Anglo Asian Mining PLC (AIM:AAZ, OTC:AGXKF) has said it aims to produce between 50,000 and 54,000 gold equivalent ounces in full-year 2023 (FY 2023), comprising 4,100 to 4,300 tonnes of copper and 30,000 to 32,000 ounces of gold.
The AIM-listed gold, copper, and silver producer based in Azerbaijan said the production guidance for FY 2023 includes 43,114 ounces of gold, 2,516 tonnes of copper, and 57,618 gold equivalent ounces. The gold equivalent ounces have been computed based on the budget rates, which incorporate the price of metal and the weight of metal equivalent to one ounce of gold, it added.
In a statement, Reza Vaziri, CEO of Anglo Asian, said: "2023 will be a critical year for Anglo Asian as we pivot the company towards copper. We remain focused on production in the short-term, creating value for our shareholders, as well as finalizing our medium-term growth strategy that culminates in our transition to a mid-tier production profile. We look forward to releasing this later this quarter."
Anglo Asian plans to transition to significant copper production in 2023 with the opening of its new Gilar and Zafar mines, alongside the delivery of the increased capacity of its flotation plant. Copper production is expected to increase by 63% to 71% while gold production is expected to decrease by 26% to 30%.
This shift aligns with the company's growing focus on copper and its response to the global decarbonisation agenda. Anglo Asian said it will reveal further details about its medium-term growth strategy and increased copper focus later in the current quarter.
The agitation leaching plant will operate mainly on gold-rich ore from Gedabek open pit and underground mines on a 'campaign basis', as there is a limited amount of ore suitable for agitation leaching at Gedabek, the company said. Additionally, it is more commercially advantageous to use the plant's crushing and grinding circuit to treat ore for the expanded flotation plant.
Copper-rich ore from the Gedabek open pit and Gilar ore will be used as feedstock for the flotation plant in 2023, while ore extraction from the Zafar mine will not be necessary to maintain the operation of the flotation plant at its maximum capacity during the year, Anglo Asian said.
In 2024, the company anticipates increased gold production, as the Gilar and Zafar mines will provide ore feedstock.