Ive always said I would not start looking at the Gold Explorers untill POG broke through $420, well its done that today and this company in my mind is the best potential producer around, and heres why.

MANAGEMENT

Has two experinced Managers in mining in Mark Parker and John Park, both have extensive exploration management in Africa in mining and have proved themselfs in the past selling out small mines to the big boys.

THE MINES

ZAMBIA.

Here the company as 5 potential Block busters but the REAL GEM of the company Sasere, known as EAGLE EYE is an old Gold mine but recent sampling shows that it could provide massive deposits of Copper and Gold.

These are the drilling results we are waiting for. Estimations are fantastic and we could see that the company is sitting on deposits worth many times over of the market cap of the company of circa 12.2 million.

MOZAMBIQUE

Three sites here and Nickel is the one they are looking for. Dont forget Nickel is the highest commodity riser after Gold and is hitting new highs.


TANZANIA

Big prospect here is Miyabi.

African Eagle are carrying out a joint venture with the giant Miner Gold Fields. Drilling results are to be given to Goldfields by 31/January this year.

If results are expected what the management of Goldfields want, African Eagle retain a 30% stake in one massive deposit.

This is an exciting investment but one that is HIGH RISK like any other gold explorer.

We should have news very early on two fronts.

If this news is positive we are looking at one hell of an investment.

Please Dyor and remember your buying and selling actions are in your own hands.

Cheers GF.

ps, up 19% today waiting for the results.

not a very popular thread this

What's the opinion on this share offer. Anyone??

June 09, 2010

African Eagle Helped By Continental Drift At Its Dutwa Nickel-Cobalt Project
By Rob Davies



Leaching technology has transformed the economics of gold and copper mining. Many assumed it was only a matter of time before it was applied to other metals with nickel earmarked as the most promising next candidate. However, it has not proved to be the case. The fossil laterites in Australia offered some promise by using high pressure leaching but as Euan Worthington, chairman of African Eagle, points out, they have not been without their problems. More conventional nickel leaching operations have been plagued by high acid consumption which are a direct result of high iron levels.
Where the Dutwa deposits in Tanzania of African Eagle differ from the rest is in their much lower iron but higher silica content. Typically they contain less than 10% iron rather than the more normal 20% or more in other laterites. To understand exactly how this came about chief executive Mark Parker took a few minutes to give a Minews a short geological history of East Africa.

Nickel laterites are formed in hot wet low lying tropical forests. The Dutwa deposits were no exception and were created about 60 million years ago in the early Cretaceous when the earth was a lot hotter and wetter. About 20 million years ago the East African rift was created and raised the formation 1,500 metres in altitude. This uplift was followed by the Quaternary period and created a much drier environment and with a strong seasonal rainfall. Mark believes it was during this event that the majority of the iron and the manganese were removed from the deposits making them more amenable to leaching.

The most recent results from metallurgical testwork indicates that this leaching could either be the traditional heap leaching or, possibly, tank leaching of a beneficiated product that Mark thinks could give higher recoveries. The end result is that African Eagle is sitting on a JORC resource of 31 million tonnes at a grade of 1.1% nickel that can probably be recovered through a low cost leaching process. By low cost the company is looking at a capital cost of about US$430million. Compare that, Mark says, to the US$4 billion Sherritt is spending on its Ambatovy operation in Madagascar. It is costing ten times as much for something twice the size.

The situation now is that the company is sitting on an asset with a gross in-situ value of US$8 billion derived from the 340,000 tonnes of contained nickel and 11,000 tonnes of cobalt. African Eagle itself is capitalised at 13million and has other assets, such as gold in Tanzania and copper in Zambia. Asa Bridle of Evolution Securities values these non-core assets in total at 31.3million or 21.1p a share. In other words the Dutwa nickel assets are in the valuation for nothing. Mark has three ambitions for these: he wants to keep the upside, he wants a reasonable return and he wants to free up resources.

There are of course significant challenges with developing Dutwa, not least that capital cost of US$430million and the fact that it is 40 kms from the nearest paved road. Moreover, developing a new recovery technology in a fairly remote part of Africa will not be easy. Set against that list is the potential for the discovery of additional resource in and around the area. On the western border of the main Wamangola deposit the company is earning an interest of up to 75 per cent in the Ngasamo property from Czech company Safina. A resource statement for this is due shortly. About 70 km south of Dutwa is the Zanzui property that is also believed to have significant potential. Mark expects to have a bankable feasibility study by the end of the year and that will undoubtedly play a major role in helping it find a dancing partner for this project. It is just too big for a company like this to develop on its own. With an AGM on June 15th African Eagle will have no shortage of topics for discussion.

http://moneyam.uk-wire.com/cgi-bin/index?lm=-1;company=AFE%20

Drilling results .... click on link.

The directors of Petroceltic International (AIM: PCI), South Boulder Mines (ASX: STB), New Dawn Mining (TSX: ND) and African Eagle Resources (AIM: AFE) will be presenting:
Thursday the 25th November 2010,
Chesterfield Mayfair Hotel, 35 Charles Street, Mayfair, W1J 5EB

The presentations will start at 6:00pm and finish at approx 8:00pm. After the presentations are complete the directors will also be available to take questions during a free canapand wine reception.

http://www.proactiveinvestors.co.uk/register/event_details/96

This event is suitable for the following: Sophisticated & private investors, private client brokers, fund managers, financial institutions, hedge funds, buy & sell side analysts and journalists.

The event is not suitable for people pursuing commercial opportunities.

If you have any problems registering or queries please email events@proactiveinvestors.com.

Andy

AFE has a stake in KIBO 4% i think , what's your view on them ? price as broke out and there are rumour's of Barrick interest [ bid ]

One step beyond.

This is a Shares and MoneyAMs new quarterly publication covering the world of Oil, Gas and Mining companies. The latest edition is out today and can be viewed as a page flip or a pdf download at www.mrqonline.co.uk

Features on:

Silver
Copper
Platinum

Companies Featured in this issue:

African Eagle
Ariana Resources
GGG Resources
Ithaca Energy
Ormonde Mining
San Leon Energy