 Dec 2021 Dec 2022
50
100
150
200
250
300
350
400
450
As previously announced, Dr Letton and Ms Bianchi notied the Board that they did not intend to stand for re-election at
the 2022 Annual General Meeting and therefore stepped down as Directors with effect from 24 May 2022.
In accordance with their appointment and cessation letters, and in line with the Directors’ Remuneration Policy, they
received $420,000 and $560,000 respectively in connection with the cessation of their appointment. Payments were
also made to cover all outstanding expenses including legal fees and tax.
During the year payments were made to them in respect of their Deferred Share Units. These are shown in the single
gure table. In accordance with the rules of the Deferred Share Unit Plan, their outstanding Deferred Share Units did not
lapse when they stepped down.
No other payments for loss of ofce were made during the year.
TSR Performance
Given that we have only completed one full nancial year as a listed company on the London Stock Exchange, data is
shown for the period of the Chief Executive’s tenure since taking the position in 2016. This will be built on in future to
eventually present a view of total shareholder return over a trailing ten years.
1. The FTSE all share is shown as a comparison being a relevant LSE reference in addition to the S&P/TSX Global Gold Index being the most appropriate
industry comparison.
This graph shows the total return on investment for Endeavour shares as at 31 December 2022 benchmarked against
other relevant indexes. Since the announcement in September 2015 that the Chief Executive, Sébastien de Montessus,
would join the Company and that there would be a strategic reset, the total shareholder return over that period (using the
CAD$30.83 price at the end of December 2022), is approximately 304%.
Application of policy for 2023
The key points to note in respect of Executive Director remuneration in 2023 are as follows:
• Sébastien de Montessus’ salary remains unchanged, whilst pension is intended to be restructured (subject to
shareholder approval at the 2023 AGM of the applicable change to the Remuneration Policy) in response to concerns
raised by certain proxy advisory rms, as further described on page 144;
• The maximum bonus opportunity for the Chief Executive is the same as for 2022 at 250% of salary based on the
achievement of the metrics set out below;
• The quantum of LTIP awards is unchanged from last year and will be based on a strategic scorecard; and
• Non-Executive Director fees for 2023 are the same as for 2022 and are as set out in the table on page 155 for
current Directors.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 153
GOVERNANCEOVERVIEW
Annual Bonus
The 2023 STIP replicates many of the key performance indicators which we believe are important for the Company to
achieve every year in order to deliver stable business results, although certain elements and annual targets for each
element will vary year to year. The following has been agreed under the 2023 STIP award:
• a combined 30% of the award scorecard is weighted to the safety of employees and to ESG measures, with a focus on
personnel and tailings facility safety, gender diversity in recruitment and compliance with the Responsible Gold Mining
Principles;
• 45% for business and nancial performance metrics (production, cost base and net cash ow);
• 15% against capital projects development metrics; and
• the nal 10% is based on metrics relating to exploration progress and reserves replacement.
The Committee believes that these KPIs are appropriate to reect robust Company performance balanced with maintaining
important ESG standards and that they provide a suitable range of stretch targets from threshold through to maximum.
Targets are commercially sensitive but will be disclosed retrospectively in the 2023 Annual Report.
Long-Term Incentives
The 2023 LTIP award is designed to align the Chief Executive’s reward with the shareholder experience.
The rst 50% of the award employs two distinct but related performance conditions: relative returns versus a group of
the top global gold mining peers, and absolute returns versus our public commitments for shareholder returns (through
dividends, but excluding share buybacks). Each of these ‘relative’ and ‘absolute’ factors has a 25% weighting, and we
believe that this combined 50% shareholder-experience weighting adequately aligns with the primary investment interests
of our shareholders, while still leaving room for relevant incentives on other important stakeholder metrics.
The additional metrics relating to the remaining 50% of the award, include a net debt/EBITDA target in respect of 10%
of the award, which is aimed at incentivising nancial prudence and discipline around the balance sheet, and a capital
projects target of 12.5% which focuses on the requirement for management to identify and publish a pre-feasibility study
on a major new growth project (with minimum target rates of return) by the end of 2025. The ESG target 15.0%, half of
which aims to limit the Group’s carbon emissions, (reecting the Group’s public commitments in respect of the journey to
30% emissions intensity reduction by 2030), and half of which targets ISO 14001 and ISO 45000 certication. Finally, the
exploration component (12.5%) keeps a long term value focus on the discovery of additional gold resources, which feeds
future mine planning potential, in line with our publicly stated exploration strategy.
Historical Group Chief Executive remuneration outcomes
Given that we have only completed two nancial years as a listed company on the London Stock Exchange, only two years
of data is shown below. This will be built on over the years to come, to eventually present a view of total remuneration for
the Chief Executive over ten years.
Single gure of remuneration for the Chief Executive $000 2022 2021 % decrease
Chief Executive – Sébastien de Montessus 10,844 22,745 52%
Annual bonus pay-out (% of maximum) 76% 100% N/A
LTIP pay-out (% of maximum) 100% 81% N/A
Relative importance of spend on pay
The table below shows the total expenditure on employee remuneration and the distributions to shareholders in 2022.
2022 2021 % change
Employee remuneration $232m
1
$272m (15%)
Distributions to shareholders
2
$299m $278m 8%
1. Employee remuneration includes $31.0 million capitalised during 2022.
2. Includes dividends announced for, and share buybacks conducted during the 2022 nancial year.
GOVERNANCE
ANNUAL REPORT ON REMUNERATION CONTINUED
154 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Directors’ interests in the shares of the Company (audited)
Alignment to shareholder interests (audited)
Current levels of ownership by the Chief Executive are shown below.
Director
Requirement
as a % of
salary
Current %
of salary
held
2
% of
requirement
achieved
Number
of shares
owned
3
Value
of shareholding
1
Date
of requirement
to be achieved
Sébastien de Montessus 900%
3
2,738% 100% 1,158,482 $24,770,018 Achieved
1. The value of shares shown in this table includes shares held directly and held in trust, excluding any unvested options or share awards.
2. Shareholding percentage calculated using closing price on 31 December 2022 of $28.98 and USD:CAD FX rate of 0.74.
3. The 2022 requirement is 900%.
A summary of interests in shares and scheme interests of the Directors who served during the year is given below.
Directors
Total number of shares Total number of DSUs
Unvested with performance conditions
(2022)
31 December
2022
1 January
2022
31 December
2022
1 January
2022 At target At maximum
Sébastien de Montessus 2,049,036 1,031,154 — — 619,244 890,554
Ian Cockerill 13,400 — 7,71 3 — — —
Venkat 6,000 — — — — —
During the year none of the Non-Executive Directors have held any options or share awards, other than the DSUs noted
below.
Non-Executive Directors’ fees
Role Vehicle
Fee from
1 January
2023
Fee from
1 January
2022
Fee from
1 January
2021
Chair of the Company
1
Cash $530,000 $400,000 $290,000
Senior Independent Director
2
Cash $140,000 N/A N/A
Board membership fee
3
Cash $170,000 $170,000 $170,000
Additional fees are paid as follows:
Committee Chair:
Audit DSUs
3
$40,000 $40,000 $30,000
Remuneration DSUs $40,000 $40,000 $30,000
Other DSUs $30,000 $30,000 $20,000
Employee Engagement Director Cash $15,000 $15,000
4
N/A
Committee membership:
Audit DSUs $20,000 $20,000 $10,000
Remuneration DSUs $20,000 $20,000 $10,000
Other DSUs $20,000 $20,000 $10,000
1. The fee for the Chair is now a at cash fee relating to all Board and Committee responsibilities, with no DSU entitlement/requirement. The fee at
1 January 2022 related to Michael Beckett’s then Chair retainer fee, on top of which Mr Beckett was entitled to Committee fees.
2. The SID was appointed on 24 May 2022 and the fee during 2022 applied on a pro-rata basis from that date in addition to Non-Executive Director and
Committee fees.
3. Board membership fees may be taken in any combination of cash and/or DSUs. Committee fees may only be taken in DSUs (except in the case of the
Chair). The value of DSUs is tied to the share price of the Company at any point in time. These units accumulate during the period of a Non-Executive
Director’s service and may only be liquidated upon retirement, resignation or other events upon which a Non-Executive Director steps down.
4. The Employee Engagement Director was appointed on 1 July 2022.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 155
GOVERNANCEOVERVIEW
AGM shareholder voting
The voting outcomes for the resolutions approving the Remuneration Policy and the 2021 Remuneration Report at the
May 2022 AGM are shown below:
Resolution 2022 AGM Voting Outcome
Resolution 13 to Approve the Directors’ Remuneration Policy 90.52%
Resolution 14 to Approve the Directors’ Remuneration Report 70.14%
1
1. From July to September 2022, members of the Board contacted and met with a signicant number of shareholders and proxy advisors to discuss
their opinions and to solicit feedback on the nature of the matters which had led to the lower vote for Resolution 14. Please see the letter from the
Remuneration Committee Chair for further details.
Directors service agreements
Sébastien de Montessus’s service contract contains a six-month notice period. Non-Executive Directors have letters of
engagement which set out their duties and time commitment expected. All Non-Executive Directors have a notice period of
three months. They are appointed for an initial one-year term, subject to election and annual re-election by shareholders.
Details of their appointments are set out below:
Non-Executive Directors Date of appointment Years of service
Venkat May 2022 1
James Askew July 2017 6
Alison Baker March 2020 3
Ian Cockerill May 2022 1
Livia Mahler October 2016 7
Naguib Sawiris November 2015 8
Tertius Zongo July 2020 3
Sakhila Mirza September 2022 0.5
GOVERNANCE
ANNUAL REPORT ON REMUNERATION CONTINUED
156 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
GOVERNANCE
DIRECTORS’ REPORT
THE DIRECTORS PRESENT THEIR REPORT FOR THE YEAR ENDED 31 DECEMBER 2022.
Principal activities and status
Endeavour Mining plc (the “Company”) is a company with
a premium listing on the London Stock Exchange. The
Company is a multi-asset gold producer with a strategic
focus on West Africa. The Company was incorporated on
21 March 2021 as a public company limited by shares,
registered in England and Wales with registered number
13280545. The Company was admitted to the premium
segment of the Ofcial List of the Financial Conduct
Authority and to trading on the Main Market of the London
Stock Exchange on 14 June 2021 (the “London listing”).
The Company is also listed on the Toronto Stock Exchange
(“TSX”), where the predecessor parent company, Endeavour
Mining Corporation (“EMC”), had previously been listed
since 2002, as well as quoted in the United States on the
OTCQX International (symbol EDVMF).
Governance
The Financial Reporting Council published a revised UK
Corporate Governance Code in July 2018. The UK Code
has been applicable to the Company since 14 June 2021.
The Company was however also subject to Canadian
continuous disclosure obligations and to National Policy
58-201 – Corporate Governance Guidelines throughout
the nancial period to 31 December 2022 by reason of
its reporting issuer status under Canadian securities laws
and the application of the TSX listing rules. The Company’s
statement on Governance Compliance can be found on
page1 110 to 112.
Additional Information
Additional information incorporated by reference into
this Directors’ Report, including information required in
accordance with the Companies Act 2006 and Listing Rule
9.8.4R of the UK Financial Conduct Authority’s Listing
Rules, can be located asfollows:
Directors’ Responsibility
Statement
Page 162
s.172 Statement Pages 78 to 79
People, culture and
employee involvement
Our people –
pages 26 to 31
Directors’ interests Annual Report on
Remuneration – page 155
Stakeholder
engagement
Strategic Report –
Engaging with our
stakeholders –
pages 74 to 77
Governance Report –
Stakeholder engagement
– pages 120 to 121
Environmental Policy Addressing climate change
– pages 86 to 89
Disclosures related to
TCFD – pages 90 to 107
Greenhouse gas
emissions
Addressing climate change
– pages 86 to 89
Disclosures related to
TCFD – pages 90 to 107
Task Force on
Climate-Related
Financial Disclosures
Disclosures related to
TCFD – pages 90 to 107
SECR disclosure Disclosures related to
TCFD – pages 105 to 107
Risk management
objectives and policies
Pages 62 to 71
Going concern Pages 72 to 73
Governance Report Pages 110 to 163
Long-term
incentive plans
Remuneration
at a glance – page 147
Annual Report on
Remuneration –
pages 148 to 156
Signicant agreements
with our shareholders
Our Governance
Framework – page 123
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 157
GOVERNANCEOVERVIEW
Results and dividend
The results for the year are set out in the consolidated
nancial statements for the year ended 31 December
2022. As set out in the Company’s Listing Prospectus,
the Directors outlined a minimum progressive dividend
policy of $125.0 million, $150.0 million and $175.0
million for 2021, 2022, and 2023 respectively, that may
be supplemented with additional dividends and buybacks,
providing the prevailing gold price remains above $1,500/
oz and that Endeavour’s leverage remains below 0.5x net
debt/adjusted EBITDA. The Company’s dividend policy will
be based on its capital allocation policy and its strategy
of maximising long-term shareholder value, with future
dividends expected to be declared on a semi-annual basis.
The Company may revise its dividend policy from time to
time. The Company paid an interim dividend of $0.40 per
ordinary share on 28 September 2022. In January 2023,
the Directors recommended the payment of a second
interim dividend for the year ended 31 December 2022 of
$100.0 million ($0.41 per share), which will be paid on 28
March 2023 to ordinary shareholders on the register at the
close of business on 24 February 2023, which, together
with the rst interim dividend of $0.40 per share paid,
makes a total of $200.0 million for the year.
Further details on the dividend payments are set out in
note 7 to the consolidated nancialstatements.
Share capital structure
As at 31 December 2022, the Company’s issued share
capital consisted of 246,215,903 ordinary shares of
$0.01 each. 348,219 shares were held in treasury pending
cancellation and therefore the total number of voting rights
in the Company as at 6pm on 31 December 2022 was
245,867,684. Further details of the share capital, including
changes throughout the year are summarised in note 7 of
the consolidated nancial statements.
At the Company’s 2022 AGM, authority was given to
the Directors pursuant to the relevant provisions of the
Companies Act 2006 to allot shares and grant rights
over securities in the Company up to a maximum amount
equivalent to approximately one-third of the issued
ordinary share capital as at 14 April 2022 (being the
latest practicable date prior to publication of the notice of
meeting) (the “Latest Practicable Date”). In addition, the
Directors were given authority to allot shares and grant
rights over securities in the Company, up to a maximum of
approximately one third of the total ordinary share capital
in issue on the Latest Practicable Date in connection with
an offer by way of a rights issue.
Also at the 2022 AGM, the Directors were given authority
to allot equity securities in the Company for cash, without
regard to the pre-emption provisions of the Companies
Act 2006 up to a maximum of approximately 5% of the
aggregate nominal value of the shares in issue as at the
Latest Practicable Date. The Directors were also given
authority to allot equity securities in the Company for
cash, without regard to the pre-emption provisions of
the Companies Act 2006 for an additional maximum of
approximately 5% of the aggregate nominal value of the
shares in issue as at the Latest Practicable Date to be
used only for the purposes of nancing (or renancing,
if the authority was to be used within six months after
the original transaction) a transaction which the Board
determines to be an acquisition or other capital investment
of a kind contemplated by the Statement of Principles on
Disapplying Pre-Emption Rights most recently published by
the Pre-Emption Group. These authorities will expire at the
conclusion of the AGM to be held in 2023.
Ordinary shareholders are entitled to receive notice of,
and to attend and speak at, any general meeting of the
Company. On a show of hands, every shareholder present
in person or by proxy (or being a corporation represented
by a duly authorised representative) shall have one vote,
and on a poll every shareholder who is present in person
or by proxy shall have one vote for every share of which
he or she is the holder. The Notice of AGM will specify
deadlines for exercising voting rights and appointing a proxy
or proxies.
There are no restrictions on the transfer of shares. The
Directors are not aware of any agreements between holders
of the Company’s shares that may result in the restriction
of the transfer of securities or on voting rights.
