Ore reserve estimation in Filizchay delivers increase in the amount of mineral resources

Further to ore reserve estimation, the amount of proven subsurface mineral resources in Filizchay polymetallic deposit, one of “AzerGold” CJSC’s largest project, was increased.

Within the framework of the commissioning works, ore samples were sent to the laboratory of “Petrolab”, the reputable company of Great Britain, for further mineralogical analysis. In accordance with international standards, 67 pits with total depth of 19.595 were drilled for re-evaluation of the reserves in the deposit and the results were studied subsequently. The economic evaluation of ore reserves was carried out pursuant to requirements of JORC (Joint Ore Reserves Committee) Code, a mandatory system for the classification of minerals. Thus, available amount of extractable ore reserves was increased by 88% and 20% respectively, in comparison to the figures indicated in state balance report developed in 1983 during USSR and audit evaluation results obtained in 2018 by SRK Consulting Company of South African Republic. Proven subsurface resources in the mine are 112.71 million tons. Currently, the metallurgical research is ongoing towards the preparation gold milling flow sheets.    surveys are carried out to develop optimized

Remarkably, located at the administrative area of Balakan district, Filizchay, the largest polymetallic deposit of the region was discovered in 1959. Moreover, Filizchay is considered as the largest deposit in Europe and ranks high in the list of polymetallic deposits of the world in terms of the amount of its reserves. The reserves include precious and non-ferrous metals such as gold, silver, copper, zinc and lead. Preliminary subsurface metal reserves were estimated at 3 million ounces of gold approximately. The research is underway towards the determination of the amount of extractable and economically viable metal reserves.

Operational commissioning of every mine requires carrying out geological exploration works, developing feasibility study, performing construction-installation works, and suchlike long-term works. With regard to the scale of the project, the implementation of the above-mentioned phases will take about 5-8 years before launching the mine. In light of foresaid, in virtue of optimization works carried out by AzerGold CJSC under the project, it will be possible to launch it two years earlier in case the results of analysis and researches exceeds the expectations and economic viability is confirmed.

Thus, according to the initial plan, trial operation works at the mine will start in 2025, while the processing plant of industrial importance will be launched in the next few years.

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According to initial estimation, during the projected operation period "Filizchay" will generate billions manats of income to the economy. Along with this profit, the project will create more than 1000 new vacancies and foster the social and economic development of Sheki-Zagatala economic region.