REG - Anglo Asian Mining - Garadag Maiden JORC Mineral Resource Estimate

Anglo Asian MiningAnnouncement

24/09/2024 07:00

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RNS Number : 3180F  Anglo Asian Mining PLC  24 September 2024

24 September 2024

 

Anglo Asian Mining plc

Maiden JORC Mineral Resource Estimate confirms over 300,000 tonnes of copper
(Indicated category) at Garadag

 

Anglo Asian Mining plc ("Anglo Asian" or the "Company"), the AIM-listed gold,
copper and silver producer focused on Azerbaijan, is pleased to announce the
completion of an independent maiden JORC (2012) Mineral Resource Estimate for
its Garadag copper deposit (the "Garadag Deposit") completed by Mining Plus
UK, confirming a total resource (Indicated and Inferred categories) of
approximately 900,000 tonnes of copper metal hosted in 285 million tonnes of
mineralisation with average grades of 0.32 per cent. copper.

 

Highlights:

·    Total in-situ mineral resource of 284.9 million tonnes of
mineralisation at average grades of 0.32 per cent. copper

o 86.9 million tonnes of mineralisation containing 304,300 tonnes of copper
within the Indicated JORC category

o 198.0 million tonnes of mineralisation containing 592,600 tonnes of copper
within the Inferred JORC category

·    Total in-situ mineral resource of 896,900 tonnes of copper

·    Maiden mineral resources estimate based on 113 third-party drill
holes totalling 25,620 metres

·    Company work programme in place to upgrade mineral resources and
assess mineralisation potential at depth and along strike

 

Further work at the Garadag Deposit and reclassification of mineral resources

To improve and upgrade the current mineral resource estimate, the Company is
undertaking a further work programme. This work programme will include the
following:

·    Improving the definition of the mineralisation zones and improving
the modelling of alteration zones

·    Planning an infill and extensional drill programme

·    Analysing 26 core legacy holes drilled by AzerGold Closed Joint Stock
Company ("AzerGold") which have not been assayed

·    Resampling of the pulps from inherited drill holes

·    Exploration to assess further mineral potential as the Garadag
Deposit is open at depth and along strike

 

Stephen Westhead, Vice-President of Anglo Asian, commented:

"We are pleased to announce that this independent mineral resource estimate
completed by Mining Plus confirms the large amount of copper and significant
potential of the Garadag deposit, with a total resource of 284.9 million
tonnes of mineralisation at 0.32 per cent. copper grades, hosting nearly
900,000 tonnes of copper metal. We look forward to further studying the
deposit to increase the mineral resource and its categories and formalise our
planning processes to commence production. The copper contribution from
Garadag will be significant in the delivery of Anglo Asian's strategic growth
plan to become a multi-asset, mid-tier primarily copper producer."

 

Mineral Resource Estimate for the Garadag Deposit by domain at July 2024

 Domain              Cut-off  Indicated             Inferred                Indicated and inferred
                     Tonnes         Grade    Metal  Tonnes  Grade    Metal  Tonnes    Grade     Metal

                     (Mt)           (Cu %)   (kt)   (Mt)    (Cu %)   (kt)   (Mt)      (Cu %)    (kt)
 0 (un-mineralised)  0.13%    -     -        -      -       -        -      -         -         -
 1 (leach)           0.13%    -     -        -      -       -        -      -         -         -
 3 (enriched)        0.13%    45.8  0.45     205.6  68.9    0.42     285.9  114.7     0.43      491.5
 5 (primary)         0.13%    41.1  0.24     98.7   129.1   0.24     306.7  170.2     0.24      405.4
 Total                        86.9  0.35     304.3  198     0.30     592.6  284.9     0.32      896.9

 

Note that all tonnages reported are dry metric tonnes. Totals may not add due
to rounding.

 

The mineral resource estimate in the above table was prepared using a copper
selling price of $9,000 per tonne to determine the amount of copper under the
Reasonable Prospects for Eventual Economic Extraction ("RPEEE") criteria of
JORC.

 

Further details about the Garadag Deposit, the mineral resource estimate, and
the current work being carried out at Garadag can be found below in Appendix
One.