Authority for the Company to purchase its own shares
On 7 June 2022, the Company announced that it would
be continuing the share repurchase programme announced
by Endeavour Mining Corporation (“EMC”) on 18 March
2021 for up to 5% of its total issued and outstanding
shares (the "Programme"). This is pursuant to the authority
given to the Company to purchase its own shares at the
2022 AGM in accordance with the Companies Act 2006.
The Programme is a continuation of the Canadian Normal
Course Issuer Bid (“NCIB”) programme of EMC. The
continuation of the Programme from 7 June 2022 was
effected in accordance with the terms of the authority
granted at the 2022 AGM. During the year a total of
4.6 million shares were repurchased under the Programme,
equivalent to $98.8 million. Endeavour intends that
shares purchased under the Programme will subsequently
be cancelled. Any share repurchases are effected in
accordance with Chapter 12 of the Listing Rules and the
EU Market Abuse Regulation 596/2014.
GOVERNANCE
DIRECTORS’ REPORT CONTINUED
158 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
The market has been and will be notied in accordance
with these rules if and when purchases are made. The
Company has entered into an agreement with Stifel
Nicolaus Europe Limited ("Stifel”), on terms which are
varied from time to time, to conduct purchases of shares
pursuant to the Programme. Stifel has instructed Stifel
Nicolaus Canada Inc. as its agent to conduct purchases of
shares on the Toronto Stock Exchange. The Company may
also repurchase shares on the London Stock Exchange
under the terms of the Programme on its behalf, and
Stifel may make trading decisions concerning the timing
of purchases under the Programme, independently of the
Company, to allow for share repurchases at times when
the Company is subject to regulatory restrictions or self-
imposed trading blackouts At the 2023 AGM a special
resolution is being put to shareholders to renew the
Company’s authority to purchase its own shares. Approval
is also being sought from the TSX to renew the Company’s
NCIB for its share repurchase programme.
There are no securities of the Company in issue carrying
special rights with regards to the control of the Company.
The Board
The Directors who held ofce during the year unless stated
otherwise, are detailed below:
Appointed Resigned
Michael Beckett 24 May 2022
Sébastien
de Montessus
James Askew
Alison Baker
Soa Bianchi 24 May 2022
Ian Cockerill 24 May 2022
Dr Carmen Letton 24 May 2022
Livia Mahler
David Mimran 15 August 2022
Sakhila Mirza 29 September
2022
Naguib Sawiris
Tertius Zongo
Srinivasan
Venkatakrishnan
24 May 2022
The roles and biographies of the Directors in ofce as at
the date of this Directors’ Report are set out on pages 116
to 117.
Powers of Directors
Subject to the Company’s Articles of Association, UK
legislation and any directions given by special resolution,
the business of the Company is managed by the Board,
which may exercise all the powers of the Company.
Directors’ interests
Details of the Directors’ share interests can be found in the
Annual Report on Remuneration on page 155.
All related party transactions are disclosed in note 22 of
the consolidated nancial statements.
Directors’ indemnication and insurance
The Company’s Articles of Association provide for the
Directors and ofcers of the Company to be appropriately
indemnied, subject to the provisions of the Companies Act
2006. The Company purchases and maintains insurance
for the Directors and ofcers of the Company in performing
their duties, as permitted by section 233 of the Companies
Act 2006.
Internal controls review
Taking into account the principal risks, emerging risks and
the ongoing work of the Audit Committee in monitoring the
risk management and internal control systems on behalf of
the Board, the Directors:
• Are satised that they have carried out a robust
assessment of the principal and emerging risks facing
the Group, including those that would threaten its
business model, future performance, solvency or
liquidity; and
• Have reviewed the effectiveness of the risk management
and internal control systems and no signicant failings
were identied.
Branches outside the UK
The Company has no branches outside the UK.
Financial instruments
The Group’s exposure to and management of capital risk,
market risk and liquidity risk is set out in note 8 to the
consolidated nancial statements.
Articles of Association
The Articles of Association set out the internal regulation
of the Company and cover such matters as the rights of
the shareholders and the appointment and replacement of
Directors. Changes to the Articles of Association must be
approved by shareholders in accordance with legislation in
force from time to time. A copy of the Company’s Articles of
Association can be found on the Company’s website.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 159
GOVERNANCEOVERVIEW
Signicant interests
The table below shows the interests in shares notied
to the Company in accordance with Chapter 5 of the
Disclosure and Transparency Rules issued by the Financial
Conduct Authority, as at 31 December 2022 and as at
24 February 2023 (being the latest practicable date prior
to publication of the Annual Report):
As at 31 December 2022
Shareholder Number of shares
% of issued
Share Capital
La Mancha 48,191,843 19.6%
BlackRock, Inc. 27,744,160 11.3%
Van Eck Associates 24,039,000 9.8%
Tablo Corporation 15,578,307 6.3%
As at 24 February 2023
Shareholder Number of shares
% of issued
Share Capital
La Mancha 48,191,843 19.5%
BlackRock, Inc.
1
29,653,146 12.0%
Van Eck Associates 24,296,000 9.8%
Tablo Corporation 15,578,307 6.3%
1. On 6 March 2023, the Company was notied that Blackrock, Inc.
held 29,712,365 shares comprising 12% of the issued share capital.
The percentage of issued share capital may have changed
by a nominal amount due to a decrease in the outstanding
issued share capital as a result of the share buyback
programme.
Change of control – signicant agreements
Relationship Agreement
In replacement of a pre-existing investor rights agreement
dated 18 September 2015, and acknowledging the need
for alignment with UK expectations for such arrangements,
the Company entered into a relationship agreement with
La Mancha dated 8 June 2021, the terms of which came
into force on Admission to the London Stock Exchange (the
“Relationship Agreement”). The Relationship Agreement
provides that for so long as La Mancha and its associates
hold an interest that in aggregate: (a) is equal to or greater
than 15% of the issued ordinary share capital of the
Company, La Mancha shall have the right to appoint two
Directors to the Board; or (b) is equal to or greater than
10% but less than 15% of the issued ordinary share capital
of the Company, La Mancha shall have the right to appoint
one Director to the Board.James Askew and Naguib Sawiris
have been nominated to the Board by La Mancha under the
terms of the Relationship Agreement however with effect
from the 2023 AGM, James Askew intends to step down
from the Board and will not stand for re-election and Patrick
Bouisset, who has been nominated by La Mancha as his
successor, will stand for election.
The Relationship Agreement also includes provisions to
ensure that the Group is able to do business independently
of La Mancha and its associates. The Relationship
Agreement provides that La Mancha and its associates
shall ensure that all transactions and relationships
between La Mancha and/or any of its associates and the
Company or any member of the Group are conducted on
arm’s length terms and on normal commercial terms.
La Mancha has also agreed in the Relationship Agreement
that, subject to customary exceptions: (a) neither it nor
any of its associates shall exercise any of its voting
or other rights and powers to procure any amendment
to the Articles which would breach any provision of
the Relationship Agreement; (b) it and its associates
shall abstain from voting, and shall procure that any
representative of it on the Board abstains from voting,
on any resolution to approve a related party transaction
involving it, or its associates (or the related party); and
(c) it and its associates shall exercise their voting rights
at general meetings of the Company to give effect to,
and in a manner that is compliant with, the terms of the
Relationship Agreement. La Mancha has agreed that
disposals of shares or securities convertible into shares
by it through the facilities of a stock exchange shall take
place in a manner that does not disrupt orderly trading in
those securities. La Mancha has also agreed to notify the
Company at least two business days in advance of any
disposal of an interest in shares or in securities convertible
into shares which at such time (and in the case of the
convertible securities after giving effect to their conversion
into shares) would constitute an interest of 3% or more of
the issued share capital of the Company. The Relationship
Agreement will remain in effect until the shares cease to be
admitted to listing on the premium segment of the Ofcial
List and to trading on the Main Market or La Mancha’s
rights to nominate at least one Director have been
extinguished.
Senior Notes
On 1 October 2021, the Company announced an offering
of $500.0 million senior notes due 2026 under Rule
144A/Regulation S. The Company announced that it had
successfully priced the Senior Notes at a rate equal to
5% per annum on 7 October 2021. The Senior Notes
are senior unsecured obligations of the Company, are
guaranteed by certain holding company subsidiaries, pay
interest semi-annually in arrears, and will mature on 14
October 2026. The terms of the Senior Notes include
customary provisions relating to call rights and redemption,
equity clawback, treatment of the Senior Notes upon
change of control, and other restrictions associated
with the Senior Notes as more precisely detailed in the
description of Senior Notes. The Senior Notes are listed on
the Global Exchange Market of the Irish Stock Exchange.
To facilitate the offering of the Senior Notes the Company
obtained initial credit ratings from Standard & Poor’s and
Fitch Ratings.
GOVERNANCE
DIRECTORS’ REPORT CONTINUED
160 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
Revolving Credit Facility Agreement
On 30 September 2021, the Company, in its capacity as
Parent Company and borrower, entered into a revolving
credit facility agreement with, among others, ING Bank
N.V. as facility agent, Citibank N.A., London Branch, BNP
Paribas, HSBC Bank Plc, ING Bank N.V., Macquarie Bank
Limited and Société Générale, London Branch, as senior
mandated lead arrangers, and Barclays Bank plc and Bank
of Montreal, London Branch, as mandated lead arrangers.
Under the terms of the RCF, a $500.0 million revolving
credit facility was made available for a term of four
years. The RCF is a senior unsecured obligation of the
Company, is guaranteed by certain holding company
subsidiaries, pays interest quarterly in arrears at a rate
equal to the applicable reference rate plus a margin
ranging between 2.40-3.40% depending on leverage.
The RCF has an accordion option whereby an increase in
available commitments of up to a maximum of $150.0
million may be requested, subject however to further bank
credit commitments. On 1 December 2022, the Company
exercised the accordion option and obtained additional
bank commitments for an increase of $75.0 million, thus
resulting in total availability under the RCF of $575.0
million. Total available commitments under the RCF may
reach $650.0 million. The RCF is available to be used to
fund: (i) the payment of all fees and expenses relating
to the arranging of the RCF and (ii) the general corporate
purposes of the Group.
The RCF contains customary representations, undertakings,
negative pledge and events of default as well as certain
nancial covenants. Upon the occurrence of a change of
control, if a lender so requires, the commitments of that
lender can be cancelled and amounts outstanding to that
lender become immediately due and payable.
Convertible Notes
On 5 February 2018, EMC issued $330.0 million 3.00%
convertible senior notes due 2023. Subject to the terms of
the Convertible Notes, holders thereof (“Noteholders”) had
the option to convert Notes at any time until the close of
business on the scheduled trading day immediately before
the maturity date. The initial conversion rate was 41.84 of
EMC’s common shares per $1,000 of Notes, or an initial
conversion price of approximately $23.90 (CAD$29.47)
per share. Following admission of the Company to the
London Stock Exchange, if Noteholders elected to convert
Notes and EMC elected to settle the conversion wholly or
partially in ordinary shares, those ordinary shares would
be the ordinary shares of the Company. In addition, if a
Noteholder elected to convert Convertible Notes following
admission of the Company to the London Stock Exchange,
and EMC elected to settle the conversion of Notes wholly
or partially in ordinary shares, Noteholders had the option
to elect to receive their shares either through CDS & Co.
(to be available for trading on the Toronto Stock Exchange)
or CREST (to be available for trading on the London Stock
Exchange). On 11 August 2022, EMC gave notice to
Noteholders that it had elected to settle the principal due
on maturity of the Notes wholly in cash, and any premium
due to Noteholders at maturity would be settled by the
issuance of new shares in the Company (the “Combination
Settlement Method”). All Notes matured on 15 February
2023 and were redeemed and settled in accordance with
the Combination Settlement Method.
Compensation for loss of ofce
Please refer to the Directors’ Remuneration Policy on
pages 144 to 145.
Disclosure of information to Auditors
The Directors who held ofce at the date of approval of
this Directors’ Report conrm that, so far as they are each
aware, there is no relevant audit information of which the
Company’s auditor is unaware and that each Director has
taken all the steps that they ought to have taken as a
Director to make themselves aware of any relevant audit
information and ensure that the auditor is aware of such
information.
The conrmation is given and should be interpreted in
accordance with the provisions of section 418 of the
Companies Act 2006.
Auditor
BDO has indicated their willingness to continue in ofce
and a resolution seeking to re-appoint BDO will be
proposed at the forthcoming AGM.
Annual General Meeting
The AGM will be held on 11 May 2023. At the meeting,
resolutions will be proposed to receive the Annual
Report and nancial statements, approve the Directors’
Remuneration Report, re-elect Directors, elect Patrick
Bouisset as a Director and appoint BDO as auditor and
determine its remuneration. In addition, it will be proposed
that expiring authorities to allot shares and to repurchase
shares are extended. There will also be a resolution
proposed to amend the Remuneration Policy in respect
of the pension element only (for more information please
see pages 142 to 143 of the Remuneration Report).
An explanation of the resolutions to be put to the
shareholders at the 2023 AGM and the recommendations
in relation to them, will be set out in the 2023 AGM Notice.
Political and charitable donations
No political donations or charitable contributions in the
UK were made by the Company or its subsidiaries during
the year.
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 161
GOVERNANCEOVERVIEW
Post Balance Sheet events
Share buyback programme
Subsequent to 31 December 2022 and up to 13 March
2023, the Group has repurchased a total of 453,752
shares at an average price of $22.65 for total cash
outows of $10.3 million.
Dividend
On 24 January 2023, the Board of Directors of the
Company announced its second interim dividend for 2022
of $100.0 million or approximately $0.41 per share,
payable on 28 March 2023 to shareholders on the register
at close on 24 February 2023.
Repayment of Convertible Notes
On 15 February 2023, the Company repaid the principal
amount outstanding under the Convertible Notes of
$330.0 million in cash and issued a further 835,254
in shares to settle the conversion feature of the
Convertible Notes.
Repayment of contingent consideration
On 8 March 2023, the Company settled the contingent
consideration amount of $50.0 million in cash which
was acquired as part of the Teranga acquisition.
Draw down of RCF
Subsequent to 31 December 2022 and up to 14 March
2023, the Group drew approximately $260.0 million in
cash from the RCF.
Gold revenue protection programme
In January 2023, the Group extended its revenue protection
programme for 2024 and acquired a gold collar for
450,000 ounces with the written call options and bought
put options having a oor price of $1,800 and a ceiling
price of $2,400 per ounce respectively to be settled equally
on a quarterly basis throughout 2024. The Group also
entered into additional gold forward contracts for 70,000
ounces at an average gold price of $2,032 per ounce to be
settled equally in the rst two quarters of 2024.
The Directors’ Report was approved by the Board of
Directors on 15March 2023.
By Order of the Board
SÉBASTIEN DE MONTESSUS
CHIEF EXECUTIVE AND PRESIDENT
15MARCH 2023
GOVERNANCE
DIRECTORS’ REPORT CONTINUED
162 ENDEAVOUR MINING PLC ANNUAL REPORT 2022
GOVERNANCE
DIRECTORS’ RESPONSIBILITY STATEMENT
The Directors are responsible for preparing the Annual
Report and the nancial statements in accordance with UK
adopted international accounting standards and applicable
law and regulations.
Company law requires the directors to prepare nancial
statements for each nancial year. Under that law the
directors are required to prepare the group nancial
statements in accordance with UK adopted international
accounting standards and have elected to prepare the
company nancial statements in accordance with Financial
Reporting Standard 101 Reduced Disclosure Framework
(“FRS 101”). Under company law the directors must not
approve the nancial statements unless they are satised
that they give a true and fair view of the state of affairs
of the group and company and of the prot or loss for the
group for that period.
In preparing these nancial statements, the Directors are
required to:
• Select suitable accounting policies and then apply them
consistently.
• Make judgements and accounting estimates that are
reasonable and prudent.
