I don't believe that the mentioned "African Gold Zimbabwe" is AFG, but the article does demonstrate rapid resurgence of E&P in Zimbabwe:

Mining Giants Plan Massive Diamond Prospecting

The Herald (Harare)

January 22, 2004
Posted to the web January 22, 2004

Harare

MINING giants, De Beers Zimbabwe Prospecting Limited and Circle Three Mining Corporation are proposing a massive diamond prospecting project that will see the two companies prospecting for the mineral in Gweru, Harare, Bulawayo and Kadoma mining districts.

The two mining companies intend to prospect for diamond in areas covering a total of 448 180 hectares.


Another company, African Gold Zimbabwe, has also undertaken to prospect for gold on two areas measuring 120 550 hectares within the Harare and Gweru mining districts.

De Beers Zimbabwe Prospecting Limited, Circle Three Mining Corporation and African Gold Zimbabwe have applied to the Mining Affairs Board for an exclusive prospecting order for 12 areas under the four mining districts.

In the latest issue of the Government gazette, the Mining Affairs Board said De Beers, Circle Three Mining and African Gold Zimbabwe intend to prospect for diamonds and gold over an area of approximately 568 730 hectares from the three areas.

"The applicants intend to prospect for diamond within the areas, which have been reserved against prospecting pending determination of this application.

"Prospecting authority is sought upon registered base mineral blocks within the reservation," read part of the notice.

One of the two diamond prospecting projects to be undertaken by Circle Three Mining measures 65 000 hectares and is bounded by a line commencing on the Zimbabwe-Zambia border approximating five kilometres.

All areas, which have been earmarked for prospecting are within the 15 000 hectares and 65 000 hectares range and are mostly in the traditional mineral bearing areas of the country.

The proposal to prospect for diamond in the country comes at a time when the US$41 million Murowa Diamond Mine has started to operate following the successful relocation of 141 families which were on the mining site.

Mining is one of the sectors which has been depressed over the last five years but some of the players in the industry have said investors should look at non-traditional minerals.

An example that is often given is that of platinum, which is fast becoming the world's most lucrative mineral.

The mining of diamond in Zimbabwe is also fast gaining pace and it is expected that some of the mining projects would create a lot of employment.

Relevant Links

Southern Africa
Mining
Zimbabwe

More good buys reported in the last few minutes.

Price 8.5-10.0 pence now, unchanged for the day. Strong buy signal.

Delayed buy reported for 131,000 shares at 9.12 pence.

SueHelen

I would not wish to detract from your enthusiasm for this share but I would like to point out for the benefit of anyone who is not conversant with TA that your previous observations that a MACD crossover was near to imminent, thus indicating a possible change of direction could be expected, never was nor is a near likelyhood. Indeed the histogram divergence appears now to be widening in a bearish way which could increase the time for when a bullish MACD crossover would occur, even so it would still be in the sub '0' area of the indicator and a bullish move would be best confirmed by a move through the 'O' line.
I am sure it would be less confusing to the thread readers if you would adhere to your factual observations and not to introducing speculative and ill founded TA statements.

optomistic

Suehelen
I don't know why you are still so optimistic about this share. I have been waiting for the share to bounce back for a month already and it seems to go worse and worse. I think the share has been over valued due to some good news. But now it comes back to its real value as it is still a very risky company which remains very fragile. Personnaly I have got no reasons to believe in this share anymore. Please has anyone got some good reasons to hold this share ?

Well is defo overvalued. however this is a growth stock and very risky since all they have is land to be tested and it may take several yrs for gold to be extracted(if any economically viable) I will defo hold on to this till at least some of the drilling results. If the drilling results for their acquisitions is very good, the shares will surged pass 20p. With shares like this most of the time sometimes is better to travel than to arrive.

How this share will shape up this week any one,any views?

Hi guys,

Price rose to 9.5-10.5 pence in the opening minutes before settling back at 8.5-10.0 pence. Further good news is very much forthcoming. Still a very strong buy.

News on atleast one more operation is coming very soon seb'.

Real spread at the moment is 8.5-9.25 pence, can buy well inside the offer price of 10 pence.

Reply from an email sent to African Gold:

"The next news will relate to the completion of our properties in West
Africa and other potential acquisitions."

The price has closed above the support level of 9 pence for the last three days at a price of 9.25 pence.

The bubble has truly burst as far as African Diamonds is concerned. We will hopefully see the same sky high rise here if not more soon. In addition may see some investors switching from AFD into AFG now with all the imminent good newsflow to come.

Investtech Analysis:

Neutral (Long term) - Mar 15, 2004
Has risen 1260% since the bottom on 7 Apr 2003 at 0.63. Has broken through the ceiling of a falling trend channel. This indicates a slower falling rate initially, or the start of a more horizontal development. Has risen strongly since the positive signal from a inverse head and shoulders formation at the break through the resistance at 2.00. The objective at 6.40 is now met, but the formation still gives a signal in the same direction. Positive volume balance, i.e. high volume in days of rising prices and low volume in days of falling prices, strengthens the stock further in the short term. The stock has support at p 3.00. The average difference between the lowest and highest price of an average month is 62%. The risk is therefore high.

