Azerbaijan-based gold miner Anglo Asian Mining Plc (LON:AAZ) returned to the black in its latest half year as lower costs outweighed fewer ounces being sold.
Revenues for the six months to June were US$39.2mln (US$41.8mln), but Anglo Asian posted an operating profit of US$6mln (US$1.1mln loss) and a pre-tax surplus of US$3.5mln (US$4.1mln loss).
Sales of gold and silver bullion were US$34.1 mln which comprised 27,719 ounces of gold and 4,496 ounces of silver at an average price of US$1,230 and US$16 per ounce respectively.
Copper concentrate sales jumped to US$5.2mln.
Costs fell by 26% on average to US$546 (US$736) per oz due to lower mining and processing costs, higher by-product sales, i.e copper, and a dip in the value of the Azerbaijan currency.
Khosrow Zamani, chairman, said production in the third quarter had also been slower than anticipated and the full year target has been trimmed to 69,000 to 71,000 oz gold equivalent, but overall the picture was encouraging.
Net debt at the half year was US$40.7mln.