Anglo Asian Mining Plc · LSE:AAZ
Anglo Asian Mining — Investor Presentation (September 2018)
21 slides from Anglo Asian Mining's investor presentation, September 2018
Slide 1: Anglo Asian Mining PLC – Gold, copper and silver production in Azerbaijan
Corporate Presentation – September 2018 Anglo Asian Mining PLC Gold, copper and silver production in Azerbaijan
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: Group overview – operational
Group overview – operational • Established - listed on AIM since 2005 with first gold production in 2009 • Experienced board and strong management • Excellent relationship with Government and a very stable political landscape • Main site is Gedabek – three mines and processing facilities • Highly de
Slide 4: Group overview – production and financial
Group overview – production and financial • Growing production: 71,461 gold equivalent ounces (“GEOs) produced in 2017 and target of 78,000 - 84,000 GEOs in 2018 • Revenues of $72m and profit before tax $5.7m (FY 2017) • Currently has net cash (September 2018) • Low cost – all in sustaining cost of
Slide 5: Market information and investors
Market information and investors Market AIM Shareholder Analysis Ticker AAZ Share price 45p Reza Vaziri 28.69% Shares in issue 114,317,024 Governor John Sununu Market capitalisation £51.44 million 55.50% Limelight Industrial Developments Nominated adviser SP Angel Corporate Finance 9.39% Other direc
Slide 6: Directors and senior management
Directors and senior management Governor John Sununu* Khosrow Zamani * Non-executive director Non-executive chairman • Two terms Governor of New Hampshire, USA • Former director Southern Europe and Central Asia of the • Chief of staff to President George H.W. Bush International Finance Corporation (
Slide 7: Mining concessions (contract areas) in Azerbaijan
Mining concessions (contract areas) in Azerbaijan Gedabek: Location of the Gedabek Open Pit, Gadir Underground Mine and Ugur Open Pit Gosha: Location of the Gosha Underground Mine which is 50 kilometres from Gedabek Ordubad Exploration programme underway OCCUPIED TERRITORIES 6
Slide 8: Main Site at Gedabek
Main Site at Gedabek Ugur open pit Gedabek Gadir underground Main open pit mine 4.5 km road from Ugur to Processing facilities Gadir underground mine Processing facilities 7
Slide 9: Gedabek main open pit mine
Gedabek main open pit mine • Producing since 2009 • H1 2018 – 51,058 tonnes mined at an average grade of 0.96g/t of gold • Ore grades around 0.5 per cent. copper • 2017 and 2018 - extensive development underway • Objective to enhance current resource and reserves to prolong mine life 8
Slide 10: Gadir and below main open pit underground mines
Gadir and below main open pit underground mines • Producing since 2015 • H1 2018 – 45,359 tonnes mined at an average grade of 5.15 g/t of gold • Significant expansion potential and objective to establish a considerable JORC resource • 2018 - 7,500 metres of core surface drilling planned for both Gad
Slide 11: New Ugur open pit mine
New Ugur open pit mine • Discovered in Oct 2016 – production commenced in Sep 2017 • H1 2018 – 461,382 tonnes mined at an average grade of 1.32 g/t gold • H1 2018 - 31,282 ounces of gold produced as doré from mainly Ugur ores • JORC Total Mineral Resource of 199,000 ounces gold and 1,049,000 ounces
Slide 12: Ugur – JORC resources and reserves
Ugur – JORC resources and reserves Tonnage Gold Grade Silver Grade Gold Silver Mineral Resources (millions) (g/t) (g/t) (ounces) (ounces) Measured 4.12 1.2 6.3 164,000 841,000 Indicated 0.34 0.8 3.9 8,000 44,000 Measured and Indicated 4.46 1.2 6.2 172,000 884,000 Inferred 2.50 0.3 2.1 27,000 165,000
Slide 13: Processing and production
Processing and production COPPER AND GOLD GOLD DORÉ CONCENTRATE COPPER CONCENTRATE GOLD DORÉ GOLD DORÉ 12
Slide 14: Recent investments at Gedabek
Recent investments at Gedabek 13
Slide 15: FY 2017 & H1 2018 Production & Sales
FY 2017 & H1 2018 Production & Sales Production in gold equivalent ounces for Q1 2017 to Q1 2018 25,000 20,000 15,000 10,000 5,000 0 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Production and sales for FY 2017 and H1 2018 Gold & silver production and sales (doré) Copper & gold production and sal
Slide 16: Production sharing agreement with Government of Azerbaijan
Production sharing agreement with Government of Azerbaijan • Physical production shared with the Government who take delivery of gold • Government entitled to 51% of “Profit Production” Value of production less all operating and capital Profit Production cash costs incurred when production took plac
Slide 17: Financial performance
Financial performance Low cost producer – AISC $564 / ounce H1 2017 Net debt reduced by $32m (92%) from $35m at 1 January 2017 to $3m at 30 June 2018 FY 2017 FY 2016 $000 (except AISC) (to 31 December 2017) (to 31 December 2016) Revenue 71,806 79,184 Gross profit 14,981 16,414 Operating profit 9,222
Slide 18: FY 2018 Production target: 78,000 to 84,000 gold equivalent ounces
FY 2018 Production target FY 2018: 78,000-84,000 GEOs 78,000 to 84,000 gold equivalent +16% increase over 2017 ounces Metal FY 2016 (Actual) FY 2017 (Actual) FY 2018 (Target) Copper (tonnes) 1,941 1,991 2,100 – 2,300 Silver (ounces) 165,131 172,853 - Gold (ounces) 65,394 59,617 64,000 – 70,000 17
Slide 19: Exploration programme in 2018
Exploration programme in 2018 • First year of a three-year rolling programme of geological exploration of near mine, brownfield and greenfield areas • A total of around 43,500 metres of surface and underground drilling is planned • Airborne geophysics programme planned for the entire Gedabek contrac
Slide 20: Why invest in Anglo Asian?
Why invest in Anglo Asian? • ESTABLISHED – produced first gold May 2009 Anglo Asian is building • EXPERIENCED – highly qualified team with decades in the industry – directors and a long-term sustainable senior managers own 41% of the Company fully aligning them with shareholders • FIRST MOVER ADVANT
Slide 21: www.angloasianmining.com
Bill Morgan Stephen Westhead SP Angel St Brides Partners Chief Financial Officer Director of Geology and Mining Broker & Nomad Financial PR | IR bill.morgan@aimc.az stephen.westhead@aimc.az E:info@stbridespartners.co.uk T: +994 502 910 400 T: +994 502 916 894 T: +44 20 3470 0470 20 , 520 Yard www.an
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