REG - Anglo Asian Mining - Q1 2025 Production and Operations Review
14/04/2025 07:00
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RNS Number : 7849E Anglo Asian Mining PLC 14 April 2025
14 April 2025
Anglo Asian Mining plc
Q1 2025 Production and Operations Review
Production of 8,085 gold equivalent ounces, positive cash inflow of $1.0
million and first ore extracted from the new Gilar mine
Anglo Asian Mining plc ("Anglo Asian" or the "Company"), the AIM listed gold,
copper and silver producer focused in Azerbaijan, is pleased to provide the
following production, sales and operational review for the three months to 31
March 2025 ("Q1 2025", or the "Quarter").
Q1 2025 Production update
· The Company delivered total production of 8,085 gold equivalent
ounces ("GEOs") which is a significant improvement on last year when
production was partially suspended (Q1 2024: 2,548 GEOs)
· First full quarter of production since the environmental shutdown with
increases in production of each metal, and in particular copper:
o Copper production of 534 tonnes (Q1 2024: 54 tonnes)
o Gold production of 6,029 ounces (Q1 2024: 2,266 ounces)
o Silver production of 30,321 ounces (Q1 2024: 6,405 ounces)
Q1 2025 Sales and cash update
· Total gold bullion sales of 4,753 ounces at an average of $2,843 per
ounce (Q1 2024: 3,925 ounces at an average of $2,080 per ounce)
· An overall positive net cash inflow of $1.0 million due to resumption
of full processing during the Quarter
· The Group has maintained its strong focus on cash and cost control,
with net debt, including a $5.0 million advance from Trafigura, decreasing to
$13.8 million at 31 March 2025 (31 December 2024: $14.8 million)
· Inventory of $7.1 million at 31 March 2025 (31 December 2024: 4.0
million)
Operational highlights
· First full quarter of production since environmental shutdown in 2023
· First ore extracted from the Gilar mine in March, with full
production starting in May
· Encouraging progress made with the refurbishment of the Demirli
production facility
Anglo Asian CEO Reza Vaziri commented:
"I am pleased to report our first full quarter of production following the
restart of operations in the final quarter of last year. We produced 8,085
gold equivalent ounces, including 534 tonnes of copper, which is an
encouraging performance during the winter season. As a result of our careful
cash management, we are pleased to report an overall positive net cash inflow
of $1 million.
"This strong start to 2025 is very encouraging as we ramp up production and
execute our medium-term growth strategy to transition to a mid-tier, primarily
copper focused producer. Gilar entering full production in May will be another
key milestone and we are making important progress across our developmental
portfolio. I look forward to providing further updates in the coming months."
Note that all references to "$" are to United States dollars.
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have been deemed
inside information for the purposes of Article 7 of Regulation (EU) No
596/2014, which was incorporated into UK law by the European
Union (Withdrawal) Act 2018, until the release of this announcement.
For further information please contact:
Anglo Asian Mining plc
Reza Vaziri, Chief Executive Officer Tel: +994 12 596 3350
Bill Morgan, Chief Financial Officer Tel: +994 502 910 400
Stephen Westhead, Vice President Tel: +994 502 916 894
SP Angel Corporate Finance LLP (Nominated Adviser and Broker) Tel: +44 (0) 20 3470 0470
Ewan Leggat
Adam Cowl
Hudson Sandler (Financial PR) Tel: +44 0) 20 7796 4133
Charlie Jack
Harry Griffiths
Kristina Gaysina
Notes to editors
Anglo Asian Mining plc (AIM:AAZ) is a gold, copper and silver producer with a
high-quality portfolio of production and exploration assets in Azerbaijan.
The Company produced 16,760 gold equivalent ounces ("GEOs") for the year
ended 31 December 2024. Production was severely restricted in 2024 due to a
partial environmental shutdown but was fully restarted by the end of the year.
The Company's strategic plan for growth shows a clearly defined path for the
Company to transition to a multi-asset, mid-tier, copper and gold producer by
2029, by which time copper will be the principal product of the Company, with
forecast production of around 50,000 to 55,000 copper equivalent tonnes. It
plans to achieve this growth by bringing into production four new mines during
the period 2025 to 2029 at Zafar, Gilar, Xarxar and Garadag. The first of
these new mines, Gilar will start production in the first half of 2025.
https://www.angloasianmining.com/ (https://www.angloasianmining.com/)
Q1 2025 Production overview
· Gold production of 6,029 ounces (Q1 2024: 2,266 ounces):
o 5,758 ounces contained within gold doré
o 264 ounces in flotation concentrate
o 7 ounces from sulphidisation, acidification, recycling and thickening
("SART") processing
· Copper production of 534 tonnes (Q1 2024: 54 tonnes)
o 468 tonnes from flotation
o 66 tonnes from SART processing
· Silver production totalled 30,321 ounces (Q1 2024: 6,405 ounces):
o 8,212 ounces contained within gold doré
o 4,882 ounces from flotation processing
o 17,227 ounces from SART processing
Q1 2025 Sales overview
· Total gold bullion sales of 4,753 ounces at an average of $2,843 per
ounce (Q1 2024: 3,925 ounces at an average of $2,080 per ounce)
· Total concentrate sales of 2,030 dry metric tonnes ("dmt"), including
government share with a value of $3.6 million (Q1 2024: 71 dmt with a value of
$0.3 million)
Q1 2025 Financials overview
· Cash of $12.5 million ($7.1 million at 31 December 2024)
· Debt (excluding Trafigura concentrate prepayment) reduced to $21.3
million ($21.6 million at 31 December 2024)
· Net debt (including Trafigura advance) of $13.8 million ($14.8
million at 31 December 2024)
· Unsold gold doré and copper concentrate inventory at 31 March 2025
of $7.1 million
The Company mined the following ore during FY 2024 and Q1 2025:
12 months to 3 months to
31 December 2024 31 March 2025
Mine Ore mined Average Ore mined Average
gold grade gold grade
(tonnes) (g/t) (tonnes) (g/t)
Open pit 443,611 0.73 241,561 0.22
Gadir - u/g 167,121 1.58 12,325 2.21
Total 610,732 0.96 253,886 0.32
The Company processed the following amounts and grades of ore by leaching for
FY 2024 and Q1 2025:
Quarter ended Ore processed Gold grade of ore processed
Heap leach pad crushed ore Heap leach pad ROM Agitation leaching plant* Heap leach pad crushed ore Heap leach pad ROM Agitation leachingplant*
(tonnes) ore (tonnes) (g/t) ore (g/t)
(tonnes) (g/t)
31 March 2024 120,528 - - 0.68 - -
30 June 2024 110,225 9,698 - 0.59 0.52 -
30 September 2024 110,152 - 18,009 0.65 - 1.93
31 December 2024 79,835 - 128,387 0.53 - 1.54
FY 2024 420,740 9,698 146,396 0.61 0.52 1.58
31 March 2025 106,429 - 149,763 0.40 - 1.16
* includes previously heap leached ore.
