Anglo Asian Mining PLC (ISE:AAZ)

Anglo Asian Mining PLC (ISE:AAZ)


Share Price
127.50 p
Change
0 (0.00 %)
Market Cap
£145.85 m
Proactive Investors - Run By Investors For Investors

Anglo Asian Mining PLC RNS Release

Results of Helicopter-borne Geophysics Survey


RNS Number : 3253X
Anglo Asian Mining PLC
29 April 2019
 

Anglo Asian Mining plc / Ticker: AAZ / Index: AIM / Sector: Mining

 

29 April 2019

Anglo Asian Mining plc

Gebabek Contract Area

Results of Helicopter-borne Geophysics Survey

31 Highly Promising and Prospective Targets Identified

 

Anglo Asian Mining plc ("Anglo Asian" or the "Company"), the AIM listed gold, copper and silver producer focused in Azerbaijan, is pleased to provide a summary of the results from its successful helicopter-borne geophysics survey carried out in H2 2018 at its Gedabek Contract Area ("Gedabek"). A summary report of the geophysical survey methods and results can be found at http://www.rns-pdf.londonstockexchange.com/rns/3253X_1-2019-4-28.pdf and on its website www.angloasianmining.com/operations. A separate report has also been released today giving details of the results of other geological exploration at the Gedabek and Gosha contract areas in 2018.

 

Highlights

 

·     The helicopter-borne electromagnetic and aeromagnetic survey, a first for the Company and Azerbaijan, was completed over Gedabek and extended areas in H2 2018

·     Multiple, highly promising and prospective, mineral targets were identified:

25 targets favourable for epithermal and porphyry mineralisation

6 magnetic targets consistent with porphyry systems

·     Selection of the most promising targets and planning for their detailed investigation is now underway

·     The survey utilised the Z-Axis Tipper Electromagnetic system ("ZTEM") and a high sensitivity magnetometer - especially suitable for porphyry copper-gold and epithermal copper-gold-silver exploration

·     A total of 3,385 linear kilometres of geophysical data were acquired over the survey area

 

Anglo Asian Director of Geology & Mining, Stephen Westhead, commented, "The survey was a great success and the very encouraging three-dimensional results provided a significant number of potential copper and gold bearing targets. In total, it has identified 25 epithermal and six porphyry precious and base metal targets. We are now busy on the next stage of the work which is ranking the geophysical signatures by integrating the geophysics results with Company geological data to prioritise the exploration targets. Based on this work, the Company will follow-up with ground-based exploration techniques including drilling, on the most promising targets.

 

"It is an exciting stage in the Company's strategic development as we advance our exploration programme to fully realise the further potential across all our three contract areas. This survey is an integral part of that exploration programme and the excellent results represents good progress made towards our identified objectives and the further significant growth potential exploration can provide for the Company."

 

Background to, and summary results of, the airborne geophysical survey of Gedabek

A helicopter-borne electromagnetic and aeromagnetic survey, utilising the ZTEM survey system, was completed over the Gedabek and extended areas during H2 2018.  This is the first time this advanced survey method has been used in Azerbaijan. The ZTEM system is an innovative, airborne electromagnetic surveying system that uses the natural magnetic field of the Earth. The system is an excellent mapper of surface geology and is deeply penetrating and well-suited to rugged topography. This method is especially suitable for porphyry copper-gold and epithermal copper-gold-silver exploration. 

 

Epithermal and porphyry copper-gold deposits are typically associated with rock changing secondary processes, including metamorphism and alteration. These processes have profound impact on the magnetic and electrical properties of these deposits. In general, the magnetic properties of rocks increase with the metamorphic grade due to magnetite enrichment. The electrical resistivity tends to decrease due to oxidation and argilitisation, but it will increase with silicification. The introduction of hydrothermal alteration fluids within rocks can have a significant effect on both the magnetic and electrical properties of the rocks.

 

The Gedabek ZTEM survey was flown along traverse lines oriented in the East-West direction and tie lines oriented in the North-South direction. Traverses were spaced at 200 metres apart and tie lines, at 2,000 metres apart. The nominal electromagnetic sensor ground clearance was variable due to the terrain roughness, with 230 metres on average.  A total of 3,385 linear kilometres of geophysical data were acquired over the survey area. 

 

The three dimensional ("3D") magnetic inversion of the survey data and their interpretation results have given new insights into the distribution of magnetic properties within the survey area and have provided a new litho-structural map of the Gedabek property between the topographic surface and depths of approximately 1,500 metres.  The results revealed the presence of numerous conductive features characterised by either lower or higher resistivity values in contrast to host rocks. The conductive features may point to epithermal and porphyry copper-gold mineralization and related alteration zones. So too, the resistive features may indicate porphyry stockwork that could host base and precious metal mineralisation. Additionally, the magnetic inversion results revealed the presence of a number of circular and or oval-shaped features that may represent links to porphyry systems.

