Anglo Asian Mining Plc (LSE:AAZ, OTC:AGXKF, FRA:A4A) is stepping up processing capacity at Gedabek and Demirli, betting relatively modest plant upgrades can lift recoveries and margins as it builds toward a bigger copper production profile in Azerbaijan.
At Gedabek, the company said a flotation plant upgrade is on course for completion by the end of April, with nine newly installed Imhoflot pneumatic flotation cells designed to process higher-grade ore from the Gilar mine and improve gold and copper recoveries.
The work cost about US$1.8 million, with Anglo Asian saying it should support margin enhancement and long-term profitability.
Wider site upgrades include an Energy Efficient Pulp Lifter system, an industrial shredder, a new licensed maintenance programme and planned fibre optic monitoring at the tailings dam embankment.
At Demirli, both the SAG mill and ball mill are now operational after a replacement gearbox shaft was fitted to the ball mill in the first quarter.
Anglo Asian also said bio-heap leach column tests are producing encouraging results, with copper recoveries of up to 78%, supporting further evaluation of bio-heap leaching as a future production route.
"Investing in our processing capacity is particularly important as we seek to maximise returns from expected increased production volumes in the years ahead while executing our growth strategy.
We also continue to make encouraging progress at our future Xarxar and Garadag projects, both representing important assets for Anglo Asian in the years ahead," said vice president Stephen Westhead.
The company said feasibility work is also moving forward at Xarxar and Garadag, with consultants expected to be appointed in the coming weeks.
Pilot mining studies are already underway at Garadag, while Xarxar ores are being prepared for copper bio-heap leach testing. A