Anglo Asian Mining Share Discussion Threads

[umd] 22/11/2015 19:07

Mattjos - Vaziri mentions 2016 PBT of $16m which to my mind takes no account of copper profits to reflect 20t per day for 2016. 80k gold at $300 say margin gives $24m gross profits. After overheads this gives c$16m mentioned. Do you see it differently? Is he being ultra conservative?

[cyberbub] 22/11/2015 19:05

Holy sh*t - 20 tons a day? Surely that must be a typo from 2 tons? If it was 20 tons of copper per day, and 70koz gold.p.a., then even at current low prices the share price should be at 50p double-quick??

[brasso3] 22/11/2015 14:53

Also look like they are expecting 13000 - 14000 oz of gold (Nov + Dec) to close the year out. Time to start looking forward now with this one to 2016. If gold and copper prices improve this looks ridiculously cheap now over a 12 month period.

[mattjos] 22/11/2015 14:25

At last! Public admission that Gedabek is predominantly a copper deposit with gold by-product & a simply huge increase in production now targeted for next year. 20t / day!October's production was from a plant not yet fully operational .. Not due to become fully operational for another 20-25 days. I am assuming that means by mid-December the crushers will be switched on in the new plant & that suggests they have proven up the circuit now

[mattjos] 22/11/2015 14:16

Baku, Azerbaijan, Nov.22By Azad Hasanli – Trend:Anglo-Asian Mining PLC (???) company plans to produce 80,000 ounces of gold in Azerbaijan in 2016, the company's director general Reza Vaziri told Trend.Based on the production sharing agreement 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'.Vaziri noted that the company plans to produce around 74,000-75,000 ounces of gold in 2015.??? doesn't expect to produce more than the abovementioned volume in 2015, as the development of Gadabay field is quite difficult, he added.Meanwhile, Vaziri said that if the gold production remains at the previous level by late 2015 and its price on the global market doesn't change, the company expects to get $2-$2.5 million worth profit in 2015."Otherwise we can end this year with losses," he said. "But if there are no serious changes, we expect to get $16 million worth net profit in 2016."AAM's revenues in the first half of 2015 stood at $41.8 million, or 27.8 percent more than in the same period of 2014.During the reporting period, its gross profit totaled $1.9 million, whereas the company suffered $0.8 million worth loss in Jan.-June 2014.The company produced 54,103 ounces of gold, 634 tons of copper with SART method and 10,916 ounces of silver in Jan.-Sept. 2015.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.TAGS:Anglo-Asian MiningReza Vaziri

[mattjos] 22/11/2015 14:14

Baku, Azerbaijan, Nov.22By Azad Hasanli – Trend:Anglo-Asian Mining PLC (???) plans to produce 20 tons of copper per day at the new flotation plant, the company's director general Reza Vaziri told Trend.He noted that the plant will start working at full capacity in 20-25 days.Based on the production sharing agreement 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'."Gadabay field is one of the most complex fields in terms of development," said Vaziri."Previously, we thought that it is a gold mine, but now we realize that it is primarily a copper deposit with a high gold content."The process of separating gold from copper is very difficult, he said.Moreover, this is the first field in the world, where their separation from the ore requires three different plants, according to Vaziri.It was earlier reported that AAM plans to produce 5,000 ounces of gold and 1,200 tons of copper at the new flotation plant in 2015.The new flotation plant will allow to increase the copper production.The company produced 54,103 ounces of gold, 634 tons of copper with SART method and 10,916 ounces of silver in Jan.-Sept. 2015.??? plans to produce 74,000-75,000 ounces of gold by late 2015.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.

[mattjos] 22/11/2015 14:11

Am downloading now

[on target] 22/11/2015 13:48

Costs about £1.20 per article. Any volunteers?

[brasso3] 22/11/2015 13:13

In 2015 we should average above 2 tonnes of copper per day. I would be surprised if we could reach 20 tonnes a day from the floatation plant. This article should find its way into the public domain soon.

[on target] 22/11/2015 12:53

About $35M worth of copper per annum then at today's very low price.

