Anglo Asian's Azerbaijan gold output rises 5%

10th April 2019 By: Reuters

TBILISI – Azerbaijan's leading gold mining company, Anglo Asian Mining, said on Wednesday its gold output rose 5% in the first quarter of 2019 to 17 245 oz.

London-listed Anglo Asian produces gold at Gedabek and other Azeri mines in a joint venture with the Azeri state in which the company holds 51%.

The company said its total production of gold-equivalent ounces (GEO), which includes other metals, rose 11% in the first three months of this year to 20 287 GEO from 18 307 GEO.

Copper output doubled to 513 t in January to March 2019, from 255 t in January to March 2018, while silver output rose to 51 295 oz from 40 583 oz.

Anglo Asian began production at Gedabek, the bigger of two mines it operates, in July 2009. It eventually plans to develop seven mines in western Azerbaijan, including Gedabek, with estimated gold reserves of 430 t in total.

"I am very pleased to report that over 20 metric tonnes of gold equivalent have now been produced since the company started operations at Gedabek in 2009," Anglo Asian CEO Reza Vaziri said in a statement.

The company's gold bullion sales in the first quarter totalled 13 121 oz at an average of $1 306/oz, down from 14 956 ozsold in the same period a year ago at $1 328/oz.

The company started a significant exploration programme at the end of 2016 after making a new gold discovery at Ugur, 3 km from its Gedabek processing facilities.

It produced 72 798 oz of gold in 2018, a rise of 22% from 2017. The company's total production rose 17% last year to 83 736 GEO.

The company forecasts total metal production of between 82 000 to 86 000 GEO in 2019.