Endeavour Silver Corp. Q2 FY2025 earnings call

• Q2 marked an eventful quarter with commissioning of Terronera, acquisition of Kolpa. - Produced 1.5M oz silver, 7,800 oz gold, ~2.5M silver equivalent oz. - Revenue $85M, up 46% y/y. - Mine operating cash flow before WC changes up 21%, operating costs below guidance. - Net loss $20M due to Terronera's commissioning losses, acquisition-related G&A, etc. - Terronera ramping up with throughputs 1,900-2,000 tpd, recoveries 71% silver, 67% gold. - Kolpa integration going well; exploration ongoing at Pitarrilla.

In Q2, Endeavour produced 1.5 million ounces of silver and 7,800 ounces of gold totaling approximately 2.5 million silver equivalent ounces, a 13% increase compared to Q2 2024. Revenue was $85 million, a 46% increase year-over-year. Mine operating cash flow before working capital changes rose 21%. Cash costs were $15.35 per ounce of payable silver and all-in sustaining costs were $25 or $0.16 per ounce net of byproduct credits. Kolpa's integration is ongoing, with management expecting similar production to Kolpa's 2024 annual production of 5 million silver equivalent ounces.

• Terronera moving closer to commercial production. - Kolpa integration expected to proceed with similar production profile to 2024. - Pitarrilla project exploration work ongoing with plans to update studies and permits.

• Challenges during Terronera commissioning impacting mine operating earnings. - Integration risks with Kolpa affecting costs and cash flow. - Permitting challenges for expansions at Kolpa. - Derivative losses and working capital issues.

Q: How is the current status of Terronera and Kolpa integration?

A: Dan Dickson and Don Gray discussed Terronera's ramp-up progress with focus on grind size for recoveries, and Kolpa integration going well with ongoing exploration and resource validation.

Q: What about working capital and hedging?

A: Daniel Dickson mentioned working capital expected to improve as Terronera goes into production, and the company prefers not to hedge precious metals but has some existing hedges.

Q: Details on Bolanitos and Kolpa's exploration?

A: Phil Ker was told Bolanitos throughput normalized, and Kolpa has exploration potential with plans for systematic exploration and expected results soon.

Q: Kolpa's expansion and Pitarrilla's study?

A: Dan and Don discussed Kolpa's expansion capital needs and timing, and Pitarrilla's updated study expected but delayed due to Terronera's focus