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in n 2018 TSX TSX: EDR I NYSE: E: EXK I www.ed .edrs - - PowerPoint PPT Presentation

August st 2018 18 Fore reca casti sting ng 20% % Pro roduct ctio ion n Gro rowth th in n 2018 TSX TSX: EDR I NYSE: E: EXK I www.ed .edrs rsilver ilver.com .com Cautio utiona nary ry Not ote This presentation


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SLIDE 1

August st 2018 18

TSX TSX: EDR I NYSE: E: EXK I www.ed .edrs rsilver ilver.com .com

Fore reca casti sting ng 20% % Pro roduct ctio ion n Gro rowth th in n 2018

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SLIDE 2

Cautio utiona nary ry Not

  • te

GROWTH WITH INTEGRITY 2

This presentation contains “forward-looking statements” within the meaning of the United States private securities litigation reform 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

  • f 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

  • f 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 Information 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

  • f the Company’s mining operations, no material adverse change in the market price of commodities, mining operations will operate and the mining

products will be completed in accordance with management’s expectations and achieve their stated production outcomes, and such 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.

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SLIDE 3

GROWTH WITH INTEGRITY 3

In Investor estor Hi Highligh hlights ts

Mid-tier ier Prod

  • duc

ucer er Cor

  • re

e Assets ets Operati tional

  • nal Excellenc

cellence Focus

  • cus on

n Growt

  • wth

Explorati ploration

  • n Exper

pertis tise

Guiding 20% production growth in 2018 to 5.8-6.4 mil

  • z Ag & 58-64,000 oz Au (10.2 – 11.2 mil oz Ag Eq (1))

Four high-grade silver-gold mines located in three historic mining districts of Mexico Building new mines to fuel future growth; best

  • rganic growth profile in silver mining sector

Terronera silver-gold discovery still growing; PFS shows robust economics

1. Silver equivalents based on a 75:1 gold: silver ratio

El Compas acquired in 2016, started development in 2017, commercial production in H2, 2018 Renewed focus on reducing operating costs; new focus on near-term growth

Strat ategi egic c Acqui uisi sitio ions

slide-4
SLIDE 4

Cor

  • re

e Ass ssets ets

GROWTH WITH INTEGRITY 4 Product duction ion Developmen

  • pment

Explora ration ion Offi fice Mexic ico Off ffic ice Leon Canada ada

Head Office Vancouver

Mexic ico City

Sierra Madre Occidental Silver & Gold Belt

Terroner era El Cubo

Guanajuato Zacatecas

Lourde des Bolañit ñitos Guanac acev eví Parral

Chihuahua

Guada dalupe pe y y Calvo

Durango Jalisco

Mines Exploration Development Guadalupe y Calvo Parral Lourdes Guanaceví Bolañitos El Cubo Terronera El Compas El Compas pas Chil ile Off ffic ice e Santiag iago Cerro Marquez

slide-5
SLIDE 5

5 GROWTH WITH INTEGRITY

Resumin uming g Prod

  • duc

uction tion Grow

  • wth

h

Annual Production (million oz)

5 10 15 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 est. Silver & Equivalent ounces (millions)

2013 Acquired Terronera Gold Silver Silver equivalent

  • 1. Gold ounces converted to silver equivalent ounces on a 75:1 ratio in 2018

2007 acquired Bolañitos 2004 acquired Guanaceví 2012 acquired El Cubo Ten years of production growth during bull market 2016 Acquired El Compas & Parral Foreca ecast sting ing +20% increase rease in 2018 product duction ion

(1)

Mid-poin int of guidance

Strategic acquisitions during bear market will fuel growth

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SLIDE 6

6

Red educ ucing ing Opera erating ting Cos

  • sts

ts

$92.17 $96.81 $95.05 05 $80.18 $72.42 $82.36 36 $82.50

10 20 30 40 50 60 70 80 90 100 110 120

2012 2013 2014 2015 2016 2017 2018 est.

Consolidated Direct Costs (US$/Tonne)

$7.87 $8.31 $8.39 $6.78 $8.06 $6.50

5 10 10

2013 2014 2015 2016 2017 2018 est.

Consolidated Cash Costs(1) , net of gold by- product credits (US$/oz Sold)

$18.31 31 $16.79 $15.62 62 $12.43 $16.96 $15.50

10 10 20 20 30 30

2013 2014 2015 2016 2017 2018 est.

Consolidated AISC(1) , net of gold by-product credits (US$/oz Sold)

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

GROWTH WITH INTEGRITY

Mid-point of guidance(2)

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SLIDE 7

7 GROWTH WITH INTEGRITY

H1 H1, , 2018 18 Hi Highligh hlights ts

H1, 201 018 8 Produc ucti tion Up 16% 6% Y-o-Y Y to 2.7 million oz Ag, 26,882 oz Au (4.7 million oz Ag Eq(1) ), production will rise as El Compas attains commercial production in H2, 2018 Q2, 2018 8 Reven enue ue Up 19% % Y-o-Y Y to $38.8 million but net earnings fell due to higher costs and depreciation at Guanacevi; and FX losses related to the peso Mine e Commis missionin ioning g at El Compas as – on track for commercial production in Q3, 2018; multiple satellite targets could enhance resources and mine life Updati ating ng Terrone nera PFS S for Q3, 2018 8 – received mine and plant permits, awaiting final dumps and tailings permits Positi tive e Drill ll Results lts at Terrone nera – best intercept returned 618 gpt Ag & 3.2 gpt Au over 21.2m (858 gpt Ag Eq) Secur ured ed ATM Finan nancin ing g – up to $35.7 million to advance Terronera Appoin inted ed VP New Projec ects ts – Manuel Echevarria, to

  • versee development of Terronera and other projects

1.2 mil oz

  • z

1.3 mil oz

  • z

2.2 mil oz

  • z
  • 1. 2017 Silver Equivalents based on 75:1 gold:silver ratio

H1, 2018 Revenue ue of $79.1 .1 million

  • n

Up 14% Y-o-Y 43% Au

26,474

  • z Au sold

57% Ag

2.7 million

  • z Ag sold

H1, 2018 Ag Eq Eq Producti

  • duction
  • n of 4.7 millio

ion oz

  • z

El Cubo, 47% Bolanitos, 28% Guanacevi, 25%

(on track to achieve 2018 guidance)

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SLIDE 8

8

Operat ating g Costs Fallin ling g – due to rising production, Cash costs(1) decreased 13% & AISC(1,2) decreased 19% in the first half of this year.

$8.09 $7.05

H1/1 1/17 H1/1 1/18

$19.38 $15.73

H1/1 1/17 H1/1 1/18

Cash Cost t (US$/oz

  • z Sold)

AISC (US$/ $/oz

  • z Sold)

d)

Cash costs fell due to improved grades AISC fell due to lowered cash costs & lower capital expenditures

  • 1. Cash costs per ounce and AISC per ounce are examples of Non-IFRS measures See disclosure in quarterly MD&A for information
  • n “Non-GAAP” measures found on the company website. Costs are presented in US $, net of by-product credits
  • 2. All-in sustaining costs (AISC) include mining, processing, direct overhead, corporate G&A, on-site exploration, share-based

compensation, reclamation, and sustaining capital net of gold credits

GROWTH WITH INTEGRITY

4.0M M oz

  • z

4.7M 7M oz

  • z

H1/ 17 1/ 17 H2/ 17 / 17 H1/ 18 1/ 18

Guanacevi Bolanitos El Cubo

4.7M oz

  • 3. 2017 Silver Equivalents based on 75:1 gold: silver ratio

Producti uction n Imp mproveme ement nts Under erway ay (3) – El Cubo continues to deliver record performance at record grades.

  • 13%

H2/18 /18 ( (est.) .)

