Annual al General ral Meeting ing of Shar areholders olders Fore reca casti sting ng 20% % Pro roduct ctio ion n Gro rowth th in n 2018 TSX: EDR I TSX NYSE: E: EXK I www.ed .edrs rsilver ilver.com .com
Cautio utiona nary ry Not ote This presentation contains “forward - looking statements” within the meaning of the United States private securities litigation re form act of 1995 and “forward - looking information” within the meaning of applicable Canadian securities legislation. Such forward -looking statements and information herein include, but are not limited to, statements regarding Endeavour’s anticipated performance in 2018 and future years, including revenue, cash flow, operating and capital cost forecasts, silver and gold production, timing and expenditures to explore and develop new silver mines and mineralized zones, silver and gold grades and recoveries, cash and all-in sustaining costs per ounce, initial and sustaining capital expenditures, and the use of the Company’s working capital. The Company does not intend to, and does not assume any obligation to update such forward -looking statements or information, other than as required by applicable law. Forward-looking statements or information involve known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Endeavour and its operations to be materially different from those expressed or implied by such statements. Such factors include, among others: fluctuations in the prices of silver and gold, fluctuations in the currency markets (particularly the Mexican peso, Canadian dollar and U.S. dollar); fluctuations in the price of consumed commodities, changes in national and local governments, legislation, taxation, controls, regulations and political or economic developments in Canada and Mexico; operating or technical difficulties in mineral exploration, development and mining activities; risks and hazards of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected geological conditions, pressures, cave-ins and flooding); inadequate insurance, or inability to obtain insurance; availability of and costs associated with mining inputs and labour; the speculative nature of mineral exploration and development, reliability of calculation of mineral reserves and resources and precious metal recoveries, diminishing quantities or grades of mineral reserves as properties are mined; risks in obtaining necessary licenses and permits, global market events and conditions and challenges to the Company’s title to properties; as well as those factors described in the section “risk factors” contained in the Company’s most recent form 40F/Annual Informat ion Form filed with the S.E.C. and Canadian securities regulatory authorities Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to: the continued operation of the Company’s mining operations, no material adverse change in the market price of commodities, mining operations will ope rate and the mining products will be completed in accordance with management’s expectations and achieve their stated production outcomes, and suc h other assumptions and factors as set out herein. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward- looking statements or information, there may be other factors that cause results to be materially different from those anticipated, described, estimated, assessed or intended. There can be no assurance that any forward-looking statements or information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements or information. 2 GROWTH WITH INTEGRITY
In Investor estor Hi Highligh hlights ts Guiding 20% production growth in 2018 to 5.8-6.4 mil Mid-tier ier Prod oduc ucer er oz Ag & 58-64,000 oz Au (10.2 – 11.2 mil oz Ag Eq (1) ) Four high-grade silver-gold mines located in Cor ore e Assets ets three historic mining districts of Mexico El Compas acquired in 2016, started development in Strat ategi egic c Acqui uisi sitio ions 2017, production in 2018 Renewed focus on reducing operating costs; Operati tional onal Excellenc cellence new focus on near-term growth Terronera silver-gold discovery still growing; Explorati ploration on Exper pertis tise PFS shows robust economics Building new mines to fuel future growth; best Focus ocus on n Growt owth organic growth profile in silver mining sector 1. Silver equivalents based on a 75:1 gold: silver ratio 3 GROWTH WITH INTEGRITY
