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Expanding Silver Production,
Reserves and Resources inMexico
December 2010
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Cautionary Note: Forward Looking Statements
This presentation contains forward-looking statements within the meaning of the United States privatesecurities 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 notlimited to, statements regarding Endeavours anticipated future performance, including silver and goldproduction, reserves and resources, timing and expenditures to expand mine and plant capacities and developnew mines, metal grades and recoveries, cash costs and capital expenditures. Forward-looking statements orinformation 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 fromthose expressed or implied by such statements. Such factors include, among others: fluctuations in metal pricesand currency markets (particularly the Mexican peso, Canadian dollar and U.S. dollar); changes in national andlocal governments, legislation, policies, taxation, regulations; political or economic developments in Canada andMexico; management, operating or technical risks, hazards or difficulties in exploration, development andmining activities; inadequate insurance, or inability to obtain insurance; availability of and costs associated withmining inputs and labour; the speculative nature of mineral exploration and development, diminishing quantitiesor grades of mineral reserves as properties are mined; the ability to successfully integrate acquisitions; risks inobtaining necessary licenses and permits, and challenges to the companys title to properties; as well as thosefactors described in the section risk factors contained in the Companys most recent form 40F and AnnualInformation Form filed with the S.E.C. and Canadian securities regulatory authorities. Although the Company hasattempted 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 materiallydifferent from those anticipated, described, estimated, assessed or intended. There can be no assurance that anyforward-looking statements or information will prove to be accurate as actual results and future events coulddiffer materially from those anticipated in such statements or information. Accordingly, readers should not placeundue reliance on forward-looking statements or information. The Company does not intend to, and does notassume any obligation to update such forward-looking statements or information, other than as required byapplicable law. We Seek Safe Harbor.
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Introduction: Who is Endeavour?
Endeavour Silver Corp: One of North Americasfastest growing silver
mining companies
Producing Assets: Two high grade silver-gold mines in Mexico; Guanacevi
Mines in Durango State and Guanajuato Mines in Guanajuato State
Exploration Projects: Three district-scale properties hold substantial
discovery potential; San Sebastian, Parral and Arroyo Seco
Take-Over Bid: Just launched a Cdn$0.12 all cash bid for Cream Minerals
Ltd. for their main asset, the Nuevo Milenio property in Mexico
Strategic Goal: Become a top mid-tier (5-10 million oz per year) primary
silver producer within two years through organic growth and strategic
acquisitions
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Highlights: Why Own Endeavour?
4
Silver Leverage: 75/25 silver/gold and no base metals Mexico Advantage: Friendlyto mining, great exploration potential,
modern infrastructure, stable economy, low taxes
Quality Assets: Higher grade silver-gold ores
Strong Financials: Working capital June 30, 2010 = US$41.6 million
Good Liquidity: Recently added to S&P/TSX Small Cap Index
Experienced Management Team: 150 years in mining industry
Proven Track Record: 780% production growth in first 6 years Compelling Organic Growth: 50% production growth in next 2 years
Additional Acquisition Growth: Looking to find or buy mine # 3
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Share Capital: Leverage To Growth
Exchange Listings: EDR: TSX
EXK:NYSE-Amex
EJD: DB-Frankfurt
Shares Issued: 79.6 Million
Warrants/Options: 12.7 Million (adds $36.6 million) Fully Diluted: 92.2 Million
Share Price (Dec 1, 2010): US$ 6.40
Market Cap: US$ 509 Million
Daily Volume (3 months Avg): 1.6 Million Shares
Largest Shareholder: Fresnillo PLC 5%
5
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Silver vs. Gold: The Current Cycle
Silver typically lags gold, then plays catch-up, resulting in highlyleveraged investment opportunities. Silver: gold ratio - 49:1
6
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Highlights: 2010 Goals and Q3 Performance
Fifth consecutive year of record financial performance:
Sales revenue target: 30% growth (up 105% to $20.1 million in Q3/10)
EBITDA target: 50% growth (up 826% to $6.5 million in Q3/10)
Net earnings target: first full year of net profits forecast