Production expected to rise in H2/18 as El Compas commissions

Higher her Prod

  • ducti

ction,

  • n, Low
  • wer Unit

it Cost

  • sts

s

  • 19%

+5.5M oz

Based on 2018 guidance range

slide-9
SLIDE 9

Title

GROWTH WITH INTEGRITY 9

OPE PERATI RATING NG MI MINES ES

GUANACEVĺ

DURAN ANGO

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SLIDE 10

10

Gu Guanaceví naceví – Our ur Largest gest Silver lver Prod

  • duc

ucer er

  • Guanaceví is our largest silver producer,

and only mine that produces dore bars

  • Endeavour controls the west and north

sides of this 5th largest silver mining district in Mexico

  • 7 new discoveries along the 8 km long Santa

Cruz vein since 2004

  • 2 mines Santa Cruz and Porvenir Norte are

currently operating at 8-900 tpd

  • 2 mines Milache and Santa Cruz Sur are being

developed to production starting in late 2018 to revitalize the operation by augmenting

  • 2017 Ag Eq Production(1) of 2.4 million oz was in-

line with revised guidance, despite operational challenges and lower throughput

  • Management initiated an optimization

program to improve work force productivity and costs. The 2018 focus is reinforcing

  • perating controls, monitoring systems and

work flows, with mine output expected to increase as a result in H2.

1. Silver equivalents based on a 75:1 gold: silver ratio

GROWTH WITH INTEGRITY

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SLIDE 11

Gu Guanaceví naceví – Ret etur urnin ning g to P

  • Prof
  • fitabilit

itability

GROWTH WITH INTEGRITY 11

2017 7 Reserv erves es and d Resou

  • urces

rces (1) Proven and probable 2.4 million oz Ag 5,500 oz Au Measured and indicated 19 million oz Ag 45,700 oz Au Inferred 9.8 million oz Ag 21,600 oz Au Financ ancials ials H1 2018 Cash costs (2) $16.35/oz All-in sustaining costs (2,3) $25.83/oz

  • 1. At December 31, 2017. Refer to tables in the Appendix for full details.
  • 2. Cash costs per ounce and AISC per ounce are examples of Non-IFRS measures. See disclosure in quarterly MD&A for information
  • n “Non-GAAP” measures found on the company website. Costs are presented in US $, net of by-product credits
  • 3. All-in sustaining costs (AISC) include mining, processing, direct overhead, corporate G&A, on-site exploration, share-based

compensation, reclamation, and sustaining capital net of gold credits

614,7 ,707 oz

  • z

637,492 492 oz

  • z

604,8 ,854 54 oz

  • z

571,6 ,654 54 oz

  • z

811 tpd 912 tpd 877 tpd 783 tpd

600 650 700 750 800 850 900 950

100,000 200,000 300,000 400,000 500,000 600,000 700,000

Q3/17 3/17 Q4/17 /17 Q1/1 1/18 Q2/18 /18

Produc uctiv tivity ity Program ram Underw erway ay

Ag Eq Eq (4) Producti duction (oz

  • z)

) Throughput t (tpd) )

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SLIDE 12

12

BOL OLAÑ AÑIT ITOS OS

GUANAJUAT UATO

GROWTH WITH INTEGRITY

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SLIDE 13

13

Bol

  • lañitos

añitos – Our ur Low

  • wes

est t Cos

  • st

t Mine ne

  • Bolanitos covers the west, north sides of

Guanajuato, the 2nd largest silver district in Mexico

  • 2017 Ag Eq Production(1) of 3.0 million oz

significantly exceeded 2017 guidance due to higher Ag & Au grades

  • Multiple new discoveries in Lucero and LL-

Asuncion areas since 2007

  • One mine La Luz currently operating at

+ 1,200 tpd

  • Most profitable mine due to shallow depths,

thick widths and high gold grades

  • Gold production pays for the all-in costs to
  • perate the mine and the silver production

is essentially free

  • Further optimization of the plant is

underway to improve recoveries by 4-5%

  • The Company is investing into the LL-

Asuncsion and Plateros ore bodies to extend the life of the operations.

1. Silver equivalents based on a 75:1 gold: silver ratio

GROWTH WITH INTEGRITY

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SLIDE 14

Bol

  • lañitos

añitos – In In 2n 2nd d Large gest st Silver lver Di District rict

GROWTH WITH INTEGRITY 14

2017 7 Reserv erves es and d Resou

  • urces

rces (1) Proven and probable 1.15 million oz Ag 27,800 oz Au Measured and indicated 3.8 million oz Ag 47,400 oz Au Inferred 4.6 million oz Ag 59,200 oz Au Financ ancials ials H1 2018 Cash costs (2) $0.01/oz All-in sustaining costs (2,3) $8.46/oz

743,012 oz

  • z

821,0 1,012 12 oz

  • z

698,466 ,466 oz

  • z

640,24 ,241 oz

  • z

1,245 45 tpd 1,350 50 tpd 1,278 tpd 1,192 92 tpd

600 700 800 900 1,000 1,100 1,200 1,300 1,400 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000

Q3/17 3/17 Q4/17 /17 Q1/1 1/18 Q2/18 /18

Operat ration

  • nal

al Improvem emen ents ts Underw erway ay

Ag Eq Eq (4) Producti duction (oz

  • z)

) Throughput t (tpd) )

  • 1. At December 31, 2017. Refer to tables in the Appendix for full details.
  • 2. 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. Costs are presented in US $, net of by-product credits

  • 3. All-in sustaining costs (AISC) include mining, processing, direct overhead, corporate G&A, on-site exploration, share-based

compensation, reclamation, and sustaining capital net of gold credits

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SLIDE 15

15

EL CUBO

GUAN ANAJ AJUAT UATO

GROWTH WITH INTEGRITY

slide-16
SLIDE 16

El El Cub ubo – Our ur Largest gest Mine ne

16

  • El Cubo controls the east side of

Guanajuato, the 2nd largest silver mining district in Mexico

  • One new discovery in Villapando-Asuncion

area since 2012

  • 2017 Ag Eq production(1) of 3.5 million oz

was below guidance due to lower than planned Au production

  • El Cubo was our biggest operational

turnaround and is now a core asset

  • All-in sustaining costs were $42 per oz in

2012 when we bought the mine and $13 per oz in 2016 after the turnaround

  • Two mines, Dolores and Santa Cecilia,

currently operating at 1,300-1,500 tpd

  • Further optimization of the plant is

underway to improve recoveries by 2-3%

1. Silver equivalents based on a 75:1 gold: silver ratio

GROWTH WITH INTEGRITY

slide-17
SLIDE 17

El El Cub ubo – Our ur Sec econd

  • nd Mine

ne in Guanaj najuat uato

GROWTH WITH INTEGRITY 17

2017 7 Reserv erves es and d Resou

  • urces

rces (1) Proven and probable 2.9 million oz Ag 27,000 oz Au Measured and indicated 3.4 million oz Ag 45,000 oz Au Inferred 5.1 million oz Ag 73,200 oz Au Financ ancials ials H1 2018 Cash costs (2) $2.50/oz All-in sustaining costs (2,3) $10.63/oz

927,945 945 oz

  • z

1,071,7 ,733 oz

  • z

1,038,120 ,120 oz

  • z

1,169,550 69,550 oz

  • z

1,452 52 tpd 1,542 42 tpd 1,463 63 tpd 1,478 tpd

800 900 1,000 1,100 1,200 1,300 1,400 1,500 1,600 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000

Q3/1 3/17 Q4/1 /17 Q1/ 1/18 Q2/1 /18

Operat ration

  • nal

al Improvem emen ents ts Underw erway ay

Throughput t (tpd pd) ) Ag Eq Eq (4) Producti duction (oz

  • z)

)

  • 1. At December 31, 2017. Refer to tables in the Appendix for full details.
  • 2. 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. Costs are presented in US $, net of by-product credits

  • 3. All-in sustaining costs (AISC) include mining, processing, direct overhead, corporate G&A, on-site exploration, share-based

compensation, reclamation, and sustaining capital net of gold credits

slide-18
SLIDE 18

18

DE DEVELOPMENT ELOPMENT PR PROJECT JECTS

EL COM OMPAS PAS

ZAC ACAT ATEC ECAS AS

GROWTH WITH INTEGRITY

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SLIDE 19

19

El El Com

  • mpas

pas – De Developi eloping ng Our ur Fou

  • urth

th Mine ne

La Plomosa Panuco Vetagrande San Juan Mala Noche Calicanto La Cantera La Parroquia Compas Orito Plant

  • El Compas is our next high grade mine,

targeting 2018 production of 100,000 oz silver, 7-8,000 oz gold for 6-800,000 million oz AgEq (1)

