Consolidates Ground in Greater Kasempa IOCG Dis...

African Consolidated Resources plc / Ticker: AFCR / Index: AIM / Sector: Mining
                               19 September 2011
          African Consolidated Resources plc ('ACR' or the 'Company')
Agreement to Further Consolidate Ground in the Greater Kasempa IOCG District, NW
                                     Zambia

African  Consolidated Resources  Plc, the  AIM listed  Southern African focussed
resource  development company,  is pleased  to announce  that it has, subject to
certain  conditions, agreed to acquire a further large-scale mineral prospecting
licence  known  as  8584-HQ-LPL  (the  'Licence')  in  north-west  Zambia in the
vicinity  of existing ACR licences in the area.  The Licence incorporates 1,085
sq  km  of  ground  considered  highly  prospective  for  Iron Oxide Copper Gold
('IOCG')  style mineral depositions and incorporates the historically productive
Kalengwa  Copper/Silver  mine  including  tailings  and  waste  rock dumps.  The
counter party to this agreement (the 'Agreement') is the current Licence holder,
Euro African Kalengwa Mining Ltd ('EAKM') which incorporates the local community
via the regional traditional Chieftain structures.
Overview

  * Acquisition will include  the brown-field Kalengwa Copper-Silver Mine, dumps
    and contiguous exploration ground covering 1,085 sq km in north-west Zambia
  * Non-JORC  resource estimate by  previous operators of  1.6 million tonnes of
    ore grading 2.2% copper, containing 36,000 tonnes of copper metal within the
    brown-field mine site
  * Strong  potential to generate revenue from recommencement of production from
    waste dumps and mine extensions to depth and along strike in near term
  * Highly  prospective exploration ground to  significantly increase targets in
    the  greater  Kasempa  exploration  area  (the  Kasempa  Project) - the most
    important  targets  being  IOCG  mineralisation  models  which were not well
    understood by early explorers
  * Considerable  amount of  technical data  and drill  core available  from the
    Zambian Geological Survey
  * Imminent  high definition aeromagnetic and radiometric survey planned to map
    intrusive   complexes,  structures  and  alterations  consistent  with  IOCG
    systems
  * New Licence is 8km west of the Company's existing IOCG target area - further
    consolidates ACR's expanding IOCG interests in Zambia
  * The  acquisition  is  in  line  with  the  Company's  strategy to expand its
    portfolio  of assets  across Zambia  and Southern  Africa to  complement its
    proven Zimbabwean assets and diversify shareholder exposure