Sixth Consecutive year of production growth:
Silver production target 3.1 million oz (up 20% to 797,054 oz in Q3/10)
Gold production target 15,000 oz (up 28% to 4,607 oz in Q3/10)
Silver equivalent production target 4.0 million oz (1.1 million oz in Q3/10)
Seventh consecutive year of reserve/resource growth:
Silver reserves/resources target 68 million oz (up 16% from 58.5 million oz in 2009)
Gold reserves/resources target 300,000 oz (up 10% from 274,000 oz in 2009)
Silver equivalent reserves/resources target 88 million oz (up16% from 76.3 million oz
in 2009)
d i il i
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Core Assets: Two Producing Silver Mines,Three Exploration Projects
Business Model:
Acquire under-explored mines inhistoric silver districtsthat are built,permitted and aboutto close
Invest the capital andexpertise needed todiscover new ore-bodies and re-openthe mines
Consolidate districtland-holdings andexpand silverresources, reservesand production Exploring historic silver mines
close to existing infrastructure
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Guanacevi: A Top 5 Mexican Silver District
District Highlights:
Located in the Sierra MadreOccidental gold-silver belt
Produced over 450 million ozsilver historically
Multiple silver veins span 10 km x5 km area
Classic epithermal ore-bodies in
Lower Tertiary andesites Accessed by paved state highway
4 hours NW of Durango City
On state power grid, ample labourand water available
Porvenir and Porvenir Dos Minesnow in production, two more
ore-bodies being developed in2010
District is ripe for consolidation toensure long mine life
Now drilling multiple high-gradeveins in San Pedro area
G i U d d M h i d
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Guanacevi: Underground, Mechanized,Ramp Access Mine
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Q3, 2010 Summary
Reserves/Resources:
P+P: 15.0 million oz Ag
M+I: 17.8 million oz Ag
Inf: 9.6 million oz Ag
Production: 585,000 oz Ag
1,545 oz Au
Throughput: 815 tonnes per day
Grades: 330 gpt Silver
0.8 gpt Gold
Recoveries: 74% Ag
83% Au
Operations: North Porvenir
Porvenir Dos
Porvenir Cuatro
Santa CruzPorvenir Norte is the largest mine
operating in the Guanacevi district
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Guanacevi: Upgrading the Plant
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Capital Projects:
Expand milling circuit
Expand leach circuit
Re-habilitate flotationcircuit
New Merrill Crowe circuit
New silver refinery
New lab, warehouse,
security Expand tailings pond
Expand crushing circuit(October 2010)
Currently operating at 775 tpd
Targeting 1000 tpd capacity in 2010
Expanded Crushing
Circuit
Expanded CCD Circuit
G i R /R
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Guanacevi: Reserves/ResourcesLongitudinal Section
Endeavour Discovered Five New Silver Deposits In Five Years
UnderDevelopment
UnderDevelopment
CurrentProduction
NORTH PORVENIR MINE SANTA CRUZ MINEORVENIR DOSORVENIR MINE CUATRO
G j t Th 2 d L t Sil
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Guanajuato: The 2nd Largest SilverDistrict In Mexico
District Highlights:
Located in the Sierra Madresilver-gold belt
Produced over 1.2 billion ozsilver historically and 5million oz gold
Three main vein systemsspan 20 km x 20 km area
Classic epithermal ore-bodies inLower Tertiary andesites
Accessed by all-weather road hour NW of Guanajuato City
On state power grid, amplelabour and water available
Cebada and Bolanitos Minesnow in production, new
ore-bodies recentlydiscovered
Now drilling multiple veins inBolanitos area
G j t U d d M h i d
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Guanajuato: Underground, Mechanized,Track and Shaft Access Mines
The Bolanitos Mines were operated by
Penoles from the 1970s to the 1990s
Q3, 2010 Summary
Reserves/Resources:
P+P: 1.6 Million Oz Ag
M+I: 4.3 Million Oz Ag
Inf: 7.7 Million Oz Ag
Production: 212,000 Oz Ag
3,060 Oz Au
Throughput: 560 tpd
Grades: 177 gpt Silver
2.5 gpt Gold
Recoveries: 72% Ag
75% Au
Operations: Bolanitos/Lucero
Cebada
Development: Lucero South
G j t O l T Y Old
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Guanajuato: Only Ten Years Old,600 TPD Plant Capacity
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Currently operating at 550 tpd
on a 6 day per week basis
Capital Projects:
Rehabilitate conveyors
Install new cone crusher
Re-configure flotationcircuit
New concentrate load-out
Expand tailings pond
New assay lab
New security building
G j t R /R
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Guanajuato: Reserves/ResourcesLongitudinal Sections
Currently Producing
Santa Maria
3785
Veta Madre, Mina Cebada
Under Development
Currently Producing
Vetas La Luz
NEW SOUTHLUCERO RAMP(UNDERDEVELOPMENT)
NEW VENTILATIONSHAFT (COMPLETED)
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Take-Over Bid: Cream Minerals Ltd.
