Anglo Asian Mining commences full-scale production at Gilar gold mine

British company Anglo Asian Mining Plc. (AAM), which extracts gold, silver and copper in Azerbaijan, announced on May 19 that it had begun full-scale production at the Gilar gold deposit, located in the Dashkasan district, the company said in a statement, according to Report.

"Ore is now being mined from the higher-grade zone 4 and the copper and gold grades of the ore are consistent with our mining plan. The ore will first be processed by agitation leaching to extract the gold as gold doré, then by flotation to produce a copper concentrate. The Company is targeting around 2,000 tons of ore being mined per day," the company noted.

Gilar is an important asset for Anglo Asian as it transitions to being a primarily copper mid-tier producer, with the mine expected to produce monthly production of 50,000 to 60,000 tons of ore following a steady ramp-up.

"We are delighted to announce that Gilar has now entered production. After years of exploration and development works, I wish to thank all the team for their hard work in delivering this achievement. With over 54,000 tons of copper and 255,000 ounces of gold confirmed, Gilar is set to play a crucial role in our strategy to transition to a mid-tier, primarily copper-focused producer," said Reza Vaziri, CEO of Anglo Asian.

First ore production at Gilar began in March of this year. Zone 4 reserves are estimated at 2.4 million tons of ore with a copper grade of 1.47% and gold grade of 1.78 g/t. Overall, AAM expects to produce approximately 400,000 tons of ore at Gilar in 2025. The Gilar deposit is located in the Gadabay contract area, approximately 7 km from the company's processing complex.

According to the JORC standard, the total mineral resources of the deposit are estimated at 54,000 tonnes of copper and 255,000 ounces of gold.

According to the strategic development plan, AAM intends to transform itself into a mid-tier diversified copper and gold producer by 2029. By that time, copper will become the company's main product, with projected production at the level of 50,000-55,000 tons of copper equivalent per year. The company plans to achieve these targets by commissioning four new mines between 2025 and 2029 - at the Zafar, Gilar, Kharkhar and Garadagh deposits.

Anglo Asian Mining extracts precious metals in the Gadabay and Gosha contract areas.

The PSA contract was signed on August 21, 1997, and provided for the development of six deposits. Azerbaijan, represented in the contract by AzerGold CJSC, owns 51%, while AAM's share is 49%. Today, the company owns the rights to develop eight contract areas in Azerbaijan.