(Alliance News) - Anglo Asian Mining PLC on Thursday provided full-year production guidance, as gold, silver and copper production all increased in the first quarter.
The gold, copper and silver producer operating in Azerbaijan said its gold production for the three months ended March 31 was 11,907 ounces, down 25% from 15,867 year-on year.
Anglo Asian's silver production in the quarter was 35,365 ounces, up 2% from 34,642 year-on year, while copper production was 638 tonnes, up 14% from 559 tonnes.
Shares in Anglo Asian were down 8.1% at 123.20 pence in London on Thursday.
The company said no copper concentrate shipments were made during the quarter as renegotiated contracts with off-takers were waiting the approval of the government of Azerbaijan. It has since obtained government approval for the contracts.
As a result, Anglo Asian said it expects its full-year gold production to be between 48,000 ounces and 54,000 ounces, and copper production to be between 2,500 tonnes and 2,800 tonnes. It didn't provide silver production guidance on Thursday.
Anglo Asian had reduced its annual production guidance to between 68,000 and 72,000 gold equivalent ounces back in November as a result of underground development delays due to engineering staff being conscripted amid Azerbaijan and Armenia conflict.
Anglo Asian has guided for a gold price of USD1,650 per ounce, USD25 per ounce for silver and USD8,700 per tonne for copper.
"This year we will only be mining from our existing Gedabek open pit and Gedabek and Gadir underground mines. Gold production is therefore expected to be lower as there will be no contribution from Ugur, which was depleted in 2020. However, we are expecting an increase in copper production as we take more ore from the Gedabek open pit. The first quarter's production and the full-year production guidance reflect this fact," said Chief Executive Reza Vaziri.
By Zoe Wickens; zoewickens@alliancenews.com
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Anglo Asian (AAZ)