  • Endeavour controls the south end of

Zacatecas, the 3rd largest silver mining district in Mexico

  • Two orebodies, El Compas and El Orito, are

already drilled, in reserves and resources

  • Mine is already permitted, dormant

government plant is leased for 10 years

  • Mine will produce 250 tpd initially but plant

capacity ultimately 500 tpd so mine is scalable depending on new reserves

  • Est. all-in sustaining cost less than $10 per

silver oz, IRR more than 42%

  • Several exploration targets at El Compas and

newly acquired old mines have never been drilled, represent discovery opportunities

  • Recent Calicanto surface drill results returned

impressive intercepts including 269 gpt Ag & 5.5 gpt over 1.1 m (682 gpt Ag Eq)

1. Silver equivalents based on a 75:1 gold: silver ratio

GROWTH WITH INTEGRITY

slide-20
SLIDE 20

20

El El Co Compas mpas – Com

  • mmercial

mercial Produ

  • duct

ctio ion n in Q3

Prelim limina nary y Econo nomic mic Assessmen ment – robust economic returns, very scalable if we discover or purchase additional mineral resources in the Zacatecas district and refurbish the second ball mill to double the plant capacity to 500 tpd Low capex ex – $11.3 million – final construction costs paid in Q2/18 Low opex – $110 per tonne including $69.80 mining, $26.20 processing, $14.00 G&A Total al cash h costs (1

(1) – $9.09 per Ag Eq oz (2) or lower

All-in in sustai aini ning ng costs ts (1,3) – $9.64 per Ag Eq oz or lower Improved ed Operati ating ng Metr trics ics

  • Improved plant design to 325 tpd from 250 tpd as a result of lower work index or ore
  • Expanded mine plan from 200 tpd to 250 tpd using mechanized cut and fill method
  • Production expected to rise 25% to 1.175 million oz Ag Eq per year

Resour urces (4)

Clas assifi ificat atio ion Tonne nes (000s) Ag Ag g/t g/t Au g/t g/t Ag Eq g/t Ag oz (000s) Au oz (000s) Ag Eq oz (000s) Indi dicat ated 148.4 104 7.31 652 495 34.9 3.112.5 Inferre red 217 76 5.38 480 530 37.5 3,342.5

Econo nomics mics

Ag Price Au Price IRR NPV Paybac back Perio iod US$16/oz 6/oz US$1,120/oz 29% US$8.0m 2.6 years US$18/oz /oz Base Case US$1,260/oz 42% US$12.6m 2.1 years US$20/o /oz US$1,400/oz 54% US$17.0m 1.8 years

1. Net of by-product credits 2. Silver equivalents based on 75:1 silver:gold ratio 3. All-in sustaining costs (AISC) include mining, processing, direct

  • verhead, corporate G&A, on-site exploration, share-based

compensation, reclamation, and sustaining capital net of gold credits 4. As at Feb 7, 2018 – for full details refer to the table in the appendix

GROWTH WITH INTEGRITY

slide-21
SLIDE 21

21

El El Comp mpas – Final al Mine e & Pl Plant Comm mmissio sioni ning ng

GROWTH WITH INTEGRITY

As expected during ramp up, plant circuits are being modified, configured and fine-tuned to achieve commercial production at the PEA target capacity of 250 tpd in Q3/18. The first shipment of concentrate on July 31, 2018 to Port of Manzanillo. Mining, stockpiling of ore and commissioning was initiated in Q2/18, using low grade ore. A total of 4,900 tonnes of run of mine ore were stockpiled in Q2, however only 1,023 tonnes were processed to test plant circuits.

slide-22
SLIDE 22

22

TERR RRONE ONERA RA

JALISC SCO

GROWTH WITH INTEGRITY

slide-23
SLIDE 23

Ter erronera

  • nera – Large,

ge, Low

  • w Cos
  • st

t Mine ne Pot

  • tential

ential

23

Terroner ronera Discov covery ery

  • Terronera will become our largest mine, annual

phase 2 production est. 3.2 million oz silver, 26,000 oz gold for 5.0 million oz AgEq

  • Endeavour controls the entire district of San

Sebastian, 50 old mines on 20 known veins, all closed in 1910 Mexican revolution

  • One orebody, Terronera, already drilled, 60

million oz Ag Eq(1) in reserves and resources , still open for expansion, many other veins to drill

  • Mine and plant already permitted, waiting for

dumps and tailings permits

  • PFS released in April 2017 - $70 million capex over

18 months, initial production to commence end of 2019, double production in 2020-2021

  • Mine will produce 750 tpd initially but plant

capacity ultimately up to 1,500 tpd so mine is scalable depending on new reserves

  • Est. all-in sustaining cost less than $5 per silver oz
  • Several exploration targets at Terronera, new very

high grade La Luz discovery not yet in resources, multiple discovery opportunities

  • 1. Gold ounces converted to silver equivalent ounces on a 75:1 ratio

GROWTH WITH INTEGRITY

La Luz Discov covery ery

slide-24
SLIDE 24

24

Ter erronera

  • nera – New

ew Di Disco covery very Still ill Open en

Gold ounces converted to silver equivalent ounces on a 75:1 ratio

Hole Struc uctur ure From True ue width Au Au Ag Ag AgEq (m) (m) (gpt) (gpt) (gpt) LL LL-02* La Luz 207.45 1.1 58.6 408 4,803 Including 208.61 0.3 238.0 1365 19,215 LL LL-13 13 La Luz 131.75 1.5 19.0 407 1,832 Including 132.95 0.4 48.9 680 4,348 LL LL-14 14 La Luz 175.30 1.5 29.5 651 2,864 Including 176.25 0.6 62.9 844 5,562 LL LL-17 17 La Luz 124.55 1.4 23.1 245 1,978 Including 124.55 0.5 47.5 212 3,775 LL LL-21 21 La Luz 173.10 2.2 57.0 63 4,338 Including 173.60 0.3 320.0 340 24,340

Open pen

GROWTH WITH INTEGRITY

Infill ill Drill l Progra ram Step-out

  • ut Drill

ll Program ram Open pen Open pen

Hole Struc uctur ure

From True width Au Ag AgEq

(m) (m) (gpt) (gpt) (gpt) TR10 10-6 Terronera 535.00 2.3 4.8 222 583 Including 538.00 0.5 6.7 410 910 TR11 11-4 Terronera 546.40 21.2 3.2 618 861 Including 548.65 0.2 4.9 4,090 4,456 TR11 11-5 Terronera 513.25 6.0 2.6 507 699 Including 515.05 0.4 5.4 3,370 3,778 FW Terronera 523.70 1.5 7.1 181 715 Including 523.70 0.3 9.2 279 971 TR13 13-7 Terronera 385.75 4.4 4.7 121 471 Including 390.65 0.5 9.1 376 1,060 KP16 P16-04 04 Terronera 315.80 4.6 4.3 146 467 Including 323.85 0.1 13.6 473 1,493

slide-25
SLIDE 25

25

Ter erronera

  • nera – De

Develo eloping ping Our ur Fift fth h Mine

Pre-fea feasibility ibility study – robust economic returns; 750 tpd, expanding to 1,500 tpd in year two, under review Produ

  • ducti

ction

  • n & develop

elopment ent deci cision sion –subject to receiving final permits and debt financing Permits its pend ndin ing – MIA (EIS) already approved, mine and plant received Q3, 2017 awaiting tailings and dumps Q3, 2018 Optimi timized zed PFS underw erway ay– Scheduled for release in Q3-2018 Projec ected ted Low Total tal Cash h Costs ts & AISC (2)

$3.44 / Ag oz $4.76 / Ag oz Cash Costs(1) AISC (1)

GROWTH WITH INTEGRITY

  • 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. Costs are presented in US $, net of by-product credits

  • 2. Projected cash costs & AISC are based on initial PFS announced on April 3, 2017
slide-26
SLIDE 26

26

PA PARRAL RAL

CHIHUAH AHUA

GROWTH WITH INTEGRITY

slide-27
SLIDE 27

27

Parral rral – Pot

  • tential

ential Sixt xth h Silver lver Mine ne

  • Parral is potentially our 6th silver mine, Veta

Colorada mine produced 4 million oz silver per year before closing in 1990

  • Endeavour controls much of the historic Parral

silver mining district in Mexico

  • 32 million oz historic resource in three
  • rebodies at old Veta Colorada minesite
  • 21 million oz maiden resource in Veta Colorada,

