Proactiveinvestors RSS feed en Mon, 11 Dec 2017 15:09:26 +0000 Genera CMS (Proactiveinvestors) (Proactiveinvestors) <![CDATA[News - Anglo Asian Mining highlights “extremely busy” period as it works to expand Azerbaijan mining projects ]]> Anglo Asian Mining Plc (LON:AAZ) chief executive Reza Vaziri on Thursday told investors that the junior miner has been “extremely busy” on the ground in Azerbaijan.

As production from the Gedabek mine has been ramping up and output has started at the Ugur open-pit, the company has turned its attention to exploration.

READ: Anglo Asian Mining reports rise in gold price as new mine comes online

Exploration work is taking place at Ugur, with a view to unearthing extensions to the known mineralisation in order to increase mining inventory.

A drill programme is also underway at Gedabek where the company is working to evaluate and optimise the mine plan ahead of the next mining season in early 2018 (extraction paused in the third quarter to allow development work and drilling to take place).

Additionally, the group highlighted that low-cost exploration work has also taken place at the Ordubad contract licence area and it has seen encouraging initial results with evidence of surface and underground gold and copper mineralisation.

Operations have also been undertaken at Gedabek to increase capacity, specifically the group has raised the tailings wall to make room ahead of the imminent upgrade to the second phase of the project.

READ: Anglo Asian Mining doubles daily production as Ugur mine starts production

Vaziri, in a statement, said: "We have been extremely busy on the ground in Azerbaijan in regards to exploration.

“We recently reported increased production for quarter three of 2017 with the commencement of mining at Ugur.

“Having spent time in 2017 optimising the extraction of gold and gold-copper ores from the Gedabek open pit, we now look forward to recommencing mining to contribute to production in the first quarter of 2018 with the enhanced knowledge of the mineralisation that these exploration activities will provide.”

Thu, 26 Oct 2017 07:42:00 +0100
<![CDATA[RNS press release - Exploration and Development Activity Update ]]> Thu, 26 Oct 2017 07:00:02 +0100 <![CDATA[RNS press release - British Ambassador to Azerbaijan visits Gedabek ]]> Thu, 19 Oct 2017 10:15:01 +0100 <![CDATA[News - Anglo Asian Mining reports rise in gold price as new mine comes online ]]> Anglo Asian Mining Plc (LON:AAZ) has announced a 19% rise in gold production thanks to the opening of mining at the Ugur open pit in September.

Gold production amounted to 14,468 ounces for the third quarter to September 30, while copper production totalled 550 tonnes and silver totalled 40,288 ounces.

READ: Anglo Asian confirms new JORC resource for Ugur

The company sold 9,287 ounces of gold bullion at an average price of US$1,286 per ounce, copper concentrate sales totalled 2,905 dry metric tonnes with the sales value reported at US$5.5mln.

For the nine months to September 30, the company reported a total of 48,276 gold equivalent.

“This has been an excellent quarter for Anglo Asian as the benefits of the strategic review earlier in the year are now being realised,” said Reza Vaziri, Anglo Asian chief executive.

READ: Anglo Asian Mining hails positive impact of optimisation initiatives

“The commencement of mining from Ugur in September is already having a very positive influence with gold production rising by over 2,300 ounces from the previous quarter.

“Anglo Asian expects a strong fourth quarter and finish to 2017 and I look forward to updating our shareholders on our progress."

Fri, 13 Oct 2017 07:29:00 +0100
<![CDATA[RNS press release - Q3 2017 Production Update ]]> Fri, 13 Oct 2017 07:00:01 +0100 <![CDATA[News - Anglo Asian confirms new JORC resource for Ugur ]]> Anglo Asian Mining Plc (LON:AAZ) has completed the latest round of its JORC (Joint Ore Resource Committee) resource work at the producing Ugur gold deposit on the Gedabek licence in Azerbaijan.

The JORC Mineral Resources Report and Ore Reserves Report reiterate the previously stated JORC resources and reserves of 199,000 ounces of gold and 1,049,000 ounces of silver for Ugur.

READ: Anglo Asian Mining hails positive impact of optimisation initiatives

This includes a measured plus indicated resource of 172,000 ounces of gold and 884,000 ounces of silver and proven plus probable reserves of 147,000 ounces of gold and 808,000 ounces of silver.

Production from Ugur commenced in early September 2017, utilising the processing facilities located at the main Gedabek site. 

