BAKU(BullionStreet): Silver production dropped sharply in Azerbaijan last year while gold output also fell during 2012.

According to the central Asian country's State Statistics Committee (SSC) silver production dropped by 48.6 percent to 625.8 kilogram and gold production dropped by 12 percent to 1562.8 kilogram last year.

Total precious metals production during 2012 amounted to 2,188 kg (221.8 kg in December) that was less than their extraction for 2011 by 26.9%.

At that, stock reserves of precious metals as of 1 January 2013 totaled 124.6 kg (+36.9 kg in December).

Over 2012 production totaled 1,562.8 kg of gold and 625.8 kg of silver. It was produced 147.2 kg of gold and 74.6 kg of silver in December 2012. At that, stock reserves totaled 76 kg (+22 kg in December) and 48.6 kg of silver (+14.9 kg) by early 2013.

In 2011 country’s extraction of precious metals amounted to 2,992 kg (including 233 kg in December) and their stock reserves totaled 104 kg (+47 kg in December).

In 2011, the country extracted 1,775 kg of gold and 1,217 kg of silver, and their stock reserves made up 48 kg and 44 kg of silver respectively.In 2010, extraction reached 1,900 kg of gold and 1,500 kg of silver.

From July 2009 to 1 January 2010 the country extracted 333 kg and with taking into account the production in 2010-12, the overall gold extraction reached 5,459 kg. Overall silver extraction makes at least 3,268 kg.

The Environment & Natural Resources Ministry estimates that the country is able to produce about 10-15 tons of gold a year. Extraction of 7.5 tons of gold was forecasted in 2012.