Palmilla and San Patricio veins

  • Palmilla was highest grade silver mine in

Mexico in 1800”s, provided silver to the Mexican mint, open pit potential

  • Two small plants for sale in district , significant
  • pportunities to buy more old mines
  • Good synergies with existing 2.9 million tonne

polymetallic resource at El Cometa property

  • Targeting new resource estimate and

economic study in 2018

  • Several exploration targets at Parral, multiple

discovery opportunities

GROWTH WITH INTEGRITY

slide-28
SLIDE 28

28

Parral rral – Abundant undant Hi High gh-Grade Grade Targets gets

  • Exploration permits and land access agreements

already in place

  • Will conduct twin, infill drilling to verify Veta

Colorado historic resource in 2017

  • US$2 million exploration commitment at San

Patricio and La Palmilla over next two years

  • Many additional vein targets for future exploration

based on extensive sample database

  • Classic low-sulfidation epithermal vein

mineralization

  • Argentite-galena-sphalerite-chalcopyrite-pyrite in

quartz-Kspar-calcite veins

  • IMMSA’s Santa Barbara and Frisco’s San Francisco

mines to the South, Levon’s Cordero project to the NE, Kootenay’s Cigarra project to the West

GROWTH WITH INTEGRITY

slide-29
SLIDE 29

Sh Shareholder areholder In Informa

  • rmation

tion

29 Issued/Outstanding 128.3 million Exchange Listings NYSE:EXK, TSX:EDR Fully Diluted 134.7 million Working Capital US$58.9 million Recent Price (July 31, 2018) US$3.00 Cash Position US$31.1 million Market Cap (July 31, 2018) US$383 million Major Shareholder Van Eck 9% 52-week High/Low US$3.35/$1.94 Strategic Shareholder Fresnillo 2% 90-day avg Daily Volume +2.0 million Mining Analysts 8 GROWTH WITH INTEGRITY

  • 50.0%
  • 40.0%
  • 30.0%
  • 20.0%
  • 10.0%

0.0% 10.0% 20.0% 30.0% Silvercorp Metals Inc. (TSX:SVM) Endeavour Silver Corp. (TSX:EDR) First Majestic Silver Corp. (TSX:FR) Great Panther Silver Limited (TSX:GPR) Fortuna Silver Mines Inc. (TSX:FVI)

~ presented as at June 30, 2018 unless noted otherwise

slide-30
SLIDE 30

Fut utur ure e Catalyst talysts

30

  • Develop

elop two

  • new ore bodi
  • dies

es at Guanacev naceví – get mine back on plan with rising production, falling costs

  • Update

ate Terr rron

  • nera

era PFS - receive final Terronera permits, make production decision, raise debt financing & commence mine development

  • Attain

ain Commerci ercial al Productio

  • duction

n at El El Compa pas – in Q3, 2018 and enhance the operation

  • Drill

ll Parral al targets gets – grow resources, explore multiple new veins, consolidate land holdings in district, complete PEA

  • Expand

and proj

  • ject

ect pipelin eline e – accretive mergers and acquisitions

  • Extend

end mine e lives es – aggressive brownfields exploration

GROWTH WITH INTEGRITY

slide-31
SLIDE 31

Why Invest?

31

MID-TIER PRECIOUS METALS PRODUCER

Four high-grade silver-gold mines in Mexico

STRONG ORGANIC GROWTH PROFILE

Building new mines to increase production and reduce costs

EXPERIENCED MANAGEMENT TEAM

Proven track record with exploration, development and

  • perational expertise

STRONG BALANCE SHEET

$58.9 million working capital, no debt

(as at 6/30/2018)

PURE SILVER/ GOLD LEVERAGE

No base metals, no hedging & industry leading beta to silver price (60/40 silver gold producer)

Our mission is to create value for our shareholders and become a premier silver producer in the silver mining industry.

slide-32
SLIDE 32

GROWTH WITH INTEGRITY 32

APP PPEND ENDIX IX

slide-33
SLIDE 33

GROWTH WITH INTEGRITY 33

Wh Why S y Silver er ? ?

  • Silver is an industrial metal: unlike gold, silver

is consumed and the number of industrial uses is multiplying

  • Best natural conductor of electricity and

heat, used in electronics, batteries, solar panels, alloys & coatings, LED & RFID chips, semi-conductors, photography, anti- bacterials, preservatives, medicines

  • Silver is a precious metal: like gold, silver is

money and its role as a store of value and a hedge against monetary inflation is growing

  • Currency debasement is not new –

governments throughout history have “printed” money; eg. falling silver % in the Roman Denarius coin

Indus dustrial al appl plicat ations ns, , 46% Photogr grap aphy hy , , 6% 6% Jewel welry, , 18% Silverwa ware , , 5% 5% Coins ns & Medal als , , 9% 9% Impl plied d net investment nt , , 16%

Silver Demand

Denarius % Silver

slide-34
SLIDE 34

GROWTH WITH INTEGRITY 34

Silver semi-conductor film can hold vast amount of data as holograms Silver nano-particles enhance soil for healthier crops Silver helps produce hydrogen for fuel cells, electricity Silver helps high value chemicals

Recent nt Si Silver er Research arch

slide-35
SLIDE 35

Si Silver er Su Supply y & Demand nd

35

Source: GFMS, Thomson Reuters Moz 2013 2014 2015 15 2016 2017e 7e % % -change hange 2016 % % -change hange 2013 Mine Production 823 868 895 889 852

  • 4%

+4% Total l Suppl ply y 987 1,051 1,044 44 1,009 992 992

  • 2%

2% 0% 0% Jewelry & Silverware 280 288 290 258 268 3%

  • 5%

Coins & Bars 241 234 292 208 151

  • 38%
  • 60%

Industrial Fabrication 605 596 583 577 599 4%

  • 1%

Physica ysical l Demand nd 1,126 26 1,118 18 1,165 1,042 42 1,018 18

  • 2%

2%

  • 11%

1% Physica ysical l Surpl plus us/ Deficit cit

  • 138
  • 68

68

  • 121

21

  • 33

33

  • 26

26

  • 27%

7%

  • 431%

1% Annua ual l Avera rage e Silver lver Price ce ($/oz

  • z)

23.79 .79 19.08 15.6 .68 17.14 14 17.05 0% 0%

  • 40%
slide-36
SLIDE 36

GROWTH WITH INTEGRITY 36

Si Silver er Ph Phys ysical al Su Surplus us/Defic Deficit it

Source: GFMS, Thompson Reuters

slide-37
SLIDE 37

Wo World Silver er Mine ne Pr Prod

  • duc

uctio ion

GROWTH WITH INTEGRITY 37

Source: GFMS, Thompson Reuters

slide-38
SLIDE 38

Si Silver er Mine ne Pr Prod

  • duc

uctio tion n So Sour urce

GROWTH WITH INTEGRITY 38

Source: GFMS, Thomson Reuters Primary mary Silver Mines

26% Primar ary Gold d Mines 13% Primar ary Base Metal als s 61%

slide-39
SLIDE 39

39

Si Silver er Ph Phot

  • tov
  • vol
  • ltaic

aic Fabrica rication ion

GROWTH WITH INTEGRITY

Source: Solarbuzz; Earth Policy Institute; ITRPV; GFMS, Thompson Reuters

slide-40
SLIDE 40

40 GROWTH WITH INTEGRITY

Source: GFMS, Thompson Reuters; Silver Institute

Si Silver er Demand nd in A n Aut utom

  • mot
  • tive

ve

slide-41
SLIDE 41

Gold vs Base Money Inflation

41

Source: Bloomberg, Incrementum AG

slide-42
SLIDE 42

Gold vs The “Everything Bubble”

42

Source: Incrementum AG, Jesse Felder, Federal Reserve St. Louis

slide-43
SLIDE 43

Commodities vs Equities

43

Source: Dr. Torsten Dennin, Incrementum AG

slide-44
SLIDE 44

Rate Hike Cycles And Following Recessions in The US

44

Source: Fed St. Louis, Federal Reserve Bank New York, Incrementum AG

  • As a long-term chart of the Fed funds rate reveals, the vast majority of rate hike cycles

has led to a recession. Moreover, every day financial crisis was preceded by rate hikes

  • The historical evidence is overwhelming – in the past 100 years, 16 out of 19 rate hikes

cycles were followed by recessions. Only three cases turned out to be exceptions to the rule

slide-45
SLIDE 45

Historic Bull Markets in Mining Stocks

45

  • If one looks at all bull markets in the Barron's Gold Mining Index (BGMI), one notices

that the current uptrend is still relatively modest in terms of duration and performance.