Endeavour Silver has launched a Cdn $0.14 per share take-over bid for Cream
Minerals Ltd. after protracted discussions with them failed to result in anagreement
Cream is a junior exploration company with a portfolio of early stage exploration
properties in Canada and Mexico
Their main asset is the Nuevo Milenio silver-gold exploration property in NayaritState, Mexico
Nuevo Milenio reports a current NI 43-101inferred resource totaling 41 million oz
silver and 271, 000 oz gold, or 58 million oz silver equivalents
The acquisition of Cream Minerals is accretive to Endeavour, increasing our
silver equivalent resource oz per share by 75%
Even though Endeavour has some concerns about the veracity of the resource
estimate, we view Nuevo Milenio as having good exploration potential
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Cream Minerals: Nuevo Milenio Property
Nuevo Milenio is located 27 km South of Tepic in Nayarit State, Mexico and has excellent road
access, proximity to power, water, labour, airport and railroad
Several old mine workings confirm historic high-grade, underground mining and smelting by the
Spaniards until the war of 1810 but only minor gambusino mining since 1930
No modern exploration work until Cream drilled 64 drill holes in recent years, 25 holes returned
values of 200 to 500+ gpt silver equivalent over 2 to 5+ m widths
NI 43-101 resource estimate is 41 million oz silver + 271, 000 oz gold = 58 million oz silver
equivalents contained in 5.1 million tonnes grading 251 gpt silver and 1.66 gpt gold although we
have some concerns about the resource
Four main veins are surrounded by sheeted or stock-work veinlet zones measuring >50 m wide so good
potential for open pit mining of near-surface mineralization also
Bottle roll cyanide leach recoveries exceed 80% before optimization so good potential for heap or vatleach processing
Excellent exploration potential to expand known resources along strike and make new discoveries in
other veins
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Nuevo Milenio: Location and Access
Nuevo Milenio Fr1
Title # Mining concession
225967 Area 2560.063 Ha
OPAL MINES
Opal mineralization is found in the uppermost parts
of the Nuevo Milenio vein system
Nuevo Milenio: Multiple Prospect Areas
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Nuevo Milenio: Multiple Prospect AreasReady to Drill
Nuevo Milenio: Significant Vein Resources
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Nuevo Milenio: Significant Vein ResourcesAlready Drilled
Drilled(Inferred Resources)
Undrilled
Drilled(Inferred Resources)
Undrilled
Undrilled
Drilled(8 Holes)
Drilled(3 Holes)
Inferred resources based on 13,000 meters of
drilling in 64 drill holes
Undrilled targets have both open pit and
underground potential
Nuevo Milenio: Dos Hornos Vein
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Nuevo Milenio: Dos Hornos VeinLong Sections
DOS HORNOS VEIN
Segment 1
DOS HORNOS VEIN
Segment 2
Nuevo Milenio: Inferred Resources &
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Nuevo Milenio: Inferred Resources &Drilling Highlights
Company Drill HoleFrom To Length Ag Au AgEq*
m m m g/t g/t g/t
Dos Hornos 1
Cream DDH 02 - 06 108.5 120.5 12.0 148 0.47 177
including 114.5 116.5 2.0 316 0.91 372
Roca Mines NM-10-01 108.0 120.0 12.0 240 0.94 298
including 108.0 113.0 5.0 434 1.59 532
Dos Hornos 2