READ: Anglo Asian Mining doubles daily production as Ugur mine starts production

The processing of ore from Ugur has significantly increased Anglo Asian's total average daily gold production in September 2017, which has doubled compared to the average daily production of the previous eight months from January to August 2017.


Mon, 02 Oct 2017 08:08:00 +0100
<![CDATA[RNS press release - Completion of Ugur JORC Resource ]]> Mon, 02 Oct 2017 07:00:03 +0100 <![CDATA[News - Anglo Asian Mining hails positive impact of optimisation initiatives ]]> Increased sales of copper concentrate partially offset reduced sales of gold bullion in the first half of 2017 at Anglo Asian Mining Plc (LON:AAZ).

The Azerbaijan-focused gold, copper and silver producer’s half-year results confirmed, as anticipated, increased copper and decreased gold bullion production due to optimisation and expansion initiatives undertaken during the period that will significantly enhance the long term outlook, Anglo Asia said.

READ: Anglo Asian Mining doubles daily production as Ugur mine starts production

Those optimisation activities and expansion activities, as expected, led to the company falling into the red in the first half of 2017.

Gold production reached 23,218 ounces, down from 33,837 ounces in the first half of 2016.

Copper production rose to 1,322 tonnes from 969 tonnes the year before.

Silver production dipped to 85,087 ounces from 90,782 ounces the year before.

Adding it all together, total production for the first half of 2017 was 28,489 gold equivalent ounces, down from 36,729 ounces the previous year.

Target production for the whole of 2017 expressed as gold equivalent ounces remains at between 64,000 and 72,000 ounces compared to 2016 actual total production of 72,304 gold equivalent ounces.

READ: Finishing touches being made as Anglo Asian gears up for Ugur production

First half revenue decreased to US$29.8mln from US$39.3mln due to lower gold bullion sales.

On the plus side, the all-in-sustaining-cost (AISC) of production per ounce of gold (including the government of Azerbaijan’s share) declined 20% to US$564 an ounce from US$703 an ounce.

Furthermore, production of gold as doré since the beginning of September has increased significantly with the commencement of mining from the Ugur asset.

The increase in precious metal prices seen last year continued into 2017, and the company sold its gold bullion at an average selling price of US$1,238 per ounce compared to US$1,230 per ounce in the corresponding period of 2016.

“The increase in the price of gold has accelerated since the end of June with the gold price now around US$1,300 per ounce. The increasing price of copper from its low of US$4,350 per tonne in January 2016 to its current price in the region of US$6,500 per tonne has also been very beneficial for the company given its increasing copper production,” noted Khosrow Zamani, non-executive chairman of Anglo Asian.

The loss before tax was US$1.3mln, versus a profit of US$3.5mln the year before.

At the end of June, the cash balance stood at US$1.5mln, up from US$1.4mln at the end of 2016.

Net debt had decreased to US$29.0mln from US$34.6mln at the end of December 2016.

Thu, 21 Sep 2017 08:32:00 +0100
<![CDATA[RNS press release - Interim Results ]]> Thu, 21 Sep 2017 07:00:02 +0100 <![CDATA[News - Anglo Asian Mining doubles daily production as Ugur mine starts production ]]> Shares in Anglo Asian Mining Plc (LON:AAZ) shot up 13% as the company said production has started at the Ugur open pit mine in Azerbaijan.

The mine is already making “a highly significant contribution to Anglo Asian's production”, the directors told investors on Wednesday morning.

The average daily gold production in the form of gold doré for the period from 1 to 10 September 2017 was 212 ounces, which is 116% higher than the average daily production for the previous eight months. This average daily production is expected to increase further as Ugur moves into full production.

The company is processing the Ugur ore only by agitation leaching. The Ugur oxide-rich ores do not contain copper and therefore the tailings of the agitation leaching plant are not treated by flotation.

READ: Anglo Asian Mining on track to begin mining Ugur gold deposit in fourth quarter

As a result, the flotation plant is free to process some 300 to 400 tonnes per day of mainly high sulphide stockpiled ore using its own mills.

This is another configuration of the company's processing facilities and again demonstrates the flexibility of the processing routes available to Anglo Asian, the company said.

“Progressing from discovery to production in a year is a significant achievement and underlines Anglo Asian's confidence that the Ugur deposit will be an important contributor to the company's future production,” said Reza Vaziri, Anglo Asian's chief executive.

