Anglo Asian Mining Share Discussion Threads

[celeritas] 15/8/2017 09:29

Gold doesn't need to go on a tear, over 1200 will do very nicely.

Look at the current cap, look at the area, look at the amount of plant in place, look at the years of experience working how best to extract gold, silver and copper.

AAZ is extremely undervalued by any standard.
You keep trying to convince yourself you've done the right thing by selling some time back but that nagging doubt you are wrong keeps you posting here.

[bleepy] 15/8/2017 09:25

What the company said just 3wks ago demonstrates their exploration strategy and management expertise.
This is what the experts said just 3wks ago....


2017 Exploration and Production Optimisation Update

Strategy
Anglo Asian is undertaking an extensive exploration and production optimisation programme during 2017 with the aim of creating future flexibility and growth at its Gedabek Licence. This programme will be achieved by utilising ore from the Company's extensive stockpiles for processing to maintain production while mining in the main open pit is temporarily suspended. The utilisation of ore stockpiles reduces the ore inventory of the Company and makes space available, if required, for future stockpiling of ore. Certain mining operations will be temporarily ceased to enable development exploration, optimisation and redeployment of equipment to other tasks. Mining in the Gedabek open pit was reduced during May 2017 until the end of the year and some of the Company's heavy earthmoving equipment is being redeployed for transporting stockpiled ore, construction of the infrastructure for the new Ugur open pit mine and raising the tailings dam wall.

The Company's strategy for 2017 is expected to have a positive impact on production starting from Q4 2017. In this quarter, the Company will be able to recommence mining in both the Gadir and Gosha underground mines. In addition, production will commence from the new Ugur open pit. These various sources of ore will enable the Company to quickly increase production and give it flexibility to optimise its processing strategy. The resumption of full production from the main open pit in Q1 2018 will further enhance the ability of the Company to increase production and give it additional flexibility in processing.

Surface and Gedabek Open Pit Exploration
Surface core drilling targeted to intersect the down dip extension of Gadir mineralisation comprised six drill-holes with a total of 2,640 metres of drilling. These drill holes intersected Gadir style mineralisation and confirm the extended resource potential.

H1 2017 work at the Gedabek open pit relating to production comprised the drilling of 61 reverse circulation drill-holes with a total of 2,134 metres. Sampling included 7,624 samples from bench drill-holes as part of the mining grade control and 1,213 mining block samples. The exploration and optimisation drilling commenced in June 2017 with two core drill-holes completed with a total of 357 metres and assay results are awaited. On completion of the condemnation drilling work at Ugur, an additional two core drill rigs and one reverse circulation drill rig will be redeployed to the Gedabek open pit area.

Gedabek Deep Mineralisation Study
Tunnelling from the Gadir underground mine to the down dip extension of the Gedabek open pit mineralisation has commenced. 215 metres of the planned 465 metres have been completed to date. It is expected that the tunnel will be completed by the end of August/early September 2017. This will allow the Company to assess the extent of the higher-grade gold mineralisation below the Gedabek open pit as found in exploration drill holes. The future project plan is to construct a tunnel following the mineralisation under the Gedabek open pit and to carry out underground fan drilling to assess the future underground mining potential. This work will also provide geotechnical data for assessing the rock characteristics for underground stability that would be used in mine design work. Data collected will be utilised to evaluate the future open pit to underground transition. The fan drilling work is planned for 2018.

Ore production has been reduced from the Gadir underground mine (from February 2017 until September 2017) to allow for development and exploration drilling. Any ore mined from Gadir during this exploration development phase will be mainly stockpiled for Q4 2017 production, however, 24,000 tonnes of ore were sent for processing during the six months to 30 June 2017.

[zhockey] 15/8/2017 08:57

Brasso, the challenge is finding economic deposits and they've been looking for years. No wonder Ugur was chosen as the name, I'm not sure such "good fortune" will be repeated any time soon.

Looks to me that the position is still just enough gold to pay off debt. Without massive investment in copper processing plant I can't see this going much above current levels.

Of course this could explode higher if gold goes on a tear, but I expect gold to sell off quite aggressively now.

[ilostthelot] 15/8/2017 08:36

hxxp://mailchi.mp/mpsecurities/diggers-and-dealers-2017-report?e=d381454527


Some nice analysis of the long term gold chart in the link which is mainly focused on Asx gold mines.

[brasso3] 15/8/2017 08:09

Nice update yesterday in line with expectations. They need to keep finding these small deposits now across their acreage. If you can bag 200k oz of reserves every 12 - 18 months that will soon add up.

The chart looking a lot more attractive too. I expect it will be past 30p in the next 4 - 6 weeks.

[mattjos] 14/8/2017 22:11

Getting the new Reza mine going while the weather is on their side is very sensible ... stripping won't take long. It's a predominantly mountainous region and will be shallow layer of top soil.We should now get a good 8-10 weeks of decent weather during which to haul a good stockpile to the processing plant at Gedabek which will also help bed-in the new road for the winter.Gives us options with regards blending with the high sulphide ore already stacked there & the exploration ore coming from Gadir.The 1mozs of silver at new mine is a nice turn up for us also.This company is cheaper now than it was 4 weeks ago. Buy now before the summer hols end & a wider audience clock the opportunity.