[ferries5] 22/11/2015 12:21

There are 2 articles on Trend but both subscription only.

Copper production to increase in Azerbaijan
Trend News Agency
Anglo-Asian Mining PLC (ААi2;) plans to produce 20 tons of copper per day at the new flotation plant, the company's director general Reza Vaziri told ...


Next year's plan for gold production in Azerbaijan revealed - Trend News Agency

hxxp://en.trend.az/business/economy/2459197.html

[cyberbub] 20/11/2015 16:28

Can't sell any at the moment....Real buy prices are 5.05p for 50k, 5.25p for 100k, 5.5p for 150k.Have a good weekend all.

[cordwainer] 19/11/2015 14:07

Looking forward on gold price, arguably supportive global risks going forward for at least a few months are Syria/Iraq, ongoing terrorism alert status, UK referendum / Brexit; beyond that global supply has started to plateau or shrink.

Dollar strength and expected fed and uk interest lift off balance these forces even though they aren't happening just yet.

hxxp://www.gold.org/supply-and-demand/gold-demand-trends

Talk of $800 gold seems premature. For example, I'd not be brave enough to short pog below about $1020 right now, if at all. Meanwhile the likes of Goldman Sachs often say one thing about gold and do the opposite.

[brasso3] 18/11/2015 18:27

From Azerbaijan new reports we already know the July to October production for AAZ:-

July - 207.4 Kg (6668 oz)
August - 185.5 Kg (5963 oz)
September - 171.4 Kg (5510 oz)
October - 208.5 Kg (6703 oz) *Floatation plant came online*

After three months of declining production which is normal from Gedebek (Q3) due to the seasonal change AAZ have increased production by 1200 oz last month (+22%). Impossible to say whether the total increase is solely due to the floatation plant but it would have been the main factor. Also not unreasonable to assume that it has yet to reach optimum performance as it has only been in operation for 7 weeks as of today.

For further comparison October 2014 production was 181.8 Kg (5845 oz).

[brasso3] 18/11/2015 15:50

The ABC news link:-

[captain_crash_and_burn] 18/11/2015 15:00

Thank you for posting the prod figures goldfund, much appreciated.

Another strong month for Anglo :)

I am probably bearish on gold at the moment but I'm still here as I just think this share price is completely ridiculous! I really thought as soon as the dumper had cleared out we would fly but this hasn't happened, really perplexed. I guess it might take until the next financial results come out before the market realises just how profitable this co. has become.

[piperpeter] 18/11/2015 14:14

If only we had posters as enthusiastic as you, Brasso, posting on the PPC thread.

;)

Pp.

[brasso3] 18/11/2015 13:11

As of end of October production running at 60,800oz with two months left in the year. looks like we will be towards the top end of the forcast (75,000oz)

54,100oz + 6,700oz = 60,800oz

[brasso3] 18/11/2015 13:00

Can we assume that the floatation plant contributed around 700 oz gold during its first month? At $100 costs per ounce that is a nice $700k profit for October just from the floatation plant?

[mattjos] 18/11/2015 12:50

Cyber .. Much more yet to come I would expect in the next year. Still very early days in the startup of the plant and they have not yet switched on the crushers to start on the sulphide ore.

[cyberbub] 18/11/2015 12:05

Approaching record volume and it's only noon...6700 ounces for Oct is very good, if maintained at those levels it's equivalent to 80,000 ounces p.a... It must be the new kit kicking in?

[cyberbub] 18/11/2015 10:44

Jbe I was just about to say the same!The reality here is that gold would probably literally have to drop below $800 to make the company struggle to maintain profitability (given the extra boost from the copper).Even with gold at the current prices, the company is probably on a p/e of barely 1. Now I know there is a lot of debt, but there doesn't seem any problem meeting the interest, and there should be enough cash available to repay the loans over time, reducing interest charges further, and converting debt value into equity value.Just my view.NAI

[jbe81] 18/11/2015 10:29

Earlier this year when there was a big sell off for no apparent reason the shares rebounded to 10p. Something similar would be nice.

[bsg] 18/11/2015 09:59

No. Looking to add but not yet.