Anglo Asian Mining has signed a contract to sell copper concentrate from its Gedabek mine in western Azerbaijan to commodities giant Glencore International.
The AIM listed gold producer will sell 2,500 wet metric tonnes (WMT) and 550 dry metric tonnes of copper concentrate when available from the gold, copper and silver mine.
Glencore will purchase 250 WMT per month of copper concentrate under the agreement, which is due to commence before the end of 2012. There is also an option for Anglo Asian Mining to halt the sale of copper concentrate once 1,500 WMT has been passed to Glencore.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Anglo Asian Mining Chief Executive Officer, Reza Vaziri, said: "We are delighted to have secured this sales contract with Glencore, which will see our copper concentrate product adding to our bottom line and in turn increasing our profitability. From here we hope to arrange further sales contracts for our copper concentrate stockpiles, which now total 2,900 WMT, and we also look forward to reporting our FY 2012 gold and copper production figures in the New Year, where we are on track to produce 49-51,000 ounces of gold and 600 tonnes of copper."
Shares were up 3.65% to 49.75 at 9:25 Monday for Anglo Asian Mining.
RD
-
How much should I have in emergency savings?When your boiler breaks or your car won’t start, you can find yourself paying a hefty bill. How much should you have in emergency savings to cover unexpected costs?
-
ISA investments by age: should I invest more in my stocks and shares ISA?Stocks and shares ISAs are a great way to grow long-term wealth, but are they overlooked compared to cash savings? We look the average ISA investment by age and if you should have more.