 

Interactive presentation on the Garadag Deposit

An interactive 3-D presentation of the Garadag Deposit, including details of
its maiden JORC Mineral Resource, is available at
https://garadag-jorc-mre-2024sep.jalnext.com/
(https://garadag-jorc-mre-2024sep.jalnext.com/) . This presentation also
includes various depictions of the local topography of the Garadag Deposit,
details of drill holes, block and shell models, and the location of the
exploration adit.

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed
inside information for the purposes of Article 7 of Regulation (EU) No
596/2014, which was incorporated into UK law by the European
Union (Withdrawal) Act 2018, until the release of this announcement.

 

For further information please contact:

 

 Anglo Asian Mining plc
 Reza Vaziri, Chief Executive Officer                            Tel: +994 12 596 3350
 Bill Morgan, Chief Financial Officer                            Tel: +994 502 910 400
 Stephen Westhead, Vice President                                Tel: +994 502 916 894

 SP Angel Corporate Finance LLP (Nominated Adviser and Broker)   Tel: +44 (0) 20 3470 0470

 Ewan Leggat

 Adam Cowl
 Hudson Sandler (Financial PR)                                   Tel: +44 (0) 20 7796 4133

 Charlie Jack

 Harry Griffiths

 

Notes to Editors:

Anglo Asian Mining plc (AIM:AAZ) is a gold, copper and silver producer with a
high-quality portfolio of production and exploration assets in Azerbaijan.
The Company produced 31,821 gold equivalent ounces ("GEOs") for the year
ended 31 December 2023.

 

On 30 March 2023, the Company published its strategic plan for growth which
shows a clearly defined path for the Company to transition to a multi-asset,
mid-tier, copper and gold producer by 2028, by which time copper will be the
principal product of the Company, with annual forecast production of around
36,000 copper equivalent tonnes. It plans to achieve this growth by bringing
into production four new mines during the period 2024 to 2028 at Zafar, Gilar,
Xarxar and Garadag.

 

https://www.angloasianmining.com/ (https://www.angloasianmining.com/)

 

Competent Person Statement

The information in the announcement that relates to exploration results and
Mineral Resources is based on information compiled by Maria del Carmen Muñoz
Lizarve ("Ms Maria"), who is a full-time employee of Mining Plus and has
acted as an independent consultant on the Garadag Mineral Resource estimation.
Ms Maria is a registered member of The Australasian Institute of Geoscientists
(MAIG number 7570) and the Peruvian College of Engineers (Licence number
115281).

 

Ms Maria has sufficient experience that is relevant to the style of
mineralisation and type of deposit under consideration and to the activity
being undertaken to qualify as a Competent Person as defined in the 2012
Edition of the 'Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves'. Ms Maria consents to the inclusion in
the announcement of the matters based on her information in the form and
context in which it appears.

 

Ms Maria has extensive experience, relevant to the style of mineralisation and
type of deposit under consideration and to the activity that she is
undertaking, to qualify as a "competent person" as defined by the AIM
rules. Ms Maria has reviewed the Mineral Resources included in this
announcement.

 

APPENDIX ONE

FURTHER INFORMATION REGARDING THE GARADAG DEPOSIT AND THE JORC (2012) MINERAL
RESOURCE ESTIMATE

 

Garadag Deposit

The detailed JORC ('Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves (JORC Code) 2012 Edition') "JORC" Mineral
Resource Estimate with the accompanying Table 1 as an appendix for the Garadag
Deposit has been published on the Company's website and is available at:

https://wp-angloasianmining-2020.s3.eu-west-2.amazonaws.com/media/2024/09/Garadag_JORC_FINAL.pdf
(https://wp-angloasianmining-2020.s3.eu-west-2.amazonaws.com/media/2024/09/Garadag_JORC_FINAL.pdf)

 

Garadag mineral resources - supporting work and independent expert opinion

The Company contracted Mining Plus UK Ltd (Mining Plus) to estimate the
Mineral Resources of the Garadag Deposit. This work incorporated all the
historic data that was acquired about the Garadag Deposit that was compiled by
its previous owners.

 

About the Garadag Deposit

The Garadag mineralisation is copper dominant and comprises oxides in the
upper portion, and sulphides at depth. The primary sulphide mineral is
chalcopyrite. The enrichment zone minerals are chalcocite, covellite and
bornite. The main oxide minerals are comprised of malachite, azurite and
rarely neotocite. The oxide zone is not well developed at Garadag and the
current understanding is that it forms a very minor part of the mineralisation
stratigraphy.