"Bringing Ugur into production now, whilst we undertake the previously reported optimisation and expansion initiatives across our wider Gedabek licence area, will offset the anticipated decrease in gold production from our main Gedabek open pit due to the changing composition of the ore. With this in mind, we are pleased to reconfirm our production forecast of 64,000 to 72,000 of gold equivalent ounces in 2017 and building on this in 2018 and beyond," Vaziri said.

READ: Anglo Asian Mining back in profit as copper output doubles

Anglo's nominated advisor, SP Angel, said: "The team has done well in delivering a reserve/resource statement and commissioning mining operations at Ugur in a year since the discovery. Production start at Ugur lends confidence to the management team to reiterate annual production guidance supplying oxide ores to the agitation plant while Gedabek and Gadir operations go through a production review."

--- adds broker comment ---

Wed, 13 Sep 2017 09:23:00 +0100
<![CDATA[RNS press release - Commencement of Production from Ugur Open Pit Mine ]]> Wed, 13 Sep 2017 08:00:01 +0100 <![CDATA[RNS press release - Presentation at Conference of Metallurgists ]]> Mon, 11 Sep 2017 09:47:01 +0100 <![CDATA[Media files - Finishing touches being made as Anglo Asian gears up for Ugur production ]]> Thu, 17 Aug 2017 13:01:00 +0100 <![CDATA[News - Anglo Asian Mining boosted by reserves and resources upgrade at Ugur ]]> Shares in Anglo Asian Mining PLC (LON:AAZ) jumped by just over 5% in early trade to 24.5p following an update to the resource estimate for the Ugur gold deposit on the Gedabek licence area in Western Azerbaijan.

Ugur is now known to contain 199,000 ounces of gold and 1,049,000 ounces of silver, while the proven and probable reserves stand at 147,000 ounces of gold and 808,000 ounces of silver.

Ugur remains on track to commence production in September 2017, as mining and haulage of ore to the processing facility stockpile are planned to commence before the end of August 2017.

READ: Anglo Asian Mining on track to begin mining Ugur gold deposit in fourth quarter

"I am very pleased that the JORC total mineral resource estimate for Ugur of 199,000 ounces of gold is in excess of our initial estimates of 195,000,” said Anglo Asian chief executive Reza Vaziri.

“This mineral resource is a valuable addition to our mineral resources at Gedabek. Development work is continuing well and I look forward to reporting the first production of gold from the Ugur deposit which is targeted for next month."


Mon, 14 Aug 2017 09:14:00 +0100
<![CDATA[RNS press release - Ugur Gold Deposit - JORC Resource and Reserves ]]> Mon, 14 Aug 2017 07:00:03 +0100 <![CDATA[RNS press release - Total Voting Rights ]]> Mon, 31 Jul 2017 08:30:01 +0100 <![CDATA[RNS press release - Director Dealing ]]> Thu, 27 Jul 2017 16:30:01 +0100 <![CDATA[RNS press release - Issue of Equity and Director Shareholding ]]> Thu, 27 Jul 2017 07:00:03 +0100 <![CDATA[News - Anglo Asian Mining on track to begin mining Ugur gold deposit in fourth quarter ]]> Anglo Asian Mining Plc (LON:AAZ) said today the development of its Ugur gold deposit in Western Azerbaijan was on track for first production in the fourth quarter of 2017.

Drilling and assaying of samples from Uguar, located 3km from the company’s processing facilities at its Gedabek licence, have been completed.

A preliminary sectional estimate of Azeri classified reserves by the company shows about 195,000 ounces of in-situ gold.

Anglo Asian Mining said the completion of drilling expands the total resource at the Gedabek licence, providing “significant potential upside” to its future gold production.

The group plans pre-stripping of the top soil in late July followed by conventional shovel and truck haulage in the fourth quarter.

"Anglo Asian will have progressed from making our first exploratory drill-hole of the Ugur deposit to producing ore from an open pit mine in little over one year,” said chief executive Reza Vaziri.

“This is a testament to the speed at which the Company can react when presented with value accretive opportunities.”

The miner added that further exploration in the main Gedabek open pit mine was underway and it has completed 61 reverse circulation drill-holes at a total of 2,134 metres.

It has also completed 216 metres of a planned 465 metres tunnel between the Gadir underground mine and the down dip extension of the main Gedabek open pit.

