Sign up UNITED KINGDOM
Proactive Investors - Run By Investors For Investors

Anglo Asian says new oxide zone deeper than thought

Early results from a core drilling programme have indicated the depth of the oxide is 60 metres
Picture of gold bars
Oxide zone goes down to 60 metres

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 --

 

 

View full AAZ profile View Profile

Anglo Asian Mining Plc Timeline

Newswire
January 17 2017

Related Articles

alkane-resources_zirconia-and-hafnium-concentrate-757.jpg
November 30 2016
The DZP is a large polymetallic resource containing zirconium, hafnium, niobium, yttrium and rare earths.
GoldPour_58ebf21f63b50.jpg
April 19 2017
With shares up in 165% in 2016, it was safe to say it was a comeback year for GORO.
Balmoral Resources opening up new gold zones in the Abitibi
May 03 2017
Balmoral has delivered a string of attractive exploration results from its Martiniere gold project on the prolific Abitibi gold belt

© Proactive Investors 2017

Proactive Investor UK Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use