• State whether they have been prepared in accordance
with UK adopted international accounting standards.
• Prepare the nancial statements on the going concern
basis unless it is inappropriate to presume that the
Group and the Company will continue in business.
• Prepare a Directors’ Report, a Strategic Report and
Directors’ Remuneration Report which comply with the
requirements of the Companies Act 2006.
The Directors are responsible for keeping adequate
accounting records that are sufcient to show and explain
the Company’s transactions and disclose with reasonable
accuracy at any time the nancial position of the Company
and enable them to ensure that the nancial statements
comply with the Companies Act 2006.
They are also responsible for safeguarding the assets of
the Company and hence for taking reasonable steps for the
prevention and detection of fraud and other irregularities.
The Directors are responsible for ensuring that the
annual report and accounts, taken as a whole, are fair,
balanced, and understandable and provides the information
necessary for shareholders to assess the Group’s
performance, business model and strategy.
Website publication
The Directors are responsible for ensuring the Annual
Report and the nancial statements are made available
on a website. Financial statements are published on
the Company’s website in accordance with legislation
in the United Kingdom governing the preparation and
dissemination of nancial statements, which may vary from
legislation in other jurisdictions. The maintenance and
integrity of the Company's website is the responsibility of
the Directors. The Directors' responsibility also extends to
the ongoing integrity of the nancial statements contained
therein.
Directors’ responsibilities pursuant to DTR4
The Directors conrm to the best of their knowledge:
• The nancial statements have been prepared in
accordance with the applicable set of accounting
standards, give a true and fair view of the assets,
liabilities, nancial position and prot and loss of the
Group and Company.
• The Annual Report includes a fair review of the
development and performance of the business and the
nancial position of the Group and Company, together
with a description of the principal risks and uncertainties
that they face.
This responsibility statement was approved by the Board
and signed on its behalf by:
SÉBASTIEN DE MONTESSUS
CHIEF EXECUTIVE AND PRESIDENT
15MARCH 2023
ADDITIONAL
INFORMATION
FINANCIAL
STATEMENTS
STRATEGIC
REPORT
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 163
GOVERNANCEOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
INDEPENDENT AUDITOR’S REPORT TO THE
SHAREHOLDERS OF ENDEAVOUR MINING PLC
Opinion on the nancial statements
In our opinion:
• the nancial statements give a true and fair view of the state of the Group’s and of the Parent Company’s affairs as at
31 December 2022 and of the Group’s loss for the year then ended;
• the Group nancial statements have been properly prepared in accordance with UK adopted international accounting
standards;
• the Parent Company nancial statements have been properly prepared in accordance with United Kingdom Generally
Accepted Accounting Practice; and
• the nancial statements have been prepared in accordance with the requirements of the Companies Act 2006.
We have audited the nancial statements of Endeavour Mining Plc (the ‘Parent Company’) and its subsidiaries (the
‘Group’) for the year ended 31 December 2022 which comprise the consolidated statement of comprehensive (loss)/
earnings, consolidated statement of cash ows, consolidated and Company statements of nancial position, consolidated
and Company statements of changes in equity and notes to the nancial statements, including a summary of signicant
accounting policies. The nancial reporting framework that has been applied in preparation of the Group nancial
statements is applicable law and UK adopted international accounting standards. The nancial reporting framework
that has been applied in preparation of the Parent Company nancial statements is applicable law and United Kingdom
Accounting Standards, including Financial Reporting Standard 101 Reduced Disclosure Framework (United Kingdom
Generally Accepted Accounting Practice).
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our
responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the nancial
statements section of our report. We believe that the audit evidence we have obtained is sufcient and appropriate to
provide a basis for our opinion. Our audit opinion is consistent with the additional report to the audit committee.
Independence
Following the recommendation of the audit committee, we were appointed by the Directors to audit the nancial
statements for the year ending 31 December 2020 and subsequent nancial periods. The period of total uninterrupted
engagement including retenders and reappointments is 3 years, covering the years ending 31 December 2020 to
31 December 2022. We remain independent of the Group and the Parent Company in accordance with the ethical
requirements that are relevant to our audit of the nancial statements in the UK, including the FRC’s Ethical Standard as
applied to listed public interest entities, and we have fullled our other ethical responsibilities in accordance with these
requirements. The non-audit services prohibited by that standard were not provided to the Group or the Parent Company.
Conclusions relating to going concern
In auditing the nancial statements, we have concluded that the Directors’ use of the going concern basis of accounting in
the preparation of the nancial statements is appropriate. Our evaluation of the Directors’ assessment of the Group and
the Parent Company’s ability to continue to adopt the going concern basis of accounting included:
• Obtaining and critically reviewing the Directors’ base case cash ow forecast and evaluating the assumptions in respect
of gold prices, production, operating costs, foreign exchange rates and capital expenditure. In doing so, we considered
historical performance, trading to date in Q1 2023, the post year end repayment of the convertible loan and drawdown
on the RCF and external market data.
• Performing a review and recalculation of forecast covenants.
• Performing an accuracy check on the mechanics of the cash ow forecast model prepared by management and
approved by the Directors.
• Obtaining and reviewing the stress test scenarios in respect of scenarios including production disruption, reduced
pricing, an increase in operating costs and a combination scenario and conrming that liquidity and covenants are
maintained under such scenarios.
• Assessing the adequacy of the stress test scenarios and considering whether any other scenarios should be tested.
• Considering the adequacy of the going concern disclosures in Note 2 based on our audit work performed as
detailed above.
Based on the work we have performed, we have not identied any material uncertainties relating to events or conditions
that, individually or collectively, may cast signicant doubt on the Group and the Parent Company’s ability to continue as a
going concern for a period of at least twelve months from when the nancial statements are authorised for issue.
In relation to the Parent Company’s reporting on how it has applied the UK Corporate Governance Code, we have nothing
material to add or draw attention to in relation to the Directors’ statement in the nancial statements about whether the
Directors considered it appropriate to adopt the going concern basis of accounting.
ENDEAVOUR MINING PLC ANNUAL REPORT 2022164
Our responsibilities and the responsibilities of the Directors with respect to going concern are described in the relevant
sections of this report.
Overview
Coverage 87.3% (2021: 90.9%) of Group prot before tax
99.5% (2021: 99.7%) of Group revenue
71.7% (2021: 84.0%) of Group total assets
Key audit matters
(“KAM”)
2022 2021
1. Risk that the life of mine estimates are inappropriate and mining interests and
goodwill require impairment.
Yes Yes
2. Risk that provisions in relation to the tax claims are inappropriate. Ye s Ye s
3. Risk that the Purchase Price Allocation (“PPA”) for the acquisition of Teranga
is incorrectly accounted for.
N/A Yes
4. Risk that the goodwill relating to the Teranga and Semafo acquisitions
is impaired.
N/A Yes
KAM 3 is no longer considered to be a key audit matter as the acquisition of Teranga was
completed in 2021. KAM 4 is now included in KAM 1.
Materiality Group nancial statements as a whole
$25m (2021:$35m) based on 5% (2021: 5%) of adjusted prot before tax.
An overview of the scope of our audit
Our Group audit was scoped by obtaining an understanding of the Group and its environment, including the Group’s
system of internal control, and assessing the risks of material misstatement in the nancial statements. We also
addressed the risk of management override of internal controls, including assessing whether there was evidence of bias
by the Directors that may have represented a risk of material misstatement.
All audit work was performed by the Group engagement team. We did not use any component auditors in our audit
approach.
Endeavour Mining Plc is a London Stock Exchange and TSX listed company and the Group’s operating mines are located
in Burkina Faso, Senegal and Côte d’Ivoire. We assessed there to be four signicant components being the Houndé
and Mana mines in Burkina Faso, the Sabodala-Massawa mine in Senegal and the Ity mine in Côte d’Ivoire. Full scope
audits were performed onsite at each of these components by the Group engagement team. The Group engagement
team also performed an audit of Endeavour Mining Plc as a standalone entity, along with the audit of the consolidation.
The remaining non-signicant operating, corporate and holding companies were principally subject to specic substantive
procedures on signicant risk areas and analytical review procedures.
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most signicance in our audit of the
nancial statements of the current period and include the most signicant assessed risks of material misstatement
(whether or not due to fraud) that we identied, including those which had the greatest effect on: the overall audit strategy,
the allocation of resources in the audit, and directing the efforts of the engagement team. These matters were addressed
in the context of our audit of the nancial statements as a whole, and in forming our opinion thereon, and we do not
provide a separate opinion on these matters.
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 165
FINANCIAL
STATEMENTSOVERVIEW
Key audit matter How the scope of our audit addressed the key audit matter
Risk that the life of mine estimates
are inappropriate and mining interests
and goodwill require impairment.
Accounting policy: Note 2
Notes 6, 12 and 13.
As detailed in Notes 12 and 13,
the Group’s mining interests,
including property, plant and
equipment and goodwill, represent
its most signicant assets and total
$4.6bn at 31 December 2022.
CGU’s to which goodwill is allocated
must be tested annually for
impairment. This involves the use of
signicant estimates and judgements
to determine the recoverable amount.
Management has performed an
impairment assessment of the Mana
and Sabodala-Massawa CGU’s given
goodwill has been allocated to these
CGU’s as part of the PPA accounting
in prior periods. No impairments were
noted at either of these mines.
In addition, as detailed in Note 6,
management has performed an
impairment indicator review for each
of the operational assets under IAS
36 Impairment and have not identied
any indicators of potential impairment,
apart from at its Wahgnion and
Boungou mines.
Given the current gold price forecasts
and consistent operating results,
management has considered there
is no indication of any potential
impairments at the Group’s other
operating mines.
The preparation of the life of mine
(‘LOM’) models used in the impairment
review requires management to make
critical judgements and estimates
regarding gold prices, reserves and
resources, production rates, operating
costs and capital expenditure, as
well as economic variables such as
discount rates.
The value of the mining interests and
the inherent judgement involved in the
LOM estimates makes this a signicant
audit risk and a key area of focus for
our audit.
We checked that the impairment models utilised the approved life of mine plans and were
subject to appropriate internal review and approval.
We have assessed the appropriateness, in line with IAS 36, of management’s identication
of the Group’s CGUs.
We obtained and reviewed management’s impairment indicator review, and detailed
impairment tests in respect of the Wahgnion, Boungou, Mana and Sabodala-Massawa mines
as set out below.
In respect of the Wahgnion, Boungou, Mana and Sabodala-Massawa mines:
• We evaluated management’s impairment models against the approved LOM plans and our
understanding of the operations. In respect of the key estimates and assumptions used
by management, our testing included: comparison of the gold price to market consensus
data; recalculation of discount rates and evaluation of the appropriateness of risk
premiums therein in conjunction with our internal valuation specialists; and critical review
of the forecast cost, capital spend and production proles against the approved mine
plans, reserves and resources reports and historical performance. In addition, we veried
the integrity of formulae and the mathematical accuracy of management’s valuation
models.
• We compared the trading performance against budget/plan for 2022 in order to
evaluate the quality of management’s forecasting and, where under performance against
budget/plan was highlighted, evaluated the impact on the forecasts.
• We held meetings with mine management (mine managers, geologists, mining engineers)
to understand and challenge the production, operating cost and capex forecasts.
• We agreed the ounces in the impairment models to the latest Reserves and Resources
statement. Specically, we challenged the inclusion of unmodelled ounces in the
impairment models and the value at which they have been included.
• We assessed the independence (external experts only), objectivity and competency of
management’s internal and external experts, including the Competent Persons.
• We challenged management on the impact of climate change on the LOM models.
• We reviewed management’s sensitivity calculations in respect of gold prices, production,
discount rates, and operating costs and performed additional sensitivity analysis on the
impairment models where considered necessary. We also considered the appropriateness,
with reference to IAS 36, of related disclosures given in note 6.
In respect of the Group’s other mines, we undertook the following work on management’s
impairment indicator review:
• We evaluated management’s impairment models against approved LOM plans and
our understanding of the operations, and critically challenged the key estimates and
assumptions used by management for each of the mining operations by comparisons
to current year actuals and through meetings with operational management, as detailed
below. In addition, we veried the integrity of formulae and the mathematical accuracy of
management’s valuation models.
• We compared the trading performance against budget/plan for 2022 in order to
evaluate the quality of management’s forecasting and, where under performance against
budget/plan was highlighted, evaluated the impact on the forecasts.
• In respect of pricing assumptions, our testing included evaluation of management’s gold
price forecasts against analyst consensus forecasts.
• We held meetings with mine management (mine managers, geologists, mining engineers)
to understand and challenge the production, operating cost and capex forecasts.
• We considered the appropriateness, with reference to IAS 36, of the related disclosures
given in note 6.
Key observations:
We found the key judgements made by management and the Board in assessing the LOM
estimates and the carrying value of the Group’s other mining interests to be reasonable.
We found the disclosures in the consolidated nancial statements to be in line with the
accounting standards.
CONSOLIDATED FINANCIAL STATEMENTS
INDEPENDENT AUDITOR’S REPORT TO THE
SHAREHOLDERS OF ENDEAVOUR MINING PLC
CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 2022166
Key audit matter How the scope of our audit addressed the key audit matter
Risk that the tax provisions
are inappropriate.
Accounting policy: Note 2
Notes 21 and 25.
As detailed in Note 21, the Group
is currently subject to tax claims
and exposures associated with its
operations in Burkina Faso, Côte
d’Ivoire and Senegal, and in other
territories where the Group has a
tax presence.
Management is required to assess
income tax claims with reference to
IFRIC 23, Uncertainty over Income Tax
Treatments and non-income taxes,
and those arising out of other taxes
and customs audits under IAS 37,
Provisions.
Given the size and nature of the claims
and exposures, and ongoing disputes,
the recognition and presentation of any
liabilities or contingent liabilities arising
as a result of the taxation claims and
exposures represented an area of key
judgement and a key audit matter for
our audit.
We checked that the Group’s tax claims and provisions were subject to appropriate internal
review and approval.
We tested the completeness and accuracy of the claim values by agreeing to tax
correspondence.
For the provided claims and exposures, we reviewed correspondence for all claims above a
set threshold to obtain an understanding of the claim, we obtained and reviewed the Group’s
internal analysis of the claims and exposures, and the provisions and liabilities recognised.
We discussed management’s assessment of the status of the claim or exposure with the
Group’s internal tax team and/or external tax advisor.
For the un-provided claims and exposures, we reviewed correspondence for all claims above
a set threshold to obtain an understanding of the claim, we obtained and reviewed the
Group’s internal analysis of the claims and exposures and any external professional advice
from management’s experts. In doing so, we discussed management’s assessment of
the status of the claim or exposure with the Group’s internal tax team and/or external tax
advisor. As part of our assessment, we considered if it is appropriate that no provision is
made for un-provided assessments and exposures and also considered whether there is a
need for disclosure of contingent liabilities where no provision has been made. As part of our
audit, we reviewed the disclosures in Notes 21 and 25. We engaged our internal tax experts
to assist in this assessment.
We evaluated the competence and objectivity of professional advisors relied upon by
management.
Key observations:
We found management’s estimates and judgements in respect of its assessment of the
provisioning for outstanding tax claims and exposures to be balanced and suitably supported
by analysis of the claims and exposures, and independent advice from management’s
external experts.
We found the contingent liability disclosures included in the consolidated nancial
statements in Notes 21 and 25 to be appropriate and relevant
Our application of materiality
We apply the concept of materiality both in planning and performing our audit, and in evaluating the effect of
misstatements. We consider materiality to be the magnitude by which misstatements, including omissions, could
inuence the economic decisions of reasonable users that are taken on the basis of the nancial statements.
In order to reduce to an appropriately low level the probability that any misstatements exceed materiality, we use a
lower materiality level, performance materiality, to determine the extent of testing needed. Importantly, misstatements
below these levels will not necessarily be evaluated as immaterial as we also take account of the nature of identied
misstatements, and the particular circumstances of their occurrence, when evaluating their effect on the nancial
statements as a whole.