Mon, 24 Jul 2017 11:48:00 +0100
<![CDATA[RNS press release - Ugur Gold Deposit Development & Gedabek Update ]]> Mon, 24 Jul 2017 10:33:06 +0100 <![CDATA[News - Anglo Asian Mining pushes up second quarter production at Gedabek ]]> Anglo Asian Mining pushes up second quarter production at Gedabek

Anglo Asian Mining Plc (LON:AAZ) produced 12,140 ounces of gold from its Gedabek mine in Azerbaijan in the three months to 30 June 2017.

Copper production for the second quarter totalled 716 tonnes, while silver production for Q2 2017 totalled 45,718 ounces.

In gold equivalent ounces, total production amounted to 14,775 ounces, up from the 13,779 of gold equivalent ounces produced in the first quarter.

The numbers take total production for the first half of the year to 28,554 gold equivalent ounces.

For the full year the company is targeting production of between 64,000 ounces and 72,000 gold equivalent ounces.


Mon, 17 Jul 2017 08:05:00 +0100
<![CDATA[RNS press release - Q2 and H1 2017 Production and Operations Update ]]> Mon, 17 Jul 2017 07:00:03 +0100 <![CDATA[RNS press release - Result of AGM ]]> Mon, 03 Jul 2017 07:00:01 +0100 <![CDATA[News - Anglo Asian set for year of consolidation as it explores and develops in Azerbaijan ]]> Azerbaijan-focused Anglo Asian Mining Plc’s (LON:AAZ) focus this year will be extensive exploration and production optimisation at the main open pit at Gedabek and the Gadir underground mines.

Production is also sent to start at the newly discovered Ugur gold ore body, chief executive Reza Vahiri told shareholders at its annual meeting.

“We are also testing a new configuration of the flotation and agitation leaching plants to give us added flexibility in processing.

“We have extensive stockpiles of ore which can now be processed whilst mining is temporarily paused during exploration and production optimisation.

“With this in mind, we have declared a production target for FY 2017 of between 64,000 gold equivalent ounces (GEOs) and 72,000 GEOs.” 

Fri, 30 Jun 2017 10:12:00 +0100
<![CDATA[RNS press release - AGM Statement ]]> Fri, 30 Jun 2017 07:00:04 +0100 <![CDATA[RNS press release - Posting of Annual Report & Notice of AGM ]]> Fri, 02 Jun 2017 09:30:02 +0100 <![CDATA[News - Anglo Asian Mining back in profit as copper output doubles ]]> Anglo Asian Mining Plc (LON:AAU) returned to profit and sharply reduced its outstanding debts on the back of higher copper production and a better gold price.

Sales of gold ounces dropped more than 16% to 53,281 ounces as Anglo ran into lower grades at its Gedabek mine in Azerbaijan, but the average gold price it received rose by US$92 per ounce.

Production of copper meanwhile doubled to 1,941 tonnes while silver production increased six-fold to 165,131 ounces.

The increase in copper and silver production, together with improved precious metal prices, boosted revenues to $79.2mln from $78.1mln.

Costs on an all in sustaining basis also fell to US$616 per ounce of gold from US$858 in 2015, which meant an operating profit of US$11.7mln compared to a loss of US$3.2mln.

Net debt reduced to US$34.6mln from US$49mln at the end of 2015.

Khosrow Zamani, chairman, said gold production would be lower again this year due to plant upgrades at Gedabek and underground development at Gadir, also in Azerbaijan.

This will be offset by increased production of copper, the production target for 2017 is  between 52,000 ounces and 58,000 ounces of gold and 2,000 tonnes and 2,400 tonnes of copper, which equates to a gold equivalent 64,000 ounces and 72,000 ounces compared to 72,304 ounces in 2016. 

Thu, 25 May 2017 07:49:00 +0100
<![CDATA[RNS press release - Full year results - 2016 ]]> Thu, 25 May 2017 07:00:07 +0100 <![CDATA[Media files - 'We're very pleased with how things are coming along' - Anglo Asian's Bill Morgan ]]> Tue, 09 May 2017 13:23:00 +0100 <![CDATA[RNS press release - New Corporate Presentation ]]> Tue, 09 May 2017 10:00:03 +0100 <![CDATA[News - Anglo Asian Mining set to bring new Ugur mine on stream later this year ]]> Anglo Asian Mining Plc (LON:AAZ) has completed the second phase of its drilling campaign at the Ugur gold deposit in Western Azerbaijan, where first production is planned for the fourth quarter of this year.