 

Following the integration of these results with other geological information, a number of targets favourable for epithermal and porphyry precious and base metal mineralization have been selected and are being analysed in more detail. Among these targets, 20 are associated with shallow-seated targets (about 300 metres) and five with deep-seated targets (greater than 500 metres). Additionally, six magnetic targets that may present links to porphyry systems have been delineated and selected for further investigation.

 

Competent Person Statement

The information in the announcement that relates to exploration results, mineral resources and ore reserves is based on information compiled by Dr Stephen Westhead, who is a full-time employee of Anglo Asian Mining with the position of Director of Geology & Mining, who is a Fellow of The Geological Society of London, a Chartered Geologist, Fellow of the Society of Economic Geologists, Member of The Institute of Materials, Minerals and Mining and a Member of the Institute of Directors.

 

Stephen Westhead has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Stephen Westhead consents to the inclusion in the announcement of the matters based on his information in the form and context in which it appears.

 

Stephen Westhead has sufficient experience, relevant to the style of mineralisation and type of deposit under consideration and to the activity that he is undertaking, to qualify as a "competent person" as defined by the AIM rules. Stephen Westhead has reviewed the resources and reserves included in this announcement.

 

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

 

**ENDS**

For further information please visit www.angloasianmining.com or contact:

Reza Vaziri

Anglo Asian Mining plc

Tel: +994 12 596 3350

Bill Morgan

Anglo Asian Mining plc

Tel: +994 502 910 400

Stephen Westhead

Anglo Asian Mining plc

Tel: +994 502 916 894

Ewan Leggat

SP Angel Corporate Finance LLP

Nominated Adviser and Broker

Tel: +44 (0) 20 3470 0470

Soltan Tagiev

SP Angel Corporate Finance LLP

Nominated Adviser and Broker

Tel + 44 (0) 20 3470 0470

Isabel de Salis

St Brides Partners Ltd

Tel: +44 (0) 20 7236 1177

Gaby Jenner

St Brides Partners Ltd

Tel: +44 (0) 20 7236 1177

 

Notes:

Anglo Asian Mining plc (AIM:AAZ) is a gold, copper and silver producer in Central Asia with a broad portfolio of production and exploration assets in Azerbaijan. The Company has a 1,962 square kilometre portfolio, assembled from analysis of historic Soviet geological data and held under a Production Sharing Agreement modelled on the Azeri oil industry.

 

The Company's main operating location is the Gedabek contract area ("Gedabek") which is a 300 square kilometre area in the Lesser Caucasus mountains in western Azerbaijan. The Company developed Azerbaijan's first modern operating gold/copper/silver mine at Gedabek which commenced gold production in May 2009. Mining at Gedabek was initially from its main open pit, which is an open cast mine with a series of interconnected pits.

 

The Company also operates the high grade Gadir underground mine, which is co-located at the Gedabek site. In September 2017, production commenced at the Ugur open pit mine, a recently-discovered gold ore deposit at Gedabek. The Company has a second underground mine, Gosha, which is 50 kilometres from Gedabek. Ore mined at Gosha is processed at Anglo Asian's Gedabek plant.

 

The Company produced 83,736 gold equivalent ounces ('GEOs') for the year ended 31 December 2018. Gedabek is a polymetallic ore deposit that has gold together with significant concentrations of copper in the main open pit mine, and an oxide gold-rich zone at Ugur. The Company therefore employs a series of flexible processing routes to optimise metal recoveries and efficiencies. The Company produces gold doré through agitation and heap leaching operations, copper concentrate from its Sulphidisation, Acidification, Recycling, and Thickening (SART) plant and also a copper and precious metal concentrate from its flotation plant. A second dedicated crusher line has been commissioned and is now in operation for the flotation plant to enable it to operate independently of the agitation leaching plant.

 

The Company has forecast metal production for FY 2019 of between 82,000 to 86,000 gold equivalent ounces ("GEOs"). Of the forecast production for FY 2019, between 28,000 to 30,000 GEOs is in the form of copper and gold flotation concentrate.

 

Anglo Asian is also actively seeking to exploit its first mover advantage in Azerbaijan to identify additional projects, as well as looking for other properties in order to fulfil its expansion ambitions and become a mid-tier gold and copper metal production company.

 

 

 


This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.
 
END
 
 
DRLSEDEDAFUSEFL

Anglo Asian Mining PLC Timeline

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use