Anglo Asian Mining Share Discussion Threads

[gutterhead] 11/11/2024 15:12

If you ever needed proof that the institutions are afraid of our jurisdiction, today is it.
£BN’s in the ground (but communicated in weight not helpful imo, where’s Donald when you need him) and no demand.
Until we publish something material, ie a healthy profit or announce a dividend, I think we’ll stay in the 100-120p range for a good while, maybe end of next year or mid 2026.
More patience required

[jbe81] 11/11/2024 14:44

Volume would suggest Agl keeps going

[thistimemaybe] 11/11/2024 14:42

It’s forever since I last commented (I’ve had nothing to say) but this is all very exciting.

[wanobi] 11/11/2024 12:53

free stock charts from uk.advfn.com


Blimey!!!

[bleepy] 11/11/2024 12:19

BUY – 308p

Works to recommission the Demirli copper mine are accelerating after access to the property was secured earlier this summer.

The team is carrying out a short RC drilling programme to identify a one year worth of mineral inventory aiming to restart operations as quickly as possible.


Excellent news

[wanobi] 11/11/2024 12:18

""The Company will need to identify any damage to the environment caused by the previous operations and ensure it has no liability in respect of any damage identified.""

Surely AAZ has already agreed that its not responsible or liable for any remediation costs needed to sort out the previous operators mistakes,,,,,

but,

I don’t know if I read the rns statement that way!!!

Maybe the word “and” should have been “to” !?

[2cmb] 11/11/2024 12:13

There are no villages close to the property. Azarigold will be working along AAZ to look for any problems etc etc. The TD is upstream and there will be no problems raising it, it won't cost an arm or a leg either. Azarigold will be handling the permission.
AAZ are moving cautiously.
Not AAZ's fault if there is any contamination. The government or Azarigold will be informed in advance of any known contaminations, before AAZ start mining again at the Demirli Mine site.

[wanobi] 11/11/2024 12:02

AAZ rns,,,, should the land be contaminated due to TD leaks or by other shoddy practices by previous operators,,, who is on the hook, responsible for any remediation work and associated costs for it ??

[foetus in your brain] 11/11/2024 11:36

Anglo Asian Mining* (AAZ LN) 106p, Mkt Cap £121m – Demirli updateBUY – 308pThe Company released an update on development status at Demirli Copper Mine in the Karabakh Region.The team established access to facilities this summer and carried a number of site visits since then.An office, an accommodation facility and a small laboratory were established at site.Processing facilities with a 6mtpa capacity for production of a copper concentrate along with a smaller molybdenum plant are intact and in reasonable condition.Some electrical and mechanical equipment within the plant was removed and will require replacement.Tailings facilities are currently close to full capacity and the Company commissioned a study for another dam wall raise.The team is evaluating the options for the provision of reliable power and water supplies to the operation.There is a good road access to the property.Initial benchmark environmental study of operations as well as tailings facilities is in progress to ensure no liability in respect of any damage identified.Historic drill core is available on site, although, the core has not yet been matched to drill holes.Preliminary estimates point to a 58mt at ~0.41% Cu for ~240kt metal contained with reserves potentially at 22mt.The current block model is incomplete with the deposit to get remodelled using full information from historical and new drill holes.The team is carrying out a short RC drilling programme to identify a one year worth of mineral inventory aiming to restart operations as quickly as possible.The Company also plans to produce a JORC MRE on the property.The team will provide an update on timing and cost of reopening the plant in due course.Separately, the Company announced a change in auditor with BDO to succeed Ernst & Young.Conclusion: Works to recommission the Demirli copper mine are accelerating after access to the property was secured earlier this summer. The team is carrying all necessary checks and audit of the operation and is planning to update on timing and cost of reopening in due course. Concurrently, drilling has already started to identify mineral inventory for a timely restart with the team looking to release a JORC MRE on the property as well.

[foetus in your brain] 11/11/2024 11:34

Iirc the existing tailings are upstream of the plant at Demirli. In an ideal world it would be better to move it downstream

[goldrush] 11/11/2024 11:31

2sp

Some very good points.

We now are dealing with Azergold for regulatory approval on tailings who we assume want to get this moving for all the obvious reasons. AAZ have the right engineers and the best consulatants. An optimum solution will be found.Vallex/Base most probably were not worried about all the management around this and with the war and all....so AAZ and Azergold are going to do this properly

[pogue] 11/11/2024 11:10

Yes did not expect that bounce I must admit. Clearly traders got out and optimists got in.

[riggerbeautz] 11/11/2024 10:59

Blimey Pogue, took my eye off FXPO after selling, noticed it fall back but some bounce.

