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

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

500,000 BUY at 13 pence just been reported. Could not resist the opportunity to add more at 13.25 pence.

Another 500,000 what's going on no movement on the share price. This should have a massive impact first thing on Monday

Sue, will this be the next AFD.

I very much think so Azhar. We have witnessed Instituional buying in the trades that have been reported I believe.

Bought into this one today.
Good buys.......... but what does it take to get the share price moving north!
I'm baffled.
Good luck to all AFG holders

Hi amardev, most likely reason was the fundraising has been carried out this afternoon. The company was looking to raise money with instituional investors at 9 pence. We should expect a news release on the fundraising next week along with possibly news on the other two sites. Price was held back at 13 pence to buy as the larger buys had to be filled. Most likely it was instituional buying albeit at a higher price.

Good buys still coming through after close.

All sounds interesting. Do you think the fundraising will be finished soon and what sort of changes in share price do you envisage over the next few months?

Hi tbrooking66, I would think a reasonable price of 40-50 pence could be achievable by Easter with the good news flow that has come recently and the good news flow that is to come in the near future.