Close up of hand with gold

News


News Releases

African Gold Group, Inc: 48 Metres of 2.95 G/T Au Including 19.20 Metres of 5.91 G/T Au Confirms Gold Discovery at Kobada, Mali

23 February 2006

African Gold Group, Inc., (“AGG” or “The Company”) is pleased to report the results from the initial six holes drilled on the Kobada Gold Project in Mali, West Africa. Importantly, this drill campaign has extended the gold mineralization through the 125 metre saprolite horizon into bedrock.

The 41 sq. km Kobada concession is located in the Kangaba region of Mali. It hosts a significant anomaly that is defined by 12 kilometres of strike length with a corresponding width of 1 kilometre. This anomaly has greater than 500 ppm Arsenic-in-soil geochemistry with coincident extensive artisanal surface, hardrock and placer mining activity. Previous work on the concession, commencing in the 1980’s, was undertaken by French exploration entities: BRGM, La Source and Cominor (COGEMA). Their collective work comprised surface geochemical and geophysical surveys, 1,736 metres of AirCore drilling, 13,200 metres of RC drilling and 913.4 metres of diamond drilling. Their initial primary target within the 12 kilometres strike length that comprises the Kobada Trend has been a 1 kilometre zone of extensive artisanal hardrock mining activity referred to as Zone 1 (see attached maps).

Program Objectives

AGG’s initial exploration program at Kobada had two distinct objectives:

  • To verify and confirm the historical exploration work undertaken by Cominor. This verification was conducted in two ways:
  • Three RC holes previously drilled by Cominor were twinned with AGG diamond drill holes to test the nature of the mineralization. Cominor holes, KBRC-56 and KBRC-127, located on section 2200 S and KBRC-126, located on section 2300 S, were selected to be twinned for both the length and grade of their respective intercepts.
  • Resample and analyze for gold, the rejects from two RC drill holes completed by Cominor (KBRC126 & KBRC127).

The second objective of AGG’s diamond drilling program was to test the mineralization to depth and to obtain samples of previously untested bedrock mineralization below the saprolite horizon (holes KB05-3 & KB05-5). In addition, hole KB05-6 was drilled oblique to the section in anticipation of the existence of newly interpreted mineralized cross structures.

Results and Analysis

Results from AGG’s 6 diamond drill hole campaign, totaling 1,033 metres, are shown in Table 1 below. All samples from AGG’s diamond drill program were analyzed by Eco-Tech Laboratory of Kamloops, Canada. Samples returning greater than 300 ppb Au were fire assayed.

TABLE 1     RESULTS FROM AGG's 2005 DIAMOND DRILLING CAMPAIGN

-----------------------------------------------------------------
                         From        To  Interval       Au     Ag
HOLE      -------------------------------------------------------
NUMBER                      m         M         m      g/t    g/t
-----------------------------------------------------------------
KB05-1(i)      TWIN     36.00     42.00      6.00     2.93
KB05-1(i)               85.50    105.00     19.50     0.29
          -------------------------------------------------------
KB05-2(i)      TWIN     51.00     72.55     21.55     1.11
KB05-2(i)     incl.     51.00     60.40      9.40     1.20
KB05-2(i)              120.50    122.50      2.00     0.75   38.7
-----------------------------------------------------------------
KB05-3      BEDROCK    106.50    144.00     37.50     1.23
KB05-3        incl.    106.50    111.00      4.50     3.91
KB05-3                 126.00    129.00      3.00     4.40    6.1
-----------------------------------------------------------------
KB05-4(i)      TWIN     52.50    100.50     48.00     2.95
KB05-4(i)     incl.     81.30    100.50     19.20     5.91
-----------------------------------------------------------------
KB05-5      BEDROCK    112.50    151.00     38.50     1.58
KB05-5        incl.    136.00    148.00     12.00     3.50
-----------------------------------------------------------------
KB05-6      BEDROCK    115.00    132.00     17.00     0.82
KB05-6        incl.    116.00    123.70      7.70     1.31
-----------------------------------------------------------------
(i) represent diamond drill holes that twinned Cominor RC drill 
    holes.

Due to the possible coarseness of gold in drill core, metallic fire assay was undertaken on selected samples. The selected samples that were tested in this manner, demonstrated an increase in gold values. As a result of the increase in gold values from these selected samples AGG has requested all samples returning greater than 1 g/t Au that have not yet been subjected to metallic fire assay, be tested utilizing this process. These results will be disseminated in a subsequent release, due to the time required to complete the tests, if material.