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 167
FINANCIAL
STATEMENTSOVERVIEW
Based on our professional judgement, we determined materiality for the nancial statements as a whole and performance
materiality as follows:
Group nancial statements Parent company nancial statements
2022 2021 2022 2021
Materiality $25m $35m $22m $32m
Basis for determining
materiality
5% of adjusted earnings before tax (‘EBT’). Capped at 90% of Group materiality.
Rationale for the
benchmark applied
EBT is considered to be the key performance
metric for the Group. EBT has been adjusted
for the impairment charges as these are
considered exceptional in nature and not
reective of the results of the underlying mine
operations.
Endeavour Mining Plc is a holding company
with investments in subsidiaries. We
considered a benchmark based on total
assets to be the most appropriate, however
have capped materiality to a percentage of
Group materiality.
Performance materiality $17.5m $22.8m $15.4m $20.8m
Basis for determining
performance materiality
70% (2021: 65%) of materiality. Performance
materiality has increased from 2021
considering the nature of activities, historical
audit adjustments and management’s attitude
towards proposed adjustments.
70% (2021: 65%) of materiality. Performance
materiality has increased from 2021
considering the nature of activities, historical
audit adjustments and management’s attitude
towards proposed adjustments
Specic materiality
In 2021, the Parent Company was incorporated part way through the year and we applied a specic materiality to the
Parent Company’s statement of comprehensive income of $8.1m based on 5% of earnings before tax. In 2022, we do not
consider it necessary to apply a specic materiality to the Parent Company’s statement of comprehensive income on the
basis the Parent Company has been incorporated for a full year.
Component materiality
We set materiality for each signicant component of the Group based on a percentage of between 36% and 56% (2021:
12% and 65%) of Group materiality dependent on the size and our assessment of the risk of material misstatement of
that component. Signicant component materiality ranged from $9m to $14m (2021: $4m to $23m). In the audit of each
component, we further applied performance materiality levels of 70% (2021: 65%) of the component materiality to our
testing to ensure that the risk of errors exceeding component materiality was appropriately mitigated.
Reporting threshold
We agreed with the Audit Committee that we would report to them all individual audit differences in excess of $0.5m
(2021:$0.7m). We also agreed to report differences below this threshold that, in our view, warranted reporting on
qualitative grounds.
Other information
The directors are responsible for the other information. The other information comprises the information included in
the annual report other than the nancial statements and our auditor’s report thereon. Our opinion on the nancial
statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do
not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so,
consider whether the other information is materially inconsistent with the nancial statements or our knowledge obtained
in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies
or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement
in the nancial statements themselves. If, based on the work we have performed, we conclude that there is a material
misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Corporate governance statement
The Listing Rules require us to review the Directors’ statement in relation to going concern, longer-term viability and that
part of the Corporate Governance Statement relating to the Parent Company’s compliance with the provisions of the UK
Corporate Governance Code specied for our review.
CONSOLIDATED FINANCIAL STATEMENTS
INDEPENDENT AUDITOR’S REPORT TO THE
SHAREHOLDERS OF ENDEAVOUR MINING PLC
CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 2022168
Based on the work undertaken as part of our audit, we have concluded that each of the following elements of the
Corporate Governance Statement is materially consistent with the nancial statements or our knowledge obtained during
the audit.
Going concern
and longer-term
viability
• The Directors’ statement with regards to the appropriateness of adopting the going concern basis
of accounting and any material uncertainties identied set out on page 72; and
• The Directors’ explanation as to their assessment of the Group’s prospects, the period this
assessment covers and why the period is appropriate set out on pages 72 to 73.
Other Code
provisions
• Directors’ statement on fair, balanced and understandable set out on page 133;
• Board’s conrmation that it has carried out a robust assessment of the emerging and principal
risks set out on pages 62 to 71;
• The section of the annual report that describes the review of effectiveness of risk management
and internal control systems set out on page 159; and
• The section describing the work of the audit committee set out on pages 131 to 138.
Other Companies Act 2006 reporting
Based on the responsibilities described below and our work performed during the course of the audit, we are required by
the Companies Act 2006 and ISAs (UK) to report on certain opinions and matters as described below.
Strategic report and
Directors’ report
In our opinion, based on the work undertaken in the course of the audit:
• the information given in the Strategic report and the Directors’ report for the nancial year for
which the nancial statements are prepared is consistent with the nancial statements; and
• the Strategic report and the Directors’ report have been prepared in accordance with applicable
legal requirements.
In the light of the knowledge and understanding of the Group and Parent Company and its
environment obtained in the course of the audit, we have not identied material misstatements in
the strategic report or the Directors’ report.
Directors’
remuneration
In our opinion, the part of the Directors’ remuneration report to be audited has been properly
prepared in accordance with the Companies Act 2006.
Matters on which
we are required to
report by exception
We have nothing to report in respect of the following matters in relation to which the Companies
Act 2006 requires us to report to you if, in our opinion:
• adequate accounting records have not been kept by the Parent Company, or returns adequate for
our audit have not been received from branches not visited by us; or
• the Parent Company nancial statements and the part of the Directors’ remuneration report to
be audited are not in agreement with the accounting records and returns; or
• certain disclosures of Directors’ remuneration specied by law are not made; or
• we have not received all the information and explanations we require for our audit.
Responsibilities of Directors
As explained more fully in the Directors’ responsibilities statement, the Directors are responsible for the preparation
of the nancial statements and for being satised that they give a true and fair view, and for such internal control as
the Directors determine is necessary to enable the preparation of nancial statements that are free from material
misstatement, whether due to fraud or error.
In preparing the nancial statements, the Directors are responsible for assessing the Group’s and the Parent Company’s
ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going
concern basis of accounting unless the Directors either intend to liquidate the Group or the Parent Company or to cease
operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the nancial statements
Our objectives are to obtain reasonable assurance about whether the nancial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with
ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and
are considered material if, individually or in the aggregate, they could reasonably be expected to inuence the economic
decisions of users taken on the basis of these nancial statements.
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 169
FINANCIAL
STATEMENTSOVERVIEW
Extent to which the audit was capable of detecting irregularities, including fraud
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line
with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The
extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
• We held discussions with management and the Audit Committee to consider any known or suspected instances of non-
compliance with laws and regulations or fraud identied by them;
• We gained an understanding of the legal and regulatory framework applicable to the Group and the industry in which it
operates, through discussion with management and the Audit Committee and our knowledge of the industry;
• We considered the signicant laws and regulations of Burkina Faso, Senegal, Cote d’Ivoire and the UK to be those
relating to the industry, nancial reporting framework, tax legislation and the listing rules;
• We assessed the susceptibility of the Group’s Financial Statements to material misstatement, including how fraud might
occur by obtaining an understanding of the controls that the Group has established to address risks identied by the
entity, or that otherwise seek to prevent, deter or detect fraud. We considered the signicant fraud risk areas to be in
relation to revenue recognition and management override of controls;
• We addressed the fraud risk in relation to revenue recognition, testing all revenue transactions to supporting
documentation, including testing a sample of revenue transactions in the period proceeding and preceding year end
to check that revenue was recognised in the correct period. In addition we obtained direct conrmations from the key
customers for the sales in the year;
• We addressed the risk of management override of internal controls by testing a risk based selections of journals and
evaluating whether there was evidence of bias in management’s estimates (Refer to the ‘key audit matters’ section)
that represented a material misstatement due to fraud. Specically:
– we tested the appropriateness of journal entries made through the year by applying specic criteria to identify
journals that could be indicative of possible irregularities and fraud, and agreeing these to supporting documentation;
– we introduced an element of unpredictability into our audit work such that management do not become over familiar
with our audit approach. In addition, we selected all samples on a random basis; ;
– we performed a detailed review of the Group’s year end adjusting entries and investigated any that appeared unusual
as to nature or amount and agreed entries to supporting documentation;
– for signicant and unusual transactions, particularly those occurring at or near year end, we obtained evidence for
the rationale of these transactions and evidence supporting the transactions;
– we assessed whether the judgements made in accounting estimates were indicative of a potential bias (Refer to’ key
audit matters’ section above which covers some of these judgements);
– we extended inquiries to individuals outside of management and the accounting department to corroborate
management’s ability and intent to carry out plans that are relevant to developing the estimate set out in the key
audit matters section above;
– we reviewed minutes from Board meetings of those charges with governance to identify any instances of non-
compliance with laws and regulations; and
– we also communicated relevant identied laws and regulations and potential fraud risks to all engagement team
members, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout
the audit.
Our audit procedures were designed to respond to risks of material misstatement in the nancial statements, recognising
that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting
from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion.
There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and
regulations is from the events and transactions reected in the nancial statements, the less likely we are to become
aware of it.
A further description of our responsibilities is available on the Financial Reporting Council’s website at:
www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Use of our report
This report is made solely to the Parent Company’s members, as a body, in accordance with Chapter 3 of Part 16 of the
Companies Act 2006. Our audit work has been undertaken so that we might state to the Parent Company’s members
those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent
permitted by law, we do not accept or assume responsibility to anyone other than the Parent Company and the Parent
Company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Matt Crane (Senior Statutory Auditor)
For and on behalf of BDO LLP, Statutory Auditor
London, UK
15 March 2023
BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127).
CONSOLIDATED FINANCIAL STATEMENTS
INDEPENDENT AUDITOR’S REPORT TO THE
SHAREHOLDERS OF ENDEAVOUR MINING PLC
CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 2022170
CONSOLIDATED FINANCIAL STATEMENTS
CONSOLIDATED STATEMENT OF COMPREHENSIVE
(LOSS)/EARNINGS
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 171
FINANCIAL
STATEMENTSOVERVIEW
YEAR ENDED
Note
31 December
2022
31 December
2021
Revenue
Revenue 5 2 ,508.1 2,6 42.1
Cost of sales
Operating expenses 5 (97 9 . 5 ) (98 2. 5 )
Depreciation and depletion (6 1 6 .0 ) (59 9. 8 )
Royalties (152. 9 ) (16 2 . 3 )
Earnings from mine operations 75 9 .7 8 9 7. 5
Corporate costs 5 (47. 7 ) (62.5 )
Other expenses 5 (5 1 . 9 ) (4 5 .6 )
Impairment of mining interests and goodwill 6 (3 6 0 . 3 ) (2 4 7. 7 )
Share-based compensation 7 (3 2 . 8 ) (32 .5 )
Exploration costs (3 3 . 9 ) (23 .6 )
Earnings from operations 233. 1 4 85 .6
Other (expense)/income
(Loss)/gain on nancial instruments 8 (2 2 . 3 ) 28 .0
Finance costs, net 9 (6 6 . 2 ) (6 5 .7 )
Earnings before taxes 1 4 4.6 4 47. 9
Current income tax expense 21 (2 7 3 . 3 ) (1 9 5 .1 )
Deferred income tax recovery 21 9 7. 7 51 . 8
Net comprehensive (loss)/earnings from continuing operations (3 1 . 0 ) 3 0 4.6
Net earnings/(loss) from discontinued operations 4 9. 1 (28 . 8 )
Net comprehensive (loss)/earnings (2 1 . 9 ) 275 .8
Net (loss)/earnings from continuing operations attributable to:
Shareholders of Endeavour Mining plc (6 6 . 1 ) 24 5 .0
Non-controlling interests 19 3 5.1 59. 6
(3 1 . 0 ) 3 04.6
Total net (loss)/earnings attributable to:
Shareholders of Endeavour Mining plc (5 7. 3 ) 215. 5
Non-controlling interests 19 35.4 6 0.3
(2 1 . 9 ) 275. 8
(Loss)/Earnings per share from continuing operations
Basic (loss)/earnings per share 7 (0 . 2 7 ) 1.02
Diluted (loss)/earnings per share 7 (0 . 2 7 ) 1.01
(Loss)/Earnings per share
Basic (loss)/earnings per share 7 (0 . 2 3 ) 0.9 0
Diluted (loss)/earnings per share 7
(0 . 2 3 )
The accompanying notes are an integral part of these consolidated nancial statements.
CONSOLIDATED FINANCIAL STATEMENTS
CONSOLIDATED STATEMENT OF CASH FLOWS
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS)
YEAR ENDED
Note
31 December
2022
31 December
2021
Operating activities
Earnings before taxes 14 4.6 4 4 7. 9
Non-cash items 20 1 ,138. 1 928.0
Cash paid on settlement of DSUs and PSUs (2 .7 ) (1 9. 0 )
Cash received on settlement of nancial instruments 17. 9 1.5
Income taxes paid (1 8 9. 2 ) (2 2 5 .7 )
Operating cash ows before changes in working capital 1 , 1 0 8 .7 1 , 1 3 2 .7
Changes in working capital 20 (9 1 . 6 ) (0 .5 )
Operating cash ows generated from continuing operations 1 , 0 1 7. 1 1 ,132. 2
Operating cash ows generated from discontinued operations 4 4 .9 24.1
Cash generated from operating activities 1 ,0 22 .0 1,156.3
Investing activities
Expenditures on mining interests 20 (5 1 8 . 3 ) (517 .1 )
Cash acquired on acquisition of subsidiaries 4 — 2 7. 0
Changes in other assets (9 . 8 ) (10 .6 )
Proceeds from sale of nancial assets 14 1 0 .7 —
Proceeds from sale of subsidiaries, net of cash disposed 4 2.2 (4 .7 )
Investing cash ows used by continuing operations (5 1 5. 2 ) (50 5.4 )
Investing cash ows used by discontinued operations 4 (6 . 2 ) (6 . 3 )
Cash used in investing activities (521.4 ) (5 11. 7 )
Financing activities
Proceeds received from the issue of common shares 7 — 2 0 0.0
Acquisition of shares in share buyback 7 (98. 7 ) (13 3 . 8 )
Payments from the settlement of shares 17 (2 9 . 4 ) (1 . 1 )
Proceeds on exercise of options and warrants 21 .2 9. 8
Dividends paid to minority shareholders 19 (5 7. 2 ) (2 9.9 )
Dividends paid to shareholders 7 (1 6 6 .6 ) (1 2 9. 9 )
Proceeds of long-term debt 9 5 0.0 4 9 0.0
Repayment of long-term debt 9 (5 0 . 0 ) (1,143.0 )
Proceeds on issuance of senior notes 9 — 4 94.6
Payment of nancing fees and other (4 6 . 6 ) (51 .0 )
Repayment of lease liabilities 16 (17. 9 ) (2 9. 9 )
Settlement of gold offtake liability 4 — (49. 7 )
Financing cash ows used by continuing operations (3 9 5 . 2 ) (373 .9 )
Financing cash ows generated from/(used by) discontinued operations 4 1 0.2 (4 7. 4 )
Cash used in nancing activities (3 8 5 . 0 ) (4 21 . 3 )
Effect of exchange rate changes on cash and cash equivalents (7 0 .7 ) (31 .8 )
Increase in cash and cash equivalents 44 .9 191.5
Cash and cash equivalents, beginning of year
1
Cash and cash equivalents, end of year 951 .1 906.2
1. Cash and cash equivalents at the beginning of the 2021 year includes cash included as assets held for sale of $69.7million.
The accompanying notes are an integral part of these consolidated nancial statements.