Anglo Asian’s 2017 production target remains in the range of 64,000 to 72,000 ounces of gold, but the source of this production will temporarily change as Ugur comes on stream: mining operations at the Gedabek open pit will simultaneously be scaled back till the end of the year to allow for a greater focus on existing stockpiles.

WATCH: Anglo Asian boss "very pleased with how things are coming along'  CLICK HERE: For a daily round-up of all the Proactive news

"As a result of the accelerated work programme conducted at Ugur over recent months, we are on track to deliver a JORC reserve and ore extraction plan in Q3 2017 - less than a year after the deposit's initial discovery,” said Reza Vaziri, Anglo Asian’s chief executive. 

“As a production company with multiple mines, both open pit and underground, the Ugur deposit will be an important new component of our evolving production portfolio. We look forward to seeing the results of our optimisation efforts in 2018 when full production recommences at Gedabek."

Ore production has also been stopped from the Gadir underground mine to allow development and exploration drilling.  Any ore mined from Gadir during this exploration development phase will be stockpiled for production in the fourth quarter.


Mon, 08 May 2017 07:54:00 +0100
<![CDATA[RNS press release - Ugur Gold Deposit Development & Strategy Update ]]> Mon, 08 May 2017 07:00:09 +0100 <![CDATA[News - Anglo Asian hails copper expansion ]]> Anglo Asian Mining Plc’s (LON:AAZ) hailed a doubling of copper production last year though it undershot its gold target.

Grade issues continued to affect the Gedabek mine in Azerbaijan and the miner produced 15,483 ounces in the three months to December.

That made just under 65,400 oz for the year or some 9% lower than 2015.

Anglo added it achieved a gold price of $1,227 per ounce for the final quarter and US$1,253 per ounce on average for the year

Copper production doubled though and chief executive Reza Vaziri said this was one of Anglo Asian’s achievements of last year.

Some 1,941 tonnes of copper were produced along with 165,000 oz of silver.

Vazari also noted the  connection of Gedabek to the national grid in Azerbaijan in November, which was a major development as it would cut energy costs at the mine significantly. 

Net debt at the year end was US$35.1mln, with Vazari extending his loan to the company for another year.

“Having made a gold discovery at Ugur, only three kilometres from our Gedabek processing facilities, we are excited to have commenced a significant exploration programme which is already yielding potential new sources of ore,” he added.

Shares rose 5% to 23.2p.

Tue, 17 Jan 2017 09:08:00 +0000
<![CDATA[RNS press release - Update re Director Loan ]]> Thu, 22 Dec 2016 10:00:02 +0000 <![CDATA[News - Anglo Asian says new oxide zone deeper than thought ]]> Anglo Asian Mining Plc’s (LON:AAZ) newly discovered oxide zone, Ugur, within its Gedabek licence area in western Azerbaijan, is deeper than originally thought.

Early results from a core drilling programme have indicated the depth of the oxide is 60m with significant expansion potential.

Six core drill holes have been completed totalling 1,221 metres and will continue based on a 40-metre grid system to allow for resource and reserve estimation.

Stephen Westhead, Anglo Asian’s director of geology, added:  "With core drilling results having determined a significant oxide zone containing gold, it is planned to continue core drilling on a grid in the central area to allow for three-dimensional modelling for resource and reserve estimation of this exciting prospect.

“In conjunction with this, we will also drill the flanks of the area targeted by surface alteration mapping to expand the gold potential.”

 Reza Vaziri, chief executive, added Ugur was only three kilometres from its processing facilities at the main Gedabek site, highlighting the clear strategic value of developing this deposit. 

Shore Capital noted that all of the early shallow drilling had been carried out utilising just one drill bit, which suggests the oxide material at Ugur is comparatively soft and not abrasive.

"That should mean minimal blasting and high comminution productivity. Preliminary bottle roll test work results yielded an average gold recovery of 87% with “low” cyanide consumption."

Shares dropped 11% to 20.38p.