Results from historical RC drilling by Cominor along sections 2200S and 2300S are shown in Table 2 below. The samples from Cominor’s RC drilling program were analyzed by AbilabAfrique de l’Ouest SARL, located in Bamako, Mali.

TABLE 2     RESULTS FROM COMINOR'S PREVIOUS RC DRILL CAMPAIGNS

-----------------------------------------------------------------
SECTION   DRILLHOLE              FROM      TO   INTERVAL       Au
-----------------------------------------------------------------
                                    m       m          m      g/t
-----------------------------------------------------------------
2200 S    KBRC055                  66      67          1     0.41
          -------------------------------------------------------
          KBRC056(ii)               7      25         18     0.83
          KBRC056(ii)   incl.       7      15          8     1.09
          KBRC056(ii)              50      75         25     8.41
          KBRC056(ii)   incl.      54      67         13    12.82
          -------------------------------------------------------
          KBRC057                   8      10          2     1.19
          KBRC057                  36      42          6     2.54
          -------------------------------------------------------
          KBRC127(ii)              66      90         24     2.50
          KBRC127(ii)   incl.      66      77         11     4.80
          KBRC127(ii)              83      90          7     0.75
-----------------------------------------------------------------
2300 S    KBRC051                  43      55         12     1.20
          KBRC051                  60      75         15     0.79
          -------------------------------------------------------
          KBRC052                  35      50         15     4.37
          KBRC052       incl.      35      39          4    15.19
          -------------------------------------------------------
          KBRC053                   1      14         13     3.46
          KBRC053       incl.       7      14          7     4.49
          -------------------------------------------------------
          KBRC054                  40      46          6     1.09
          KBRC054                  60      64          4     0.98
-----------------------------------------------------------------
          KBRC126(ii)              51      59          8     2.21
          KBRC126(ii)              69      71          2     3.55
          KBRC126(ii)              80      94         14     1.89
          KBRC126(ii)   incl.      83      93         10     2.47
          KBRC126(ii)             100     105          5     4.48
-----------------------------------------------------------------
(ii) Cominor Holes twinned by AGG diamond drill holes.

“The results illustrated in both Tables 1 and 2 provide AGG with the confidence to move aggressively with the development of the Kobada Gold Project, not only along the initially targeted 1 kilometre strike length within Zone 1 of the concession, but also along the entire 12 kilometres strike length that comprises the Kobada Trend. AGG has successfully demonstrated oxide gold mineralization to a depth of approximately 125 vertical metres in saprolite, and furthermore have extended the gold mineralization an additional 25 metres into bedrock. The bedrock mineralization is characterized by intense veining/silification and disseminated arsenopyrite in intercalated argillites and greywackes and remains open to depth. As previously stated, the thickness of the saprolite horizon bodes well for demonstrating the potential for a low cost surface deposit that will ideally compliment the deeper resource potential. The occurrence of very high grades of gold along with the presence of free gold strengthens the economic potential of this mineralization. Results to date emanate from within approximately 300 metres of the 1 kilometre primary target (Zone 1) and indicates a broad zone averaging 30 metres in width with an associated grade averaging between 1.0 and 3.0 grams per tonne. Furthermore, we are encouraged by the identification of mineralized cross structures intersected in KB05-6, which further adds to the broader potential of this new gold trend,”

Greg Hawkins, P. Geo., Technical Director, AGG.

As per AGG’s technical objective as stated in 1(A) above: A comparison of results derived from twinning three of Cominor’s original RC drill holes with AGG diamond drill holes, to confirm the presence of gold mineralization, are shown in Table 3, below.

