Anglo Asian Mining plc announced an update about its Demirli mine and plant. Located in the Karabakh region (formerly Nagorn Karabakh) of Azerbaijan, the Demirli contract area was acquired by the Company in 2022. The Demirli Property comprises two contiguous open pits and a six million tonnes per annum flotation plant to produce copper concentrate, together with a smaller molybdenum flotation plant.

There is good access to Demirli from Baku over mainly metalled roads. The mine and plant were opened approximately ten years ago and operated until 2022. Access was acquired to the Demirli Property this summer and the Company has since conducted a number of preliminary assessments.

An office has been set up at the property and the accommodation block and canteen facilities refurbished. A small laboratory, which can carry out limited assays, has also been established. The plant is intact and in reasonable order.

However, some electrical and mechanical equipment within the plant has been removed. Tailings were discharged into a tailings dam of upstream construction, sited immediately adjacent to the plant, and which is close to full capacity. The Company has commissioned a study of the tailings dam to ascertain its serviceability and suitability for a further wall raise.

The Company is also evaluating the options for the provision of reliable power and water supplies to the operations. The Company has recovered only partial details of the mineral resources of the deposit. In addition, the current block model is incomplete.

Considerable drilling of the deposit has been carried out previously and drill core is stored at site. However, the drill core has not yet been matched to drill holes. Based on incomplete data, the Company has estimated there are approximately 58 million tonnes of residual ore containing 239,000 tonnes of copper.

Of these 58 million tonnes of ore, 22 million tonnes have been reported as reserves and suitable as feed for flotation. However, it is not known whether the remainder of this mineralisation is suitable for flotation. A drone survey of the entire site has recently been carried out to determine the topology of the deposit.

Reverse Circulation ("RC") drilling, to a depth of ten metres, is also being carried out to identify ore blocks of sufficient size to commission the plant and operate it for one year. The Company plans to produce a JORC mineral resources estimate of the remaining ore deposit. Near mine exploration targets are also being explored.

The Company is also conducting an initial benchmark environmental study, with a local provider currently being commissioned to carry out a more detailed benchmark and baseline study and an Environmental and Social Impact Assessment ("ESIA"). The Company will need to identify any damage to the environment caused by the previous operations and ensure it has no liability in respect of any damage identified. The Company continues to conduct the necessary analysis on the Demirli Property.

It will provide an update on the timing and cost of reopening the plant when these are ascertained.