USD 7.5 Million Loan

RNS Number : 6174D

Anglo Asian Mining PLC

18 May 2012

 



Anglo Asian Mining plc / Ticker: AAZ / Index: AIM / Sector: Mining

18 May 2012

Anglo Asian Mining plc ('Anglo Asian' or 'the Company')

$7.5 Million Loan

Anglo Asian Mining plc, the AIM listed gold producer, is pleased to announce that it has agreed a further loan from the International Bank of Azerbaijan ('IBA') for $7.5 million ('the Agreement').   

As per the announcement dated 10 May 2012, this new loan will fund the early stages of construction of an agitation leaching plant to improve gold recoveries at the Company's flagship Gedabek gold/copper/silver mine in Azerbaijan with a view to commissioning in H2 2013. 

Under the terms of the Agreement, an all inclusive annual interest rate of 12% will apply on funds drawn, payable on a quarterly basis.  Repayment of the loan will be in 12 equal quarterly instalments starting two years from the date that each tranche of funds is drawn down.  There is no penalty for early repayment.  The Company is in advanced discussions regarding additional debt funding and will update the market in due course. 

**ENDS**

For further information please visit www.angloasianmining.com or contact:

Reza Vaziri	Anglo Asian Mining plc	Tel: [phone]
Andrew Herbert	Anglo Asian Mining plc	Tel: [phone]
Ewan Leggat	Fairfax I.S. PLC	Tel: [phone]
Laura Littley	Fairfax I.S. PLC	Tel: [phone]
Felicity Edwards	St Brides Media & Finance Ltd	Tel: [phone]
Isabel Crossley	St Brides Media & Finance Ltd	Tel: [phone]

Notes:

Anglo Asian Mining plc (AIM:AAZ) is a gold producer in Central Asia with a broad portfolio of production and exploration assets in Azerbaijan.  The Company has a 1,962 sq km prospective exploration portfolio, assembled on the back of analysis of historic Soviet geological data and held under a Production Sharing Agreement ('PSA') based on the Azeri oil industry.  The Company developed Azerbaijan's first operating gold/copper mine, Gedabek, which commenced gold production in May 2009.  Gold production for the year ended 31 December 2011 totalled 57,068 oz of gold.

Anglo Asian is actively looking to exploit its first mover advantage in Azerbaijan to identify additional projects, as well as looking for other properties in Central Asia and Caucasia in order to fulfil its expansion ambitions and become a mid-tier gold and base metal production company focussed in these regions.      

 

END

 

 

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