  • Should we really be on the cusp of a pronounced uptrend in the sector –which we

assume to be the case –quite a bit of upside potential would remain.

  • Jordan Roy-Byrne, an analyst whom we greatly respect, describes the sector's status

as “bearish bull”.

Source: Nowandfutures, TheDailyGold.com, Barrons, Incrementum AG

slide-46
SLIDE 46

46 GROWTH WITH INTEGRITY

46

Si Silver er Mini ning ng Sh Shares

  • Silver mining shares trade at a premium to gold mining shares due to the

scarcity of primary silver mining companies

  • There are only approximately 12 primary silver miners
  • Like senior gold miners, the senior silver miners do not offer growth
  • An attractive alternative to senior silver mining shares are the junior and mid-tier

silver producers

  • They offer the best combination of liquidity, leverage and growth
  • Much stronger leverage to silver price than gold miners to gold price

During bull markets, s, silver r equities es typically ly rise up to double e the gold equitie ies

Source: S&P Global, as of July 30, 2018

One-year ear beta Three ee-year year beta Five-year ear beta End ndeavour eavour 0.09 .09 2.55 55 2.95 95 First Majestic 2.17 3.22 2.75 Fortuna 0.06 2.58 2.84 Wheaton PM 1.51 1.56 1.88 Coeur 0.49 1.19 0.62 Hecla

  • 0.68

0.15 0.21 Fresnillo

  • 0.12

0.47 0.24 Hochschild

  • 0.06

1.81 1.06 Pan American 0.16 1.68 1.89

slide-47
SLIDE 47

GROWTH WITH INTEGRITY 47

Next t Up-leg leg of f Pre recious

  • us Metals

als Cycle e Now Un w Underway erway

slide-48
SLIDE 48

Go Gold/ / Silver lver Ratio io Com

  • mpression

pression

48

10 20 30 40 50 60 70 80 90 100 1971 1974 1977 1980 1983 1986 1989 1992 1995 1998 2001 2004 2007 2010 2013 2016

Fal alling ing Rat atio io Gold/S d/Silve ilver- r-Rat atio io

Silver +64% Gold d -21% Silver +203% 3% Silver +37 371% 1% Gold d +77%

Silver? Gold?

Silve ver +18 1811 11% Gold d +595% Silver +159% 9% Gold d +42% Silve ver +60 60% Gold d +8% Silver +60 60% Gold d +9%

During g falling ng gold/s /silv ilver er ratio

  • scenari

rios,

  • s, both gold and silver

r perform rmed ed very well, howeve ver r silver r always outper erform

  • rms! The curren

entl tly high ratio implies s that t pressure e contin inues ues to build for break-out. t.

slide-49
SLIDE 49

GROWTH WITH INTEGRITY 49

Why Mexico?

  • Largest silver producing country in the world
  • Prolific mineral potential and mining history
  • Close to home, part of NAFTA, low country risk
  • Stable government, diversified economy, modern infrastructure
  • Reasonable tax burden, permitting process, community support
  • Security and social issues are localized, not pervasive
slide-50
SLIDE 50

GROWTH WITH INTEGRITY 50

Management and Board

Management

Bradford Cooke, M.Sc., P.Geo. – Founder and CEO Godfrey Walton, M.Sc., P.Geo. – President and COO Dan Dickson, CA – CFO Dale Mah, B.Sc., P.Geo. – VP, Corporate Development Manuel Echevarria, B.Sc. – VP. New Projects Luis Castro, Ing. Geo. – VP, Exploration Christine West – VP, Controller Miguel Ordaz, Ing. Geo. – Mexico Projects Director and Legal Representative Galina Meleger, CIM – Director, Investor Relations Lorena Aguilar, CHRP – Director, Human Resources

Board of Directors

Bradford Cooke, M.Sc., P.Geo. – Company CEO Godfrey Walton, M.Sc., P.Geo. – Company President and COO Geoff Handley, B.Sc. – Independent Director, Chair (1)(2)(3) Rex McLennan, B.Sc., MBA, ICD.D – Independent Director (1)(3)(4) Ricardo Campoy, B.Sc. – Independent Director (1)(2) Ken Pickering, P.Eng. – Independent Director(1)(2)(4) Mario Szotlender, B.IR – Independent Director(2)(3)(4)

(1) Audit Committee (2) Compensation Committee (3) Corporate Governance and Nominating Committee (4) Sustainability Committee

slide-51
SLIDE 51

GROWTH WITH INTEGRITY 51

In Insti titut tutio ional nal In Investo estors, rs, Analy alyst st Cov

  • verage

erage

  • Van Eck Associates
  • Renaissance Technologies
  • Fresnillo
  • Credit Suisse Securities
  • Sprott Asset Management
  • Global X Management
  • Connor Clark & Lunn
  • NinePoint Partners
  • Morgan Stanley
  • AMG Fondsverwaltung
  • UBS Financial Services
  • ETF Managers
  • Konwave AG
  • Stabilitas
  • Ryan Thompson, BMO
  • Cosmos Chiu, CIBC
  • Bhakti Pavani, Alliance Global

Partners

  • Ian Parkinson, GMP Securities
  • Mark Reichman, Noble Capital

Markets

  • Heiko Ihle, H.C. Wainwright
  • Daniel Earle, TD
  • Chris Thompson, PI Financial
slide-52
SLIDE 52

2018 8 Outl tloo

  • ok:

k: High gher Produ ducti tion

  • n, Lower Co

Cost sts s

52

$ millions unless otherwi wise stated, US dollar ars

Guanac acev evi i Bolan anit itos El Cubo El Compas as (1) Consol

  • lidat

idated ed

Silve ver Producti duction (M oz

  • z)

) 2.2 – 2.5 1.0 – 1.1 2.5 – 2.7 0.1 - 0.1 5.8 – 6.4 Gold ld Producti duction (K oz

  • z)

) 5.0 – 5.5 23.5 – 25.5 22.5 – 24.5 7.0 – 8.5 58.0 .0 – 64.0 .0 Silve ver Eq Eq Producti duction (M oz

  • z)

) (2) 2.6 – 2.9 2.8 – 3.0 4.2 – 4.5 0.6 – 0.8 10.2 .2 – 11.2 Cash sh Cost sts, s, net t of gold d by-pr product ct credit dits s (US$/oz

  • z)

) (3),

, (4)

$6.00 .00 - $7.00 .00 AISC, SC, net t of gold d by-pr product duct credits dits (US$/ oz

  • z)

) (3),

, (4)

$15.00 .00 - $16.00 6.00 Sustain tainin ing Capital pital $41.1 .1 Growth Capit pital l $7.3 $7.3 Explo plorat atio ion Budget $11.1 .1

1. El Compas is scheduled to achieve commercial production by the end of July 2018. 2. Gold ounces converted to silver equivalent ounces on a 75:1 ratio in 2018 3. 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. Costs are presented in US dollars, net of by-product credits 4. 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.

Guidan ance Highlig lights

  • Silver equivalent production to increase +20% from 2017
  • Cash costs & AISC to decrease in 2018
  • Increased capital budget due to development of El Compas &

two new orebodies at Guanacevi

  • Decreased exploration budget due to shift

towards development Guana nacevi cevi Bolanit lanitos

  • s

El Cubo

  • El Compa

pas

GROWTH WITH INTEGRITY

2018 Ag Eq Eq Produc ductio ion n by Mine ne (M oz

  • z)

)

26% 27% 41% 6% 6%

slide-53
SLIDE 53

Res eserve erves s and d Res esou

  • urc

rces es (D (Dec ec 31 31, , 2017 17)

