African Gold Group, Inc., is pleased to report that the Company’s surface exploration program at its Assuowunu (Ghana) concession has identified three main gold-in-soil anomalies that trend into the contiguous Esaase concession, controlled by Keegan Resources Inc.
This regional exploration program was conducted to extend a previous survey south, to the borders that form the contiguous Assuowunu / Esaase concession’s common boundaries.
The prior regional survey, to the north of the current survey, comprised silt sampling, grid establishment and soil sampling. The silt sampling program defined four anomalous zones and numerous creeks showed visible gold grains ranging from 1 to 2 small grains per sample to more than 25 grains per sample. Grain size varied from small (<1mm) to 3 mm size.
The current survey has extended three of the anomalies to the common Assuowunu / Esaase border and closed the soil grid to 200 meters x 50 meters. The three main anomalies that have been identified are indicated on the accompanying map as Target(s) “A”, “B” and “C” (please see attached map to show the entire survey area with the current southern portion of the survey area highlighted).
Target “A” contains a strike length that measures approximately 1.5 km x 200 meters and trends NE-SW into Keegan’s Esaase concession.
Target “B” trends parallel to Target “A” and measures approximately 1.8 km x 400 meters. This anomaly has demonstrated a stronger gold-in-soil profile relative to Target “A” and is truncated by the border with Keegan’s Esaase concession.
Target “C” measures approximately 3.9 km x 200 meters and is in close proximity to the contact between regional metasediments and metavolcanics, a geological feature that is associated with several gold deposits in Ghana.
The Company has been presented with recommendations for a Phase II work program consisting of trenching on selected gold-in-soil values exceeding 75 ppb Au. Areas within the anomalous zones or structures that are masked by depositional regime are proposed to be tested by mechanical auger which can probe up to a depth of 10 meters. One kilometer of augering, within the three anomalous targets is specified for this exercise. In addition, a 3D IP survey and ground magnetometer surveys are also recommended to determine the geology and orientation of structures within the concession and to prioritize future drill hole targets.
The geotechnical portion of this press release has been reviewed and approved by Ben Adoo, C. Eng., a Qualified Person.
The Assuowunu concession straddles the Atwima and Amansie West Districts of the Ashanti Region of Ghana, approximately 35 kilometers southwest of the city of Kumasi and forms part of the northern segment of the Asankrangwa gold belt.
AGG’s Asankrangwa Holdings consist of four contiguous concessions that encompass 449 sq km: Twedee, Moseaso, Manso Nkwanta, in addition to the Assuowunu concession.
This area of the Asankrangwa gold belt has a significant history of exploration as well as gold mining (please see the attached regional map depicting AGG’s combined Asankrangwa Holdings):
- The Esaase concession formed part of Bonte Gold Mines and is now controlled by Keegan Resources. On November 20, 2006, Keegan announced results from the first four of thirty diamond drill holes currently being drilled on the Esaase concession. Three of the four holes intercepted multiple zones of gold mineralization ranging from 12 to 85 meters in width. Highlights include 85 meters of 2.07 g/t Au, 12 meters of 9.76 g/t Au, and 36 meters of 1.2 g/t Au. AGG’s Assuowunu concession is contiguous and on strike with the Esaase concession.
- Immediately to the south of AGG’s Manso Nkwanta concession, Resolute Resources mined approximately 30 million tonnes of ore grading 2.0 g/t Au from a number of pits at Nkran Hill, Adubiaso, Akwasiso and Abore.
- Immediately to the west and draining from the contiguous Assuowunu concession, Bonte Gold Mines produced approximately 500,000 ounces of alluvial gold from 1992 to 2002.
- To the immediate north, at Mpesetia, AngloGold Ashanti produced approximately 100,000 ounces of gold from open pit operations.
- All of the above sources of gold are believed to be structurally controlled and these structures are known to extend onto AGG’s holdings.
- Previous operators, in the mid to late 1990’s, carried out extensive preliminary exploration by way of regional geochemistry and geology, geophysics and trenching, producing a number of, as yet untested anomalies. It will be AGG’s focus to incorporate this data into its own database derived from the Company’s work on the contiguous Twedee and Moseaso licenses.
KOBADA, MALI – DIAMOND DRILL UPDATE
The Company is pleased to report that two diamond drill rigs continue to in-fill drill on 50 meter spacing on a 2 shift/day, 7 days/week (24×7) basis at Kobada, Mali. At present the rigs are drilling holes KB07-63 and KB07-64. In addition, the Company is pleased to advise that core samples for diamond drill holes KB07-26 through KB07-53 have been prepared and shipped to Groupe de laboratoire ALS MALI SARL, located in Bamako, Mali. As stated in previous press releases, the Company has implemented a policy of undertaking metallic fire assays to analyze samples due to the established presence of a coarse gold component in drill core samples. The results from the metallic fire assay analysis will be disseminated via press release upon receipt of these results. (Please see the attached map for the collar locations and trace of each hole to assist in visualizing AGG’s drill progress).
The Company is pleased to advise that a staged step-out of diamond drilling outside of the immediate vicinity of “Zone 1” has commenced and is illustrated by the collar and trace of hole KB07-56 on the drill hole plan map link above. AGG will be advancing its step-out diamond drill program as the ongoing geophysical survey establishes the next generation of drill targets. To date the Kobada, Mali drill project remains open in all directions.
Separately, the Company is pleased to report that management will be hosting a site visit to Kobada, Mali, commencing Monday, April 23rd, 2007. Guests will include representation from both the analytical and investment communities.
Further to the press release issued by the Corporation on March 13, 2007, announcing the closing of a financing lead by Westwind Partners Inc., (the Agent) the broker warrants issued by the Corporation to Westwind Partners Inc. (the “Agent”) were exercisable for units on the same terms as set out in the March 13, 2007 press release at an exercise price of $1.75 expiring on March 14, 2009. The Agent was also paid cash compensation in the amount of $289,152.50 on closing.
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 five separate stand alone exploration projects, of which three projects are located in Ghana and the remaining two are located in Mali, West Africa.
Additional Information is available on www.sedar.com or at
AFRICAN GOLD GROUP INC.
151 Yonge St.
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