The Company processed the following amounts of ore and contained metal by
flotation for FY 2024 and Q1 2025:
Quarter ended Ore processed Gold content Silver content Copper content
(tonnes) (ounces) (ounces) (tonnes)
31 March 2024 - - - -
30 June 2024 - - - -
30 September 2024 - - - -
31 December 2024 73,990 285 3,985 363
FY 2024 73,990 285 3,985 363
31 March 2025 159,694 535 9,516 729
The following table summarises gold doré production and sales at Gedabek for
FY 2024 and Q1 2025:
Quarter ended Gold produced* Silver Gold sales** Gold Sales price
produced*
(ounces) (ounces) (ounces) ($/ounce)
31 March 2024 2,259 1,512 3,925 2,080
30 June 2024 2,433 1,532 2,075 2,350
30 September 2024 2,955 1,979 3,220 2,497
31 December 2024 7,280 6,984 6,031 2,655
FY 2024 14,927 12,007 15,251 2,432
31 March 2025 5,758 8,212 4,753 2,843
Note
* including Government of Azerbaijan's share
** excluding Government of Azerbaijan's share
The gold and silver production from agitation and heap leaching for FY 2024
and Q1 2025 is as follows:
Quarter Gold Silver
ended
Agitation Heap Total Agitation Heap Total
leaching leaching leaching leaching
(ounces) (ounces) (ounces) (ounces) (ounces) (ounces)
31 March 2024 - 2,259 2,259 - 1,512 1,512
30 June 2024 - 2,433 2,433 - 1,532 1,532
30 Sept 2024 606 2,349 2,955 415 1,564 1,979
31 Dec 2024 5,231 2,049 7,280 5,006 1,978 6,984
FY 2024 5,837 9,090 14,927 5,421 6,586 12,007
31 March 2025 4,029 1,729 5,758 5,717 2,495 8,212
The following table summarises copper concentrate production from both the
Company's SART and flotation plants at Gedabek for FY 2024 and Q1 2025:
Concentrate Copper Gold Silver
production* content* content* content*
(dmt) (tonnes) (ounces) (ounces)
2024
Quarter ended 31 March
SART processing 89 54 7 4,893
Flotation - - - -
Total 89 54 7 4,893
Quarter ended 30 June
SART processing 77 46 5 4,809
Flotation - - - -
Total 77 46 5 4,809
Quarter ended 30 September
SART processing 19 11 1 1,336
Flotation - - - -
Total 19 11 1 1,336
Quarter ended 31 December
SART processing 34 17 2 3,549
Flotation 1,638 249 131 1,664
Total 1,672 266 133 5,213
2025
Quarter ended 31 March
SART processing 107 66 7 17,227
Flotation 2,965 468 264 4,882
Total 3,072 534 271 22,109
Note
* including Government of Azerbaijan's share.
Certain amounts for SART and flotation production may differ to those
previously disclosed due to final reconciliation of production.
The following table summarises total copper concentrate production and sales
for FY 2024 and Q1 2025. Note that sales of concentrates are initially
recorded at provisional amounts until agreement of final assay:
Concentrate Copper Gold Silver Concentrate
Concentrate
production* content* content* content* sales** sales**
(dmt) (tonnes) (ounces) (ounces) (dmt) ($000)
Quarter ended
31 March 2024 89 54 7 4,893 71 295
30 June 2024 77 46 5 4,809 260 1,002
30 September 2024 19 11 1 1,336 - -
31 December 2024 1,672 266 133 5,213 1,173 1,493
FY 2024 1,857 377 146 16,251 1,504 2,790
31 March 2025 3,072 534 271 22,109 2,030 3,616
* including Government of Azerbaijan's share
** excludes Government of Azerbaijan's share
Q1 2025 Financial review
The Group was overall cash positive in Q1 2025, generating $1.0 million of
positive cash flow. The Group also received an advance from Trafigura of $5.0
million in Q1 2025. Accordingly, the Company's net debt decreased from $14.8
million at 31 December 2024 to $8.8 million at 31 March 2025 as follows:
$million $million
1 January 2025 (14.8)
Revenue 17.5
VAT refund 0.2
Interest and other income 0.2
Operating costs (15.2)
Capital expenditure (1.4)
Debt servicing (0.3)
Inflow in Q1 2025 1.0
Net debt before Trafigura (13.8)
Advance from Trafigura 5.0
31 March 2025 (8.8)
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