53

Silver-Gold Reserves and Resources

Tonnes (000s) Ag g/t Au g/t Ag Eq g/t Ag oz (000s) Au oz (000s) Ag Eq oz (000s) Proven Guanaceví 82 224 0.49 261 591 1.3 688.5 Bolañitos 154 87 2.48 273 431 12.3 1,353.5 El Cubo 171 184 1.80 319 1,010 9.9 1,752.5 Total Proven 407 155 1.80 290 2,032 23.5 3,794.5 Probable Guanaceví 224 252 0.58 296 1,812 4.2 2,127 Bolañitos 258 86 1.87 226 714 15.5 1,876.5 El Cubo 317 186 1.68 312 1,894 17.1 3,176.5 Terronera 4,061 207 1.95 353 27,027 255 46,152 Total Probable 4,860 201 1.87 341 31,447 291.8 53,332 Total P+P 5,267 198 1.86 337 33,479.4 315.3 57,126.5 Measured Guanaceví 17 299 0.38 328 167 0.2 182 Bolañitos 31 118 2.28 289 118 2.3 290.5 El Cubo 207 184 2.90 402 1,225 19.3 2,672.5 Total Measured 255 184 2.66 384 1,510 21.8 3,145 Indicated Guanaceví 1,650 310 0.80 370 16,449 42.4 19,629 Bolañitos 763 152 1.84 290 3,727 45.1 7,109.5 El Cubo 404 165 1.98 314 2,143 25.7 4,070.5 El Compas 148 104 7.31 652 495 34.9 3,112.5 Guadalupe y Calvo 1,861 119 2.38 298 7,120 142.4 17,800 Parral (new) 37 184 0.27 204 216 0.3 238.5 Total Indicated 4,863 193 1.86 332 30,150 290.8 51,960 Total M&I 5,118 192 1.90 335 31,660 312.6 55,105 Inferred Guanaceví 761 314 0.78 373 7,684 19.1 9,116.5 Bolañitos 945 150 1.95 296 4,556 59.2 8,996 El Cubo 1,100 143 2.07 298 5,058 73.2 10,548 Terronera 1,174 288 2.16 375 10,848 43.7 14,125.5 El Compas 217 76 5.38 480 530 37.5 3,342.5 Guadalupe y Calvo 154 94 2.14 255 465 10.6 1,260 Parral (new) 2,283 262 0.25 281 19,215 18.1 20,572.5 Total Inferred 6,634 227 1.23 319 48,356 261.4 67,961.1

Silver-Gold-Lead-Zinc Resources

Tonnes (000s) Ag g/t Au g/t Ag Eq g/t Ag oz (000s) Au oz (000s) Ag Eq oz (000s) Zn% Pb% Indicated Guanaceví 363 208 0.26 302 2,420.5 3.1 2,653 0.78 1.32 Parral 1,631 49 0.90 117 2,589.9 47.2 6,129 2.87 2.86 Total Indicated 1,994 78 0.78 151 5,010.4 50.3 8,782.9 2.49 2.58 Inferred Guanaceví 488 132 0.16 293 2,076 2.5 2,263.5 1.36 2.54 Parral 1,303 63 0.88 129 2,658.9 36.9 5,456.4 2.55 2.28 Total Inferred 1,791 82 0.68 174 4,710 39.4 7,689.9 2.23 2.35

slide-54
SLIDE 54

GROWTH WITH INTEGRITY 54

Res eserve erves s and d Res esou

  • urc

rces es (D (Dec ec 31 31, , 2017 17)

Notes es

1. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. There is no certainty that any or all part of the Mineral Resources will be converted into Mineral Reserves. The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues. 2. The Inferred Mineral Resource in this estimate has a lower level of confidence than that applied to an Indicated Mineral Resource and must not be converted to a Mineral

  • Reserve. It is reasonably expected that the majority of the Inferred Mineral Resource could be upgraded to an Indicated Mineral Resource with continued exploration.

3. The Mineral Resources in this estimate were calculated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council. 4. Mineral Resources are exclusive of and in addition to Mineral Reserves. 5. Mineral Resource and Mineral Reserve cut-off grades are based on a 202 g/t silver equivalent for Guanaceví, 158 g/t silver equivalent for Bolañitos, 152 g/t silver equivalent for Villalpando Ascuncion ore zone of El Cubo and 218 g/t silver equivalent for Santa Cecilia ore zone of El Cubo, and 150 g/t silver equivalent for Terronera, El Compas, Guadalupe y Calvo and Parral Properties. 6. Metallurgical recoveries were 83.0% silver and 85.0% gold for Guanaceví, 84.3% silver and 87.7% gold for Bolañitos, and 87.0% silver and 86.7% gold for El Cubo. 7. Mining recoveries of 92% were applied for Mineral Reserve Estimate calculations. 8. Minimum mining widths were 0.8 metres for Mineral Reserve Estimate calculations. 9. Dilution factors for Mineral Reserve Estimate calculations averaged 26% for Guanaceví, 28% for Bolañitos, and 35% for El Cubo. Dilution factors are calculated based on internal stope dilution calculations and external dilution factors of 15% for cut and fill mining and 30% for long hole mining at Guanaceví, 28% and Bolañitos and 54% for long mining at El Cubo. 10. Silver equivalent grades are based on a 75:1 silver:gold ratio and calculated including only silver and gold. 11. Inferred Mineral Resources for Terronera includes the Terronera and Real Alto Area (Animas-Los Negros, El Tajo & Real veins). 12. The La Colorada structure (Parral) does not contain gold on an economic scale. 13. Price assumptions for Guanaceví, Bolañitos and El Cubo are US$17.26/oz for silver, US$1,232/oz for gold, US$0.82/lb for lead and US$0.90/lb for zinc. 14. Price assumptions for Terronera are US$18/oz for silver, US$1,250/oz for gold. 15. Price assumptions for El Compas are US$18/oz for silver, US$1,225/oz for gold. 16. Figures in the tables are rounded to reflect estimate precision; small differences generated by rounding are not material to the estimates

Godfrey Walton, M.Sc., P.Geo., President and COO of Endeavour, is the Qualified Person who reviewed and approved the technical information contained in these Mineral Reserve and Resource Estimates. A Quality Control sampling program of reference standards, blanks and duplicates has been instituted to monitor the integrity of all assay results. All samples are split at the local field office and shipped to ALS-Chemex Labs, where they are dried, crushed, split and 50 gram pulp samples are prepared for analysis. Gold and silver are determined by fire assay with an atomic absorption (AA) finish. The Mineral Resource Estimates for Terronera, El Compas and Parral were undertaken by Independent Qualified Persons Eugene Puritch, P.Eng., FEC, CET, Yungang Wu, P.Geo., and David Burga, P.Geo of P&E Mining Consultants Inc. Mr. Puritch has reviewed and approved the technical content of this press release with respect to the Terronera vein area, El Compas and new Parral. The Cometa property in Parral which is part of the Lead-Zinc portion of the table is based on a Technical report titled NI 43-101 Technical Report audit of the Mineral Resource Estimate for the Parral Project, Chuhuahua State, Mexico and filed Dec 15, 2010 and authored by William Lewis, B.Sc., Charley Z. Murahwi M.Sc. MAusIMM and Dibya Kanti Mukhopadhyay M.Sc. MAusIMM. This report is separate from the Parral Properties described by P&E Mining Consultants Inc. The resources on the veins (Animas-Negros, Tajo and Real) from the Terronera property were estimated as part of a 43-101 report authored by Michael J. Munroe dated March 27th 2014 and titled NI 43-101 Technical Report audit of the Mineral Resource estimate for the San Sebastian Project, Jalisco State,

  • Mexico. The San Sebastian project was renamed the Terronera project.
slide-55
SLIDE 55

Consolidated

  • nsolidated Mi

Mine ne Operat erations ions Table ble

55

Ore grades es (g/t /t) Recov

  • vered

ered ounces es Recov

  • veri

eries es (%) Cost t Analys ysis

Period Plant throughput (tonnes) Silver Gold Silver Gold Silver Gold Cash costs ($/oz Ag) AISC ($/oz Ag) Direct costs ($/tonne)