Neutral (Medium term) - Mar 15, 2004
Has risen 1260% since the bottom on 7 Apr 2003 at 0.63. Has broken through the floor of a rising trend channel. This indicates a slower rising rate at first, or the start of a more horizontal development. The stock has support at p 2.00 and resistance at p 15.00. High risk.

Negative Candidate (Short term) - Mar 15, 2004
Has risen 467% since the bottom on 31 Oct 2003 at 1.50. Is within a falling trend. Continued negative development within the trend channel is indicated. RSI is, however, oversold, which indicates a potential short-term reaction up. The stock has support at p 4.00 and resistance at p 15.00. The average difference between the lowest and highest price of an average month is 62%. The risk is therefore high.

RSI is, however, oversold, which indicates a potential short-term reaction up - rises before the news comes would be nice.

Soft dollar, Spain terror jitters buoy COMEX gold
Reuters, 03.15.04, 2:45 PM ET


NEW YORK, March 15 (Reuters) - New York precious metals rose Monday as investors sought safe alternatives to a dollar weakened by security concerns and mounting evidence that al Qaeda planted the bombs that killed 200 in Madrid last week.

COMEX April gold ended up $4 at $399.60 an ounce. It traded from $396.00 to $401.00 after tumbling Friday, only to find solid support near $395.

"It's clearly currency, clearly a bit of a bounce off of what happened last week and the horrific event that we saw in Madrid," said Andy Montano, a director at bullion dealer ScotiaMocatta in Toronto.

Spot gold rose to $399.25/9.75, from $394.50/5.60 late Friday. The afternoon fix in London was $398.10.

"We continued to see reasonably good physical off-take on dips and we've been stuck in a $395-$405 range for quite a long time. It feels like an eternity," Montano said.

Gold stalled in the morning after better-than-expected data showing February U.S. industrial output rose 0.7 percent, while the capacity utilization rate rose to 76.6 percent.

But it stretched its gain late in the day after the Bank of Japan said it was mulling ending by the end of March its large-scale intervention to keep the yen from rising versus the troubled greenback.

The weaker dollar lowered the price of precious metals for overseas investors.

The dollar plunged below 110 yen before steadying at 110.37/40. Earlier, it fell to $1.2317 per euro, and was last quoted at $1.2244/49.

The perception of increased security and political risk enhanced gold's allure as insurance.

If al Qaeda did mastermind Thursday's commuter rail blasts it could claim to have caused Sunday's election backlash that removed Spain's ruling Popular Party and brought the Socialist Party into government.

The government of departing Prime Minster Jose Maria Aznar was a staunch ally of the United States in Iraq, despite widespread popular disapproval of Spain's role in the war.

Incoming leader Jose Luis Rodriguez Zapatero indicated he would pull Spain's 1,300 troops out of Iraq.

Many believed the government was trying to exploit the attacks for political gain by rushing to blame the militant Basque separatist group ETA, despite reputed claims of responsibility by a group linked to al Qaeda.

"People are playing defensively in the sense that gold is still a safe-haven commodity, and with the possibility that this is al Qaeda, people are becoming a little more friendly," said a bullion trader, who added that the euro was seen as a "safe-haven currency."

May silver went up 7.7 cents to $7.14 an ounce, trading from $7.075 to $7.165. Spot silver was quoted at $7.11/13, up from the close at $7.03/06 Friday. The fix was at $7.105.

NYMEX April platinum gained $6.90 to close at $914.00 an ounce. Spot closed at $910.00/915.00.

June palladium rose $1.20 to $279.75, reaching another contract high at $287.00. Spot fetched $276.00/281.00.

Copyright 2004, Reuters News Service

Current Price 8.5-9.5 pence.

I know this is Oldish News to some on here, but I thought it would bear the re-telling

Ashanti Gold Belt Play(released 29th January 2004)

African Gold has taken a 90-day option on the Konongo Gold Mining lease, which covers the northeast portion of the Ashanti Gold Belt in Ghana. The fully permitted mining lease is 125 sq. km. and covers 20% of the strike length of the Ashanti Gold Belt.

The Directors believe that there is outstanding potential in the Konongo lease. A shallow resource of 860,000 ounces of gold at 2.33 g/t has already been defined by over 1900 drill holes. This resource is likely to grow substantially from drilling at depth and from extensions of the existing operations.

Metallurgy is good and mine infrastructure including roads, buildings, and water supply is excellent. There is a CIL processing plant on site

A detailed due diligence is underway which will cover not only Konongo but some adjacent prospects which are also on offer to African Gold.



Note, that other properties are being evaluated, 2 more leases have been announced, a 4th is to be announced shortly, and other properties are being evaluated.

Of course we will need to see some return for our capital, but my guess in a year or so, AFG may well be over 50p. and that's why the insitutions are on board.

Remember, how much the New directors have invested, and how much the insitutions have invested. THEY will not be looking for a measly few thou' after investing those kind of sums.

This has never been a get rich quick share, but it certainly could be a get rich slowly share..:))

MACD to cross in the next day or so, and the rise should be STRONG looking at the charts. BOTTOM now reached, and support level is here IMHO. Price tested the lows, and was found wanting. Rebound to 11p on NO NEWS and if news is released we should see 15p-20p if it as good as I feel.