By Ayya Lmahamad
Azerbaijan’s gold mining company AzerGold CJSC increased its revenues from the sale of gold and silver in the first eight months of 2020, the company’s official website has reported.
The company’s revenues increased by $16 million or 32 percent in the reporting, amounting to $68.5.
During the reporting period, AzerGold produced 39,312 ounces of gold, which is by 4,752 ounces or 14 percent more than initially planned. The production volume increased due to optimization works in production and introduction of new technological methodologies.
Additionally, the company paid AZN 6 million in taxes to the state budget, of which, AZN 4.8 million were paid in the form of taxes and AZN 1.2 million to the State Fund of Social Protection.
AzerGold has paid AZN 36.7 million in taxes since its establishment in 2016, out of which AZN 31.6 million were paid in the form of taxes and AZN 5.1 million to the State Fund of Social Protection.
The company recently started geophysical and geological exploration in the country’s Dashkasan iron ore deposit with a proven reserves of 270 million tons. In August, President Aliyev ordered to allocate AZN 3 million ($1.7M) from the state budget of 2020 to AzerGold to begin preparation of the primary document of assessment of the Dashkesan iron ore deposit.
It should be noted that for the last eight months of the year, gold has firmly established its position among the top three main export products of the non-oil sector of the country. Thus, increase in production volumes and gold prices on the world stock exchanges has contributed to the increase in the volume of currency attracted to the country’s economy, as a result of export operations.
In the near future, AzerGold plans to place bonds through the Baku Stock Exchange for the first time. The funds to be received from the issue of bonds will be used to increase resources of new fields in the projects Chovdar (Dashkasan), Kokhnemeden (Balakan) and Garadag (Shamkir-Gadabay), to accelerate ground operations and finance field research. Implementation of these projects will contribute to the socio-economic development of the region, as well as to the introduction of new fields in the region.
Azerbaijan’s exports in non-oil sector amounted to $1.3 million in 2020.
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