Cream DDH-07-32 86.0 103.8 17.8 84 0.73 130
including 99.8 103.8 4.0 289 1.44 378
Roca Mines NM-10-02 87.0 97.8 10.8 103 0.46 131
including 95.0 97.8 2.8 263 1.50 356Veta Tomas
Cream DDH 20 - 06 1 48.8 156.8 8.0 161 1.66 264
including 152.8 156.8 4.0 261 2.52 418
Roca Mines NM-10-03 155.5 165.3 9.8 32 0.94 90
Cream DDH-07-23 78.6 84.6 6.0 526 1.71 631
including 80.6 82.6 2.0 1,388 4.35 1,658
Roca Mines NM-10-04 82.4 86.9 4.5 1,299 4.27 1,564
Including 82.4 85.5 3.1 1,886 6.18 2,269
Once Bocas
Cream DDH-06-03 18.0 30.0 12.0 110 1.17 182
including 26.0 28.0 2.0 472 5.48 811
Roca Mines NM-10-05 18.3 30.5 12.2 91 0.50 122
including 26.6 28.1 1.6 568 3.33 774
and 247.0 248.5 1.5 227 0.71 271
Cream DDH-03-02 54.0 57.0 3.0 193 0.83 244
* Using 62:1 Ag:Au
DepositsWidth
mTonnes
Agg/t
Aug/t
Agoz
Auoz
Dos HornosSegment 1
4.70 1,235,036 165 1.50 6,552,239 59,400
Dos HornosSegment 2
4.06 746,528 202 1.77 4,847,216 42,390
Veta Tomas 5.09 1,246,163 351 1.28 14,070,467 51,344
Once Bocas 2.42 1,921,163 253 1.92 15,602,013 118,348
Total 5,148,889 251 1.66 41,071,935 271,482
INFERRED RESOURCES
(as of December 24, 2008)
Silver equivalent resources @ 62:1silver:gold ratio = 57.9 Million Oz
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Cream Minerals: Conclusions
Cream Minerals is an attractive albeit fully priced acquisition for
Endeavour
The acquisition is accretive, increasing Endeavours resources by
75% to 100 million oz silver and134 million oz silver equivalents
Assuming successful closing of the bid, Endeavour plans to fast-
track exploration over the next year, including infill drilling to
confirm the existing resources and step-out drilling to expand the
resources and make new discoveries
Reserves/Resources: Thirteen Year Mine Life
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0
10
20
30
40
50
60
70
80
90
100100
25
Reserves/Resources: Thirteen Year Mine-Lifeat 2010 Production Rate
Silver Equivalent Reserves and Resources (million ozs)
2004 2005 2006 2007 2008 2009 2010 (est) Target
Note: Silver equivalents based on 65:1 silver: gold ratio, base metals are not included
0
16
88
76
62
5346
GJTO
GCV
I
Silver Production: 640% Growth
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Silver Production: 640% Growthin First Five Years
Annual Silver Production (million ozs)
0
0.51
1.5
2
2.5
3
3.5
4
4.5
2004 2005 2006 2007 2008 2009 2010 (est)Target
GJTO
GC
VI
2.15
0.35
4.50
3.10
2.602.35
1.35
0.95
Mine Operating Cash Flow 380% Growth in
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Mine Operating Cash Flow - 380% Growth inPast 3 Years
Annual Mine Operating Cash Flow (million US$s)
2006 2007 2008 2009 2010 (est)
$3.5
$36.0
$21.3
$11.5
$8.0
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Increasing Margins: Decreasing Costs
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Relative Valuations: Silver Producers
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Adjusted Market Cap Per Oz Silver Reserves + Resources
Adjusted
Market Cap
Per
Oz
Silver
Production 0
50
100
150
200
250
300
350
400
0 1 2 3 4 5 6 7 8 9 10 11
GPREXK
SVM
HL
PAASCDE
SPM
HOCFR FVI
FRES
EXN
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Social Responsibility
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Endeavour Silver strives to improve the
quality of life for every employee and each
community in which it works by operatingin the most socially responsible manner.
