Anglo Asian Mining has confirmed a new gold discovery, 'Ugur', within its Gedabek licence area in western Azerbaijan. This is in line with the company's strategy to continue to expand the potential resource at the Gedabek Licence. Ugur provides significant potential upside to the company's future gold production. Highlights: - Gold exploration target discovered 3 kilometres north-west of the Company's agitation leaching plant and heap leach facilities at its Gedabek Licence - Positive assay results returned from chip samples and reverse circulation drilling * All drill holes ended in oxide mineralisation * Preliminary testwork results yielded an average recovery of gold of 87 per cent. suggesting the oxide zone is amenable to leaching - Initial Phase II core drilling programme has commenced to determine overall depth and style of mineralisation with a view to increase resources - Detailed geological structural and alteration mapping has started and additional trenching is also planned before the end of 2016 - Significant upside potential as target has only been partially drilled and initial field mapping suggests that the area is open along strike - Additional exploration target defined in the expanded Ugur area * Based on similar alteration and geomorphological position to the Ugur deposit located approximately 1,500 metres south of the current Ugur drilling area * Further evaluation planed as part of the 2017 field work programme Anglo Asian chief executive Reza Vaziri said, "In line with our strategy to increase our gold production, we are constantly evaluating the upside surrounding our producing mines and the discovery of the Ugur deposit has the potential to add significantly to our gold resources and reserves and hence our future production at Gedabek. "Having recently returned to profitability, and following the completion of several operational initiatives to improve efficiencies and lower costs at Gedabek, I believe Anglo Asian is now well positioned to expand its mineable reserves which will lay the foundations for long term and sustainable production from multiple deposits at Gedabek. "This is an exciting time for the Company and I look forward to updating shareholders on our progress as we look to unlock the potential from this new target and increase value for our shareholders in the process."
+0.25p (+0.91%)delayed 11:00AM