Polymetals Resources has commenced commercial concentrate production at its Endeavor silver-lead-zinc mine in New South Wales, following months of development.
Located near Cobar, Endeavor boasts a 10-year mine life, with a forecast production of 260,000 tonnes (t) of zinc, 10.6 million ounces of silver and 90,000t of lead.
Mining at Endeavor is progressing well, with crushed ore from underground being routinely hoisted to surface.
Access to the upper-level high-grade silver ore is also advancing, with Polymetals targeting first ore extraction for August. During the second half of 2025, operations will continue to ramp up to meet the planned output.
“Bringing the substantial Endeavor mine back to life over these past nine months at modest cost has been both challenging and rewarding for all involved,” Polymetals executive chairman Dave Sproule said.
“First cashflow will be received during June as pre-payment on our zinc concentrate stocks with first transport scheduled for early July. Optimisation of the grinding and flotation circuits is continuing to ensure consistent production of high-grade zinc and silver-lead concentrates.”
Endeavor ore on surface stockpiles is being milled on a continuous basis, and Polymetals’ surface milling operation commissioning is proceeding according to plan.
“The board is very pleased with how Endeavor’s general manager, Matt Gill and his team have shepherded the project to production and look forward to delivering for our shareholders and the Cobar region over a lengthy mine life,” Sproule said.
The Endeavor mine plan outlines a pre-tax net present value (NPV) of $414 million and an internal rate of return (IRR) of 345 per cent.
Polymetals anticipates a pre-tax free cash flow of $609 million and an annual EBITDA (earnings before interest, taxes, depreciation, and amortisation) of $89 million in the first five years.
