HomeBase MetalsAfrican Eagle stronger than ever despite loss

African Eagle stronger than ever despite loss

Drilling at the
Dutwa project
in Tanzania
London, England — MININGREVIEW.COM — 26 September 2008 – African Eagle Resources plc – a UK-based mineral resources company exploring for and developing mineral deposits in eastern and central Africa – claims it has never been in a stronger position than it is now.

Announcing the company’s results for the six months to 30 June 2008, chairman John Park said that despite its recent share price history, African Eagle’s fundamentals had improved considerably in the past year. The two key reasons were the company’s stronger than ever assets position, and the fact that market fundamentals were more likely than not to keep metals prices above the long-term average.

“Our Mkushi copper project in Zambia is close to feasibility, and we have made thrilling nickel discoveries at Dutwa and Zanzui in the Lake Victoria goldfields of Tanzania,” he added.

“Of course, there will be troughs and peaks in market sentiment and metal prices as the current credit crisis resolves itself,” Park stated, “but with our assets, I believe we will emerge stronger as metal prices increase and sanity returns to a sector that needs explorers to provide for the future.”

He went on to say that from the beginning of the year to late September, the company had made what it believed to be a major nickel laterite discovery at Dutwa, in the eastern Lake Victoria Goldfields in Tanzania.

“The grades we are seeing at Dutwa are comparable with those at many major nickel laterite deposits worldwide and these early results, coupled with the extent of the geochemical anomaly, suggest a substantial nickel endowment,” Park explained. Some 70 km to the south of Dutwa is the Zanzui project, which is also beginning to show similar signs of nickel mineralogy.

“There remain many more excellent assets in African Eagle’s portfolio and we will continue to maintain these and seek other parties to assist us in progressing them, but we have decided to concentrate our efforts on a few advanced exploration programmes and joint venture partnerships in the second half of 2008,” Park explained.
“So our principal exploration focus over the next six months will be on the Dutwa and Zanzui projects, where we expect to advance the nickel potential of the former to resource status; on a timely decision as to the development of the Mkushi copper project; and on the securing of new partners for our other projects,” he concluded.