ENDEAVOUR MINING PLC ANNUAL REPORT 2022172
CONSOLIDATED FINANCIAL STATEMENTS
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 173
FINANCIAL
STATEMENTSOVERVIEW
Note
As at
31 December
2022
As at
31 December
2021
ASSETS
Current
Cash and cash equivalents 951 .1 906. 2
Trade and other receivables 10 10 6.9 10 4 .8
Inventories 11 3 2 0 .7 311.3
Current portion of other nancial assets 14 11.2 8 .6
Prepaid expenses and other 56.5 3 5.1
Non-current
Mining interests 12 4 , 5 1 7. 0 4,9 8 0.2
Goodwill 13 1 34.4 13 4.4
Deferred tax assets 21 — 10.0
Other nancial assets 14 8 7. 4 95 .0
Inventories 11 2 29. 5 1 85. 3
Total assets 6,414.7 6, 770.9
LIABILITIES
Current
Trade and other payables 15 3 54.6 3 51 .0
Lease liabilities 16 1 8.2 14.4
Current portion long-term debt 9 3 36.6 —
Other nancial liabilities 17 8 9. 1 32.4
Income taxes payable 21 2 4 7. 1 16 9.3
Non-current
Lease liabilities 16 28 .9 3 6 .7
Long-term debt 9 488.1 8 41. 9
Other nancial liabilities 17 25. 2 10 4 .3
Environmental rehabilitation provision 18 16 5.0 162 .9
Deferred tax liabilities 21 574 . 6 672. 3
Total liabilities 2 , 3 2 7. 4 2, 38 5. 2
EQUITY
Share capital 7 2.5 2.5
Share premium 25 .6 4.5
Other reserves 7 592 .4 5 84 .0
Retained earnings 3, 040. 4 3 ,3 3 0.5
Equity attributable to shareholders of the Corporation 3,6 60. 9 3,921.5
Non-controlling interests 19 4 26.4 4 64. 2
Total equity 4 , 0 8 7. 3 4 , 3 8 5 .7
Total equity and liabilities 6,414.7 6, 770.9
Registered No. 13280545
COMMITMENTS AND CONTINGENCIES (NOTE 25)
SUBSEQUENT EVENTS (NOTE 26)
Approved by the Board: 15 March 2023
Sébastien de Montessus Alison Baker
Director Director
The accompanying notes are an integral part of these consolidated nancial statements.
CONSOLIDATED FINANCIAL STATEMENTS
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022174
SHARE CAPITAL
Note
Share
Capital
1
Share
Premium
Reserve
Other
Reserves
(Note 7)
(Decit)/
Retained
Earnings
Total
Attributable to
Shareholders
Non-Controlling
Interests
(Note 19) Total
At 1 January 2021
Consideration on the acquisition of
Teranga
4
Shares issued on private placement
7
Purchase and cancellation of own
shares
7
(0. 3 ) — 0.3 (1 5 2 .1 ) (1 5 2 .1 ) — (1 52 . 1 )
Shares issued on exercise of options
and PSUs
Share-based compensation
7
Dividends paid
7
Dividends to non-controlling interests
19
Disposal of the Agbaou mine
4
Reorganisation
1, 5
(2 2. 5 ) (4 , 9 24 . 2 ) 4 , 9 4 6 .7 — — — —
Deferred shares issued upon
capitalisation
7
Cancellation of deferred shares
7
(4 ,4 5 0. 0 ) — — 4,4 5 0.0 — — —
Reclassication of PSUs to liabilities
17
Total net and comprehensive
earnings
At 31 December 2021
At 1 January 2022
Purchase and cancellation of
own shares
1
7
Shares issued on exercise of
options, warrants and PSUs
1
Share-based compensation
7
Dividends paid
7
Dividends to non-controlling
interests
19
Disposal of the Karma mine
4
Total net and comprehensive (loss)/
earnings
At 31 December 2022
1. Changes to share capital occurred, however is presented as zero due to the nominal amount of the change and due to all USD amounts rounded
to millions.
The accompanying notes are an integral part of these consolidated nancial statements.
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 175
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022176
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 177
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022178
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 179
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022180
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 181
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022182
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 183
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022184
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 185
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022186
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 187
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022188
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 189
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022190
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 191
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022192
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 193
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022194
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 195
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022196
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 197
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022198
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 199
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022200
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 201
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022202
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 203
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022204
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 205
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022206
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 207
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022208
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 209
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022210
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 211
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022212
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 213
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022214
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 215
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022216
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 217
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022218
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 219
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022220
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 221
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022222
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 223
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022224
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 225
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022226
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 227
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022228
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 229
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022230
CONSOLIDATED FINANCIAL STATEMENTS
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 231
FINANCIAL
STATEMENTSOVERVIEW
CONSOLIDATED FINANCIAL STATEMENTS
ENDEAVOUR MINING PLC ANNUAL REPORT 2022232
PARENT COMPANY FINANCIAL STATEMENTS
STATEMENT OF FINANCIAL POSITION
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS)
Registered No. 13280545
Note
As at
31 December
2022
As at
31 December
2021
ASSETS
Current
Cash and cash equivalents
5.1
5.5
Trade and other receivables
0.4
0.7
Intercompany amounts receivable 4
249.5
8.9
Prepaid expenses and other 0.3 —
255.3 15.1
Non-current
Investments 5
4,546.8
4,546.8
Derivative nancial assets
—
4.6
Intercompany amounts receivable 4 — 494.9
Total assets 4,802.1 5,061.4
LIABILITIES
Current
Trade and other payables 6
12.1
17.0
Other nancial liabilities 7
21.4
19.2
Income taxes payable 3.1 0.8
36.5
37.0
Non-current
Long-term debt 8
488.1
485.5
Other nancial liabilities 7 — 23.6
Total liabilities 524.7 546.1
NET ASSETS 4,277.4 4,515.3
EQUITY
Share capital 9 2.5 2.5
Share premium reserve 10
25.6
4.5
Share based payment reserve 10
12.9
4.5
Merger reserve 10
44.1
44.1
Retained earnings
4,192.3
4,459.7
Total equity 4,277.4 4,515.3
Total equity and liabilities 4,802.1 5,061.4
The Company reported a loss for the year ended 31 December 2022 of $34.6 million (for the nancial period ended
31 December 2021 - a prot of $161.3 million).
Approved by the Board: 15March 2023
Sébastien de Montessus Alison Baker
Director Director
The accompanying notes are an integral part of these nancial statements.
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 233
FINANCIAL
STATEMENTSOVERVIEW
SHARE CAPITAL
Notes Share Capital
Share
Premium
Reserve
Share Based
Payment
Reserve
Retained
Earnings
Merger
Reserve Total
At date of incorporation on
21 March 2021 — — — — — —
Results for the period — — — 161.3 — 161.3
Total comprehensive income
for the period — — — 161.3 — 161.3
Contributions by and distributions
to owners
Shares issued
1
0.1 — — — —
0.1
Cancellation of shares
1
9 (0.1) — — — —
(0.1)
Shares issued upon share exchange 9 2.5 — — — 4,494.1
4,496.6
Purchase and cancellation
of own shares 9 — — — (85.1) —
(85.1)
Deferred shares issued upon
capitalisation 4,450.0 — — — (4,450.0)
—
Cancellation of deferred shares (4,450.0) — — 4,450.0 —
—
Dividend paid — — — (69.9) —
(69.9)
Shares issued on exercise of
options and Performance Share Units
("PSUs") — 4.5 (3.5) 3.4 —
4.4
Share based compensation — — 8.0 — — 8.0
At 31 December 2022 2.5 4.5 4.5 4,459.7 44.1 4,515.3
At 1 January 2022 2.5 4.5 4.5 4,459.7 44.1 4,515.3
Results for the period — — — (34.6) — (34.6)
Total comprehensive loss
for the period — — — (34.6) — (34.6)
Contributions by and distributions
to owners
Purchase and cancellation of
own shares 9 — — — (98.8) —
(98.8)
Shares issued on exercise of
options, warrants and PSUs — 21.1 (7.0) 32.9 —
47.0
Share-based compensation — — 15.4 — —
15.4
Dividends paid — — — (166.9) — (166.9)
At 31 December 2022 2.5 25.6 12.9 4,192.3 44.1 4,277.4
1. The initial 50,000 shares issued had a nominal value of £1 each and were reclassied as deferred shares upon the share exchange. Subsequently
these deferred shares were cancelled on 29 June 2021. The deferred shares did not carry any voting rights or economic rights.
The accompanying notes are an integral part of these nancial statements.
PARENT COMPANY FINANCIAL STATEMENTS
STATEMENT OF CHANGES IN EQUITY
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS)
ENDEAVOUR MINING PLC ANNUAL REPORT 2022234
1 CORPORATE INFORMATION
Endeavour Mining PLC (the "Company"), registered number: 13280545 was incorporated on 21 March 2021 and is a
holding company.
The Company is a public company limited by shares incorporated in the United Kingdom under the Companies Act 2006 and is
registered in England and Wales. The address of the Company’s registered ofce is: 5 Young Street, London, United Kingdom,
2 ACCOUNTING POLICIES
The Company meets the denition of a qualifying entity under FRS 100 Application of Financial Reporting Requirements issued
by the FRC. Accordingly, these nancial statements are prepared in accordance with Financial Reporting Standard 101 Reduced
Disclosure Framework (“FRS 101”). As permitted by FRS 101, the Company has taken advantage of the disclosure exemptions
available under that standard in relation to share-based payment, nancial instruments, capital management, presentation
of comparative information in respect of certain assets, presentation of a cash ow statement, standards not yet effective,
certain disclosures in respect of revenue from contracts with customers and certain related party transactions. Where required,
equivalent disclosures are given in the consolidated nancial statements of Endeavour Mining plc for the year ended 31
December 2022 (“consolidated nancial statements”).
The Company's functional currency is United States dollars (“USD”) and its nancial statements are presented in USD and to the
nearest million dollars unless otherwise noted.
The principal accounting policies adopted are those set out in note 2 to the consolidated nancial statements except as
noted below.
BASIS OF PREPARATION
The nancial statements have been prepared on a going concern basis under the historical cost convention and in accordance with
FRS 101.
REVENUE RECOGNITION
Revenue is derived from service fees charged to Endeavour Mining Corporation (“EMC”). Revenue is recognised for the service
as rendered.
INVESTMENTS IN SUBSIDIARIES
Investments in subsidiaries are stated at cost less, where appropriate, provisions for impairment.
MERGER ACCOUNTING
Under the Companies Act 2006, the Group re-organisation as described in note 5 was considered to meet the qualifying criteria
for merger relief under s612 of the companies act 2006. Accordingly, shares issued by the Company as part of the scheme of
arrangement are recorded at nominal value. The difference between the share capital and the investment is recorded in a merger
reserve.
In accordance with paragraph 3 of IAS 27, the investment is measured at cost at the carrying amount of its share of the equity
items shown in the separate nancial statements of the original parent at the date of the scheme of arrangement i.e. the
net asset value of the company acquired as part of the common control transaction. Accordingly, the investment was initially
recorded at $4.5 billion.
TREASURY SHARES
When the Company purchases its own share capital ("treasury shares"), the consideration paid, including any directly
attributable incremental costs, net of income taxes, is deducted from retained earnings/(decit). If treasury shares are
subsequently cancelled, the par value of the cancelled shares is credited to the capital redemption reserve. If treasury shares
are subsequently re-issued, any excess of consideration over the weighted average cost of shares in treasury is taken to share
premium.
SIGNIFICANT JUDGEMENTS AND ESTIMATES
The preparation of the Company's nancial statements in conforming with FRS 101 requires management to make judgements,
estimates and assumptions that effect the reported amounts of assets, liabilities, income and expenses, and the accompanying
disclosures. These assumptions, judgements and estimates are based on management’s best knowledge of the relevant facts
and circumstances, having regard to previous experience, but actual results may differ materially from the amounts included
in the nancial statements. Management reviews its estimates and underlying assumptions on an ongoing basis. Revisions to
accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in
the period of revision and future periods if the revision affects both current and future periods.
PARENT COMPANY FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 235
FINANCIAL
STATEMENTSOVERVIEW
PARENT COMPANY FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
The critical judgements that the Company’s management has made in the process of applying the Company’s accounting policies,
that have the most signicant effect on the amounts recognised in the Company’s nancial statements are as follows:
INVESTMENT
At each reporting date, the Company assesses, whether there is an indication that any investment may be impaired. If any
indication exists, or when annual impairment testing for an investment is required, the Company estimates the investment’s
recoverable amount. In assessing an investment’s recoverable amount, the estimated future cash ows are discounted to their
present value using a pre-tax discount rate that reects current market assessments of the time value of money and the risks
specic to the investment.
LOAN TO SUBSIDIARY (EMC)
IFRS 9 requires entities to recognise expected credit losses for all nancial assets held at amortised cost, including most
intercompany loans from the perspective of the lender. The Company concluded that the probability-weighted outcome is that any
impairment on its loan to EMC would be immaterial.
3 PROFIT FOR THE YEAR
As permitted by s408 of the Companies Act 2006, no separate prot and loss account or statement of comprehensive income is
presented in respect of the Parent Company. The prot attributable to the Company is disclosed in the footnote to the Company’s
statement of nancial position.
The Company had an average of 1 employee during the year ended 31 December 2022 (31 December 2021 - an average of
1 employee).
Further information about share-based payment transactions is provided in note 7 to the consolidated nancial statements.
4 INTERCOMPANY AMOUNTS RECEIVABLE
31 December
2022
31 December
2021
Endeavour Mining Corporation 249.5 503.8
Current portion (249.5) (8.9)
Non-current portion — 494.9
The amount receivable in the current year with EMC was unsecured and due on demand. Interest is not payable on the amount
receivable, however, any principal portion outstanding could, at the discretion of the Company and at any point of time, be
charged interest at a rate that is arm’s length. The Company charged interest of $21.5million to EMC during the year ended
31 December 2022 (during the period ended 31 December 2021 - $7.7 million).
5 INVESTMENTS IN SUBSIDIARIES
31 December
2022
31 December
2021
Investment in Endeavour Mining Corporation 4,546.8 4,546.8
The investment in Endeavour Mining Corporation was recognised on 11 June 2021 as part of the share exchange transaction
described in note 7 of the consolidated nancial statements. The investment is measured at cost and was initially recorded at
the value of net assets, which includes the share warrants liabilities, the call-rights, and PSUs, included in EMC on 11 June 2021.
EMC is a private company incorporated and domiciled in the Cayman Islands.
EMC did not declare any dividends to the Company in 2022, but declared dividends to the Company of $50.0 million and
$100.0 million on 13 June 2021 and 30 June 2021 respectively. The dividends were recognised as dividend income in the
statement of comprehensive income. All amounts were received in the FY-21 period.
Details of the Company’s direct and indirect subsidiaries, with Endeavour Mining Corporation being the only direct subsidiary,
at the end of the reporting period are included in note 22 of the consolidated nancial statements.
2 ACCOUNTING POLICIES CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 2022236
PARENT COMPANY FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
6 TRADE AND OTHER PAYABLES
31 December
2022
31 December
2021
Sundry creditors 12.0 17.0
12.0 17.0
Sundry creditors relate to amounts payable under the share buyback programme of $3.2 million (31 December 2021 - $4.1 million),
as well as amounts payable pertaining to accrued expenses at 31 December 2022.
7 OTHER FINANCIAL LIABILITIES
31 December
2022
31 December
2021
Share warrant liabilities — 23.6
DSU liabilities 1.9 —
Call-rights 19.5 19.2
Total 21.4 42.8
Current portion (21.4) (19.2)
Non-current nancial liabilities — 23.6
Details of the share warrant liabilities and the call-rights are in note 17 to the consolidated nancial statements.
8 LONG TERM DEBT
31 December
2022
31 December
2021
Deferred nancing costs (6.9) ( 7. 2)
Senior Notes 495.0 492.7
Total long-term debt 488.1 485.5
Details of the revolving credit facility and the Senior notes are in note 9 to the consolidated nancial statements.
9 SHARE CAPITAL, OPTIONS AND SHARE UNIT PLANS
The movements in share capital, options and share unit plans and relevant details are included in note 7 to the consolidated
nancial statements.
ADDITIONAL
INFORMATION
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 237
FINANCIAL
STATEMENTSOVERVIEW
PARENT COMPANY FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS CONTINUED
(EXPRESSED IN MILLIONS OF UNITED STATES DOLLARS, EXCEPT PER SHARE AMOUNTS)
10 EQUITY RESERVES
The following describes the nature and purpose of each reserve within the equity:
Reserve Description and purpose
Share capital Nominal value of subscribed shares
Share premium
reserve
The share premium reserve contains the premium arising on the issue of equity shares, net of
issue expenses incurred by the Company.
