Business
Operations and Corporate Upda
Operations and Corporate Upda.
About this update from Anglo Asian Mining Plc
[{"type":"text","content":"\n RNS Number : 1794D Anglo Asian Mining PLC 27 November 2009 \n \nAnglo Asian Mining plc / Ticker: AAZ / Index: AIM / Sector: Mining\n27 November 2009\nAnglo Asian Mining plc ('Anglo Asian' or 'the Company')\nOperations and Corporate Update\n\nAnglo Asian Mining plc, the AIM listed emerging gold producer, provides an operations update at its Gedabek gold/copper mine ('Gedabek') in Azerbaijan and announces a further US$3 million loan agreement with the International Bank of Azerbaijan ('the IBA') to provide working capital for the Company. \n\nThe Company produced and refined 1,562 ounces ('oz') of gold ('Au') and sold 1,332 oz Au during September 2009 and produced 2,875 oz Au and sold 2,508 oz Au during October 2009. Production was below management expectations due to difficulties encountered installing two new cone crushers and continued issues with the stacker that subsequently affected levels of ore on the leach pad. These difficulties were principally the result of unexpectedly high moisture content within the ore fed to the crushers; the Company is confident that, having identified this issue, the new stacker and crusher plant facilities as described below will enable more efficient operation of the plant in future.\n\nAnglo Asian anticipates producing 2,030 oz Au and selling 1,770 oz Au for the month ending 30 November 2009, which is broadly inline with management expectations. As a result, the Board is now forecasting Gedabek to produce 25,000 oz Au in its first full year of production to June 2010, the Company's first gold sales having been made in July 2009. This is below the Company's previous forecast of 50,000 oz Au. New initiatives to improve the processing plant's performance have and are being implemented, which the Board anticipates will increase the plant's running rate to an annualised 50,000 oz Au with effect from March 2010.\n\nImportantly, gold sales were completed at an average of US$997 per oz for September 2009 and US$1,037 per oz for October 2009, which were ahead of Anglo Asian's forecast projections. Given the current favourable gold market conditions, the Company believes that this trend will continue into 2010. \n\nDuring September and October 2009, 17,000 tonnes and 40,000 tonnes of dry...