Gold producer to complete exploration of II contract area in Azerbaijan in 2013

Business Materials 20 December 2012 15:11 (UTC +04:00)

Azerbaijan, Baku, Dec.20 / Trend, A.Akhundov /

Anglo Asian Mining plc, the Azerbaijani gold producer plans to complete work on the exploration of the Gosha contract area consisting of 300 square kilometres by late 2013, Anglo Asian Mining plc President Reza Vaziri told Trend on Thursday.

"We conducted the minimum work on this exploration and we plan to commission this deposit in the second half of 2013. By late 2013, we plan to produce about 15,000-20,000 ounces of gold at Gosha, as well as complete the exploration of the entire contract area. Specialists will offer proposals on the exploration programme by the end of this year," Vaziri said.

He said the company plans to produce up to 25,000 ounces of gold per year in this deposit.

"But this is only preliminary results. Upon completion of the exploration work, it is likely that the estimates of reserves will rise. Therefore by increasing our production capacity, we will be able to increase production," Vaziri said.

He said unlike Gedabey which is a copper deposit with gold reserves, Gosha is a gold deposit.

"Therefore, we do not expect large amounts of silver or copper in this deposit. The company intends to develop the deposit and turn it into a profitable small underground mine with a high gold content," Vaziri said.

In spring 2012, the Ecology and Natural Resources Ministry has approved an Anglo Asian Mining programme on the development and production at the Gosha gold deposit.

Anglo Asian Mining plc has owned the Gedabey gold deposit since 2009.