Anglo Asian Mining Share Discussion Threads

[ferries5] 13/10/2016 20:12

From Proactive


A delay to the commissioning of a second mill hit Azerbaijan-focused gold miner Anglo Asian Mining Plc's (LON:AAZ) production in the third quarter but it repeated its full year gold production target.

Gold output in the period was down at 16,497 ounces compared to 19,375 ounces in the second quarter, while copper production came in at 485 tonnes, compared to 497 tonnes in the second quarter

The firm produced 33,899 ounces of silver compared to 52,214 ounces the previous quarter

[jeanesy] 13/10/2016 19:26

We are still due news about drilling. Hopefully that will happen before the end of the year !

[zhockey] 13/10/2016 19:04

Yep the story here is about reserves growth and not month to month production.

[ferries5] 13/10/2016 19:00

14/10/2015

Amsterdam Trade Bank - Agitation plant loan 29.6
International Bank of Azerbaijan - loan 12.8
Atlas Copco equipment finance loan 0.8
YapiKredit 0.9
Pasha Bank 3.7
Reza Vaziri 3.9
Total Loans 51.7
Cash on hand and at bank (0.7)
Net debt 51.0


13 /10/2016


Amsterdam Trade Bank - Agitation plant loan 19.7
International Bank of Azerbaijan - loan 8.2
International Bank of Azerbaijan - letter of credit 0.5
Atlas Copco equipment finance loan 1
YapiKredit 0.9
Pasha Bank 4.2
Reza Vaziri - director's loan 3.9
-----
total loans 38.4
Cash on hand and at bank (0.7)
--------
Net debt 37.7


+ Got the flotation plant producing . Sag mill running, new equipment purchased, electictiy supply almost complete.Water plant scheduled for completion April 2017. Some exploration work done.

All in all a good years work !!! Just need to get some more resources.

Also it is among the lowest gold producers in the world

[jeanesy] 13/10/2016 17:37

Only just got back in from work. Just rushed through reading the results. Forgive my ignorance but do we have the september production figures yet?

[bleepy] 13/10/2016 15:09

Net debt of $37.7m includes an additional loan of $900k by Pasha Bank($3.3m to $4.2m).

Actual debt reductions to creditors amounted to $6.3m.

Overall net debt offset by cash spend of €2.3m leaving net debt reduction of $3.1m.

[bsg] 13/10/2016 14:44

If they're keeping some gold back, they may feel gold is going under their hedge price?

[homebrewruss] 13/10/2016 14:24

@S0lis the FD mentioned that the local village had been electrified this year in a recent interview and they were connecting into that. This from their 12th September update:

'The Company has also entered into a $2 million contract for the construction and installation of a 35/6 kV 2x16 MVA electrical sub-station and associated overhead power lines to connect the Gedabek site to the national electricity grid. This will result in cleaner and cheaper electrical power at Gedabek, which up to now has been supplied by diesel generators. Work has commenced and the contractor has started construction of the electrical panel building and some of the pylons have been installed. It is expected that the work will be completed and power will be available from the electricity grid by the end of 2016. Once in operation, purchasing electricity from the grid compared to generating electricity using diesel generators will result in cost savings of approximately $1.8 to $2.0 million per annum.'

[cyberbub] 13/10/2016 13:27

The way they will hit the year end figures is if they can get the SART plant to produce 10k Oz in final quarter, rather than zero last quarter.Can any of the regulars here remind us of the reason why the SART contributed virtually zero in Q3?

[gog1981] 13/10/2016 12:20

Personally, I think the EV of c$63m is fair for a junior miner churning out excess cash of roughly $1m/month....about 5 years of operation.
Need a decent resource upgrade to get this baby flying.
Investor confidence wise, I think this quarter is the biggest yet. I lost a lot of trust when the company over promised and under delivered a few years ago, but slowly have begun to believe again due to a more open and fiscally aware CFO. I just hope they haven't bitten off more than they can chew in hitting those year end production numbers. Fingers crossed!!!

[pixi] 13/10/2016 12:20

I've just bought another 25,468 at 19.92p.

[celeritas] 13/10/2016 12:02

I'm also expecting costs to be lowered in the coming months as the new water system and connection to the grid are completed.

[pixi] 13/10/2016 11:58

The gold price jumped to $1260oz over China news. I won't be selling, it took me a wee while to accumulate 100K around 15-16p and I don't want to go through that again in a hurry.

[mattjos] 13/10/2016 11:42

Flushing out all the short term traders who just jumped on rising share price but know little about the company.All the more for us.Last chance sub-20p this am.Plain daft selling his, imo

[csmwssk12hu] 13/10/2016 11:36

Should finish up today miners in general rising from lows

[terropol] 13/10/2016 11:22

Looking forward to the connection to the grid... Not running generetaros will be a great help.

Brokers upped target price from 21p to 25p on todays news. With a BUY rating.
Exchange rate change Pound v Us$ taken in to account.

[bleepy] 13/10/2016 11:17

That $4m+ of unsold gold perhaps awaiting better price through Q4/16 and onwards.

So some prudent housekeeping being applied to gold sales, same goes across the board for Aaz.

[pixi] 13/10/2016 10:17

AAZ is my best performing investment in miners and there's a lot more to come here.

I liked bleepy's post about a record gold price in 2018. This gave a sober assessment compared to some other forecasters I've read.

As the gold price ticks up AAZ should be debt free by 2018.

[mattjos] 13/10/2016 09:55

Inevitable dip back to prove 19.8p resistance area is now acting as support as far as I am concerned

[cyberbub] 13/10/2016 09:52

Relatively low volume 'sell on news' today IMO.I can sell plenty in one go at 18.65 at the minute, but buying even 1000 shares is the full 20p.

[2sporrans] 13/10/2016 09:52

homebrwruss

Yup, the investments in infrastructure/plant will surely pay off in time.
I'd attributed some slowing of reduction in net debt to those but still expected it to come down more.