Anglo Asian Mining Commences Production at Demirli Copper Mine

Azerbaijan copper mine with production forecast.

Anglo Asian Mining's Demirli Copper Mine: A New Production Milestone

The Demirli copper mine represents a significant leap forward in Azerbaijan's mining sector, with Anglo Asian Mining PLC achieving first production in July 2025. This landmark project not only strengthens the company's portfolio but also establishes Azerbaijan as an emerging copper producer on the global stage. Located in the revitalizing Karabakh Economic Region, this state-of-the-art operation combines modern mine planning techniques with comprehensive sustainability measures.

What is the Demirli Copper Mine Project?

The Demirli copper mine represents Anglo Asian Mining's newest production asset, strategically situated in Azerbaijan's Karabakh Economic Region. This large-scale open-pit operation marks a pivotal expansion of the company's mining portfolio beyond its established Gedabek operation.

The mine features a modern processing facility utilizing flotation technology to produce copper concentrate. This facility is directly connected to Azerbaijan's national power grid, ensuring reliable energy supply for continuous operations. Water requirements are met through a combination of local sources and regional water systems, with careful management protocols in place.

"I am very proud to announce the commencement of production from Demirli. It is hard to overstate the achievement of starting production in such a short time since acquiring the property," noted Reza Vaziri, CEO of Anglo Asian Mining.

What makes the Demirli project particularly noteworthy is its rapid development timeline. Anglo Asian Mining has successfully fast-tracked this asset from acquisition to production in approximately 24 months—an impressive achievement in the mining sector where development cycles typically span 5-7 years. This accelerated timeline was made possible through close collaboration with Azerbaijani authorities and the company's existing operational expertise in the country.

Key Project Specifications

  • Location: Karabakh Economic Region, Azerbaijan
  • Mining Method: Large open-pit extraction with conventional truck and shovel operations
  • Processing: Dedicated flotation plant for copper concentration
  • Infrastructure: Connected to the national power grid with redundancy systems
  • Water Supply: Integrated system sourcing from local and regional water networks

The project's infrastructure includes sophisticated tailings management solutions. Currently, the operation utilizes an interim discharge system into an existing tailings facility, while permanent solutions are being implemented. Engineering teams have completed comprehensive designs for a new tailings dam, including full geotechnical assessment, embankment specifications, and pipeline route planning.

How Significant is the Demirli Copper Mine Production?

The Demirli operation represents a substantial addition to Azerbaijan's mineral production capacity and Anglo Asian Mining's output profile. The production schedule follows a carefully planned ramp-up trajectory that balances operational efficiency with resource optimization.

Production Timeline and Forecasts

  • Initial 2025 production target: Approximately 4,000 tonnes of copper in concentrate
  • Full production capacity (from 2026): Approximately 15,000 tonnes annually
  • Current status: Commissioning phase with gradual ramp-up through 2025
  • Life of mine: To be determined following future geological and resource modeling

This production schedule positions Anglo Asian Mining for significant growth in its copper output profile, diversifying from its historical focus on gold production. The staged ramp-up approach allows for optimization of processes and training of personnel before reaching nameplate capacity.

"We are expecting production from Demirli to ramp up this year to approximately 4,000 tonnes of copper in concentrate, increasing to approximately 15,000 tonnes per year from 2026," explains Vaziri. "The company looks forward to issuing revised production guidance for 2025 in due course."

Economic and Regional Impact

  • Employment creation: Approximately 150 new full-time positions
  • Operational expertise: 50 experienced staff transferred from other company operations
  • Regional development: Contributing to the economic renaissance of the Karabakh Region
  • Industry significance: Positions Azerbaijan as an emerging copper producer

The workforce development strategy blends newly hired local personnel with experienced staff transferred from Anglo Asian's other operations, ensuring knowledge transfer and operational continuity. Additional contractors work on site under company supervision, further stimulating the regional economy.

Beyond direct employment, the project serves as a catalyst for broader economic development in the Karabakh Economic Region—an area experiencing revitalization following years of limited economic activity. The mine represents one of the first major industrial investments in the region's post-conflict development phase.

What Environmental and Social Considerations are in Place?

Anglo Asian Mining has implemented comprehensive environmental and social governance protocols at Demirli, recognizing that sustainable operations are critical for long-term success. The company's approach integrates international best practices with local requirements.

Environmental Management Infrastructure

  • Current tailings management: Interim discharge into existing tailings dam
  • Future tailings solution: Completed designs for new tailings dam with full geotechnical assessment
  • Water management: Comprehensive water sourcing and management systems

The tailings management strategy demonstrates the company's phased approach to environmental infrastructure. While utilizing an interim solution during initial production, Anglo Asian has already completed design work for permanent facilities, including geotechnical studies and pipeline routing plans.

Water management systems incorporate closed-loop designs where possible, minimizing fresh water requirements and potential impacts on local hydrology. This approach reflects mining industry best practices for water conservation in modern operations.

Sustainability Credentials

  • Completed environmental and social impact assessment (ESIA)
  • Initial environmental benchmark studies conducted at property acquisition
  • Recent sustainability rating from Digbee Ltd (independent ESG provider) in June 2025
  • Adherence to international mining sustainability standards

The company's environmental program began with benchmark studies during the initial property assessment, establishing baseline conditions against which future performance can be measured. This was followed by a comprehensive ESIA process that identified potential impacts and mitigation strategies.

In June 2025, just prior to commissioning, Anglo Asian received a sustainability rating from independent ESG assessor Digbee Ltd, providing third-party validation of its environmental management systems. This external assessment demonstrates the company's commitment to transparency in its sustainability performance.

What Future Growth Potential Exists at Demirli?

The Demirli copper project represents not just current production but a foundation for future growth. Geological indicators suggest significant exploration upside beyond the initial mining area.

