AzerGold conducts first drilling and blasting operation at the Soyudlu (Zod) gold deposit

AzerGold CJSC has advanced to the next stage of development at the Soyudlu (Zod) gold deposit, regarded as the largest gold deposit in the Caucasus. As part of preparations for mine development, the first drilling and blasting operation has been successfully completed.

The initial rock blasting operation was carried out in accordance with the approved technical design and applicable safety requirements. Prior to the blast, a controlled safety perimeter was established, warning signals were issued, and all necessary site control measures were implemented. Following the blast, the area was inspected by specialists to confirm its safety.

Since August 2025, extensive geological studies, topographic surveying and drilling activities with a total drilled depth of 18,000 metres have been carried out at the deposit. Based on the results of the geological exploration and evaluation programme, the recoverable remaining reserves of the Soyudlu gold deposit have been estimated at 1.03 million ounces, in accordance with the internationally recognised JORC (Joint Ore Reserves Committee) standards for the reporting and economic evaluation of mineral resources and ore reserves.

The first blasting operation represents a significant milestone in bringing the deposit’s resources into economic production and advancing the mine towards active mining operations.

Alongside mine development, work is also progressing on the development of processing solutions for the ore. Based on the mineralogical and metallurgical characteristics of Soyudlu ore, together with the results of metallurgical testwork, flotation has been identified as a necessary technology for the initial stage of ore processing. Accordingly, technical and economic assessments are currently being undertaken to evaluate the potential development of a modern flotation processing facility.

The commissioning of the mine is expected to contribute to increasing production capacity in Azerbaijan’s mining sector and generating additional revenues for the state budget, while also creating new employment opportunities in the Kalbajar district and supporting local economic activity and socio-economic development.

At the current stage of the Soyudlu project, a total of 236 people, including contractor personnel, are employed. Of these, 55 are registered residents of Kalbajar district. Given the limited availability of candidates in the local labour market for positions requiring specialised qualifications, technical expertise and relevant experience in the mining industry, qualified and experienced specialists from other regions have also been engaged in the project.

During the 2026–2029 initial mining and construction phase, the project is expected to provide direct and indirect employment for approximately 700 people. Following the transition of the Soyudlu mine to full-scale operations, direct and indirect employment is expected to exceed 1,300 people.