Q1 - 14 346,525 198 1.92 1,898,999 18,519 86.1 86.6 4.87 12.15 92.93 Q2 - 14 339,276 178 1.59 1,669,609 15,131 86.1 87.4 9.87 20.48 103.58 Q3 - 14 344,393 175 1.48 1,634,294 14,118 84.5 86.3 10.70 20.18 99.02 Q4 - 14 374,212 191 1.49 2,009,172 15,127 87.3 84.4 8.33 15.37 89.63 Total 2014 1,404,406 185 1.62 7,212,074 62,895 86.2 86.1 8.31 16.79 96.11 Q1 - 15 380,792 174 1.53 1,820,050 15,808 85.2 84.5 7.17 13.32 82.67 Q2 - 15 371,745 180 1.32 1,769,741 13,047 82.4 83.0 8.60 16.86 82.93 Q3 - 15 404,878 163 1.39 1,820,282 15,319 85.7 84.9 8.11 15.05 75.09 Q4 - 15 406,387 156 1.40 1,732,765 15,433 84.9 84.3 9.76 17.33 80.39 Total 2015 1,563,802 167 1.41 7,178,666 59,990 85.4 84.7 8.39 15.62 80.18 Q1 - 16 408,553 137 1.50 1,510,065 15,960 83.7 81.0 7.63 11.12 74.26 Q2 - 16 377,198 148 1.58 1,551,851 15,649 86.2 81.9 5.37 10.53 73.01 Q3 - 16 355,611 133 1.55 1,284,646 14,364 84.3 80.8 5.27 11.47 71.18 Q4 - 16 317,555 123 1.35 1,088.845 11,402 87.0 83.0 9.39 20.11 70.72 Total 2016 1,458,917 136 1.50 5,435,407 57,375 85.3 81.7 6.78 12.43 72.42 Q1 - 17 303,222 126 1.41 1,076,974 11,724 87.4 85.2 7.81 18.24 75.77 Q2 - 17 303,943 135 1.58 1,143,788 13,058 86.6 84.6 8.36 20.46 84.01 Q3 - 17 319,038 144 1.53 1,262,064 13,648 84.5 87 8.10 18.71 81.60 Q4 - 17 349,924 152 1.56 1,436,962 14,577 84.1 83.3 7.97 12.70 84.38 Total 2017 1,279,873 140 1.54 4,919,788 53,007 85.4 83.9 8.06 16.96 82.36 Q1 - 18 325,669 148 1.47 1,314,648 12,832 84.6 83.6 6.50 14.18 79.38 Q2 - 18 314,305 156 1.60 1,355,895 13,674 86.2 84.5 7.05 15.73 83.75

slide-56
SLIDE 56

Gu Guanaceví naceví Mine ne Opera erations tions Table ble

56

Ore grades es (g/t /t) Recov

  • vered

ered ounces es Recov

  • veri

eries es (%) Cost Analys ysis

Period Plant throughput (tonnes) Silver Gold Silver Gold Silver Gold Cash costs ($/oz Ag) AISC ($/oz Ag) Direct costs ($/tonne)

Q1 - 14 106,813 350 0.77 1,005,781 2,273 83.7 86.0 8.30 11.94 103.90 Q2 - 14 108,822 272 0.55 795,824 1,656 83.6 86.1 12.51 19.18 109.83 Q3 - 14 105,241 278 0.59 761,272 1,627 81.0 82.1 11.99 16.62 105.23 Q4 - 14 102,375 358 0.70 1,024,762 2,085 87.0 90.5 7.28 11.89 96.91 Total 2014 423,251 314 0.65 3,587,639 7,641 84.0 86.4 9.73 14.51 104.06 Q1 - 15 106,106 300 0.63 853,106 1,877 83.4 87.3 8.23 11.16 87.34 Q2 - 15 108,817 325 0.64 958,581 1,946 84.3 86.9 8.14 13.40 92.48 Q3 - 15 111,469 285 0.58 867,292 1,792 84.9 86.2 7.98 12.76 79.15 Q4 - 15 105,039 269 0.61 761,769 1,775 83.9 86.2 10.57 14.67 93.58 Total 2015 431,431 295 0.62 3,440,748 7,390 84.1 85.9 8.66 12.97 88.04 Q1 - 16 98,776 249 0.56 651,731 1,568 82.4 88.5 8.09 12.95 71.92 Q2 - 16 98,756 232 0.49 629,221 1,365 85.4 87.7 10.82 20.11 83.38 Q3 - 16 82,059 235 0.51 542,385 1,163 87.5 86.4 11.12 21.53 93.24 Q4 - 16 87,850 211 0.49 540,708 1,232 90.7 89.0 12.66 26.74 93.60 Total 2016 367,441 232 0.51 2,364,045 5,328 86.3 88.4 10.56 19.07 84.94 Q1 - 17 87,599 213 0.49 530,683 1,192 88.5 86.4 12.85 23.78 94.99 Q2 - 17 74,894 219 0.50 468,741 1,079 88.8 89.5 14.94 27.40 111.42 Q3 - 17 74,649 249 0.57 522,907 1,224 87.5 89.5 13.68 23.47 117.15 Q4 - 17 83,881 241 0.54 544,117 1,245 83.7 85.5 12.39 17.57 99.39 Total 2017 321,113 230 0.53 2,066,448 4,740 87.0 86.6 13.41 22.87 105.13 Q1 - 18 78,971 224 0.63 489,163 1,443 86.0 90.2 15.31 22.62 120.63 Q2 - 18 71,275 225 0.67 464,929 1,423 90.2 92.7 17.46 29.24 139.24

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SLIDE 57

Bol

  • lañitos

añitos Mine e Opera erations tions Table ble

57

Ore grades es (g/t /t) Recov

  • vered

ered ounces es Recov

  • veri

eries es (%) Cost Analys ysis

Period Plant throughput (tonnes) Silver Gold Silver Gold Silver Gold Cash costs ($/oz Ag) AISC ($/oz Ag) Direct costs ($/tonne)

Q1 - 14 142,412 144 2.72 572,851 10,640 86.9 85.4 (2.21) 3.85 85.27 Q2 - 14 142,370 152 2.47 623,898 9,980 89.7 88.3 1.20 9.70 93.04 Q3 - 14 137,683 149 2.20 588,159 8,588 89.2 88.2 2.93 11.75 87.98 Q4 - 14 145,408 148 2.03 611,271 7,900 88.3 83.2 5.64 9.44 83.58 Total 2014 567,873 148 2.36 2,396,179 37,108 88.7 86.1 1.94 8.70 87.44 Q1 - 15 136,076 139 2.30 521,117 8,421 85.7 83.7 0.17 5.74 74.00 Q2 - 15 106,148 131 1.72 376,305 4,982 84.2 84.9 4.82 13.80 70.89 Q3 - 15 109,124 105 1.95 300,988 5,397 81.7 78.9 7.68 14.40 70.17 Q4 - 15 103,878 90 1.88 251,363 5,166 83.6 82.3 8.09 18.15 72.31 Total 2015 455,226 118 1.99 1,449,776 23,966 83.9 82.3 4.31 11.79 71.97 Q1 - 16 137,128 94 2.33 334,569 8,449 80.7 82.2 (6.20) (3.55) 60.03 Q2 - 16 136,322 80 2.38 276,885 8,470 79.0 81.2 (7.08) (4.25) 63.94 Q3 - 16 132,686 76 2.30 255,350 7,875 78.7 80.3 (15.17) (11.16) 49.03 Q4 - 16 101,568 71 2.22 185,813 5,926 80.1 81.7 (4.87) 1.02 54.35 Total 2016 507,704 81 2.31 1,052,617 30,720 79.6 81.5 (8.37) (4.77) 57.07 Q1 - 17 94,351 66 2.40 168,723 6,218 84.3 85.4 (10.28) (3.82) 65.18 Q2 - 17 113,875 78 2.27 231,106 6,965 80.9 83.8 (4.78) 3.61 66.60 Q3 - 17 114,526 83 2.09 257,972 6,663 84.4 86.6 (0.52) 3.96 71.52 Q4 - 17 124,172 86 2.18 280,712 7,204 81.8 82.8 (2.73) 1.01 67.04 Total 2017 446,924 80 2.24 934,238 26,910 81.3 83.6 (4.00) 1.62 67.68 Q1 - 18 115,014 82 1.83 238,012 5,578 78.5 82.4 (2.77) 4.20 60.87 Q2 - 18 108,495 91 1.82 248,591 5,222 78.3 82.3 2.87 12.84 65.74

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SLIDE 58

El El Cub ubo Mine ne Opera erations tions Table ble

58

Ore grades es (g/t /t) Recov

  • vered

ered ounces es Recov

  • veri

eries es (%) Cost t Analys ysis

Period Plant throughput (tonnes) Silver Gold Silver Gold Silver Gold Cash costs ($/oz Ag) AISC ($/oz Ag) Direct costs ($/tonne)