The main copper mineralisation lenses are located in the central portion of
the Garadag deposit, with approximate east to west orientations.

 

APPENDIX TWO

GLOSSARY OF TERMS AND ABBREVIATIONS

 

The following definitions are extracted from the JORC Code, 2012 Edition

 

 Indicated Mineral Resource        An 'Indicated Mineral Resource' is that part of a Mineral Resource for which
                                   quantity, grade (or quality), densities, shape and physical characteristics
                                   are estimated with sufficient confidence to allow the application of Modifying
                                   Factors in sufficient detail to support mine planning and evaluation of the
                                   economic viability of the deposit. Geological evidence is derived from
                                   adequately detailed and reliable exploration, sampling and testing gathered
                                   through appropriate techniques from locations such as outcrops, trenches,
                                   pits, workings and drill holes, and is sufficient to assume geological and
                                   grade (or quality) continuity between points of observation where data and
                                   samples are gathered. An Indicated Mineral Resource has a lower level of
                                   confidence than that applying to a Measured Mineral Resource and may only be
                                   converted to a Probable Ore Reserve.
 Inferred Mineral Resource         An 'Inferred Mineral Resource' is that part of a Mineral Resource for which
                                   quantity and grade (or quality) are estimated on the basis of limited
                                   geological evidence and sampling. Geological evidence is sufficient to imply
                                   but not verify geological and grade (or quality) continuity. It is based on
                                   exploration, sampling and testing information gathered through appropriate
                                   techniques from locations such as outcrops, trenches, pits, workings and drill
                                   holes. An Inferred Mineral Resource has a lower level of confidence than that
                                   applying to an Indicated Mineral Resource and must not be converted to an Ore
                                   Reserve. It is reasonably expected that the majority of Inferred Mineral
                                   Resources could be upgraded to Indicated Mineral Resources with continued
                                   exploration.
 JORC                              JORC stands for Australasian Joint Ore Reserves Committee (JORC). The Code
                                   for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the
                                   JORC Code) is widely accepted as the definitive standard for the reporting of
                                   a company's resources and reserves. The latest JORC Code is the 2012
                                   Edition.
 Measured Mineral Resource         A 'Measured Mineral Resource' is that part of a Mineral Resource for which
                                   quantity, grade (or quality), densities, shape, and physical characteristics
                                   are estimated with confidence sufficient to allow the application of Modifying
                                   Factors to support detailed mine planning and final evaluation of the economic
                                   viability of the deposit. Geological evidence is derived from detailed and
                                   reliable exploration, sampling and testing gathered through appropriate
                                   techniques from locations such as outcrops, trenches, pits, workings and drill
                                   holes, and is sufficient to confirm geological and grade (or quality)
                                   continuity between points of observation where data and samples are gathered.
                                   A Measured Mineral Resource has a higher level of confidence than that
                                   applying to either an Indicated Mineral Resource or an Inferred Mineral
                                   Resource. It may be converted to a Proved Ore Reserve or under certain
                                   circumstances to a Probable Ore Reserve
 Mineral Reserves or Ore Reserves  An 'Ore Reserve' is the economically mineable part of a Measured and/or

                                 Indicated Mineral Resource. It includes diluting materials and allowances for
                                   losses, which may occur when the material is mined or extracted and is defined
                                   by studies at Pre-Feasibility or Feasibility level as appropriate that include
                                   application of Modifying Factors. Such studies demonstrate that, at the time
                                   of reporting, extraction could reasonably be justified.
 Mineral Resource                  A 'Mineral Resource' is a concentration or occurrence of solid material of
                                   economic interest in or on the Earth's crust in such form, grade (or quality),
                                   and quantity that there are reasonable prospects for eventual economic
                                   extraction. The location, quantity, grade (or quality), continuity and other
                                   geological characteristics of a Mineral Resource are known, estimated or
                                   interpreted from specific geological evidence and knowledge, including
                                   sampling. Mineral Resources are sub-divided, in order of increasing geological
                                   confidence, into Inferred, Indicated and Measured categories.

 

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