African Gold Group, Inc., is pleased to announce that it has appointed Clark Avenue Company Inc. (“Clark Avenue”) as its investor relations counsel.
Clark Avenue was founded in 1989 and specializes in corporate communications, investor relations and developing investment community sponsorship for growth oriented public companies. Clark Avenue will concentrate on introducing AGG to its network of brokers, analysts and money managers, institutional investors and investment bankers.
Clark Avenue will be paid at the rate of Cdn$5,000 per month. Subject to regulatory acceptance, Clark Avenue has also been granted an option entitling it to purchase up to 150,000 common shares of the Corporation at $2.10 per share. Other than this incentive stock option, neither Clark Avenue nor its principals has any direct or indirect interest in any of the Corporation’s securities.
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 the remaining three are located in Mali, West Africa. AGG anticipates that its 2006 exploration programs will accelerate throughout the balance of 2006 and beyond, in Ghana and Mali, West Africa.
MANKRANHO CONCESSION – (Sefwi Gold Belt):
Measuring 108 sq. km, AGG’s Mankranho concession has captured the attention of the international investment community as it represents the mineralized, northern extension, lying on strike and contiguous to Newmont Mining Corporation’s biggest development project in the world – the US$425 million, 10.6 million ounce Ahafo project. A Phase I exploration program, including 6,445 metres of diamond drilling within a sub region designated as Area I, intercepted broad widths of gold mineralization, isolated high-grade gold veins and numerous occurrences of visible gold, all of which supports the expectation of developing the broad economic gold grades encountered in the identical geological environment by Newmont at Ahafo.
NYANKUMASI CONCESSION – (Wasa-Akyem Gold Belt)
The Nyankumasi concession covers approximately 71 square kilometers and is situated in the northeastern section of the Wasa-Akyem gold belt, approximately 48 kilometers east of AngloGold Ashanti’s Obuasi mine and approximately 30 km south-south west of Newmont’s (US$525 million) 6 million ounce Akyem project, slated for production in 2008. The property has been the subject of a reconnaissance alluvial program, stream and outcrop sampling, geological mapping, sampling of historical workings, survey grid work, pitting, trenching and RC drilling. To date, three significant gold-in-soil anomalies have been identified within the concession (refer to map). Approximately 3,135 soil samples have been collected with 107 of those results showing greater than 100 ppb gold with a peak value of 3,820 ppb gold.
ASANKRANGWA HOLDINGS – (Northern Asankrangwa Gold Belt):
AGG’s Assankrangwa holdings consist of 4 contiguous concessions (Twedee, Moseaso, Manso Nkwanta and Assuowunu gold concessions) that combined measure 449 sq km and host a known mineralized strike length measuring 24 km in length. AGG has compiled a US$15,000,000 historical data base that details significant > 5 g/t gold zones in trenches, diamond & RC drill holes.
The Kobada concession comprises 41 sq. km of land located in the Kangaba region of Mali. It hosts an anomaly that is defined by 15 kilometres of strike length across 1 kilometre of width of plus 500 ppm Arsenic in soil geochemistry with coincident extensive artisanal surface and hardrock and placer mining activity. Work carried out by the BRGM, La Source and Cominor (COGEMA) since the early 1980’s has comprised surface geochemical and geophysical surveys and some 1,736 metres of AirCore drilling, 13,200 metres of RC drilling and 913.4 meters of diamond drilling. The primary target within the 15 km of strike has been a 1 kilometre zone of extensive artisanal hardrock mining activity.
Results from the Company’s recent drill program at Kobada, Mali were disseminated in a press release dated February 23, 2006 and highlighted: 48 metres of 2.95 g/t Au including 19.20 metres of 5.91 g/t Au, confirming a gold discovery at Kobada, Mali.
The Bagoe East concession comprises 183 sq. km of land located in the Sikasso region of Mali. Most of the exploration was conducted on the Darabougou-Tofola anomaly defined with 3,391 soil samples and soil radiometric and magnetometer geophysical surveys. The initial exploration work was followed by 3,796 m of RAB drilling in 82 holes.
The Bagoe West concession comprises 183 sq. km of land located in the Sikasso region of Mali. The soil surveys outlined two main zones. The southern Djissan soil anomaly, oriented at 010º, is continuous over 3.5 km. It corresponds to a sheared contact between intrusive and metasedimentary rocks. The Tiéfala anomaly in the central portion of the claim, extends for 4 km in an E-W orientation. In 2003, the Djissan Anomaly was tested with 1,342 metres of AirCore drilling in 32 holes.
The Bagoe East and West Concessions are situated approximately 30 km south-southeast of one of the most significant gold discoveries on the African continent in the past 20 years – the Morilla deposit – jointly owned by AngloGold Ashanti, Randgold and the Government of the Republic of Mali.
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 www.sedar.com or at
AFRICAN GOLD GROUP INC.
151 Yonge St.
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