Jim's Mining Letter - May 31, 2024

Endeavour Mining (EDV.L EDV.TO EDVMF) announced that wet commissioning activities are now underway at the Lafigué project in Côte d’Ivoire. The project is on budget, with construction now 94% complete and the first gold pour is expected to take place in late-June, a quarter ahead of schedule. Lafigué is set to become another cornerstone asset in Endeavour’s portfolio, with over 200,000 ounces of annual production at an all-in sustaining cost below $900 per ounce over its initial 13 year mine life. The project was discovered through EDV’s own exploration programme for a cost of $31 million, equivalent to an industry low discovery cost of just $12 per indicated resource ounce. Initial growth capital expenditure for the project is $448 million, of which approximately 97% has been committed to date. The addition of the Lafigué mine to Endeavour’s portfolio, is expected to add average annual production of 203,000 ounces.

Sunstone Metals (STM.AX) announced that it has raised A$3.8 million through its recent institutional share placement and 1 for 9 non-renounceable entitlement offer. The entitlement offer raised a total of A$1.84 million and follows the placement announced on 3 May 2024 that raised A$2.0 million before costs. Both the entitlement offer and the share placement were priced at 1.1 cents per share. The shortfall shares under the offer which total 221,527,375 can be placed at the discretion of the board no later than three months after the closing date of the offer and the company expects to place these shortfall shares at a price no less than the issue price under the offer of A$0.011 per share. Proceeds will be used primarily to accelerate drilling at the Limon gold-silver epithermal discovery within the company’s Bramaderos concession and to fund other ongoing exploration activities on the company’s Bramaderos, El Palmar and Verde Chico gold-copper projects, plus fund corporate running costs and replenish working capital.

Atlantic Lithium (ALL.L A11.AX ALLIF) announced the commencement of geochemical soil sampling, geological mapping and rock chip sampling over the Senya Beraku licence in the eastern portion of the company's Cape Coast Lithium Portfolio in Ghana, which holds the flagship Ewoyaa Lithium Project. Highlights are the commencement of geochemical soil sampling, geological mapping and rock chip sampling over the newly-granted, previously unexplored Senya Beraku prospecting licence, representing 82.11km2 of prospective tenure within 70km from the Ewoyaa footprint. Senya Beraku sits 20km east of the known Egyasimanku Hill-Winneba spodumene pegmatite field, where coarse grained spodumene pegmatites have been observed. 1,344 soil samples were collected as of 26 May 2024, with 5,405 samples planned to be collected in the ongoing programme.

Faraday Copper (FDY.TO CPPKF) announced that it has completed its previously announced bought deal financing, including the exercise in full of the underwriters' over-allotment option, for a total of 28,750,000 common shares sold at a price of C$0.80 per share for aggregate gross proceeds to the company of C$23 million. Faraday intends to use the net proceeds from the offering to fund advancement of the Copper Creek Project, located in Arizona, U.S., and for working capital and general corporate purposes. The Copper Creek Project is said to be one of the largest undeveloped copper projects in North America with significant district scale exploration potential.

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