The British Anglo-Asian Mining company (AAM is the operator for the development of gold deposits in Azerbaijan) produced 2,548 gold equivalent ounces (GEO) of precious metals in the first quarter of 2024, Report informs, citing the company.
The production of precious metals in Azerbaijan decreased by 76.8% year-on-year.
At the same time, in January-March 2024, the company produced 2,252 ounces of gold in Azerbaijan (a decline of 66.6%), 54 tons of copper (a decline of 93.6%), and 6,410 ounces of silver (a decline of 71.6%).
During the reporting period, 2,245 ounces of gold (a decline of 62.4%) and 1,517 ounces of silver (a decline of 46.6%) were produced from the Gadabay deposit.
On world markets in the first quarter, the company sold 3,925 ounces of gold bars (a decline of 31.4%) at an average price of $2,080 per ounce. In the first quarter of 2023, the company sold gold bars at an average price of $1,895 per ounce, the company said.
In the first quarter of this year, the company produced 98 tons (a decline of 98.2%) of copper concentrate, of which it sold 71 tons (a decline of 93.8%) for $295,000 (a decline of 89.2%).
The company has unsold inventories of doré gold and copper concentrate totaling $2 million as of March 31, 2024.
As of March 31, 2024, the company had a net debt of $10.9 million and cash of $9.8 million.
The PSA type contract was signed on August 21, 1997, and provided for the development of 6 fields. Azerbaijan's share in the contract is 51%, while Anglo Asian Mining PLC got 49%.
The first gold mining began in 2009 at the Gadabay deposit, while silver mining commenced in 2010. In September 2013, the company began developing the Gosha contract area.