Anglo Asian Mining Plc · LSE:AAZ
Anglo Asian Mining — Proactive Investors Presentation (May 2016)
28 slides from Anglo Asian Mining's conference presentation, May 12, 2016
Slide 1: Anglo Asian Mining Plc Proactive Investors Presentation
Anglo Asian Mining Plc Proactive Investors Presentation 12 May 2016 Azerbaijan gold, copper and silver producer
Slide 2: Disclaimer
Disclaimer The information in this document is subject to updating, revision and amendment. This document neither constitutes nor forms nor should be constructed as constituting or forming part of any offer or invitation to sell or any solicitation of any offer to purchase or to subscribe for any se
Slide 3: Agenda
Agenda 1 Introduction to the Company 2 Company resources and reserves 3 Portfolio overview 4 Production and metal sales 5 New flotation plant 6 Outlook 3
Slide 4: Introduction to the Company
Introduction to the Company 4 4
Slide 5: Company overview
Company overview • AIM listed company producing gold, copper and silver in Azerbaijan • Production sharing agreement with the Government of Azerbaijan based on local oil industry model • Portfolio of production assets within Azerbaijan • Main property is the Gedabek mine site: • Main open-cast mine
Slide 6: Proven board of directors and senior management
Proven board of directors and senior management Khosrow Zamani * Governor John Sununu* Non-executive chairman Non-executive director • Former director Southern Europe and Central Asia of the • Chief of staff to President George H.W. Bush International Finance Corporation (“IFC”) • Former partner in
Slide 7: Shareholder information
Shareholder information Share price 7.875p Shareholders Market AIM Ticker AAZ Market capitalisation £8.81 million Shares in issue 112,661,024 Nominated adviser and broker S.P. Angel As at 05.05.16 1 Year Share Price Graph 7
Slide 8: Tethyan Tectonic belt - Prospective region
Tethyan Tectonic belt - Prospective region Gedabek, Gosha and Ordubad are located on the Tethyan Tectonic Belt - one of the world’s significant copper and gold bearing belts 8
Slide 9: Azerbaijan and location of Company portfolio
Azerbaijan and location of Company portfolio 1,962 square kilometre portfolio in Azerbaijan Gosha Gedabek Ordubad Soutely* *Occupied contract Gyzilbulakh* areas to develop when political climate permits Vejnali* • Azerbaijan is situated in south-western Asia, bordering the Caspian Sea between Iran a
Slide 10: Production sharing agreement
Production sharing agreement Production sharing agreement (“PSA”) with the Government of Azerbaijan - a revenue sharing contract modeled on Azerbaijan’s oil industry • Six contract areas • Each contract area entitled to a 15 year production period after notice of discovery. Can be extended up to 10
Slide 11: Company resources and reserves
Company resources and reserves 11 11
Slide 12: Gedabek resource
Gedabek resource 29% increase to JORC compliant gold resource of 1.45 million ounces of gold (measured and indicated) as at June 2014 Classification Tonnage Grades Contained metal Gold Copper Silver Gold Copper Silver tonnes g/t % g/t ounces tonnes ounces Measured 37,189,682 0.822 0.246 5.904 982,29
Slide 13: Gedabek ore reserves estimate
Gedabek ore reserves estimate JORC compliant ore reserves of 682,000 ounces of gold,102,000 tonnes of copper and 76,000 tonnes of recoverable copper as at 1 September 2014 In situ ore In situ grades Contained metal Recovered metal Reserve Au Cu Ag Au Cu Ag Au Cu Ag tonnes category g/t % g/t ounces t
Slide 14: Portfolio overview
Portfolio overview 14 14
Slide 15: Gedabek – The Company's main site
Gedabek – The Company’s main site • 300 square kilometre contract area in western Azerbaijan • Poly-metallic deposit which produces gold, copper and silver from an open-cast mine • Azerbaijan’s first recent gold mine – first pour May 2009 • Gadir underground mine co-located at Gedabek site – full ye
Slide 16: Gedabek – ore processing
Gedabek – ore processing Heap Agitation Flotation SART leaching leaching • Ore from Gedabek and Gosha is processed into gold doré and a copper and precious metal concentrate by various processes: • Heap leaching crushed ore (2009) – ore is heaped onto “pads” and irrigated with cyanide • SART (2010)
Slide 17: New Gadir underground mine at Gedabek
“Increasing the Life of Mine at Gedabek is paramount to long term production success and so we have successfully expanded to underground mining and development of the Gadir Adit” 17 New Gadir underground mine at Gedabek
Slide 18: Production and metal sales
Production and metal sales 18 18
Slide 19: Gedabek - Processing and production
Gedabek - Processing and production Quarter ended Amount of ore processed (tonnes) Gold grade of ore processed (g/t) Heap leaching Heap leaching Agitation Heap leaching Heap leaching Agitation (Crushed ore) (ROM ore) Leaching (Crushed ore) (ROM ore) Leaching Total FY 2014 530,717 815,152 597,102 1.2
Slide 20: Gedabek - Production and sales
Gedabek - Production and sales Gold Sales Copper Copper Silver Gold Produced Gold Sales Quarter ended Price Produced Concentrate Produced (oz) (oz) (US$) (dmt) Sales (dmt) (oz) Total FY 2014 60,285 50,615 1,267 784 1,316 31,177 31 Mar 2015 17,185 17,206 1,214 182 234 597 30 Jun 2015 18,739 16,088 1,
Slide 21: Gedabek – increasing production
Gedabek – increasing production FY 2016 FY 2016 Gold production target Copper production target 73,000 – 77,000 oz 1,700 – 2,100 tonnes FY 2015 FY 2015 Gold production Copper production 72,032 oz 969 t +19% +24% Compared to 2014 Compared to 2014 21
Slide 22: New flotation plant
New flotation plant 22 22
Slide 23: Flotation plant - increasing production
Flotation plant - increasing production Realises opportunity to increase copper production at low operating cost following the increase in copper reserves at Gedabek 90 tonne per hour flotation plant now built Built at low cost of $4.3m and within budget Q1 2016 – 251 tonne copper and 777oz go
Slide 24: Outlook
Outlook 24 24
Slide 25: Focused on returning to profitability
Focused on returning to profitability “Our objective is to return to profitability and build a mid-tier gold, copper and silver company focused in Azerbaijan and Caucasia” Continue to increase production – FY 2016 gold target of 73,000 to 77,000 ounces Flotation plant adds a new production stream –
Slide 26: Why Anglo Asian?
Why Anglo Asian? On track for Producing Low cost gold 73 -77,000 Entrepreneurial Record company with and copper with excellent production in FY established producer ounces of in-country 2015 and revenues gold - FY16 experience still growing production Turnaround underway to restore company to profit
Slide 27: Thank you
TƏŞƏKKÜRLƏR! THANK YOU! Cпасибо! 27
Slide 28: Contacts
Contacts Bill Morgan Chief financial officer email: Bill.Morgan@aimc.az T: +994 12 596 3350 20, 521 Yard Huseyn Javid Avenue Baku, Republic of Azerbaijan 28
Anglo Asian Mining — Proactive Investors Presentation (May 2016) on 6ix