Share based
payment reserve
Share-based payment reserve represents the cumulative share-based payment expense for the
Company’s share option schemes minus the cumulative value of shares issued in respect of the
share option scheme.
Capital redemption
reserve
The capital redemption reserve represents the cumulative amount of shares cancelled, following
the share buyback by the company.
Retained earnings Distributable to shareholders and include all other net gains and losses and transactions with
owners (e.g. dividends) not recognised elsewhere.
Merger reserve The merger reserve contains the difference between the share capital of the Company and the net
assets of EMC as at the date or reorganisation as described in note 7 to the consolidated nancial
statements, and less amounts cancelled and transferred to retained earnings on cancellation of
the deferred shares.
11 SUBSEQUENT EVENTS
Details of subsequent events are given in note 26 to the consolidated nancial statements.
ENDEAVOUR MINING PLC ANNUAL REPORT 2022238
ADDITIONAL INFORMATION
DETAILED RESERVES AND RESOURCES
ON A 100% BASIS ON AN ATTRIBUTABLE BASIS
Resources shown
inclusive of Reserves
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Boungou Mine (90% owned)
Proven Reserves 0.6 2.32 48 0.6 2.32 43
Probable Reserves 8.3 2.96 785 7.4 2.96 707
P&P Reserves 8.9 2.91 833 8.0 2.91 750
Measured Resource (incl. reserves) 0.6 2.82 58 0.6 2.82 52
Indicated Resources (incl. reserves) 7.9 3.65 929 7.1 3.65 836
M&I Resources (incl. reserves) 8.6 3.59 987 7.7 3.59 888
Inferred Resources — 2.60 2 0.0 2.60 2
Houndé Mine (90% owned except 100% owned Golden Hill)
Proven Reserves 2.9 1.13 106 2.6 1.13 96
Probable Reserves 51.1 1.60 2,626 46.0 1.60 2,364
P&P Reserves 54.0 1.57 2,733 48.6 1.57 2,459
Measured Resource (incl. reserves) 3.0 1.13 110 2.7 1.13 99
Indicated Resources (incl. reserves) 90.4 1.57 4,567 81.3 1.57 4,094
M&I Resources (incl. reserves) 93.4 1.56 4,678 84.0 1.55 4,193
Inferred Resources 20.6 1.63 1,080 19.6 1.64 1,037
Ity Mine (85% owned except 100% owned Le Plaque)
Proven Reserves 11.4 0.82 300 9.7 0.82 255
Probable Reserves 46.5 1.82 2,721 39.8 1.82 2,340
P&P Reserves 57.9 1.62 3,021 49.5 1.62 2,595
Measured Resource (incl. reserves) 11.7 0.79 298 9.9 0.79 254
Indicated Resources (incl. reserves) 85.3 1.70 4,673 72.9 1.70 4,005
M&I Resources (incl. reserves) 96.9 1.59 4,971 82.8 1.59 4,258
Inferred Resources 17.1 1.59 873 14.5 1.59 743
Mana Mine (90% owned)
Proven Reserves — 1.85 1 0.0 1.85 1
Probable Reserves 8.3 3.19 852 7.5 3.19 766
P&P Reserves 8.3 3.19 852 7.5 3.19 767
Measured Resource (incl. reserves) 7.8 1.83 460 7.0 1.83 414
Indicated Resources (incl. reserves) 26.1 2.04 1,718 23.5 2.04 1,546
M&I Resources (incl. reserves) 34.0 1.99 2,177 30.6 1.99 1,960
Inferred Resources 2.9 3.48 326 2.6 3.48 293
Sabodala-Massawa Complex (90% owned)
Proven Reserves 19.2 1.14 705 17.3 1.14 635
Probable Reserves 43.6 2.41 3,381 39.3 2.41 3,043
P&P Reserves 62.8 2.02 4,086 56.6 2.02 3,677
Measured Resource (incl. reserves) 22.3 1.18 843 20.0 1.18 759
Indicated Resources (incl. reserves) 83.8 2.04 5,490 75.4 2.04 4,941
M&I Resources (incl. reserves) 106.1 1.86 6,333 95.5 1.86 5,700
Inferred Resources 19.9 2.16 1,380 17.9 2.16 1,242
Wahgnion Mine (90% owned)
Proven Reserves 1.8 0.67 39 1.6 0.67 35
Probable Reserves 12.2 1.72 676 11.0 1.72 608
P&P Reserves 14.0 1.59 715 12.6 1.59 644
Measured Resource (incl. reserves) 7.9 1.45 367 7.1 1.45 330
Indicated Resources (incl. reserves) 10.5 1.89 637 9.4 1.89 573
M&I Resources (incl. reserves) 18.4 1.70 1,004 16.5 1.70 904
Inferred Resources 0.5 1.23 20 0.5 1.23 18
FINANCIAL
STATEMENTS
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 239
ADDITIONAL
INFORMATIONOVERVIEW
ADDITIONAL INFORMATION
RESERVES AND RESOURCES CONTINUED
ON A 100% BASIS ON AN ATTRIBUTABLE BASIS
Resources shown
inclusive of Reserves
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Bantou (90% owned except 81% owned Karankasso)
Proven Reserves — — — — — —
Probable Reserves — — — — — —
P&P Reserves — — — — — —
Measured Resource (incl. reserves) — — — — — —
Indicated Resources (incl. reserves) 18.1 1.22 707 16.3 1.22 637
M&I Resources (incl. reserves) 18.1 1.22 707 16.3 1.22 637
Inferred Resources 16.2 2.24 1,167 13.4 2.28 986
Lagué Project (80% owned)
Proven Reserves — — — — — —
Probable Reserves 49.8 1.69 2,714 39.9 1.69 2,171
P&P Reserves 49.8 1.69 2,714 39.9 1.69 2,171
Measured Resource (incl. reserves) — — — — — —
Indicated Resources (incl. reserves) 46.2 2.04 3,026 37.0 2.04 2,421
M&I Resources (incl. reserves) 46.2 2.04 3,026 37.0 2.04 2,421
Inferred Resources 1.6 1.98 102 1.3 1.98 82
Kalana Project (80% owned)
Proven Reserves — — — — — —
Probable Reserves 35.6 1.60 1,829 28.5 1.60 1,463
P&P Reserves 35.6 1.60 1,829 28.5 1.60 1,463
Measured Resource (incl. reserves) — — — — — —
Indicated Resources (incl. reserves) 46.0 1.57 2,318 36.8 1.57 1,854
M&I Resources (incl. reserves) 46.0 1.57 2,318 36.8 1.57 1,854
Inferred Resources 4.6 1.67 245 3.6 1.67 196
Nabanga (90% owned)
Proven Reserves — — — — — —
Probable Reserves — — — — — —
P&P Reserves — — — — — —
Measured Resource (incl. reserves) — — — — — —
Indicated Resources (incl. reserves) — — — — — —
M&I Resources (incl. reserves) — — — — — —
Inferred Resources 3.4 7.69 841 3.1 7.69 757
Assafou (100% owned)
Proven Reserves — — —
Probable Reserves — — —
P&P Reserves — — —
Measured Resource (incl. reserves) — — —
Indicated Resources (incl. reserves) 14.9 2.33 1,114 14.9 2.33 1,114
M&I Resources (incl. reserves) 14.9 2.33 1,114 14.9 2.33 1,114
Inferred Resources 32.9 1.80 1,903 32.9 1.80 1,903
Total - Endeavour Mining
Proven Reserves 36.0 1.04 1,199 31.8 1.04 1,064
Probable Reserves 255.4 1.90 15,584 219.3 1.91 13,463
P&P Reserves 291.4 1.79 16,783 251.1 1.80 14,527
Measured Resource (incl. reserves) 53.3 1.25 2,136 47.4 1.25 1,908
Indicated Resources (incl. reserves) 429.2 1.82 25,179 373.1 1.83 21,910
M&I Resources (incl. reserves) 482.5 1.76 27,316 420.5 1.76 23,818
Inferred Resources 119.7 2.06 7,939 106.2 2.07 7,069
The mineral reserves and resources were estimated as at December 31, 2021 in accordance with the provisions adopted by
the Canadian Institute of Mining Metallurgy and Petroleum (CIM) and incorporated into the NI 43-101. The Qualied Persons
responsible for the mineral reserve and resource estimates are detailed in the following tables.
ENDEAVOUR MINING PLC ANNUAL REPORT 2022240
MINERAL RESOURCES
QUALIFIED PERSON POSITION PROPERTY/DEPOSIT
Kevin Harris, CPG VP Resources, Endeavour Mining plc Ity (Collin Sud, Le Plaque, Mont Ity/Walter, Bakatouo,
ZiaNE, Verse Ouest-Teckraie, Aires, West Flotouo,
Yopleu; Bakatouo NW, Verse East); Houndé (Dohoun,
Kari Pump), Sabodala/Massawa, Wahgnion; Bantou,
Boungou, Assafou, Mana (Fona, Yaho, Filon 67, Fobiri,
Yama), Nabanga
Helen Oliver, FGS,
CGeol
Group Resource Geologist, Endeavour
Mining plc
Houndé (Kari West, Kari Center-South, Vindaloo South,
Dafra, Vindaloo SE); Kalana (Kalanko); Mana (Maoula);
Massawa (Bambaraya)
Joseph Hirst, FGS,
CGeol.
Group Resource Geologist, Endeavour
Mining plc
Mana (Wona-Kona UG, Siou UG; Massawa (Soa North
Extension)
Patti Nakai-Lajoie,
P.Geo.
VP Mine Geology and Grade Control,
Endeavour Mining plc
Golden Hill
Dr. Lucy Roberts,
AusIMM (CP)
Principal Consultant, SRK Consulting
(UK) Ltd
Lagué
Paul Blackney,
MAusIMM, MAIG
Principal Consultant, Optiro Pty
Limited
Kalana Project
MINERAL RESERVES
QUALIFIED PERSON POSITION PROPERTY/DEPOSIT
Salih Ramazan,
FAusIMM
Vice President, Mine Planning,
Endeavour Mining plc
Ity, Houndé, Karma, Sabodala-Massawa (OP), Boungou
and Wahgnion
Bryan Pullman, P.Eng Principal Mining Engineer – Mining
Advisory, SLR (UK)
Sabodala UG & Mana UG
Francois Taljaard,
Pr.Eng
Principal Consultant, Mining
Engineering, SRK Consulting (UK) Ltd
Lagué
Allan Earl, FAusIMM Executive Consultant, Snowden Mining
Industry Consultants (Pty) Ltd
Kalana Project
FINANCIAL
STATEMENTS
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 241
ADDITIONAL
INFORMATIONOVERVIEW
1. The mineral resources and reserves have been estimated and reported in accordance with Canadian National Instrument 43-
101, 'Standards of Disclosure for Mineral Projects' and the Denition Standards adopted by CIM Council in May 10, 2014.
2. Mineral resources that are not mineral reserves have not demonstrated economic viability at the Reserve gold price stated.
3. All mineral resources are reported inclusive of mineral reserves.
4. Tonnages are rounded to the nearest 100,000 tonnes; gold grades are rounded to one decimal place; ounces are rounded to
the nearest 1,000oz. Rounding may result in apparent differences between tonnes, grade and contained metal.
5. Tonnes and grade measurements are in metric units; contained gold is in troy ounces.
6. Processing recoveries vary at each pit by many factors including material types, mineralogy and chemistry of the ore. The
overall average recoveries are around 89% at Sabodala, 90% at Houndé, 85% at Ity, 94% at Boungou, 88% at Mana and
92% at Wahgnion. The average processing recoveries at the development project’s Lagué and Kalana are 95% and 90%
respectively.
7. A mining permit application was submitted for the Golden Hill property, but the Company subsequently requested a
withdrawal of that application in order to submit an exploration permit application. The prior exploration permit has expired.
The Company has received conrmation from the Ministry of Mines on March 4, 2022 stating that they have received the
Company’s request.
8. The reporting of mineral reserves and resources are based on a gold price as detailed below:
Au price $/oz BOUNGOU HOUNDÉ ITY KARMA MANA
SABODALA-
MASSAWA WAHGNION LAFIGUÉ KALANA
2022 Reserves
1,500 1,300 1,300 n.a. 1,300 1,300 1,500 1,300 1,500
2021 Reserves
1,300 1,300 1,300 n.a. UG & OP
1,300
1,300 1,300 1,300 1,500
2022 Resources
1,500 1,500
1,8001
1,500 1,500 UG at 1,500
OP at 1,500
1,500 1,500 1,500 1,500
2021 Resources
1,500 1500
1,8001
1,500 1,500 UG at 1,500
OP at 1,500
1,500 1,500 1,500 1,500
1. Golden Hill resources, within the Houndé mine resources are at a Gold Price of $1,800 per ounce. Cut-off grades for the
resources are as :
a. Houndé: at 0.50g/t Au
b. Ity at 0.50g/t Au
c. Sabodala-Massawa: open pit from 0.31g/t to 1.00g/t Au. Underground from 2.00g/t to 2.84g/t Au
d. Boungou: oxide at 0.91g/t Au, transition at 0.91g/t Au, sulphide at 1.05 g/t Au
e. Mana: open pit for oxide at 0.41g/t Au to 0.56g/t Au, for transitional 0.44g/t Au to 0.69 g/t Au, and sulphide at
0.72g/t Au to 2.54g/t Au
f. Wahgnion: from 0.35g/t Au to 0.60g/t Au
g. Lagué: oxide at 0.40g/t Au, transitional and fresh at 0.50g/t Au
h. Kalana: all 0.50g/t Au
i. Bantou: from 0.43g/t Au to 0.86g/t Au
j. Nabanga: at 3.00g/t Au
k. Golden Hill: from 0.49g/t to 0.55g/t Au
l. Assafou: at 0.50 g/t Au
Cut-off grades for the reserves are as follows:
a. Houndé: oxide: 0.50g/t Au to 0.70g/t Au; transitional: 0.50g/t Au to 0.70g/t Au; fresh: 0.60g/t Au to 0.70g/
except Mambo fresh 1.20g/t Au
b. Ity: oxide: 0.50g/t Au to 0.60g/t Au; transitional: 0.40g/t Au to 0.90g/t Au; fresh: 0.40g/t Au to 0.80g/t Au
c. Sabodala Open Pit WOLP: oxide: 0.60/t Au to 0.70g/t Au; transitional: 0.60g/t Au to 0.80g/t Au; fresh: 0.60g/t
Au to 0.70g/t Au.
d. Sabodala Open Pit SLP: Oxide: 0.90g/t Au; Transitional 0.90g/t for CZ; RedTran: 1.20g/t Au for CZ 1.40g/t Au for
NZ and 1.0g/t Au for Delya; fresh cut-off is 1.30g/t Au
e. Sabodala UG: 2.82g/t Au
f. Boungou: oxide: 1.10g/t Au; transitional: 1.20g/t Au; fresh: 1.20g/t Au
g. Mana OP: Not Applicable;
h. Mana UG: Sio cut-off grade: 2.35g/t Au; Wona cut-off grade: 2.23g/t Au
i. Wahgnion: oxide: 0.40g/t Au to 0.50g/t Au; transitional: 0.50g/t Au to 0.60g/t Au; fresh: 0.50g/t Au to 0.60g/t
Au
j. Lagué: 0.40g/t Au
k.
Kalana and Kalanako pits: oxide: 0.40g/t Au; transitional: 0.50g/t Au; fresh: 0.60g/t Au, 0.5g/tAu for TSF.
