Precious metals, copper production to increase in Azerbaijan

Business Materials 10 March 2015 19:08 (UTC +04:00)

Baku, Azerbaijan, Mar. 10

By Azad Hasanli - Trend:

Anglo-Asian Mining plc (ААМ) company, the gold producer in Azerbaijan will increase the production of precious metals and copper in the country, the message posted on the company's website March 10 quoted the company's Director General Reza Vaziri as saying.

It will be possible after the completion of the work on construction of a flotation plant for production of copper and precious metals, according to the message.

Vaziri said it is planned to commission the flotation plant in Q3 2015.

"Recent test work and engineering studies have shown that flotation should enable us to achieve much higher production of precious metal and copper than previously anticipated," said Vaziri.

The small scale flotation plant was originally designed as a pilot to treat different types of ore at a feed rate of up to 20 metric tons per hour, however, further engineering studies have determined that by the addition of an extra 6 large flotation cells, each of 50 cubic meters, the plant can be configured to treat 90 metric tons of ore per hour, said the message.

The company said that the main building structures have been installed and the installation of the cell stands is 40 percent complete.

The announcement about the creation of the flotation plants was made in October 2014.

Together with the cost of the new flotation cells, the revised design specification for the modified small scale flotation plant are expected to add an additional $1 million, revising its total cost from $3.7 million to $4.7 million.

The company produced 60,285 ounces of gold in 2014, which is 16 percent more than in 2013 (52,107 ounces).

Moreover, during the reporting period, the company produced up to 784 metric tons of copper, compared to 327 metric tons in 2013.

ААМ produced 31,177 ounces of silver as of 2014, or 53 percent less than in 2013 (65,939 ounces).

Based on the production sharing agreement (PSA) signed with Azerbaijani government in August 1997, Anglo Asian Mining PLC has the right to develop six fields in south-west of Azerbaijan: 'Gadabay', 'Ordubad', 'Gosha Bulag', 'Gizil Bulag', 'Vejnali' and 'Soyutlu'.

AAM and Swiss Industrial Minerals SA signed an agreement in May 2014 on selling cooper concentrate produced at Gadabay field.

The contract signed for the period of three years envisages the purchase of copper concentrate by the Swiss company.

Industrial Minerals will purchase both dry and wet copper concentrate.

The gold produced at the fields is sent to Switzerland for purification. The ingots are delivered to Azerbaijan and stored in the government's account.

Edited by CN


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