[bleepy] 14/8/2017 19:01

The ability and increasing focus toward copper processing bodes well with the aaz's copper mineralisation prospects.
We await results of Bittibulag exploration, one of their copper mineralisation prospects.

With debt reducing fast it would makes sense to add another crusher and extend the flotation process enabling higher copper production. We all know electric vehicle production is the way forward placing huge demand on copper.

We also have gold and silver mineralisation prospects, some already drilled including documented sources in the admin docs.

Thanks Mattjos for PDF link, the map shows huge potential for Aaz.

[bleepy] 14/8/2017 18:12

From header...Q4 17 - Resume mining from Gadir & Gosha

They have stated production from Ugur to start Sept, some weeks earlier than predicted.

Will they also resume mining from Gadir and Gosha in Sept instead of Q4/17.

They've already said that ore from Gadir tunnelling/exploration would be stored ready for restart thereby providing a low cost start contribution from Gadir.

Achieving the set target is being given a head start it would seem. The upper target of 72,000ozs equivalent would be great, exceeding it even better.

We'll soon know of earlier starts as Sept is just 2wks away.

[jbravo2] 14/8/2017 18:11

As catsick has alluded to. It's the profitability here that is key.
Anyone in doubt how good this is should read the full report.

So little waste to remove. It is soft rock. It isn't chemical hungry.
Hence very very cheap to remove and process as catsick posted.
The report also says AAZ analysis underrepresented the gold compared to independent ALS lab analysis. 0.83g/t vs 0.9g/t avg.

It is going to be a very very profitable 150,000oz minimum.

[mattjos] 14/8/2017 18:07

I see Ugur now officially renamed "Reza" .. :-)

looking at the accompanying pdf reference data is VERY interesting.



The Ugur exploration area much larger than I imagined & the new haul road from Gedabek processing site to new Reza mine takes us at least 50% of the way from Gedabek straight towards Bittibulag, by the looks of it.
It also goes straight through the Cholpan mineralisation ... we were drilling there in 2011:

"7,500m to be drilled in an area that borders the existing mine and will concentrate on an area underground at a depth of 200 to 350 metres - 5,000m completed to date;

· 7,000m of drilling at Maarif and other areas in the Gedabek Contract Area - 1,000m completed to date; and

· 3,000m of drilling at Cholpan, a highly prospective area in close proximity to the existing mine."

[bleepy] 14/8/2017 14:49

Ugur estimate exceeds forecasts, says Anglo Asian

By StockMarketWire | Mon, 14th August 2017 - 09:34

Anglo Asian Mining's initial resource estimate for the Ugur gold deposit at the company's Gedabek licence area in Western Azerbaijan has exceeded the company's initial expectations.

The group said this would provide significant upside to the current production from Gedabek.

Anglo Asian said Ugur was on track to commence production in September.

Chief executive Reza Vaziri said "I am very pleased that the JORC total mineral resource estimate for Ugur of 199,000 ounces of gold is in excess of our initial estimates of 195,000.

"This mineral resource is a valuable addition to our mineral resources at Gedabek. The mineral reserves of 147,000 ounces of gold, or over 70% of the total mineral resource, is also highly encouraging.

"Development work is continuing well and I look forward to reporting the first production of gold from the Ugur deposit which is targeted for next month."

[jaspoland] 14/8/2017 14:05

Bleepy, I'd imagine they will keep the guidance unchanged. Why increase it and then fail! Better to leave it as is and if it's exceeded all the better.

[bleepy] 14/8/2017 12:51

Anglo Asian's strategy to increase exploration activities at its Gedabek Licence alongside continuing production to optimise long-term profitable and sustainable production.
Ugur production will contribute to Anglo Asian's total gold equivalent target for 2017 of 64,000 to 72,000 ounces.


With Ugur start 6wks earlier than projected might prompt an upward revised target.


Under promise over deliver seems aaz's philosophy.

Still have exploration of Gadir underground mine and it's down dip extension leading beneath Gedabek open pit, Gedabek open pit exploration and fan drilling of Gedabek open pit to reveal what lies below. With a down dip tunnel from Gadir well underway, isn't that a clue as to what lies beneath Gedabek open pit. Why else drive a 450mtr tunnel toward it.

[zhockey] 14/8/2017 12:18

Robo, less than 150K oz is not great news IMO.

[goodgrief] 14/8/2017 12:06

Robo... I imagining the scene on the mole at Dunkirk!

[homebrewruss] 14/8/2017 12:05

Nice bowl on the chart here

[bleepy] 14/8/2017 12:01

Agreed Mattjos, Ugur was projected to start end of Sept when production target set. They are now starting to transport ore from mid Aug and processing from Sept, some 6wks ahead of projection.

[mattjos] 14/8/2017 11:44

At this rate, every chance of exceeding production target for the FY now

[robo15] 14/8/2017 11:36

Zhockey
You sound like a guy sitting on dock who has missed the boat !!!

[zhockey] 14/8/2017 11:32

JBE, what's the good news?

[mattjos] 14/8/2017 11:27

By the time we've finished the stacked ore & done 50% of Ugur, we'll be debt free

[jbe81] 14/8/2017 11:09

A few more blocks of shares should get taken out in the auction, heading to 30+p shortly.

[jbe81] 14/8/2017 11:05

Usually takes a few days for the good news to get noticed here and then there is a sharp rise in the sp