Anglo Asian Mining has signed a sales agreement with global commodities trader Trafigura for the concentrates produced at its newly commissioned Demirli copper mine in Azerbaijan, marking a major step forward in the company’s transition toward becoming a predominantly copper-focused producer.

The London-listed miner (LON: AAZ) confirmed that the agreement includes a revolving prepayment facility of up to $25 million, which will provide additional financial flexibility as Demirli ramps up output. The first shipment under the Trafigura contract is expected to be completed by mid-November, the company said.

The Demirli mine, located in the Karabakh region, was successfully commissioned in July 2025. Production from the site is forecast to reach approximately 4,000 tonnes of copper in concentrate during its first year of operation. Anglo Asian anticipates that annual output could increase significantly to around 15,000 tonnes beginning in 2026 as operations scale up.

Demirli is the second copper operation Anglo Asian has brought online this year. In May, the company began production at its Gilar underground deposit, which hosts estimated resources of 54,000 tonnes of contained copper. Both projects form part of Anglo Asian’s longer-term strategy to reposition itself as a major regional copper producer by 2029. For nearly two decades, the company’s primary focus had been on gold, largely through operations at the Gedabek open pit mine.

Anglo Asian also confirmed that it has received the necessary Azerbaijani government approvals to execute the Trafigura sales contract and to operate its processing facilities at Demirli. Final documentation related to the licensing process is still being completed, but the company said all essential permits are now in place to support full-scale operations.

Among the approvals was authorization to utilize the existing tailings storage facility for up to 12 months. During that period, a new, dedicated tailings dam will be constructed to support the mine’s future expansion. The company also stated that the operating lease for the Demirli processing plant officially commenced on October 1, 2025.

Anglo Asian chief executive Reza Vaziri described the receipt of the final licenses and completion of the Trafigura sales agreement as significant developments for the company’s operations in Azerbaijan. “I am delighted that we have received all the relevant licenses to operate the plant and tailings dam at Demirli, an important milestone as the mine becomes fully operational and increasingly contributes to group production,” Vaziri said in a statement.

He added that the combination of regulatory approvals and the Trafigura sales contract “enables us to now commence copper concentrate sales and deliver value from Demirli.”

The addition of the Demirli and Gilar mines expands Anglo Asian’s portfolio beyond its long-standing gold assets and aligns with its broader plan to shift its production base toward copper and other critical minerals over the remainder of the decade. The company has said it expects the ramp-up of these assets to strengthen its operational and financial position as global demand for copper continues to rise.