--update for broker comment and share price --



Fri, 16 Dec 2016 07:38:00 +0000
<![CDATA[RNS press release - Significant Oxide Zone Drilled at Ugur Deposit ]]> Fri, 16 Dec 2016 07:00:07 +0000 <![CDATA[Media files - National grid hook-up 'a really good thing for us' says Anglo Asian Mining Plc CFO Bill Morgan ]]> Fri, 02 Dec 2016 10:46:00 +0000 <![CDATA[News - Anglo Asian Mining hooks up Gedabek to national grid ]]> Azerbaijan-focused miner Anglo Asian Mining Plc (LON:AAZ) said its Gedabek gold, copper and silver mine was now hooked up to the national grid, which is expected to result in annual cost savings of around $2.3mln.

Chief executive Reza Vaziri told investors the group could now expand production at Gedabek, unconstrained by the availability of electrical power.

"The diesel electrical generators at site will be retired from service but kept as backup, which will de-risk the operation to power outages," he said.

The miner added it had slightly reduced its 2016 gold production target to between 67,000 and 69,000 ounces from 69,000 ounces and 71,000 ounces due to recent lower grades coming from the Gadir underground mine and the move to a different power source.

Vaziri added: "Although we are reducing our full year gold production target by 2,000 ounces, the company's recent return to profitability will be now be further enhanced by the cost savings resulting from connection to the power grid and release of power constraints on our processing."

The payback of the total cost of the electrical installation ($2.1mln) is expected in around one year.

Wed, 30 Nov 2016 08:07:00 +0000
<![CDATA[RNS press release - Gedabek Connected to Power Grid & Operation Update ]]> Wed, 30 Nov 2016 07:00:07 +0000 <![CDATA[RNS press release - Grant of Options ]]> Mon, 14 Nov 2016 12:13:08 +0000 <![CDATA[RNS press release - Updated Presentation and AISC for Gedabek Mine ]]> Thu, 03 Nov 2016 09:00:01 +0000 <![CDATA[RNS press release - Second Price Monitoring Extn ]]> Wed, 02 Nov 2016 16:40:30 +0000 <![CDATA[RNS press release - Price Monitoring Extension ]]> Wed, 02 Nov 2016 16:35:18 +0000 <![CDATA[News - Anglo Asian finds new gold prospect at Gedabek ]]> Anglo Asian Mining Plc (LON:AAZ) says it has enhanced the future production potential at its Gedabek mine in Azerbaijan with the discovery of a new gold target.

The prospect was found 3 km north-west of the miner's agitation plant and heap leach facilities and has been called 'Ugur', which means 'good luck' or 'success' in Azeri.

Early testing after sampling and drilling has shown the oxide zone is amenable to leaching, with average gold recovery of 87%.

READ - Anglo Asian Mining on road to profitability

The firm said: "This prospect is very exciting given its close proximity to the Gedabek processing facilities and the initial positive drill and metallurgical testwork results."

Chief executive Reza Vaziri added that Ugur had the potential to add significantly to the group's gold resources and reserves and hence future production at Gedabek.

"Having recently returned to profitability, and following the completion of several operational initiatives to improve efficiencies and lower costs at Gedabek, I believe Anglo Asian is now well positioned to expand its mineable reserves which will lay the foundations for long term and sustainable production from multiple deposits at Gedabek."

Twenty reverse circulation (RC) holes were sunk for 360 metres, with highlights including  34 metres at 0.39 grams per tonne (g/t), including 13 metres at 0.83 g/t, and another hole, which showed 34 metres at 5.45 g/t.

Significantly, a further exploration target has been defined in the expanded Ugur area located about 1,500 metres to the south of the current Ugur drilling area.

Anglo Asian said an initial Phase II core drilling programme has now started to determine overall depth and style of mineralisation with a view to increase resources.

Last week, the firm revealed that a delay to commissioning of a second mill hit production in the third quarter but it repeated its full year gold production target.

Gold output in the period was down at 16,497 ounces compared to 19,375 ounces in the second quarter, while copper production came in at 485 tonnes, compared to 497 tonnes in the second quarter

The firm produced 33,899 ounces of silver compared to 52,214 ounces the previous quarter.

Shares gained 1.99% to 19.25p on the day.

Mon, 17 Oct 2016 07:39:00 +0100
<![CDATA[RNS press release - New Gold Discovery at its Gedabek Licence Area ]]> Mon, 17 Oct 2016 07:00:07 +0100 <![CDATA[News - Anglo Asian mills more but sees lower grade in third quarter ]]> A delay to the commissioning of a second mill hit Azerbaijan-focused gold miner Anglo Asian Mining Plc's (LON:AAZ) production in the third quarter but it repeated its full year gold production target.

