REG - Anglo Asian Mining - Significant copper identified at Xarxar

Anglo Asian MiningAnnouncement

13/03/2023 07:15

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RNS Number : 7222S  Anglo Asian Mining PLC  13 March 2023

13 March 2023

Anglo Asian Mining plc

Significant copper mineralisation identified at Xarxar

Development of Geological Block Model and Open Pit Mining Study are underway

 

Anglo Asian Mining plc ("Anglo Asian" or the "Company"), the AIM listed gold,
copper and silver producer primarily focused in Azerbaijan, is pleased to
announce it has identified significant copper mineralisation at Xarxar. An
initial exploration model of the mineralisation has been prepared. A
geological block model and open pit mining study are currently being developed
and will be published in the coming weeks.

 

Anglo Asian has identified significant mineralisation at the Xarxar mineral
deposit by an in-depth review and verification of data acquired from AzerGold
CJSC and in-house geological field work. This gives the Company confidence
that the Xarxar deposit contains significant copper mineralisation.

 

AzerGold CJSC drilled 15 core drill holes at Xarxar with a total length of
4,923 metres. Three of the drill holes (totalling 1,140 metres) had been
sampled and assayed by AzerGold CJSC. Geological core logging, sampling and
assaying of the remaining drill core has been conducted by Anglo Asian. The
Company has also reviewed other information acquired from AzerGold CJSC which
included geochemical and geophysical data together with maps and
interpretative reports.

 

The Company commenced a core drilling programme at Xarxar immediately
following its acquisition. It has also constructed a portal and is developing
an exploration tunnel towards the ore body.

 

Anglo Asian Vice-President, Stephen Westhead commented: "We are very excited
about the acquisition of Xarxar and the potential copper that it can bring to
the Anglo Asian production pipeline. Surface drilling and underground
exploration tunnelling is ongoing, and the Company looks forward to reporting
the results soon.  Metallurgical testwork is under way to assess the
processing options. The Xarxar Contract Area has very good exploration
potential with both known mineral occurrences and targets identified by the
previously conducted ZTEM survey."

About the Xarxar Contract Area

The Xarxar contract area borders the Gedabek contract area to the north, east
and west and the two contract areas are contiguous. Xarxar hosts the Xarxar
deposit and multiple other mineral occurrences. A map of the Xarxar and
Gedabek contract areas is shown in figure 1.

 

 

Figure 1: Gedabek and Xarxar Contract Area boundaries showing the position of
ongoing projects.

An initial exploration model of the mineralisation has been prepared which
will be dynamically updated. A section through the exploration model showing
the geometry of the Xarxar deposit is exhibited in figure 2.

 

Figure 2: Section through the 3D exploration model of the Xarxar deposit

The mineralisation including the recent drilling is hosted within a zone that
is over 500 metres in the broadly east-west direction by about 290 metres in
the north-south direction. Mineralisation is exposed at surface in some areas,
but the upper contact ranges from 25 metres to 115 metres from the surface and
continues to a depth of over 500 metres. The model is based on a cut-off of
0.2 per cent. copper.

 

The structural positioning of the mineral-forming process was largely
controlled by a north-east striking fault system, where a 300 x 300 metre
quartz-diorite-porphyry stock is in direct contact with the metasomatite host
rock.

 

The mineralisation is copper-dominant and comprises mainly oxides and
secondary sulphides, with minerals such as malachite, azurite, pyrite,
chalcocite and bornite, together with some primary chalcopyrite as common
minerals in the deposit, and minor barite and magnetite minerals are also
recorded. The main copper mineralisation lenses are located in the central
part of the Xarxar deposit, with approximate east-west orientations. The depth
of oxide, transition and sulphide zones is being studied.

 

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

Competent Person Statement

The information in the announcement that relates to exploration results,
minerals resources and ore reserves is based on information compiled by Dr
Stephen Westhead, who is a full-time employee of Anglo Asian Mining with the
position of Vice-President, who is a Fellow of The Geological Society of
London, a Chartered Geologist, Fellow of the Society of Economic Geologists,
Fellow of the Institute of Materials, Minerals and Mining and a Member of
the Institute of Directors.

 

Stephen Westhead 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'. Stephen Westhead consents to the
inclusion in the announcement of the matters based on his information in the
form and context in which it appears.

 

Stephen Westhead has sufficient experience, relevant to the style of
mineralisation and type of deposit under consideration and to the activity
that he is undertaking, to qualify as a "competent person" as defined by the
AIM rules. Stephen Westhead has reviewed the mineral resources included in
this announcement.

 

Notice to editors

Anglo Asian Mining plc (AIM:AAZ) is a gold, copper and silver producer
in south-west Asia with a broad portfolio of production and exploration
assets in Azerbaijan. The Company produced 57,618 gold equivalent ounces
("GEOs") for the year ended 31 December 2022.

 

In December 2021, the Company undertook a private placement which acquired
19.8 per cent. of Libero Copper & Gold Corporation ("Libero"). Libero is
listed on the TSX Venture Exchange in Canada and owns, or has the option
to acquire, several copper exploration properties in North and South America,
including Mocoa in Colombia, one of the world's largest undeveloped
copper-molybdenum resources. Two further follow-on investments have been made
in Libero to maintain the Company's shareholding at 19.8 per cent.

 

On 5 July 2022, the Parliament of Azerbaijan ratified amendments to the
Company's Production Sharing Agreement, which granted it legal title to three
additional concessions with a combined area of 882 square kilometres,
including the Garadagh porphyry copper deposit, with a Soviet classified
resource of over 300,000 tonnes of copper. https://www.angloasianmining.com/
(https://www.angloasianmining.com/)

 

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