Management's goal is to become one of the five largest primary silver producers worldwide.

The flagship property is host to the Santa Cruz silver mine and the Porvenir silver mine, which are 51% owned by Endeavour, (with an option to purchase the remaining 49% by January 2008, by making 2 payments totaling US 1.3 million), plus a 100% interest in the Guanacevi processing plant. These assets are collectively known as the Guanacevi Mines Project and are located in the mineral rich State of Durango, Mexico.

Chairman Bradford Cooke, and President Godfrey Walton, (both experienced geologists), reviewed over 50 potential silver opportunities in Mexico, before deciding on this acquisition. . They chose Mexico because it is the world's largest silver producing country, has an attractive mining code, is substantially under-explored using modern techniques, is a member of NAFTA, and has a growing economy.

They selected the Guanacevi Project, because of the fact it was fully permitted and in production, it had a large modern processing plant, and the local geology was very attractive for exploration and development of new resources. In addition, the project was under-capitalized and operating at 10-15% of capacity, providing the opportunity for rapid expansion. Mexico has a 500 year history of silver mining, and with today's modern geological and geophysical methods new deposits are discovered on a regular basis.

The ore at both mines consistently carries grades in excess of 500 grams (15 ounces) of silver per tonne, plus small amounts of gold, lead and zinc. On June 27, 2006 the company reported drill hole DSC-16 with 673g/t silver, and 1.38 g/t gold over 21.5 meters!

The Guanacevi project is thought to have a resource potential in excess of 35 million ounces, which would give it a mine life of ten or more years, operating at the full capacity of the plant. As of the date of this report, Endeavour has reserves and resources that are compliant with NI 43-101, in excess of 14,000,000 ounces of silver, plus an additional 11,000,000 ounces that are not yet 43-101 compliant.

The mine is currently processing 600 tonnes per day, but the plant has a total capacity of up to 1,400 tonnes per day.

In 2004 Endeavour carried out an extensive exploration drilling program, which resulted in the discovery of a previously unknown silver deposit on the property. This deposit, the Porvenir silver mine, contains over 11 million ounces of silver, which is already being mined, and is the present source of the ongoing and increasing production. The other mine, the Santa Cruz, has a deposit of over 3 million ounces of silver and is presently undergoing exploration and development. A mining plan will be developed in the coming months with the objective of bringing the Santa Cruz back on stream in 2007. Prior to Endeavour's involvement in mid 2004, production averaged around 350,000 ounces of silver per year. Endeavour tripled production to one million ounces in 2005, is on schedule to increase this to 2 million ounces this year, and plans to produce 3.5 million ounces in 2007.

The Guanacevi silver district is one of the big five historic silver camps in Mexico, having produced an estimated 450 million ounces in the past. Management intends to continue to explore the rest of the property, while looking for other opportunities in the vicinity. Mexico's mining laws allow foreign companies to own up to 100% of mining properties, and the mining industry is a vital part of the Mexican economy. While laws can change, it is highly unlikely that the Mexican government would drastically change these laws anytime soon, as foreign expertise and funding are essential to the Mexican mining industry.

Good management is a critical element in the mining business. Experienced geologists and mining engineers are in great demand, and Endeavour has no less than 8, including some with over 30 years of experience.

During 2006, operations are projected to produce just over 2 million ounces of silver, at an average cost of $4.50 US per ounce, generating 9 million US dollars in net cash flow, (based on a conservative selling price of $9.00 silver). Management is actively pursuing the acquisition of a large land package in the area abutting Santa Cruz.

As well, CEO Bradford Cooke has forged an alliance with Industrias Penoles, one of Mexico's oldest and largest mining and smelting companies. (Penoles is a significant shareholder of Endeavour, and on July 25 2006, Endeavour announced Penoles had exercised 1 million warrants and now holds a total of 2 million shares). Through this alliance Endeavour expects to be able to acquire a number of promising advanced silver projects.

The company currently generates positive cash flow, has $37 million cash on hand, zero debt, and production is NOT hedged. There are 40.7 million issued shares, (50 million fully diluted), market cap is $128,000,000.00, ( fully diluted = $157,000,000).

This chart (courtesy www.stockcharts.com), for Endeavour is quite positive. The volume has been declining during the 3 months long correction, which is bullish. We notice an ABC bottom, right at the 200DMA. As price moves up and away from the C point, more and more buyers may be expected to bid up the stock price.

The case for higher silver prices has been made here at Gold-Eagle on many occasions, as all previous stockpiles are gone, including the 2.5 billion ounces once owned by the US government. Demand keeps on increasing, as new uses for silver are found, including: batteries, cell phones, computers, TV's, fridges, water filter systems, medical applications, and very recently, as a bacteria and odor-fighting material. Specialty retailer Sharper Image has just introduced a new line of plastic food containers that are imbedded with small particles of silver, which apparently keep food fresh much longer than conventional containers.

Endeavour trades on 3 exchanges: EDR:TSX - EJD:FSE - EDRGF:Pink

Contact:
Mr. Hugh Clarke, 1-877-685-9775
hugh@edrsilver.com
website: www.edrsilver.com