Endeavour Publishes Sustainability Report and Advances Implementation of Responsible Gold Mining Principles
ENDEAVOUR PUBLISHES SUSTAINABILITY REPORT AND ADVANCES IMPLEMENTATION OF RESPONSIBLE GOLD MINING PRINCIPLES
2019 Sustainability Report reflects efforts to increase transparency · Executive compensation linked to ESG targets
HIGHLIGHTS:
- The 2019 Sustainability Report reflects Endeavour’s commitment to increase transparency and improve disclosure
- Augmented climate change disclosure including Scope 3 CO2 emissions and completion of CDP Climate Change questionnaire
- Commitment to begin reporting in line with Task Force on Climate-related Financial Disclosures
- Annual targets set for key ESG criteria with increased disclosure and case studies
- The report includes an update on the Company’s implementation of the World Gold Council’s comprehensive ESG reporting framework, known as the Responsible Gold Mining Principles (“RGMPs”)
- ESG-linked executive compensation targets
- Short-term 2020 remuneration tied to safety and increasing female workforce representation
- Long-term remuneration tied to the successful implementation of the RGMPs
George Town, May 27, 2020 – Endeavour Mining (TSX:EDV) (OTCQX:EDVMF) is pleased to announce that it has published an enhanced 2019 Sustainability Report which details progress towards implementing the World Gold Council’s environment, social and governance (“ESG”) reporting framework, the Responsible Gold Mining Principles (“RGMPs”), as well as the Company’s performance against key indicators in 2019. Full details are outlined in the Report, which is available at www.endeavourmining.com.
Sébastien de Montessus, President & CEO of Endeavour, said:
“Since I joined the company nearly four years ago, we have improved our performance, accountability and transparency in the way we approach ESG matters. We appreciate the increasing importance of providing our stakeholders with a greater degree of information on how we measure our impact, which is why we pledged to implement the World Gold Council’s ESG reporting framework.
We are pleased with the progress we have made so far, and the steps taken to improve our business practices and reporting. In addition, to drive the right behaviors and actions across our business, we have augmented our short and long-term compensation schemes with clear and measurable ESG targets.
As the largest gold miner in West Africa, and a trusted government partner, our operations have the potential to provide a significant positive impact on the economies of our local communities and host countries. We are conscious of this responsibility and are proud to support over 1,000 local businesses and to source 95% of our site workforce nationally, with a target of continuing the training and development of local talent into management roles.”
Launched by the World Gold Council in September 2019, the RGMPs provide an ESG reporting framework that consists of ten umbrella principles and 51 detailed principles covering key ESG themes. Member companies have up to three years to fully comply with the RGMPs and will be required to obtain annual external assurance on their performance and conformance.
As part of its implementation strategy, Endeavour conducted a gap analysis in 2019 to identify those policies, standards and activities which already conform to the RGMPs, as well as those areas that will require additional work before being able to reach conformance. This process has resulted in the completion of the Company’s first RGMP external assurance on Principle 1.7, which relates to accountabilities and reporting. The Company is targeting external assurance on several other principles in the coming year.
To ensure full alignment across the business, Endeavour has also augmented its short and long-term compensation plans to include clearly measurable ESG targets. For 2020, Endeavour has expanded its Group targets, which affects annual employee bonuses, to include 20% ESG-related short-term targets. Alongside a safety target of a LTIFR which is 10% below industry benchmark, it also includes a diversity target of achieving a 25% increase in female employee representation to 10% in 2020. The long-term incentive awards for executives have also been augmented to include a 12.5% ESG weighting for the successful external assurance on all 10 umbrella principles and 51 principles of the RGMPs. Full details of the compensation plan will be available in the Company’s management information circular relating to its Annual General Meeting, which will be published in Q3-2020.
In addition to the Company’s update on the implementation of the RGMPs, the 2019 Sustainability Report details Endeavour’s activities and performance across its five ESG pillars in 2019 and has been prepared in accordance with the GRI Core option. The main highlights are as follows:
- Continued strong safety record with reductions in Group all-injury frequency rate and Group lost-time injury frequency rate by 30% and 44%, respectively, compared to 2018
- Distribution of $627 million in economic value to host countries, including $100 million in taxes and royalties, representing 71% of revenue
- In-country procurement represented 67% of Group spend, supporting 1,144 local businesses
- Zero significant environmental incidents in both 2019 and 2018
- 22% reduction in greenhouse gas emission intensity (CO2-equivalent per oz gold produced) over 2018
- West African General Managers representation increased to 75%, from 25% in 2018
- The representation of women in technical or supervisory roles increased to 11%, from 5% in 2018
- 95% of site workforce are nationals, remaining at similar levels to 2018
ABOUT ENDEAVOUR MINING CORPORATION
Endeavour Mining is a TSX listed intermediate African gold producer with a solid track record of operational excellence, project development and exploration in the highly prospective Birimian greenstone belt in West Africa. Endeavour is focused on offering both near-term and long-term growth opportunities with its project pipeline and its exploration strategy, while generating immediate cash flow from its operations.
For more information, please visit www.endeavourmining.com.
CONTACT INFORMATION
| Martino De Ciccio VP – Strategy & Investor Relations +44 203 640 8665 mdeciccio@endeavourmining.com | Brunswick Group LLP in London Carole Cable, Partner +44 7974 982 458 ccable@brunswickgroup.com Vincic Advisors in Toronto John Vincic, Principal (647) 402 6375 john@vincicadvisors.com |
CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION
This news release contains "forward-looking statements" including but not limited to, statements with respect to Endeavour's plans and operating performance, the estimation of mineral reserves and resources, the timing and amount of estimated future production, costs of future production, future capital expenditures, and the success of exploration activities. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "expects", "expected", "budgeted", "forecasts", and "anticipates". Forward-looking statements, while based on management's best estimates and assumptions, are subject to risks and uncertainties that may cause actual results to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the successful integration of acquisitions; risks related to international operations; risks related to general economic conditions and credit availability, actual results of current exploration activities, unanticipated reclamation expenses; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including gold; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, political and economic developments in countries in which Endeavour operates, the ability to complete the Transaction with SEMAFO on the terms and timing proposed, the impact on the closing and timing of the Transaction with SEMAFO as a result of any review ordered by the Minister of Innovation, Science and Development pursuant to the ICA, and other risks identified in Endeavour’s documents filed with the Canadian securities regulatory authorities. 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 and other filings made with Canadian securities regulatory authorities, including the joint management information circular relating to the Transaction with SEMAFO, filed under its profile at www.sedar.com for further information respecting the risks affecting Endeavour and its business. AISC, all-in sustaining costs at the mine level, cash costs, operating EBITDA, all-in sustaining margin, free cash flow, net free cash flow, free cash flow per share, net debt, and adjusted earnings are non-GAAP financial performance measures with no standard meaning under IFRS, further discussed in the section Non-GAAP Measures in the most recently filed Management Discussion and Analysis.
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