Exploration Upside

  • Known extensions beyond current pit boundaries
  • Multiple nearby copper targets identified for evaluation
  • Planned regional exploration program
  • Potential for significant resource expansion

Geological studies have confirmed mineralization extends beyond the boundaries of the current pit design, presenting opportunities for expansion as operations progress. Additionally, the company has identified several satellite copper targets in close proximity to the main Demirli deposit.

These growth opportunities are not merely speculative—they're supported by initial reconnaissance work and geophysical surveys that indicate favorable geological conditions for copper mineralization. The company's mineral exploration insights aim to systematically test these targets while operations at the main deposit continue.

Strategic Importance

  • Transition milestone: Helps transform Anglo Asian into a multi-asset, mid-tier mining company
  • First-mover advantage: Pioneering position in Azerbaijan's developing mining sector
  • Government partnership: Collaboration with AzerGold Closed Joint Stock Company
  • Regional economic catalyst: Supporting Karabakh Economic Region development

The strategic significance of Demirli extends beyond its immediate production value. It represents a pivotal step in Anglo Asian Mining's evolution from a single-asset operator focused primarily on gold to a diversified producer with a growing copper portfolio.

As Vaziri notes, "Production from Demirli is a significant step in the company transitioning into a multi-asset, mid-tier mining company focused in Azerbaijan. The company is a first mover in the mining industry in Azerbaijan and continues to assist the Government to develop and grow its minerals extractive industry."

How Does This Development Fit Into Anglo Asian Mining's Broader Strategy?

The Demirli copper mine represents a cornerstone in Anglo Asian Mining's strategic transformation from a single-asset gold producer to a diversified metals company with multiple operations.

Corporate Transformation

  • Evolution from single-asset operator to multi-asset mining company
  • Focus on Azerbaijan as a mining jurisdiction
  • Partnership approach with government stakeholders
  • Commitment to sustainable resource development

This corporate evolution demonstrates Anglo Asian's confidence in Azerbaijan as a mining jurisdiction. By deepening its investment in the country rather than diversifying geographically, the company leverages its established relationships, operational knowledge, and first-mover advantage in an emerging mining region.

The partnership model with AzerGold, a government-owned mining company, illustrates Anglo Asian's collaborative approach to resource development. This relationship provides political stability for operations while supporting national objectives for resource sector development.

Production Impact

  • Significant boost to company's overall copper output
  • Diversification of production base
  • Revised 2025 production guidance forthcoming
  • Potential for extended mine life through exploration success

The addition of Demirli substantially increases Anglo Asian's copper production profile, complementing its established gold operations at Gedabek. This diversification provides resilience against price volatility in any single commodity and positions the company to benefit from rising copper demand driven by electrification and renewable energy trends.

Management has indicated that revised production guidance for 2025 will be issued to reflect Demirli's contribution, signaling confidence in the operation's ability to deliver meaningful output even during its initial ramp-up phase.

FAQ: Anglo Asian Mining's Demirli Copper Mine

When did production begin at the Demirli copper mine?

Production commenced in July 2025, with a commissioning phase that will gradually ramp up operations through the end of the year. This follows a relatively rapid development timeline from project acquisition to first production.

What is the expected annual production from Demirli?

The mine is forecast to produce approximately 4,000 tonnes of copper in concentrate during 2025, increasing to approximately 15,000 tonnes annually from 2026 onwards. These figures represent contained copper in concentrate, which will be shipped for further processing.

How many jobs has the Demirli project created?

The project has created approximately 150 new full-time positions and utilized about 50 experienced employees transferred from other Anglo Asian operations. This workforce mix ensures knowledge transfer while maximizing local employment opportunities.

What environmental measures are in place at Demirli?

The project has completed a full environmental and social impact assessment, implemented tailings management systems, and received a sustainability rating from independent ESG provider Digbee Ltd in June 2025. The company has also designed a permanent tailings facility with comprehensive geotechnical assessment.

Key Figures in the Demirli Copper Mine Development

Production Metrics

Year Expected Copper Production
2025 ~4,000 tonnes (ramp-up phase)
2026+ ~15,000 tonnes annually

Workforce Development

Category Number of Personnel
New full-time employees ~150
Experienced transfers ~50
Additional contractors Various (under company supervision)

Expert Insight: "Production from Demirli is a significant step in the company transitioning into a multi-asset, mid-tier mining company focused in Azerbaijan. The company is a first mover in the mining industry in Azerbaijan and continues to assist the Government to develop and grow its minerals extractive industry." – Reza Vaziri, Anglo Asian Mining CEO

Future Outlook for the Demirli Operation

Near-term Developments

  • Completion of production ramp-up through 2025
  • Revised company-wide production guidance expected
  • Implementation of permanent tailings management solution
  • Continued workforce development and training

As the operation progresses through its commissioning phase, production rates are expected to stabilize, providing the basis for updated production guidance. The implementation of permanent infrastructure solutions, particularly for tailings management, will establish the foundation for long-term sustainable operations.

Long-term Potential

  • Resource expansion through targeted exploration
  • Evaluation of nearby copper targets
  • Extended mine life determination following geological modeling
  • Potential production increases beyond current projections

The future of Demirli extends beyond current production plans, with significant exploration potential both within and surrounding the initial mining area. As Anglo Asian develops more comprehensive geological models, the company will be positioned to make informed decisions about potential expansions and production increases.

Copper's essential role in electrification and renewable energy transitions provides a favorable long-term demand outlook, potentially supporting extended operations at Demirli beyond initial projections. The company's first-mover position in Azerbaijan's copper sector offers a competitive advantage as the country continues developing its mining industry. Furthermore, the current copper price insights and global copper supply forecast suggest favorable market conditions for the Demirli project's long-term viability.

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