LONDON (Alliance News) - Gold, copper and silver miner Anglo Asian Mining PLC on Monday said it has confirmed "further mineable" copper and gold ores at its Gedabek open pit in Azerbaijan.
Shares in Anglo Asian were up 13% Monday at 51.00 pence each.
The miner's exploration programme has led to "increased confidence" in the short to medium-term production profile at the Gadir underground mine at Gedabek following confirmation of "continuation of ore-body down-dip and potentially along strike".
An updated resource and reserve estimate for the Gedabek open pit will be published by the end of September 2018.
Anglo Asian said "significant" gold grades of over three ounces per tonne were intersected in drilling and confirmed by underground tunnelling at Gadir.
The miner also said "numerous" areas of high-grade mineralisation adjacent to the current Gadir operation were identified. Anglo Asian said a resource and reserve estimate for Gadir is expected in the fourth quarter of 2018.
Director of Geology & Mining Stephen Westhead said: "The exploration programme launched in March of this year set out with the clear aim of replacing mined ounces and extending the current mine life to a target of a 10-year minimum, increasing Anglo Asian's inventory of resources and also creating a pipeline of new areas ripe for exploitation, similar to the Ugur open pit mine which we advanced from discovery to first production in just 11 months.
"Together with the recently announced heli-borne aeromagnetic survey, which we hope will highlight forthcoming resource ounces and future mining operations, we believe that the potential for our 300 square kilometre Gedabek contract area remains extremely exciting.
"In addition, our Ordubad contract area continues to provide significant upside potential for Anglo Asian and we are encouraged by the results derived from the geochemical sampling programme underway."
Anglo Asian (AAZ)