[2sporrans] 11/11/2024 10:56

"Raising the tailings dam further is clearly a real concern."

Was my initial take.

Then i reflected that it is highly probable the facility was conceived to be extendable for a lot longer than the 10 years the plant has operated for.
And i read it that the 5 previous wall raises indicate a step function that may carry on for maybe another decade, rather than fearing that 6, 7 or 8 can't/won't be constructed.

If turns out this is wrong,
the waste has been pumped upstream; suggests a 2nd downstream facility could be constructed. There's plenty of relief about.
There won't be any locals in vicinity; one advantage of the exodus.

[tigerbythetail] 11/11/2024 10:36

Raising the tailings dam further is clearly a real concern.
The rest is good, especially the fleet of trucks. Putting the mine back into production will take a while, though.
Also concerned about change of auditor - that might mean nothing, but it could also be a red flag.

[2sporrans] 11/11/2024 10:30

Appendices 2 & 3 read pretty positively.
[And I'm labouring with a lurgie]

A few items that are news to me:

1. "The dam has had five wall raises and is almost full."
So, a 6th [then a 7th] doesn't look to be a huge concern.

This will come under the auspices of Azergold and hopefully AzerGov won't need to get involved.

2. The plant is good quality; we already knew this.
Hadn't picked up on the fleet until now:
"a fleet of Caterpillar 55.5 tonne and Komatsu 91 tonne trucks, which are parked by the plant."
So, Vallex/Base paid for good kit here too.
Kinda surprised they didn't drive most of it away.
Well, there it is!

3. "The ore is highly fractured and does not require any crushing. It is fed directly into the SAG mill then to the ball mill to produce ground ore."
Great!

4. though we were advised previously, the plant was good quality [and the cost reflected this], i don't think we've been given all of these details before:
"The plant appears to have been professionally constructed and components used are generally from suppliers considered to be of high quality, including, the mills and flotation system manufactured by F L Smidth, gears by CMD ERMaster (a French engineering supplier) and electrical components by ABB. Dimet supplied the magnet system, lab furnaces were supplied by SNOL, and many other recognised international suppliers were also used."

My take is that although we will need to wait until early 2026 before production ko, the value of the assets, as known, is far from fully reflected in the share price
I do wonder to what extent this is down to a much higher jurisdictional risk discount than 16 months ago....
Hopefully, this discount will progressively, if gradually, diminish going forward.

[pogue] 11/11/2024 10:19

Fair point re election.

[goldrush] 11/11/2024 10:11

BDO are the 5th largest firm of auditors in the world. For good corporate governance probably it was time to change and Bill (like Mattjos has said above) has probably got a good value for money deal with them. IMHO

[2cmb] 11/11/2024 10:10

Most of us are investors in AAZ and not traders here. So in the long run the share price girations don't bother me.
Maybe someone got worried about the change of Auditor!! Everything will come together as the Co. progresses sorting things around the Demirli Mine.
A lot more news is in the pipeline at the moment.
The TD news,the plant operating at full capacity and later on the Gilar mine ore being processed etc,etc.
The BoD knows what needs to be done. They are proceeding cautiously. That is good.

[terropol] 11/11/2024 10:09

I say good update, we know how the company works. This company is there to perform and deliver, not there to sell promises.

We should be getting an update on floatation pant restart any time, also Gilar ore processing in December??

[zangdook] 11/11/2024 10:04

As soon as the war stops they can hold elections and Z is toast, so he'll have to be strongarmed into agreeing anything.

[pogue] 11/11/2024 10:01

Clearly debate has to happen but Zelenskys 10 point plan for peace is even more radical it includes all territory returned to Ukraine and Putin to stand trial among other totally unrealistic ideas. So when you have that on one side it may take some time to get Ukraine even to the points Trump has started at. In the end Putin has to keep doing what he is doing, he is winning hands down so time will get him what he wants he does not have to bend.
Overall I think peace is not going to happen as soon as everyone expected hence the share price being very optimistic.

[foetus in your brain] 11/11/2024 10:01

My understanding of the ore deposit is that it was open at the surface and pretty uniform. Yes, some grades will be higher than others but this isn't a start up where you drill comprehensively to show a commercial reserve and then build the plant and start mining. The capex has been done. There will be 9-12 months before it starts production. We don't need a JORC, just find a spot that looks promising, drill a few RC holes then get into production while confirming our understanding of the rest.

[goldrush] 11/11/2024 09:57

Foetus

Were you not at the presentation or the AGM a few months ago....they have a lot of work to do.....and the main thing is they are on the case.....drilling. environmental studies, tailings dam etc