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

LONDON (AFX) - African Gold PLC said it has bought a 52 pct controlling
interest in the Akrokeri gold lease located on the Ashanti Belt in Ghana through
a Joint Venture with Birim Goldfields.
African Gold has the right to increase its interest through expenditure over
time.
The lease has a common boundary with the Obuasi Gold Mine which has to date
produced 42 mln ounces of gold.
rn

Current Price 14.00-15.50 pence.

A strong buy at these levels.

Today's Leaders and Laggards:

African Gold gained 17.3% to 15.25p after saying today it has bought a 52% controlling interest in the Akrokeri gold lease located on the Ashanti Belt in Ghana through a joint venture with Birim Goldfields. The lease has a common boundary with the Obuasi Gold Mine which has to date produced 42m oz of gold.

Price 13-14.5 pence. Surprised by the weakness but opportunity to add.

That was quick, back to 13.5-15 pence.

Sue, with a positive news this morning do you think this could follow african diamonds foot steps. in the coming weeks,an upward trend,or do you think this will sustain for a while until further news are announced.

Very heavy buying reported from 4.00pm onwards until 5.30pm including a 350,000 BUY at 14.5 pence.

Exciting times ahead (below article):

An African Sweep
by Zak Mir of www.Zaks-TA.com and Tom Winnifrith of www.t1ps.com

It would appear that having African in you company name is as hot today as being a dot com was in 1999. As a pure exercise in fun, we thought it apt to review three of the winners from this stable. We have to admit the three are all resource stocks which are pretty hit right now. Two of them also emerge from the same stable: The John Teeling emporium of resource juniors based in Dublin. This analysis is a two part one. On the one hand Zak serves up a technical analysis, on the other there are some fundamentals from Tom.

African Gold

Zak: Unlike African Eagle, African Gold (AFG) emerged from its extended base at in January and bulls of the stock will be hoping that this is only the first wave higher in the stock's progress. What is very encouraging is that so far the pullback has been limited to 10p and therefore one has a relatively strong looking stop loss point although aggressive traders could tighten this up to the new February support line at 12.50p on a two day close basis. The target at this stage if one assumes that the late October support line will be broken at 17.5p, is last month's resistance line up to 22.5p. That said, African Gold looks as though it could achieve much more than this, especially if 12.5p holds for any length of time.



Tom: Another Teeling baby. Actually this was for years a Teeling problem child, scrabbling around in small marginal gold mines in Zim which, in a low price environment in a country wrecked by Africa's Hitler (Comrade Mugabe's own words not mine) was never going to be much fun. What is going on is that a group of eminent gold players are effectively reversing into AfGold. They bought in at 1p a share and have a raft of options at 2p and 3p.

These gentlemen will in due course take full charge and Teeling will retire. They have already taken an option on one Ghanaian lease and bought 52% in another. I garter that two more deals are in the pipeline and that a fund-raising at 9p is also in the bag. At 14.25p African is already capitalised (ignoring all those options at 37 million) so arguably it discounts much of what is known. One cannot say that it is a fundamentally based buy. But if indeed there are - as I hear two more deals in the pipeline, a heavyweight board and in the current climate I would not bet against its shares going higher still.

thanks for this info.and good luck to all african gold holders.

Surely this deal seals the future for AFG, with only more positive news I'm surprised investors are taking profits at such a low price, any more deals and this will rise significantly given investor sentiment towards low cost gold producers (and this deal should be realtively low cost!). Only the market knows though but I'd have a little wager it rises again tomorrow.

Tomorrow's Daily Mail Newspaper:

African Gold gained 1 1/4p to 14 1/4p. The group has bought a controlling interest in the Akrokeri gold lease located on the Ashanti Belt in Ghana through a joint venture with Birim Goldfields.

http://www.thisismoney.com/20040205/nm73961.html

A 400,000 buy has been reported at 14.5 pence, few minutes ago.

Price has risen to 14.5-15.75 pence, up 6.1% this morning.

Opportunity to add could occur on any weakness as MM's try to juggle the buy and sell trades.

Accumalated some more at 13.5 pence. Price 13-14.5 pence.

im no expert but it does appear that theres some profit taking and some acumulating going on today. it seems very confusing, but im hanging on!

Topped again at 13.31.

that's 224,265 but has not shown up yet

There is a lot of delayed orders. Mine has just shown up.

WOW! Another 2 massive orders gone thru after mine 500,000 and 250,000