African Eagle Resources Regulatory News (AFE)

1 Nov 2007 10:00

African Eagle Resources PLC01 November 2007 High Grade Mineralisation Reported from Latest Drill Results at Mkushi * Extended resource potential of principal mineralised zones, H, L and G. * High grade results from G Zone * Environmental impact study underway * Pre-feasibility study on track for completion in Q4, 2007 African Eagle Resources plc ("African Eagle" or "the Company", ticker AIM: AFE,AltX: AEA) today announces the latest drill results and a progress update fromthe Mkushi Copper Mines joint venture in central Zambia. Mineralised interceptsincluded: 33m at 3.12% copper33m at 1.0% copper50m at 0.97% copper African Eagle's Managing Director Mark Parker comments "The latest drillingresults are very encouraging, notably the very good intersection reported fromhole MMU038 and continue to confirm the high grade of some of the mineralisedzones. These results extend the resource potential of the principal mineralisedzones and indicate extensions of the zones at depth. We look forward tocompletion of the pre-feasibility study and resource update in the next fewweeks." Continuing resource drilling is yielding very encouraging results in the southand at depth. Further resource drilling is planned within the old open pit, fromwhich the water has been pumped for this purpose. Significant assay results from the quarter are indicated in the table below. Onevery good intersection, 33m @ 3.12% Cu, was recorded at depth in hole MMU038 andthere is strong indication that the high grade mineralisation continues atdepth. The new results extend the resource potential of the three principalmineralisation zones H, L and G Zones. Additional copper mineralisation has beenlocated in the hanging wall to both L and H Zones, and this will be furtherinvestigated by future drilling programmes. The southern extension of H Zone hasprovided good intersections and this area will be further tested over the comingweeks. A resource model has been generated as the basis for the pre-feasibility study,which will be completed shortly. Drilling will continue until approximatelyApril 2008, including sterilisation drilling of the proposed Process Plant siteand associated infrastructure and additional resource definition drilling toupgrade known resources to a sufficient formal category to be included withinthe full feasibility study scheduled for late 2008. HOLE NO PROSPECT FROM (M) WIDTH (M) Cu %MH048 H ZONE 264 13 0.45MH069 L ZONE 85 22 0.34MH069 H ZONE 240 5 0.63MH071 new zone 73 6 1.52MH075 L ZONE 292 5 0.72MMU036 H ZONE 210 12 0.93MMU038 G ZONE 151 6 1.99MMU038 G ZONE 163 10 0.80MMU038 G ZONE 193 5 1.10MMU038 G ZONE 200 33 3.12MMU041 G ZONE 24 33 1.0MMU043 G ZONE 26 50 0.97MMU043 G ZONE 101 2 1.08MMU042 G ZONE 166 7 0.90 Dewatering of the existing Munshiwemba pit is complete and an EnvironmentalImpact Assessment is underway, with a draft Environmental Impact Statement, tobe used to formulate an Environmental management plan due by the end of December2007. Results from metallurgical testwork have indicated an economic grade andclean copper concentrate can be achieved from a standard flotation circuit. John ParkChairmanAfrican Eagle Resources plc 1 November 2007 For further information, see the Company's web site www.africaneagle.co.uk orcontact one of the following: Mark ParkerManaging Director+44 20 7248 6059+44 77 5640 6899 Nicola MarrinSeymour Pierce+44 20 7107 8000 Ed Portman / Leesa PetersConduit PR, London+44 20 7429 6607 James DuncanRussell & Associates, Johannesburg+ 27 11 8803924 / +27 82 8928052 Qualified PersonInformation in this report relating to exploration results is based on datareviewed by Mr Christopher Davies BSc, MSc, DIC, FSEG, FAusIMM, OperationsDirector for African Eagle, who is a Fellow of the Australasian Institute ofMining and Metallurgy, has more than 26 years relevant experience in mineralexploration and is a Qualified Person under AIM rules. Mr Davies consents to theinclusion of the information in the form and context in which it appears. Technical termsA glossary of other technical terms used by African Eagle in this announcementand other published material may be found at www.africaneagle.co.uk/african-eagle-projects-glossary.html About African Eagle African Eagle is a mineral exploration and development company operating ineastern and central Africa. The Company's principal advanced projects are theMkushi Copper Mines project in Zambia and the Miyabi gold project in Tanzania,which are being fast-tracked towards production. The Company also holds a largewell-balanced portfolio of promising earlier stage gold and base metal projects,including the Ndola copper project and the Eagle Eye iron-oxide copper goldproject. African Eagle's projects are in Zambia, Tanzania and Mozambique, countries whichall have highly prospective geology, relatively low above-ground risks and trackrecords of successful major investments in the metals and minerals industries. African Eagle specialises in project generation and exploration. To take itsdiscoveries into production, it seeks to sign up industry partners with recordsof successful mine development. These joint ventures and, in time, the revenuefrom advanced projects, will finance future exploration and new discoveries. The Company has a highly motivated team, proven management and an experiencedboard. African Eagle prides itself on being a low cost operator and on average80p or more of every £1 is spent "in the ground". This information is provided by RNS The company news service from the London Stock Exchange