Anglo Asian Mining Share Discussion Threads

[friendzarin] 22/2/2018 20:10

Matt/JB

One thing that has always struck me about Ordubad is its landlocked position which is not bordering Azerbaijan.It’s borders ( (rather stating the obvious) are Iran Turkey and Armenia. Surely access and development costs are a factor. Azergold must have a plan though I can’t find any clue to this. Do you have any background on how developing Ordubad might work ?

[mattjos] 22/2/2018 20:03

ah wrighty :-) .. I see you have been one of the sellers. Sensible enough strategy from your perspective but, most of those 100k snaffled yesterday in one single transaction at 42p so, a keen buyer taking your stock on.

Exactly what we want to see .. fresh hands taking on stale stock, in readiness for the next step up the staircase towards sensibility.

It's just the way it works. AAZ is a stock that seems, if you watch it minute by minute, it will disappoint but, if you give it a few days unobserved, it makes progress & seems to prove that:
" A watched pot never boils "

[jeanesy] 22/2/2018 18:47

By lots of posts to read tonight ! How could you possibly forget me the 'worrier' Jbravo ?!

[mattjos] 22/2/2018 18:46

It's as well to understand the history ... in the early days AAZ was just an explorer with little cash. They cast about over their area and were really looking for a quick-start & low cost resource from which to get a cashflow.

Originally they believed Ordubad was the start point and purchased a second-hand CIL plant from Australia but, as the drilling programme proved, Ordubad was not suitable as a low-cost production start point, whereas Gedabek was proven to be that ... a low cost heap leach operation.

so they sold on the CIL plant before it ever got to Azerbaijan & concentrated on Gedabek and got production going from the Heap Leaches & so the production history started then.

From 2006 FY results:

"ORDUBAD
The drilling programme at Piyazbashi was completed in March of
this year. The results of the drilling and the adit sampling provided
confirmation of gold grade in the veins broadly in line with the
Soviet data. The final resource modelling and assessment need to
be completed and the classification is expected to improve. However,
the Company’s consultants, SRK Consulting have advised that the
greater potential of the Gedabek property meant that focus for a
first feasibility study should be switched to there. Piyazbashi will
therefore not be a first priority for a feasibility study and
progression towards early production as was envisaged in the
Admission Document.
On completion of the drilling at Piyazbashi a diamond drill rig was
moved to Shakardara. Shortly after a short drilling campaign there,
it was considered that the rig would be better utilised by speeding
up the programme at Gedabek and it was therefore moved to
that property.
The drilling and assessment programme at Ordubad is now
effectively on hold, but further work is required in order to obtain
a full assessment of its potential."

From the 2004 pre-IPO docs .. (no, I will not share with others, sorry) ....

"Mineral Resources
Azcrgyzil's 1995 and I998 resource estimates for the disseminated and stockwork mineralization are 56 Mt at 1.0g/t Au, 5.9 g/t Ag and 0.65 % Cu and 156 Mt at 1.1g/t Au, 3.6 g/t Ag and 0.4 % Cu......
......They indicate good potential for the discovery of a porphyry Au-Cu deposit of above average grade in the area extending several hundred metres northwest of Adit 10."


From memory, Ordubad's $10m carrying value was written off, as the company knew it would be years before it would be in a position to return & get to grips with Ordubad. In 2006 we completely lacked the cash, the plant, the experience, the infrastructure to do it justice. It was much, much more important to get some cash-flow going and build from there ... which is EXACTLY what the company has done over the subsequent 11 years (with negligible equity dilution).

We should soon be back at Ordubad but, this time, we have the cash, we have the drill equipment, we have the staff, we have the experience etc. We are just now of a size that can take these projects on and make them work.

& that is really the case for al the assets we have .... they simply lie in wait for us. This time though, we can do justice to the big opportunity afforded us.

[wrighty46] 22/2/2018 18:16

Oh and happy to hold now long term.

[wrighty46] 22/2/2018 18:15

Still here all, have sold around 100k recently between 39&43p but still holding just over 200k now and nearly free carried so very happy with my position here. Can sleep easy. Bring on the next news. GLA

[bleepy] 22/2/2018 18:03

Cheers Jb

Appears azergold are upping their exploration programme.