Gold output in the period was down at 16,497 ounces compared to 19,375 ounces in the second quarter, while copper production came in at 485 tonnes, compared to 497 tonnes in the second quarter

The firm produced 33,899 ounces of silver compared to 52,214 ounces the previous quarter.

READ - Anglo Asian Mining on road to profitability WATCH - Anglo Asian Mining on track to hit production targets, says CFO

But chief executive Reza Vaziri said the miner, which continues to reduce costs, continued to make "solid progress".

"Whilst production during the period was impacted due to slightly later than anticipated commissioning of the second SAG mill, total tonnes milled during the quarter increased which partially offset the lower gold grades encountered.

"The utilisation of stockpiled sulphide ore as feedstock for the flotation plant is another positive development for Anglo Asian. The company continues with its cost reduction and sustainability initiatives, and the connection of the Gedabek site to the national power grid by the end of next month will be another milestone."

Anglo is targeting to produce a total of between 69,000 ounces and 71,000 ounces of gold for the year to December 31 and between 1,700 tonnes and 2,100 tonnes of copper.

Work on the electrical sub-station and associated overhead power lines is now substantially complete and it is expected the Gedabek mine will be connected to the national grid by the end of next month (November)

The water treatment plant is now being manufactured by the supplier and is expected to be installed at the beginning of the second quarter of 2017, with a target start-up date of end April 2017.

The water evaporation equipment is expected to be received and installed by the end of this year, the group added.

Thu, 13 Oct 2016 07:37:00 +0100
<![CDATA[RNS press release - Q3 2016 Operations & Production Update ]]> Thu, 13 Oct 2016 07:00:07 +0100 <![CDATA[News - Anglo Asian Mining back in profit as costs are squeezed ]]> Azerbaijan-based gold miner Anglo Asian Mining Plc (LON:AAZ) returned to the black in its latest half year as lower costs outweighed fewer ounces being sold.

Revenues for the six months to June were US$39.2mln (US$41.8mln), but Anglo Asian posted an operating profit of US$6mln (US$1.1mln loss) and a pre-tax surplus of US$3.5mln (US$4.1mln loss).

Sales of gold and silver bullion were US$34.1 mln which comprised 27,719 ounces of gold and 4,496 ounces of silver at an average price of US$1,230 and US$16 per ounce respectively.

Copper concentrate sales jumped to US$5.2mln.

Costs fell by 26% on average to US$546 (US$736) per oz due to lower mining and processing costs, higher by-product sales, i.e copper, and a dip in the value of the Azerbaijan currency.

Khosrow Zamani, chairman, said production in the third quarter had also been slower than anticipated and the full year target has been trimmed to 69,000 to 71,000 oz gold equivalent, but overall the picture was encouraging.

Net debt at the half year was  US$40.7mln. 

Mon, 12 Sep 2016 08:49:00 +0100
<![CDATA[RNS press release - Interim Results ]]> Mon, 12 Sep 2016 07:00:08 +0100 <![CDATA[News - Anglo Asian well placed to benefit in Azerbaijan, says SP Angel ]]> House broker and resource specialist SP Angel is upbeat on gold miner Anglo Asian Mining Plc (LON:AAZ) and has upgraded its rating on the stock to 'buy' from 'hold'.

It reckons better production, weaker currency and operational savings at its operations in Azerbaijan will drive Total cash costs (TCC) lower and impove free cash flow, which will in turn improve the balance sheet.

The broker has calculated a net asset value (NAV) for the company of US$43.3mln or 24p/share, which implies a 29% upside to the current share price (18.6p).

Analyst John Meyer reckons total gold and copper output will come in at 74,000 ounces for 2016 -  against management guidance of 73 to 77,000 ounces

The broker assumes that 2,200 tonnes of copper will be produced with production skewed towards the second half  of 2016 due to stronger throughput from the newly installed SAG mill.

The miner is forecast to report a significant drop in total cash costs driven by a 32% depreciation in the local Azeri manat through 2016 compared to 2015 and a 50% drop  against 2014, alongside stronger production and operational optimisation.

Total cash costs are expected to average $688 per ounce  and $598 per ounce in 2016 and 2017, respectively, compared to $821 per ounce in 2015.

That will translate into $19.8mln and $18.4mln in levered FCF (free cash flow), which comfortably covers  its loan repayment commitments to ATB of $10m per year during the period.

Mon, 01 Aug 2016 15:53:00 +0100