ADDITIONAL INFORMATION
RESERVES AND RESOURCES CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 2022242
As at 31 December 2021 As at 31 December 2020
Resources shown
inclusive of Reserves, on a 100% basis
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Boungou Mine (90% owned)
Proven Reserves 0.6 2.32 48 0.6 2.0 39
Probable Reserves 8.3 2.96 785 9.3 3.61 1,075
P&P Reserves 8.9 2.91 833 9.9 3.51 1,114
Measured Resource (incl. reserves) 0.6 2.82 58 0.6 2.04 40
Indicated Resources (incl. reserves) 7.9 3.65 929 10.5 3.95 1,336
M&I Resources (incl. reserves) 8.6 3.59 987 11.1 3.85 1,376
Inferred Resources — 2.60 2 0.1 4.89 14
Houndé Mine (90% owned except 100% owned Golden Hill)
Proven Reserves 2.9 1.13 106 2.3 1.3 93
Probable Reserves 51.1 1.60 2,626 44.6 1.69 2,420
P&P Reserves 54.0 1.57 2,733 47.0 1.66 2,513
Measured Resource (incl. reserves) 3.0 1.13 110 2.4 1.24 97
Indicated Resources (incl. reserves) 90.4 1.57 4,567 101.5 1.55 5,067
M&I Resources (incl. reserves) 93.4 1.56 4,678 103.9 1.55 5,165
Inferred Resources 20.6 1.63 1,080 20.5 1.60 1,052
Ity Mine (85% owned except 100% owned Le Plaque)
Proven Reserves 11.4 0.82 300 11.9 0.9 338
Probable Reserves 46.5 1.82 2,721 51.2 1.61 2,641
P&P Reserves 57.9 1.62 3,021 63.0 1.47 2,979
Measured Resource (incl. reserves) 11.7 0.79 298 12.1 0.88 344
Indicated Resources (incl. reserves) 85.3 1.70 4,673 77.3 1.66 4,131
M&I Resources (incl. reserves) 96.9 1.59 4,971 89.5 1.56 4,475
Inferred Resources 17.1 1.59 873 27.1 1.47 1,279
Mana Mine (90% owned)
Proven Reserves — 1.85 1 1.3 3.5 150
Probable Reserves 8.3 3.19 852 10.1 3.09 1,007
P&P Reserves 8.3 3.19 852 11.5 3.14 1,157
Measured Resource (incl. reserves) 7.8 1.83 460 7.5 1.48 359
Indicated Resources (incl. reserves) 26.1 2.04 1,718 30.1 1.99 1,928
M&I Resources (incl. reserves) 34.0 1.99 2,177 37.6 1.89 2,287
Inferred Resources 2.9 3.48 326 7.8 2.27 570
Sabodala-Massawa Complex (90% owned)
Proven Reserves 19.2 1.14 705 19.9 1.4 866
Probable Reserves 43.6 2.41 3,381 46.5 2.39 3,574
P&P Reserves 62.8 2.02 4,086 66.4 2.08 4,440
Measured Resource (incl. reserves) 22.3 1.18 843 21.2 1.32 900
Indicated Resources (incl. reserves) 83.8 2.04 5,490 88.9 2.09 5,977
M&I Resources (incl. reserves) 106.1 1.86 6,333 110.1 1.94 6,877
Inferred Resources 19.9 2.16 1,380 24.3 2.16 1,682
Wahgnion Mine (90% owned)
Proven Reserves 1.8 0.67 39 2.1 0.8 52
Probable Reserves 12.2 1.72 676 19.5 1.60 1,006
P&P Reserves 14.0 1.59 715 21.6 1.52 1,059
Measured Resource (incl. reserves) 7.9 1.45 367 2.3 0.82 60
Indicated Resources (incl. reserves) 10.5 1.89 637 38.4 1.52 1,879
M&I Resources (incl. reserves) 18.4 1.70 1,004 40.7 1.48 1,940
Inferred Resources 0.5 1.23 20 5.0 1.53 247
RESERVES AND RESOURCES: YEAR-ON-YEAR COMPARISON
FINANCIAL
STATEMENTS
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 243
ADDITIONAL
INFORMATIONOVERVIEW
ADDITIONAL INFORMATION
RESERVES AND RESOURCES: YEAR-ON-YEAR COMPARISON
CONTINUED
As at 31 December 2021 As at 31 December 2020
Resources shown
inclusive of Reserves, on a 100% basis
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Bantou (90% owned except 81% owned Karankasso)
Proven Reserves — — — — — —
Probable Reserves — — — — — —
P&P Reserves — — — — — —
Measured Resource (incl. reserves) — — — — — —
Indicated Resources (incl. reserves) — — — — — —
M&I Resources (incl. reserves) — — — — — —
Inferred Resources 51.1 1.37 2,245 51.1 1.37 2,245
Lagué Project (80% owned)
Proven Reserves — — — — — —
Probable Reserves 49.8 1.69 2,714 48.7 1.70 2,662
P&P Reserves 49.8 1.69 2,714 48.7 1.70 2,662
Measured Resource (incl. reserves) — — — — — —
Indicated Resources (incl. reserves) 46.2 2.04 3,026 44.8 2.02 2,916
M&I Resources (incl. reserves) 46.2 2.04 3,026 44.8 2.02 2,916
Inferred Resources 1.6 1.98 102 3.6 2.35 269
Kalana Project (80% owned)
Proven Reserves — — — — — —
Probable Reserves 35.6 1.60 1,829 35.6 1.60 1,829
P&P Reserves 35.6 1.60 1,829 35.6 1.60 1,829
Measured Resource (incl. reserves) — — — — — —
Indicated Resources (incl. reserves) 46.0 1.57 2,318 46.0 1.57 2,318
M&I Resources (incl. reserves) 46.0 1.57 2,318 46.0 1.57 2,318
Inferred Resources 4.6 1.67 245 4.6 1.67 245
Nabanga (90% owned)
Proven Reserves — — — — — —
Probable Reserves — — — — — —
P&P Reserves — — — — — —
Measured Resource (incl. reserves) — — — — — —
Indicated Resources (incl. reserves) — — — — — —
M&I Resources (incl. reserves) — — — — — —
Inferred Resources 3.4 7.69 841 3.4 7.69 841
Assafou (100% owned)
Proven Reserves — — —
Probable Reserves — — —
P&P Reserves — — —
Measured Resource (incl. reserves) — — —
Indicated Resources (incl. reserves) 5.1 1.10 179
M&I Resources (incl. reserves) 5.1 1.10 179
Inferred Resources 3.4 1.05 116
Group Total (excluding the Afema property)
Proven Reserves 36.0 1.04 1,199 38.1 1.26 1,539
Probable Reserves 255.4 1.90 15,584 265.6 1.90 16,215
P&P Reserves 291.4 1.79 16,783 303.6 1.82 17,753
Measured Resource (incl. reserves) 53.3 1.25 2,136 46.2 1.21 1,802
Indicated Resources (incl. reserves) 429.2 1.82 25,179 437.5 1.82 25,551
M&I Resources (incl. reserves) 482.5 1.76 27,316 483.7 1.76 27,353
Inferred Resources 119.7 2.06 7,939 147.4 1.78 8,444
ENDEAVOUR MINING PLC ANNUAL REPORT 2022244
As at 31 December 2021 As at 31 December 2020
Resources shown
inclusive of Reserves, on a 100% basis
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Tonnage
(Mt)
Grade
(Au g/t)
Content
(Au koz)
Afema (51% owned)
Proven Reserves — — — — — —
Probable Reserves — — — — — —
P&P Reserves — — — — — —
Measured Resource (incl. reserves) — — — — — —
Indicated Resources (incl. reserves) — — — 5.1 1.10 179
M&I Resources (incl. reserves) — — — 5.1 1.10 179
Inferred Resources — — — 3.4 1.05 116
Group Total
Proven Reserves 36.0 1.04 1,199 38.1 1.26 1,539
Probable Reserves 255.4 1.90 15,584 265.6 1.90 16,215
P&P Reserves 291.4 1.79 16,783 303.6 1.82 17,753
Measured Resource (incl. reserves) 53.3 1.25 2,136 46.2 1.21 1,802
Indicated Resources (incl. reserves) 429.2 1.82 25,179 442.6 1.81 25,730
M&I Resources (incl. reserves) 482.5 1.76 27,316 488.8 1.75 27,532
Inferred Resources 119.7 2.06 7,939 150.8 1.77 8,560
Notes for the period ended 31 December 2022 are available in the section above. Notes for the period ended 31 December
2021 are available in the press release dated 18 March 2021 available on the Company’s website and on SEDAR.
FINANCIAL
STATEMENTS
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 245
ADDITIONAL
INFORMATIONOVERVIEW
ADDITIONAL INFORMATION
CAUTIONARY NOTE ON FORWARD-LOOKING STATEMENTS
This document contains "forward-looking statements" within the meaning of applicable securities laws. All statements, other
than statements of historical fact, are “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, the success of exploration activities, the
anticipated timing for the payment of a shareholder dividend and statements with respect to future dividends payable to the
Company’s shareholders, the completion of studies, mine life and any potential extensions, the future price of gold and the share
buyback programme. Generally, these forward-looking statements can be identied by the use of forward-looking terminology
such as "expects", "expected", "budgeted", "forecasts", "anticipates", believes”, “plan”, “target”, “opportunities”, “objective”,
“assume”, “intention”, “goal”, “continue”, “estimate”, “potential”, “strategy”, “future”, “aim”, “may”, “will”, “can”, “could”,
“would” and similar expressions .
Forward-looking statements, while based on management's reasonable estimates, projections and assumptions at the date the
statements are made, 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 or completion of divestitures; risks related to international operations; risks related to general economic
conditions and the impact of credit availability on the timing of cash ows and the values of assets and liabilities based on
projected future cash ows; Endeavour’s nancial results, cash ows and future prospects being consistent with Endeavour
expectations in amounts sufcient to permit sustained dividend payments; the completion of studies on the timelines currently
expected, and the results of those studies being consistent with Endeavour’s current expectations; actual results of current
exploration activities; production and cost of sales forecasts for Endeavour meeting expectations; unanticipated reclamation
expenses; changes in project parameters as plans continue to be rened; uctuations in prices of metals including gold;
uctuations 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; extreme weather events,
natural disasters, supply disruptions, power disruptions, accidents, pit wall slides, 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 legislation, regulation of mining operations, tax rules and regulations and
changes in the administration of laws, policies and practices in the jurisdictions in which Endeavour operates; disputes, litigation,
regulatory proceedings and audits; adverse political and economic developments in countries in which Endeavour operates,
including but not limited to acts of war, terrorism, sabotage, civil disturbances, non-renewal of key licenses by government
authorities, or the expropriation or nationalization of any of Endeavour’s property; risks associated with illegal and artisanal
mining; environmental hazards; and risks associated with new diseases, epidemics and pandemics, including the effects and
potential effects of the global COVID-19 pandemic.
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 led under its prole at www.sedar.com for
further information respecting the risks affecting Endeavour and its business.
The declaration and payment of future dividends and the amount of any such dividends will be subject to the determination of the
Board of Directors, in its sole and absolute discretion, taking into account, among other things, economic conditions, business
performance, nancial condition, growth plans, expected capital requirements, compliance with the Company's constating
documents, all applicable laws, including the rules and policies of any applicable stock exchange, as well as any contractual
restrictions on such dividends, including any agreements entered into with lenders to the Company, and any other factors that
the Board of Directors deems appropriate at the relevant time. There can be no assurance that any dividends will be paid at the
intended rate or at all in the future.
ENDEAVOUR MINING PLC ANNUAL REPORT 2022246
GLOSSARY
ABC Anti-Bribery and Corruption
AGM Annual general meeting
APM Alternative performance measure
AISC All-in sustaining cost
au Chemical symbol for gold
BEV Battery electric vehicles
CGU Cash-generating unit
DFS Denitive feasibility study
DSU Deferred share unit
DTR Disclosure guidance and transparency
rules
EBIT Earnings before interest and tax
EBITDA Earnings before interest, tax,
depreciation and amortisation
EBT Employee Benets Trust
ESG Environmental, Social and Governance
FCA Financial conduct authority
FTSE Financial times stock exchange
FVLCD Fair value less cost of disposal
GHG Greenhouse gas emissions
GRI Global reporting initiative
HFI Historical nancial information
HFO Heavy fuel oil
HSE Health, safety and environment
IFC International nance corporation
ICMC The international cyanide management
code
ISO International organisation for
standardisation
IUCN International union for conservation of
nature
KPI Key performance indicator
LFI Light fuel oil
LoM Life of mine
LPRM Local procurement reporting
mechanism
LTI Lost time injury
LTIFR Lost time injury frequency rate
LTIP Long-term incentive plan
M&I Resources Measured and indicated resources
N/A Not applicable
NCIB Normal course issuer bid
NEO Named executive ofce
OCI Other comprehensive income
OHS Occupational health and safety
P&P Reserves Proven and probable reserves
PSU Performance share unit
RGPM Responsible gold mining principles
ROCE Return on capital employed
SARL, S.à.r.l. Société à responsabilité limitée
("private company with limited
responsibility")
SASB Sustainability accounting standards
board
SFTP Société de Forage et des Travaux
Publics - Mining Contractor
SME Small and medium-sized enterprise
SPI Schedule performance index
STIP Short term incentive plan
TCFD The Task Force on Climate-Related
Financial Disclosures
TNFD The Task Force on Nature-Related
Financial Disclosures
TRIFR Total recordable injury frequency rate
TSF Tailings storage facility
TSR Total shareholder return
UK Code The UK Corporate Governance Code
2018
g/t grams per tonne
km Kilometres
Koz Thousand ounces
Kt Thousand tonnes
Ktpa Thousand tonnes per annum
m Metres
Moz Million ounces
Mt Million tonnes
Mtpa Million tonnes per annum
Oz Ounce (31.1035g)
t Tonne (1,000 kg)
ADDITIONAL INFORMATION
ABBREVIATIONS AND UNITS OF MEASUREMENT
FINANCIAL
STATEMENTS
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 247
ADDITIONAL
INFORMATIONOVERVIEW
ADDITIONAL INFORMATION
DEFINITIONS
Adjusted EBITDA EBITDA adjusted for non-recurring items which are not reective of the Company’s
on-going operations.
Adjusted Net Earnings per share
attributable to shareholders
Total net and comprehensive earnings adjusted for non-recurring items which are not
reective of the Company’s ongoing operations divided by weighted average shares
outstanding during the period.
Adjusted Net Earnings
attributable to Shareholders
Total net and comprehensive earnings adjusted for non-recurring items which are not
reective of the Company’s on-going operations.
All-in sustaining cost Operating costs and capital expenditures required to sustain current operations on
an ongoing basis.
Alternative Performance
Measures
This Management Report as well as the Company’s other disclosures contain
multiple non-GAAP measures, which the Company believes that, in addition to
conventional measures prepared in accordance with GAAP, certain investors use to
assess the performance of the Company. These do not have a standard meaning
and are intended to provide additional information which are not necessarily
comparable with similar measures used by other companies and should not be
considered in isolation or as a substitute for measures of performance prepared in
accordance with GAAP.
Assay waste Waste from a chemical test performed on a sample of any material to determine the
amount of valuable metals contained in the sample.
Biofuel Fuel delivered immediately from a living matter.
BIOX Process for the treatment of refractory gold concentrates.
Browneld Exploration Exploration activities in the areas around an existing mine, where the Group
has substantial knowledge about the mineral deposit and has constructed the
infrastructure and/or processing facilities needed to exploit the additional resources
that it expects to nd.
Canadian National Policy 58-201 Canadian non-prescriptive guidelines on corporate governance practices.
Capital Employed Total assets less current liabilities.
Cash costs Operating expenses from mine operations adjusted for non-cash items.
Carbon in Leach A technological operation in which slurry containing gold is leached by cyanide in the
presence of activated carbon.
Company Endeavour Mining plc
Convertible Notes
EMC issued $330.0 million 3.00 % convertible senior notes due 2023 on 5 February
2018. Holders had the option to convert the convertible notes at any time until the close
of business on the scheduled trading day immediately before the maturity date. The initial
conversion rate was 41.84 of EMC’s common shares per $1,000 of Notes, or an initial
conversion price of approximately $23.90 (CAD$29.47) per share.
