21 March 2023

Anglo Asian Mining PLC

Increased Mineral Resource Estimate at Gilar

Anglo Asian Mining PLC ("Anglo Asian" or the "Company"), the AIM listed gold, copper and silver producer focused in Azerbaijan, is pleased to announce a significant increase in the Mineral Resource Estimate ("MRE") for the Gilar deposit.

The MRE of the Gilar deposit (non-JORC) now contains over 249,000 ounces of gold, 46,000 tonnes of copper, and 48,000 tonnes of zinc. Further encouraging drill results have increased the size of the deposit and provide additional confidence regarding the mineralisation. The latest drill results further validate the decision to start the construction of an underground tunnel at Gilar for exploration and production. The new MRE is shown in Table 1. Further information on the drill results is given below.

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

"Gilar is a significant gold and copper project. Its lower zone has the potential to supply high-grade ore at a throughput of about 700,000 tonnes per annum for over 3 years to the agitation leach plant. This will enable the evaluation of the remaining resources and expansion of the mineral resource estimate. The Company is very excited that Gilar can extend production at the current Gedabek processing facilities until Xarxar and Garadag are brought into production."

Table 1: Interim Mineral Resource Estimate

Notes:

(1)      Cut-off grade 0.5 Au eq  / Au eq = Au g/t + (Cu% x 1.49) + (Zn x 0.46) + (Ag x 0.01) + (Pb x 0.37)

The increase in resources is due to an additional 13 drill holes being drilled since the last estimate that included drilling up to and including 22GLDD118. For information relating to the previous MRE, refer to RNS of 19 December 2022 and for previous drill results up to and including drillhole 22GLDD127, refer to RNS of 24 January 2023. A section and plan showing the latest drill hole locations are shown in Figures 1 and 2.

Figure 1: 3-D section showing latest drill holes.

Figure 2: Map showing location of drill holes.

The lower zone (Figure 3) is open in the south-west direction and is currently estimated to host a minimum of 2.1 million tonnes of mineralisation at 1.92 grammes per tonne of gold, 1.29 per cent. copper and 1.23 per cent. zinc, containing 128,615 ounces of gold, 27,003 tonnes of copper and 25,623 tonnes of zinc (see Figure 3). Underground tunnelling has commenced to access this lower zone for further drilling and in due course for production. Surface definition core drilling will continue to target infill areas between the currently defined higher level mineral zones.

Figure 3: Mineralisation Block Model showing Inset border that defines area of lower target zone (based on Au Equivalent (AU = Au g/t + (Cu% x 1.49) + (Zn x 0.46))

In addition to the new drill results, data relating to the specific gravity of the mineralisation zones have been validated and analysed, resulting in a higher specific gravity. In this latest Mineral Resource Estimation, the specific gravity of blocks is estimated based on these data, which also had the effect to increase the overall tonnage. Selected results from new drill assay data from the Gilar deposit are shown in Table 2.

Table 2: Selected new drill assay results from the Gilar deposit

Notes

(i)               Main intercepts are reported at 0.1 grammes per tonne gold cut-off

(ii)             Maximum internal waste of 5 metres and minimum intercepts of 3 metres

(iii)            True thickness of mineralised intercepts is underdetermined

Gilar deposit and drilling data management

Gilar is a mineral occurrence in the Gedabek contract area, approximately seven kilometres from the Company's processing facilities. The area hosts two styles of mineralisation, gold in quartz veins and hydrothermal gold-copper. A total of 131 surface core drill holes have been completed for 41,661 metres over the Gilar deposit.

The Company is currently updating its databases to incorporate the increasing amount of information collected about each deposit. The Gilar database is being updated to capture this valuable information that will be used for QA/QC control, engineering and planning. Drilling will continue to test the extensions of mineralisation to the south-west as well as infill drilling in the central area.

The MRE was compiled by an independent consultant and it was  based on all core drill results. The resources have been estimated using the JORC guidelines, but because the estimate is subject to validation, classes 1, 2, and 3 are stated, instead of the usual Measured, Indicated and Inferred classifications. This means the MRE figures are not based on a Standard, such as JORC. The Company intends to carry out JORC reporting on completion of the ongoing drilling and exploration programme. 

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.

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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.

For the avoidance of doubt, Mineral Resources figures in this notification are not based on a Standard for the reporting of reserves and resources, such as JORC, as defined in the AIM Rules for Companies.

About Anglo Asian Mining

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/