TABLE 3     MINERALIZED INTERSECTION RESULTS FROM THE RC/DIAMOND 
            DRILL TWINNING CAMPAIGN

------------------------------------------------------------------
                             From        To     Interval        Au
DRILLHOLE        SAMPLE    ---------------------------------------
NUMBER             TYPE         M         M            m       g/t
------------------------------------------------------------------
KBRC127              RC       14.0     15.0          1.0      1.26
KB05-1              DDH       12.0     15.0          3.0      2.96
------------------------------------------------------------------
KBRC127              RC       41.0     45.0          4.0      0.26
KB05-1              DDH       36.0     42.0          6.0      2.93
------------------------------------------------------------------
KBRC127              RC       66.0     95.0         29.0      2.06
KB05-1              DDH       85.5    105.0         19.5      0.29
------------------------------------------------------------------
KBRC056              RC       22.0     25.0          3.0      1.75
KB05-2              DDH       22.0     25.0          3.0      0.40
------------------------------------------------------------------
KBRC056              RC       35.0     36.0          1.0      0.95
KB05-2              DDH       36.0     37.5          1.5      0.42
------------------------------------------------------------------
KBRC056              RC       51.0     75.0         24.0      3.27
KB05-2              DDH       51.0     72.6         21.6      1.11
------------------------------------------------------------------
KBRC126              RC       52.0     71.0         19.0      1.48
KB05-4              DDH       52.5     69.0         16.5      0.87
------------------------------------------------------------------
KBRC126              RC       81.0    105.0         24.0      2.06
KB05-4              DDH       81.3    100.5         19.2      5.91
------------------------------------------------------------------

“The diamond drill twinning campaign has enabled AGG to gain a greater degree of geological information than was generated through previous RC drilling. As illustrated in Table 3 above, results from twinning holes can vary. The comparison of results from different drilling techniques can be problematic in areas where there is groundwater inflow, in the case of RC drilling, and variable core recovery in the case of diamond drilling. Both of these conditions were encountered in the upper levels of Zone 1,”

Greg Hawkins, P. Geo. Technical Director, AGG

As per AGG’s technical objective as stated in 1(B) above: Results derived from AGG’s re-sampling of two of Cominor’s RC drill holes are shown in Table 4, below. These Cominor RC drill pulp rejects were re-sampled and collected by AGG’s technical personnel and re-assayed by AbilabAfrique de l’Ouest SARL.

-------------------------------------------------------------------
                                                  COMINOR      AGG
RC HOLE                                              2004     2005
NUMBER              FROM        TO    INTERVAL         AU       AU
-------------------------------------------------------------------
                      (m)       (m)         (m)      (g/t)    (g/t)
-------------------------------------------------------------------
KBRC126               52       105          53       1.49     2.17
KBRC126    incl.      52        54           2       2.02     1.88
KBRC126    incl.      56        63           7       2.03     4.89
KBRC126    incl.      69        71           2       3.55     9.21
KBRC126    incl.      80        94          14       1.89     2.48
KBRC126    incl.      82        93          11       2.31     2.94
KBRC126    incl.     100       105           5       4.48     2.44
KBRC126    incl.     101       104           3       6.99     3.28
-------------------------------------------------------------------
KBRC127               14        15           1       1.26     3.78
KBRC127               66        69           3      11.06    12.13
KBRC127               73        77           4       4.77     3.35
KBRC127    incl.      73        74           1      16.99     8.40
KBRC127               83        84           1       2.21     3.24
KBRC127               89        90           1       1.28     2.20
KBRC127              116       117           1       2.87     4.29
-------------------------------------------------------------------

“Zone 1 appears to be characterized by significant coarse free gold which typically leads to a degree of variability in results when re-sampling drill pulps” (as illustrated in Table 4 above), added Hawkins.

Ben Adoo, Chairman of AGG states, “We are extremely encouraged by the overall results of the initial program which confirms the potential for a significant gold discovery within Zone 1 of the Kobada project. Furthermore, we believe that the 12 kilometre Kobada Trend may represent a major new gold bearing structure in Mali, West Africa.”

The drilling program is under the supervision of Chrisropher Naas, P.Geo. of CME & Company, a qualified person under NI 43-101. This press release has been reviewed and approved by Mr. Naas.

African Gold Group, Inc., based in Toronto, Canada, is engaged in the identification, acquisition and exploration of prospective gold projects that are situated along significant gold trends within West Africa. To date, the Company controls a total of nine gold concessions that are consolidated in six separate standalone gold exploration projects, of which three projects are located in Ghana and three projects are located in Mali, West Africa.

Additional corporate information is available at www.sedar.com and on the Company’s web site at www.africangoldgroup.com.

African Gold Group will be exhibiting at the Prospectors and Developers Conference between March 5 through 8, 2006. Please visit us at Booth # 2332, Hall C, North Building.

Additional Information is available on the Company’s website at africangoldgroup.com and on sedar.com and through the Company’s offices at:

Additional Information is available on www.sedar.com or at

AFRICAN GOLD GROUP INC.

151 Yonge St.
11th Floor
Toronto, Ontario
M5C 2W7

Phone: 647-775-8538
Fax: 647-775-8301

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.