Safety: Safety is a top priority. We
operate continuous trainingprograms, developed mine rescue
teams, hired new safety staff and
built a new safety buildings
Environment: We take care of the
environment. Every year we addgreen areas, plant trees, recycle
tailings water, and deposit mineral
waste in a responsible manner
Community: We care about our
people. Every year, we donate tolocal communities, promote
sustainable habits, support local
sport teams and town festivals
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Management Team: A Wealth of Experience
Bradford Cooke, M.Sc., P.Geo. - Chairman and CEO - Professional Geologist with30+ years experience in exploration management and financing including Shell,Chevron, Noranda and Canarc.
Godfrey Walton, M.Sc., P.Geo. - President and COO - Professional Geologist with30+ years mine exploration and development including Chevron, Hemlo Gold,Canarc, others
Dan Dickson, CA, CFO - Chartered Accountant with 7 years experience in audit andaccounting including 5 years with KPMG
David Howe, M.Sc., - VP, Operations - Professional Geologist with 20+ yearsexperience, primarily in Latin America, with Hecla, St. Ann Jamaica Bauxite
Barry Devlin, M.Sc., P.Geo. - VP, Exploration, Professional Geologist with 25+ yearsexperience in mine exploration and project management, including Hecla, USBorax, others
Hugh Clarke - VP, Corporate Communications, Communications specialist with 30+years experience in corporate finance, development, investor marketing andcommunications
Miguel Ordaz, Ing. - Projects Director and Legal Representative, Mexico, GeologicalEngineer with 30+years experience Mexican mineral exploration and minemanagement
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Board of Directors
Len Harris, P.Eng. - Director, Metallurgical Engineer - Former President of NewmontPeru responsible for development of the huge Yanacocha gold mine.
Geoff Handley, B.Sc. - Director, Geologist with over 30 years experience in globalexploration, acquisitions, planning, most recently Executive VP, StrategicDevelopment, Placer Dome
Rex McLennan, B.Sc., M.B.A.,-Director, Over 25 years industry experience includingCFO and Executive VP with Placer Dome Inc. until 2005
Mario Szotlender, B.IR. - Director, Businessman specializing in financing andmanaging new business ventures for numerous private and public companiesover the past 20 years
Ricardo Campoy B.Sc., Director, Over 34 years of experience in the mining andfinancial sectors, Managing Director of West LB mining team and co-founder ofMinerals Capital Advisory LLC
Bradford Cooke, M.Sc., P.Geo. - Chairman and CEO - Professional Geologist with30+ years experience in exploration management and financing including Shell,Chevron, Noranda and Canarc.
Godfrey Walton, M.Sc., P.Geo. - President and COO - Professional Geologist with30+ years mine exploration and development including Chevron, Hemlo Gold,Canarc, others
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Institutional Investors, Analysts Coverage
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Royce & Associates
Van Eck Associates
AGF Funds, Inc.
Fidelity Investments Canada
Pyramis Global Advisors
RBC Asset Management
Sprott Asset Management
BNS Asset Management
Ash Guglani & Tim Lee, Salman
Partners
Brian Quast, CIBC
Chris Thompson, Haywood
Thomas Tan, Euro Pacific Capital
Andrew Kaip, BMO
l
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Value Proposition
Our goal is to become one of the top mid-tier producers of silver(5-10 million oz per year)
Weve already grown silver production 7 fold in our first 5 years
(2.6 million oz in 2009)
Organic potential to significantly increase silver production over
next 2 years by expanding the mines and filling the plants
Acquisition potential to double silver production and attract
mid-tier silver market multiple
We have the core assets, management team, and share
structure to deliver out-performance
Endeavour offers excellent value compared to its peer group
i h
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EXK Price Chart - 2004 - 2010
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C U
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Contact Us
Endeavour Silver Corp.
Suite 301-700 West Pender Street
Vancouver, BC, V6C 1G8
www.edrsilver.com
Phone: 1-604-685-9775 Fax: 1-604-685-9744Canada and US Toll-Free: 1-877-685-9775
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