British company Anglo Asian Mining Plc. (AAM), which extracts gold, silver and copper in Azerbaijan, plans to start full-scale mining at the Gilar gold deposit in the Dashkesan region in May this year, Report informs referring to the company's message.
“The first ore was mined at the Gilar mine in March this year, and full mining will begin in May,” the report says.
Mining is carried out in "Zone 4" of the Gilar deposit, the reserves of which are estimated at 2.4 million tons of ore with a copper content of 1.47% and gold of 1.78 g/t. The company previously reported that it plans to gradually increase gold production at Gilar over the coming months to achieve a target production level of 50,000-60,000 tons of ore per month. In general, in 2025, AAM expects to mine about 400,000 tons of ore at the Gilar mine.
AAM also reported that it had unsold precious metals inventory of $7.1 million as of March 31, 2025. The company had cash on hand of $12.5 million (as of December 31, 2024 - $7.1 million), net debt of $8.8 million ($14.8 million as of December 31, 2024). The Gilar deposit is located in the Gadabay contract area, approximately 7 km from the company's processing facilities.
The deposit has a total mineral resource estimate according to the JORC standard of 54,000 tons of copper and 255,000 ounces of gold. According to the strategic growth plan, AAM plans to transform itself into a mid-tier diversified copper and gold producer by 2029. By this time, copper will become the company's main product with projected production of approximately 50,000 - 55,000 tons of copper equivalent. AAM intends to achieve this growth by commissioning four new mines between 2025 and 2029 at Zafar, Gilar, Kharkhar and Garadagh.
Anglo Asian Mining produces precious metals in the Gadabay and Gosha contract areas. The PSA contract was signed on August 21, 1997, and envisaged the development of six deposits. The share of Azerbaijan, which is represented in the contract by AzerGold CJSC, is 51%, while AAM's share is 49%. The company currently holds the rights to develop eight contract areas in Azerbaijan.
