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

Price 5.75-6.5 pence after today's fall. No real reason for today's fall apart from market makers antics. I would think these are a strong buy at these prices.

From UK-analyst stock market report

"African Gold zoomed ahead by another 1.785p to 7.785p. It is believed that within days, long-term chairman John Teeling will step down to be replaced by an industry big-name and at the same time the company will announce the purchase of four producing gold mines. A fund raising at 8p is also thought to be on the cards."

4 mines - big names!!!! If this is true let the fanfare begin!

Quite a few delayed buys have come through so far. Price up to 6-6.5 pence now.

Trades over 15,000 shares seem to be delayed in reporting by an hour.

Neutral (Medium term) - Jan 22, 2004
Has risen 1120% since the bottom on 7 Apr 2003 at 0.63. Shows a strong development within a rising trend channel. A further positive development is indicated, and there is support against the floor of the trend channel. The stock has support at p 2.00. Poor liquidity (traded 100% of the days, mean 7.68 mill per day) weakens the analysis.

Price 6.25-6.5 pence, very tight spread.

Price 6.5-6.75 pence.

Price 6.5-7 pence. Seems we will be getting a few delayed buys coming through later.

Price 6.5-7.25 pence.

Source:advfn thread

UK-analyst is highly respected (look what happened to WSS on their recommendation) and if their news is true - then it is pretty damn massive (i mean no less than 4 gold mine interests with a new injection of big name players???)

I've been wrong before, but this time I have a haunch that next week the news itself will hit our screens and the screens certainly won't be red!

244,073 BUY reported at 6.5 pence. Was delayed by an hour in reporting.

Price 6.75-7.25 pence now. Seems the stock is very illiquid.

Price 6.75-7.5 pence. This stock does seem to atract institutional buying. Maybe, we should see some very large buys come through later.

Price 6.75-7.5 pence. This stock does seem to atract institutional buying. Maybe, we should see some very large buys come through later.

Delayed 100,000 BUY reported at 6.38 pence. Delayed buys from 7 pence onwards should start to come through soon.

Some old information:

NEWS

December 2003

Interim Statement for the Six Months ended 30th September 2003

I am delighted to present an optimistic report to shareholders. We have a new beginning. New directors and investors, men experienced in gold and in Africa, have joined us. With their guidance, advice and contacts, we intend to build a gold mining company focused on Africa.

Our focus is clear. We will invest in existing gold producers and / or late stage development projects. We anticipate that the current consolidation in the gold industry will see certain assets spun off. These will be specific targets.

We have been joined by a particularly powerful group of new investors who have bought 40 million shares for cash, and have warrants to buy a further 40 million. If these warrants are fully exercised, as I expect they will be, the new investor group will have almost 30% of the issued share capital.

Included in the investors are Stephen Dattels, Richard Hambro and Mike Beck. Three others have become non-executive directors, Oliver Baring, John Anderson and Hank Slack. We anticipate that a fourth will join us in the not too distant future. It is worth giving some background on the new directors.

Oliver Baring is Executive Chairman of First Africa Group and a consultant to UBS. He has recently retired as Managing Director of the Corporate Finance Division of UBS, where he held responsibility for both Africa and Mining. He is a former partner of Rowe & Pitman, and spent five years with the Anglo American/De Beers Group in the US, UK and South Africa. He is a member of the board of directors of Cluff Mining Plc.

John Anderson is currently the director in charge of natural resource and emerging market investments at J O Hambro Investment Management Ltd. He has been involved with mining markets, particularly those of Africa and Australia, for 35 years. He is a former partner of Panmure Gordon & Co and a former director of J Henry Schroder Wagg & Co Ltd.

Henry (Hank) R. Slack was, from 1981 to 1999, a main board director of Anglo American. He was the Chief Executive of Minorco from 1991 to 1999. He is currently a director of Terra Industries, Inc., and of Engelhard Corporation, both major corporations in the U.S.A. In addition, he was for many years a Director of Solomon Brothers, Inc. and, more recently, of SAB Miller.

There is no doubt that these men have the skills, the experience and the contacts to turn African Gold into a significant gold mining company.

In recent years our mining activities in Zimbabwe have been reduced to a shadow of their former size. We continue to operate our one remaining mine, the Inez mine in Zimbabwe, on an intermittent basis at a marginal level of activity. In the 6 months to the end of September 2003, we lost 6,000 on our Zimbabwean activities. There will be a bright future for gold in Zimbabwe, but not just yet. Inflation at over 700 per cent annually makes a mockery of all normal commercial rules.

Finance

We are financed for the immediate future. The 400,000 raised from the new investors and the 100,000 raised from clients of Rowan Dartington, our stockbroker, will be used primarily to fund analysis and evaluation of new gold projects. It should be noted that the funds raised recently do not appear on the balance sheet as they were raised after September.

Future

The future is bright. Gold is in the limelight. The price has further to run. We have the people and the money and we believe we will get the projects, to create an exciting, profitable future. I look forward with great enthusiasm to 2004.


John J Teeling

Chairman

Price 7.25-7.75 pence now.

Price 7.25-8 pence.

Price 7.5-8.25 pence. Back to unchange for the day, remarkable. News must be imminent.