Somehow can’t see the govn letting Aaz slip through their fingers. As you’ve mentioned many times somebody has been accumulating for some considerable time.

[mattjos] 22/2/2018 17:53

Interesting development bravo .. very, very interesting indeed!Exploration news from our tenements is going to be so important this year ... for more than the immediately obvious reasons!Pot is beginning to simmer now

[goldrush] 22/2/2018 17:43

jbravo2

Many thanks for link....I was looking all over for it !!

g

[jbravo2] 22/2/2018 17:36

Sure bleepy



Thats the English for you.
The area borders the western flank of our Ordubad license.

[bleepy] 22/2/2018 17:32

Jb
Have you a link for azergold scoping in Nakhchivan.
Due diligence of Ordubad maybe !!!

[jbravo2] 22/2/2018 17:24

Ah yes. Hi aps.
Indeed, I know you're here, but I guess most people won't remember you due to your infrequent posting. And I guess thats just the way you like it :D

[aps55555] 22/2/2018 17:10

Jbravo, please do not forget about me... i am also here and have not sold a single share :)

[lefrene] 22/2/2018 16:50

GoodGrief, not The Herd, but the likes of specialist gold funds, mining funds or recovery funds. My guess the location scares them, plus the small market cap and no divi. Perhaps assurances regarding the likely life of the mine are needed? So long as things progress as they have so far, then one can simply wait for the market to catch up.

[davidspringbank] 22/2/2018 16:16

The gold price is suffering because of the current strength of the US$. When that tops out, the price of gold is likely to take off. Analysts are talking about gold at $1500 by the end of this year. Just imagine what that will do to the bottom line of AAZ!

I suspect that institutions will look at AAZ more favourably when it introduces a dividend. When the financial markets start rolling over, investors will dive into gold and miners for safety.

So I am here for the long term.

[goodgrief] 22/2/2018 16:09

The herd is not exactly grazing on junior gold miners these days...

[lefrene] 22/2/2018 15:31

It's when institutions come aboard that prices move. They being a cautious crew who appear to have a herd mentality, it would seem to me that until that herd decides aaz is kosher then the price will remain cheap. So bring on a divi, at least it would get noticed, perhaps the herd might then come this way. In the meantime let the excellent work continue.

[jbravo2] 22/2/2018 13:36

You got that right lefrene, but believe it or not it is improving.
The last 6 months has seen a few serious investors join this thread, people, amongst others, like yourself and david. There are others, who don't post, people I know and people I've met at various investor or company meetings.

12 months ago, it was me, mattjos, terropol, fz, celeritas, jbe, bleepy, catsick (off and on) and mr hockey. No doubt I've missed a few but my point is, they're mostly still here.
We still believe and are being slowly rewarded. Very few have left, underlining the undervalued nature of this share, and those that have left have now acknowledged their poor decision.

Spread the word. Our numbers on the thread are swelling.
The numbers the company posts are clearly swelling faster and that's what I'd rather!

[mattjos] 22/2/2018 13:35

that mkt recognition will come lefrene as the newsflow develops this year, I am quite sure.

Exploration with JORC on Gadir, Q1 production figs, FY17 results, H1 production figs.

Each should assist in the valuation stepping up to something approaching sensible

[lefrene] 22/2/2018 13:21

This company seems to have it ALL except for absolute geo-political certainty.

The positives are assets in the ground some of which is accessible by open pit. New and improving equipment and infrastructure, cash to see through their plans, and a management that demonstrates competence of the best order, and committed directors with a lot of skin in the game. Plus rapidly heading for out right profitability by grossing circa $104,000,000 sales this year. The only thing aaz doesn't have is market recognition.

[davidspringbank] 22/2/2018 12:29

I have still got all of my 300,000 AAZ and I have got no intention of selling anything.

[catsick] 22/2/2018 11:39

Yasx , I am happy to be a cynic and seller when things get ahead of themselves, I even was a big seller back in2005 at 123 ! I am very wary of overly bullish boards so it is a red flag for sure, at the same time the value compared to when I sold out in 2005 is much greater ! ( and in aug 2004 you could also buy at 5p equiv !! )

[terropol] 22/2/2018 11:18

GOLDRUSH, please do not get to HOT....LOL. amended....

[goldrush] 22/2/2018 11:05

TERROPOL

Hope we do get a "fever" here with good news :-)