Cor ore e Assets ets Sierra Madre Occidental Silver & Gold Belt Chihuahua Guanac acev eví Parral Guada dalupe pe y y Calvo Durango Canada ada Zacatecas Bolañit itos os El Comp mpas as Lourde des Head Office Vancouver Guanajuato El Cubo Terroner era Jalisco Mexic ico City Mexic ico Off ffic ice Leon Product duction ion Mines Development Exploration Chil ile Off ffic ice e Developmen opment Guanaceví Parral El Compas Santiag iago Terronera Guadalupe y Calvo Explora ration ion Bolañitos Lourdes El Cubo Offi fice Cerro Marquez 4 GROWTH WITH INTEGRITY
Resumin uming g Prod oduc uction tion Grow owth h Annual Production (million oz) Strategic acquisitions during bear market will 15 fuel growth Ten years of production growth during bull market Foreca ecast sting ing Silver & Equivalent ounces (millions) +20% increase rease in Gold 2018 product duction ion Silver Silver equivalent 2013 10 Acquired 2012 Terronera acquired 2016 El Cubo Acquired El Compas & Parral 5 2007 acquired Bolañitos 2004 acquired Guanaceví 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 (1) est. Mid-poin int of 1. Gold ounces converted to silver equivalent ounces on a 75:1 ratio in 2018 guidance 5 GROWTH WITH INTEGRITY
Red educ ucing ing Opera erating ting Cos osts ts Consolidated Cash Costs, net of gold by- product credits (US$/oz Sold) 10 $8.39 $8.31 $8.06 $7.87 Consolidated Direct Costs (US$/Tonne ) $6.78 120 $6.50 110 5 $96.81 $95.05 05 100 $92.17 90 $82.36 36 $82.50 $80.18 80 $72.42 0 2013 2014 2015 2016 2017 2018 est. 70 Mid-point of 60 guidance (2) Consolidated AISC, net of gold by-product 50 30 credits (US$/oz Sold) 40 30 $18.31 31 20 $16.96 $16.79 $15.62 62 $15.50 20 $12.43 10 10 0 2012 2013 2014 2015 2016 2017 2018 est. 0 2013 2014 2015 2016 2017 2018 est. Mid-point of guidance (2) Mid-point of guidance (2) 1. Cash costs per ounce and AISC per ounce are examples of Non-IFRS measures. See disclosure in quarterly MD&A for information on “Non - GAAP” measures found on the company website 2. See EDR News Release dated January 25, 2018 for full disclosure on 2018 Guidance; 2018 costs forecasts reflect an 19:1 Mexican Peso per US Dollar exchange rate, $17/ oz Ag & $1,275/ oz Au price assumption 6 GROWTH WITH INTEGRITY
Q1, 1, 2018 18 & 2 2017 17 Hi Highl hlights ights Q1, 2018 8 Producti uction n Up 20% Y-o-Y Y to 1.35 million oz Ag, 2017 7 Revenue e of $150.5 0.5 millio ion 13,208 oz Au for 2.3 million oz Ag Eq (1) , production to rise each quarter during 2018 Strong ng Q1, 2018 8 Financ ancia ial l Performan mance e Y-o-Y Y Revenue, 56% % Ag 44% Au cash flow and EBITDA all up, however net earnings 4.9 million 51,460 oz Ag sold down due to higher depreciation oz Au sold 201 017 Produc uction Met Revised Guidan ance – 4.9 million oz Ag and 53,007 oz Au for 8.9 million oz Ag Eq (1) notwithstanding operating issues at Guanacevi Reserve erves Increas ased ed 228% 8% – to 57.1 million oz Ag Eq, primarily due to resource conversion at Terronera 2017 Ag Eq Eq Product oductio ion of 8.9 millio ion oz oz Commi mission El Compas as – mine development nearly complete, expanded mill capacity and mine plan by 30%, on track for commercial production in Q3/18 El Cubo, 40% Terrone nera a Positi tive e PFS S – optimization underway, 3.5 mil oz received mine and plant permits, awaiting dumps Bolanitos, 33% and tailings permits 3.0 mil oz Parral Maiden n Resour urce e – 32.3 million oz Ag Eq with Guanacevi, 27% exploration upside 2.4 mil oz 1. 2017 Silver Equivalents based on 75:1 gold:silver ratio 7 GROWTH WITH INTEGRITY
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