AAM expects significant growth in gold, copper production in Azerbaijan in 2025

Anglo Asian Mining (AAM) forecasts gold production in 2025 at 28,000-33,000 ounces, Report informs referring to the company's message.

According to AAM, in 2024, actual gold production amounted to 15,073 ounces. Thus, in 2025, this indicator may grow by 1.9 to 2.2 times.

"2025 is a pivotal year for Anglo Asian as it begins to increase copper production with the opening of its new Gilar mine, and the Company expects that copper production in 2025 will be its highest ever," reads the message.

According to AAM, copper production this year is projected at 6,500-6,800 tons versus the actual figure for 2024 at 377 tons.

Thus, the growth in copper production by the end of the current year may be from 17.2 to 18 times. The forecasts are calculated based on the price of gold at $2,800 per ounce and copper at $9,000 per ton.

The company's turnover by the end of 2025 is projected to be within $110-125 million, EBITDA - within $45-55 million. Actual data for 2024 will be published in May.

"I am pleased to provide our 2025 production guidance of 28,000 to 33,000 ounces of gold and 6,500 to 6,800 tonnes of copper. Copper is now becoming an increasing important part of the Group's production. Our production in 2025 will be significantly increased compared to 2024, which was impacted by our partial shutdown. I am also pleased that the guidance for 2025 turnover is the highest annual turnover for the Group. 2025 will be a milestone year for the Company as we begin to ramp up our proportion of copper within our production portfolio, ahead of bringing the larger Garadag and Xarxar copper assets into production in the coming years," Anglo Asian CEO Reza Vaziri said in a press release.

The PSA contract was signed on August 21, 1997, and provided for the development of six deposits. Azerbaijan's share in the contract is 51%, Anglo Asian Mining PLC - 49%.

AAM owns the rights to develop eight contract areas in Azerbaijan, but is currently mining precious metals from two contract areas - "Gadabay" and "Gosha."