Q1 - 14 97,300 110 2.01 320,367 5,606 93.1 89.2 6.27 27.66 92.08 Q2 - 14 88,084 103 1.44 249,887 3,495 85.7 85.7 22.71 52.07 112.88 Q3 - 14 101,469 102 1.42 284,863 3,903 85.6 84.3 23.10 47.46 107.56 Q4 - 14 126,429 106 1.51 373,139 5,142 86.6 83.8 15.73 35.05 90.70 Total 2014 413,282 105 1.59 1,228,256 18,146 88.0 85.9 16.40 39.49 99.89 Q1 - 15 138,610 113 1.46 445,827 5,510 88.5 84.7 13.24 26.44 87.61 Q2 - 15 156,780 112 1.51 434,855 6,119 77.0 80.4 12.59 26.56 84.14 Q3 - 15 184,285 124 1.54 652,002 8,130 88.7 89.1 8.48 18.48 75.50 Q4 - 15 197,470 131 1.57 719,633 8,492 86.5 85.2 9.45 19.96 77.65 Total 2015 1,563,802 119 1.52 2,288,145 28,634 88.3 86.5 10.56 22.15 80.60 Q1 - 16 172,649 108 1.38 523,765 5,943 87.4 77.6 15.87 18.11 86.91 Q2 - 16 142,120 156 1.56 645,745 5,814 90.6 81.6 5.21 7.20 74.51 Q3 - 16 140,866 128 1.46 486,911 5,326 84.0 80.5 9.16 11.60 79.20 Q4 - 16 128,137 103 1.24 362,324 4,244 85.4 83.1 11.65 19.62 68.01 Total 2016 583,772 136 1.41 2,018,745 21,327 87.4 80.6 10.09 13.32 77.88 Q1 - 17 94,351 111 1.31 377,568 4,314 87.2 84.5 8.52 20.00 70.12 Q2 - 17 115,084 137 1.60 444,031 5,014 87.6 84.7 7.95 21.60 83.38 Q3 - 17 129,863 137 1.60 465,351 5,803 81.4 86.9 6.37 17.95 78.13 Q4 - 17 141,871 157 1.61 612,133 6,128 85.5 83.4 8.78 13.56 90.69 Total 2017 511,836 136 1.55 1,919,102 21,357 85.8 83.7 7.93 17.80 80.90 Q1 - 18 131,684 161 1.65 587,473 5,811 86.2 83.2 2.93 11.22 70.81 Q2 - 18 134,535 171 1.92 642,375 7,029 86.8 84.6 2.09 10.08 75.13

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SLIDE 59

59 GROWTH WITH INTEGRITY 59

Sus ustai tainability ability Rep epor

  • rting

ting

  • 2012 – Endeavour started GRI 4.0 reporting
  • f its sustainability activities.
  • Every year, we go to our stakeholders

for feedback on a full range of interests, and every two years, we conduct a materiality review to rank what is most important both internally and externally to adjust our goals and programs.

  • Our reporting is based on the five pillars listed

below, with Governance as the foundation

2017 marks the 6th consecutive year that we’ve reported on our sustainability initiatives, including the last 5 under the GRI G4 guidelines.

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SLIDE 60

60

Who we are re and what at we do:

We find, build and operate quality silver mines in a sustainable way to create real value for all stakeholders Our goal is to continue growing to become a premier, low cost senior producer in the silver mining sector By aim to make a positive difference in people’s lives Doing what’s right and pursuing a sustainable approach to mining are core to building a successful enterprise Pursuing a philosophy of continuous improvement We Value e Integrity grity

Mission, ssion, Vi Vision, ion, Va Values ues

We recei eive e annual nual awards for the e way we do busine ness

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SLIDE 61

61

Cor

  • rpo

porate rate Gov

  • vernance

nance

GOVERNANCE Sustainability is supported by our executive team and is part of our governance structure RISK MANAGEMENT We assess and manage economic, social and environmental risks relevant to our business BUSINESS ALIGNMENT Our sustainability agenda is aligned with our core business, including operational, development and exploration activities, and relationships with suppliers STAKEHOLDER ENGAGEMENT We use a materiality assessment to identify and address the most important issues to our stakeholders VALUES AND POLICIES Sustainability is enshrined in our values and policies

Embedding Sustainability into

  • ur Organization
  • Corporate governance lays the foundation

upon which our business is built

  • Formalized our approach to doing business by

establishing our Board and Committee charters and policies on Ethical Code of Conduct, Anti-Bribery and Corruption, Whistle Blower, Disclosure and Advance Notice

  • Instituted over time policies on Health and

Safety, Environment, Community, Diversity and Sustainability

  • Commenced full GRI G4 sustainability

reporting, based on broad engagement with all stakeholders including shareholders, investors, bankers, analysts, employees, communities, ejidos, governments, union, church, contractors, suppliers, small-scale miners and media

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SLIDE 62

62

He Healt lth and nd Sa Safet fety

  • Because mining is a high risk industry,

employee health and safety is our #1 priority, governed by extensive safety policies and practices

  • Every employee goes through rigorous safety

induction, daily safety procedures, regular refresher courses, job site audits and each mine has award-winning first aid and mine rescue teams

  • We provide regular health programs for

employees including annual medical checkups, disease and occupational health tests, drug and alcohol tests, lifestyle and fitness counselling

  • In the communities, we work with state

governments to provide medical, dental, and

  • ptical services, and lifestyle and addiction

counselling During 2017, Endeavour supported a rescue effort following a Mexican earthquake:

  • Dispatched 12 members of our mine rescue team
  • Donated USD $100,000
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SLIDE 63

63

Ed Educ ucating ating & T Training ining Our ur Peo eople ple

  • Education and training are important to improving the quality of life in the local

communities

  • Endeavour sponsors university scholarships in Mexico and Canada, high school

scholarships in Mexico, and online courses to complete high school diplomas, technical and self-employment courses

  • We run mining skills training programs to teach young people, women and the

unemployed career skills like operating dump trucks, scoop trams, jumbo drills followed by job offers

  • During 2017, We increased learning activities by 48% over 2016 and launched new

learning programs

  • 52 hours of training per employee (up from 36 hours)
  • 23 hours of training per contractor (up from 16 hours)
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SLIDE 64

64

  • Investments are essential to generate economic impact and profits are essential to fulfil

community and sustainability objectives

  • Our most obvious positive economic impacts have been from investing in

 acquisition of properties, mines and plants  exploration to discover new orebodies in historic mining districts  development to open new mines and refurbish and expand old mines, plants and facilities  operations to create 1,700 employee jobs and 1,200 contractor jobs  direct economic impact on 8,100 people (3:1 ratio)  indirect economic impact on another 8,100 people such as suppliers and services; 99% in Mexico

  • During 2017, invested $40.7 million on employee wages and benefits, spent $66.2 million on

goods and services in Mexico and $16.5 million in taxes

Ec Econ

  • nomic
  • mic Im

Impact pact

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SLIDE 65

65

En Environmental ironmental Prot

  • tec

ection tion

  • Protection of our natural environment is paramount for Endeavour
  • We monitor dumps, tailings, water and energy consumption and emissions, waste

recycling and disposal and biodiversity

  • In particular, tailings management has been a hot topic recently but from day one we

have made major investments to upgrade our tailings facilities to North American standards – dry stack at Guanaceví, a unique drainage system at Bolañitos, and new facilities at El Cubo

  • We typically plant tens of thousands of trees and cacti each year, reclaiming areas

disturbed by Endeavour but also historic areas. In 2017, we planted nearly 44,000 trees to reclaim disturbed ground.

  • During 2017, we recycled and reused over 90% of water to reduce our reliance on fresh

water and achieved a 5% reduction in water consumption.

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SLIDE 66

66

Com

  • mmunity

munity En Enrichment ichment

  • We support our local communities in many ways to improve the quality of life, resolve

issues and build sustainable capacity

  • Endeavour donates our time, funds, food and gifts for cultural and religious celebrations; we

sponsor sports teams, kids camps and field trips, and an annual 10 km race to promote fitness; we help upgrade local buildings, schools, churches and roads

  • We also train locals and provide equipment for cottage businesses such as pastry making,

confections, jewelry, tourist gifts, clothing and mops

  • Our goal is to complete at least one legacy project at each community, from fresh water

supply, to proper sewage disposal, to new community buildings, to tourist mine

  • During 2017, we contributed US$517,000 to strengthen communities across Mexico &

Canada, hosted workshops to help employees acquire job ready skills, funded infrastructure projects including roads and bridges and launched scholarship programs.