Denitive feasibility study A DFS, or bankable quality study, based on the best alternative identied in the
preliminary feasibility study, and suitable as a basis for detailed design and
construction. The denitive feasibility study is based on indicated and measured
mineral resource.
ECODEV An economic development fund established by the Group to support local economic
growth by promoting and investing in the creation of local long-term, sustainable,
small and medium enterprises.
Endeavour Foundation The Group's primary vehicle to implement sustainability projects at the regional and
national levels in the countries it operates.
Exploration Activity ultimately aimed at discovery of ore reserves for exploitation. Consists
of sample collection and analysis, including reconnaissance, geophysical and
geochemical surveys, trenching, drilling, etc.
Fresh Ore Simply unaltered rock beneath the transition zone.
FTSE 250 A capitalisation-weighted index consisting of the 101st to the 350th largest
companies listed on the London Stock Exchange.
ENDEAVOUR MINING PLC ANNUAL REPORT 2022248
FTSE All FTSE All-Share Index - representing 98-99% of UK market capitalisation, the FTSE
All-Share index is the aggregation of the FTSE 100, FTSE 250 and FTSE Small Cap
Indexes.
FTSE UK The FTSE UK Index Series is designed to represent the performance of UK
companies, providing market participants with a comprehensive and complementary
set of indexes that measure the performance of all capital and industry segments of
the UK equity market.
Genset Generator set referring to a generator and engine combination.
Grade The relative amount of metal in ore, expressed as grams per tonne for precious
metals and as a percentage for most other metals.
Group/Endeavour Endeavour Mining plc together with its subsidiaries.
Greeneld Exploration Exploration and evaluation expenditure on greeneld sites, being those where
the Group does not have any mineral deposits which are already being mined or
developed.
Global reporting initiative The independent, international organisation that helps businesses and other
organisations take responsibility for their impacts, by providing them with the global
common language to communicate those impacts.
Group Stakeholder Engagement
Procedure
Procedure that outlines the objectives, principles and requirements that guide
the Group's to establish an engagement with Group's host communities, host
governments, NGOs and other local and national stakeholders.
Growth Capital Growth Capital applies to capital expenditure on new projects that result in the
construction of a new mine or a major project to expand or signicantly change the
operations at an existing mine.
Heap Leach A technological operation in which crushed material is laid on a sloping, impervious
pad where it is leached by a cyanide solution to dissolve gold and/or silver.
The international cyanide
management code
A voluntary, performance driven, certication programme of best practices for
gold and silver mining companies and the companies producing and transporting
cyanide used in gold and silver mining. This framework provides a mechanism of
assurance for enhancing the protection of human health and reducing the potential
for environmental impacts.
ISO 45001 An ISO standard for management systems of occupational health and safety. The
goal of ISO 45001 is the reduction of occupational injuries and diseases, including
promoting and protecting physical and mental health.
International union for
conservation of nature
IUCN is an international organisation working in the eld of nature conservation and
sustainable use of natural resources.
Local procurement reporting
mechanism
A framework created by Mining Shared Value to support transparency within the
supply chain and standardise.
Lost Time Injury A LTI is an injury sustained on the job by an employee that results in the loss of
productive work time.
Lost time injury frequency rate The amount or number of LTIs which occurred in a given period relative to the total
number of hours. Calculated as the Number of LTIs in the Period x 1,000,000 / Total
people hours worked for the period.
Malaria incidence rate Malaria incidence rate is calculated as total number of malaria cases x 1,000,000 /
total people hours worked for the period.
Measured and Indicated
Resources
That part of a resource for which tonnage, grade and content can be estimated
with a reasonable level of condence. It is based on exploration, sampling and
testing information gathered through appropriate techniques from locations such
as outcrops, trenches, pits, workings and drill holes. The locations are too widely or
inappropriately spaced to conrm geological and or grade continuity but are spaced
closely enough for continuity to be assumed.
FINANCIAL
STATEMENTS
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 249
ADDITIONAL
INFORMATIONOVERVIEW
ADDITIONAL INFORMATION
Inferred resources That part of a resource for which tonnage, grade and content can be estimated with
a low level of condence. It is inferred from geological evidence and assumed but
not veried geological and/or grade continuity. It is based on information gathered
through appropriate techniques from locations such as outcrops, trenches, pits,
workings and drill holes, which may be limited or of uncertain quality and reliability.
Normal course issuer bid A term for a public company's repurchase of its own stock in order to cancel it.
Named executive ofce NEO, a disclosure requirement of applicable Canadian securities laws which requires
annual remuneration disclosure for the ve highest paid individuals in the Company,
being the CEO, the CFO and the next three highest-paid individuals.
Net Cash Net cash is the cash balance after deducting the principal amount outstanding of
long-term liabilities.
Net Debt Net debt is the balance after deducting the principal amount outstanding of long-
term liabilities from the cash balance.
Non-Sustaining Capital Costs that are primarily incurred at new operations and costs related to major
projects at existing operations where these projects will materially benet the
operation.
Open Pit A mine that is entirely on the surface.
Ore The part of mineralisation that can be mined and processed protably.
Ore stacked The ore stacked for heap leach operations.
Ore Milled Ore that has been fed into a processing plant for the recovery of gold or other metal.
Plant throughput Throughput is the quantity or amount of raw material processed within a given time
through the processing plant.
Pre-leach The pre-processing of ore before leaching.
Production The amount of gold poured.
Proven and probable reserves The economically mineable part of a measured resource, which represents the
highest condence category of reserve estimate.
OTCQX International OTCQX means the over-the-counter stock market operated by OTC Markets Group
Inc.
RCF Revolving credit facility agreement entered into on 30 September 2021 by the
Company, in its capacity as Parent Company and borrower, with, among others, ING
Bank N.V. as facility agent, Citibank N.A., London Branch, BNP Paribas, HSBC Bank
Plc, ING Bank N.V., Macquarie Bank Limited and Société Générale, London Branch,
as senior mandated lead arrangers, and Barclays Bank plc and Bank of Montreal,
London Branch, as mandated lead arrangers.
The revolving credit facility is for a term of four years, for an amount of $500.0
million, which was increased to $575.0 million in December 2022. The revolving
credit facility is a senior unsecured obligation of the Company, is guaranteed by
certain holding company subsidiaries and pays interest quarterly in arrears at a rate
equal to the applicable reference rate plus a margin ranging between 2.40% and
3.40% depending on leverage.
Reclamation The restoration of a site after mining or exploration activity has been completed.
Reconnaissance drilling Drilling in order to collect a rock sample, or to carry out a physical measurement or a
geological observation.
Recyanidation Process designed to reduce leaching and detox reagent consumption, improving
the quality of the tailings discharge, and increasing gold production through higher
recovery rates.
Reserves The economically mineable part of a measured and/or indicated mineral resource.
DEFINITIONS CONTINUED
ENDEAVOUR MINING PLC ANNUAL REPORT 2022250
Resources A concentration or occurrence of material of intrinsic economic interest in or on
the earth’s crust in such form, quality, and quantity that there are reasonable
prospects for eventual economic extraction. The location, quantity, grade, geological
characteristics and continuity of resources are known, estimated, or interpreted from
specic geological evidence and knowledge. Resources are sub-divided in order of
increasing geological condence, into inferred, indicated, and measured categories.
Responsible gold mining
principles
A new framework by World Gold Council that set out clear expectations for
consumers, investors and the downstream gold supply chain as to what constitutes
responsible gold mining.
Return on capital employed ROCE is expressed as a percentage and is calculated as Adjusted EBIT divided
by the average of the opening and closing capital employed for the 12 months
preceding the period end.
Sag Mill A semi-autogenous grinding mill, generally used as a primary or rst stage grinding
solution.
Satellite pit Remotely located pit.
Senior Notes On 7 October 2021, the Company issued $500.0 million senior notes due 2026
under Rule 144A/Regulation S, at a rate equal to 5% per annum. The senior notes
are senior unsecured obligations of the Company, are guaranteed by certain holding
company subsidiaries, pay interest semi-annually in arrears, and will mature on
14 October 2026. The terms include customary provisions relating to call rights
and redemption, equity clawback, treatment upon change of control, and other
restrictions as more precisely detailed in the description of senior notes. The senior
notes are listed on the Global Exchange Market of the Irish Stock Exchange.
Sterilisation Drilling Sterilisation drilling tests areas of a mine site to be sure there are no valuable
minerals there, so that buildings, roads, power lines, pipelines, waste piles,
tailings disposal areas, etc. can be built on the areas that have been sterilised or
condemned.
Sustainability accounting
standards board
SASB’s Standards guide the disclosure of nancially material sustainability
information by companies to their investors.
Sustaining Capital Capital expenditure that is incurred in relation to an ongoing operation.
Tailings Part of the original feed of a mineral processing plant that is considered devoid of
value after processing.
The task force on climate-related
nancial disclosures
Guidance on the reporting of climate-related nancial information.
The task force on nature-related
nancial disclosures
A new global initiative which aims to give nancial institutions and companies a
complete picture of their environmental risks.
Total recordable injury frequency
rate
Calculated as the number of (LTI+Fatalities+Restricted Work Injury+Medical Treated
Injury+First Aid Injury) in the period x 1,000,000 / Total people hours worked for the
period.
Tailings storage facility A purposely designed, engineered and constructed structure to permanently store
tailings.
Total shareholder return A relative nancial measurement of stock price performance over a period in
comparison with the relative performance of a control or benchmark group of
comparable peer companies.
Waste Barren rock that must be mined and removed to access ore in a mine.
Waste stripping The mining of waste in an open pit.
FINANCIAL
STATEMENTS
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 251
ADDITIONAL
INFORMATIONOVERVIEW
ADDITIONAL INFORMATION
DEFINITIONS AND RELEVANCE OF KPIs
Denition Relevance
Resources
Resources are an identied mineral occurrence
with reasonable prospects for eventual economic
extraction. They are classied as Measured,
Indicated or Inferred depending on their condence
level.
Resources indicate medium to long tern production
potential and is a measure of the size of the
Group’s mining and exploration assets. It is a
crucial factor in delivering the Group’s strategy of
creating a resilient business.
AISC
AISC include operating and capital expenditures
required to sustain current operations on an
ongoing basis and is calculated in accordance with
World Gold Council guidelines.
AISC is a commonly used mining metric that
provides stakeholders with transparency regarding
the total cash costs of producing an ounce of
gold, including those capital expenditures that are
required for sustaining the ongoing operation of the
mines.
Gold produced
Gold produced includes total gold poured from the
Group's mining operations and is measured in
ounces.
The Group's operating prot is attributable to
the sale of gold produced and is a crucial factor
in delivering our strategy. Gold production is
also assessed to determine whether mines are
operating according to plan.
Reserves
A Mineral Reserve is the portion of a Measured and
or Indicated Mineral Resource that is economically
feasible to mine. Mineral reserves are classied as
Proven or Probable depending on their condence
level.
Extending mine life through near-mine exploration
and new discoveries from greeneld exploration
both contribute to the Group's long-term growth
prospects.
Community
investments
Social investment refers to the annual spend
by the Group, the Endeavour Foundation and
ECODEV, Endeavour’s impact investment fund, on
a range of projects to support the socio-economic
development of Endeavour’s host communities.
The Group aims to contribute to the prosperity of
local communities and host countries, as part of
the Group’s social license to operate, through a
range of community projects and initiatives, with
a particular focus on health, education, economic
development as well as access to water and
energy. Endeavour’s community development
programmes are based on the needs of the local
communities, who Endeavour consult regularly.
LTIFR
Lost time injury frequency rate (“LTIFR”) refers to
the amount or number of lost time injuries, that is,
injuries that occurred in the workplace that resulted
in an employee's inability to work, which happened
in a given period relative to the total number of
hours worked in the trailing 12-month period. LTIFR
is calculated per 1,000,000 hours worked.
The Group strives to create strong safety culture
grounded in risk and hazard awareness. The
LTIFR is used to measure the effectiveness of
our health and safety policy and practices in
limiting the number of reportable accidents. LTIFR
is always included as a metric in the Group’s
annual compensation scheme for all Endeavour
employees.
In-country
procurement spend
In-country procurement spend refers to the
purchasing of goods or services from a national or
local supplier based in-country. The Group classies
local in this context as being the region and/or
district where the mine is located.
Endeavour's procurement and supply chains
multiply the Group's positive impact on the
local, regional and national economies of our
host countries, strengthening local businesses
and creating indirect employment. In line with
Endeavour's strategic aim of being a trusted
partner, the Group prioritises national and local
suppliers of goods and services as well as the
development of in-country manufacturing and
supply chains.
GHG emissions
GHG are those stemming from the burning of
fossil fuels and the manufacturing of cement.
They include carbon dioxide produced during
consumption of solid, liquid, and gas fuels.
Energy is a critical input and a signicant cost for
mining operations, as well as a major source of
GHG emissions. Improving the efciency of our
operations, reducing energy use and associated
costs, and lowering our emissions are key drivers
for the long-term sustainability of the Group’s
business.
ENDEAVOUR MINING PLC ANNUAL REPORT 2022252
Denition Relevance
Revenue
Revenue is the income arising from gold sales in
the course of ordinary business activities.
Revenue is an indicator of the Group’s ability to
generate operating cash ows and is a crucial
metric to be considered when understanding the
protability of the business.
Operating cash ow
& operating cash
ow per share
Operating cash ows are principally generated from
the Group’s normal business activities from its
mining operations.
Operating cash ows and operating cash ows per
share are used to assess the Group’s ability to
sustain and expand its normal business operations.
Adjusted EBITDA
Adjusted EBITDA is earnings before interest,
tax, depreciation and amortisation adjusted for
acquisition and restructuring costs, losses/gains
on nancial instruments, impairment and other
expenses/income.
Adjusted EBITDA gives an indication of the Group’s
performance and ability to generate prot from
operations and to service debt.
Adjusted
net earnings
attributable and
adjusted net
earnings per share
Total net and comprehensive earnings adjusted
for items considered exceptional or non-recurring
in nature and that are related to Endeavour’s core
operation of its mining assets.
Adjusted net earnings assists in understanding the
underlying operating performance of the Group’s
core mining business.
Net cash
Net cash is the cash balance after deducting the
principal amounts of long-term debt.
Net cash provides transparency regarding the
liquidity position of the Group and its ability to meet
its nancial obligations.
FINANCIAL
STATEMENTS
STRATEGIC
REPORT GOVERNANCE
ENDEAVOUR MINING PLC ANNUAL REPORT 2022 253
ADDITIONAL
INFORMATIONOVERVIEW
ADDITIONAL INFORMATION
COMPANY INFORMATION
Endeavour Mining PLC
Registered No. 13280545
Corporate headquarters
5 Young Street
London
W8 5EH
T: +44 203 011 2723
Operations ofce
Abdijan Regional Ofce
Route du Lycée Technique,
Abdijan 08
BP 872
Côte d’Ivoire
T: +225 27 22 48 99 00
Corporate brokers
Barclays Bank plc
Morgan Stanley & Co. International plc
Auditors
BDO LLP
55 Baker Street
London
W1U 7EU
United Kingdom
Endeavour Mining PLC is a public company registered in England and Wales, limited by shares.
ENDEAVOUR MINING PLC ANNUAL REPORT 2022254
CORPORATE HEADQUARTERS
5 Young Street
London
W8 5EH
United Kingdom
T: +44 203 011 2723
OPERATIONS OFFICE
Abdijan Regional Ofce
Route du Lycée Technique,
Abdijan 08
BP 872
Côte d'Ivoire
T: +225 27 22 48 99 00
FOLLOW US:
endeavourmining
CONTACT US
T: +44 203 011 2719
@endeavourmining
investor@endeavourmining.com
endeavourmining.com
ENDEAVOUR MINING PLC ANNUAL REPORT 2022
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