ACR Chief Executive Andrew Cranswick said, "The expansion of the Kasempa Project
area,  combining  high-priority,  new  IOCG  targets with high-grade brown-field
targets  is a milestone event for ACR  in Zambia.  It falls precisely within our
declared  IOCG target strategy but with the added prospect of possible near-term
production  from the immediate extensions of the pit at depth, along strike, and
within dumps and tailings, which are estimated to host approximately 1.6 million
tonnes  of ore  grading 2.2% copper,  containing 36,000 tonnes  of copper metal.
 This of course adds a dimension to our style and focus of exploration."
The Project Area
The  Licence boundaries  approximately 8km west  of ACR's  existing Kasempa IOCG
Project.   IOCG deposits  frequently contain  valuable silver,  cobalt, uranium,
phosphate  or rare earth  credits, and can  be very large  (500-3000 Mt ore), as
demonstrated  at  the  Olympic  Dam  and  Ernest  Henry  mines in Australia, and
Palaborwa in South Africa.
 The  brown-field Kalengwa mine was one of the highest-grade and most profitable
copper  deposits  in  Zambia  when  mined  in  the  1970s, and  paid for its own
infrastructure in a remote location, south of the main Zambian Copperbelt.  High
grade  ore (>26%Cu) made up approximately 20% of the ore-body, most of which was
trucked unprocessed to Kitwe for direct smelting.
Total  production  according  to  Hitzman  and  Broughton, 2003, was 1.9 million
tonnes  of  9.44% copper  ('Cu'),  and  50 g/t  silver ('Ag'). Most of the mined
copper  and  silver  minerals  came  from  a massive chalcocite body enriched by
supergene concentration.
It  is estimated by previous  workers that a non  JORC resource of approximately
1.6 million  tonnes ('Mt') of ore grading 2.2% Cu containing 36,000 tonnes of Cu
metal  is likely to  be available in  immediate extensions of  the pit at depth,
along strike, and within dumps and tailings (see table 1).
The  mine is considered one  of the major exponents  of IOCG deposits in Zambia.
The  deposit  was  hosted  by  Katangan  siliciclastic rocks and limestones.  It
consisted  of a tabular  body of round-pebble  hydrothermal breccias, calcareous
conglomerates,  sandstones and  siltstones replaced  by primary copper sulphides
(chalcopyrite,  bornite and chalcocite)  surrounded by a  large halo of red-rock
and  brown-rock (hematite) alteration.  An  association of syenites and granites
seems to have produced the mineralisation.
ACR  now has  major interest  in a  large mineralised  district of approx 40km x
40km extent,  exhibiting  numerous  copper  occurrences,  associated  with gold,
uranium and hematite-magnetite iron deposits. Exploration in the 1970s to 1990s
by  Roan Consolidated  Mines, Phelps  Dodge, Zamanglo  and others, delineated at
least  six high-priority copper geochemical  and geophysical anomalies that will
be immediately explored by mapping and geophysics followed by drilling.
De Beers in the 1970s also found numerous diamonds in the drainage area of ACR's
Kasempa  Project, including 63 diamonds at a single site and an individual stone
of  0.4 carats in soils. Their work failed to provide a satisfactory explanation
for  the results or any indication of source hence ACR's planned high-definition
aeromagnetic survey will also be carefully interpreted for kimberlite targets.
A  large amount of technical data and drill core from the Kalengwa Mine is still
available  from the Zambian Geological Survey. It is likely that the waste dumps
and  mine extensions  to depth  and along  strike can  be bought into production
quite quickly.
Estimates  of the copper  resource (non-JORC) by  previous workers are tabulated
below:
Table 1.  Potential copper resources at the mine
+---------------------------+---------+----+------------+----------------+
|           Mine            | Tonnes  |% Cu|Acid Sol. Cu|Contained Cu (t)|
+---------------------------+---------+----+------------+----------------+
|In-Pit Reserves (1978)     |         |    |            |                |
+---------------------------+---------+----+------------+----------------+
|Intermediate grade ore     |   43,951| 8.4|         2.9|           3,679|
+---------------------------+---------+----+------------+----------------+
|Low grade ore              |    2,337| 2.1|         0.8|              50|
+---------------------------+---------+----+------------+----------------+
|Outside Pit (Wightman 1974)|         |    |            |                |
+---------------------------+---------+----+------------+----------------+
|1090-1040m levels          |  226,000| 4.0|         0.2|           8,995|
+---------------------------+---------+----+------------+----------------+
|Limestone Marker           |   79,500| 3.7|         0.7|           2,973|
+---------------------------+---------+----+------------+----------------+
|Conglomerate Marker        |  104,500| 4.3|         0.8|           4,494|
+---------------------------+---------+----+------------+----------------+
|Low grade stockpile        |  523,000| 1.6|           -|           8,368|
+---------------------------+---------+----+------------+----------------+
|No. 6 Tailings Dam         |  700,000| 1.2|           -|           8,400|
+---------------------------+---------+----+------------+----------------+
|TOTAL                      |1,679,288| 2.2|            |          36,958|
+---------------------------+---------+----+------------+----------------+
"For  example,  hole  number  MF  354, off  the  northeast  end of the open pit,
intersected 19.5m grading 7.5 % Cu....the orebody has a northeasterly plunge and
has  not been  drilled to  depth in  that direction"  (Watts, Griffis  & McOuat,
1991).

Proposed Exploration
ACR  has  already  carried  out  considerable  historical data retrieval and GIS
compilation, and will undertake a full data review immediately. Exploration will
be focussed on two fronts:

 1. short-term copper-silver production from the old mine; and
 2. more  "green-fields" exploration over the  full 40km x 40km project area for
    major new discoveries.

Mining  consultants will be  employed to further  assess the historical data and
diamond drill core.
On  regional targets, an ultra-detailed airborne magnetic and radiometric survey
will  commence in September  2011, followed by ground  gravity surveys to search
for  iron-rich  cores  of  IOCG  style  targets.  This  work, combined with over
223,000 historical soil geochemical samples, should deliver drill targets before
the end of 2011.

Purchase Agreement
The  consideration payable in  order to complete  the Agreement (the 'Completion
Consideration')  is linked to future proven resources to be established within a
period  not longer than three years with  reference to copper, silver and gold -
as  certified as in accordance with JORC  standards, in any category, at minimum
grade levels described below.
Subject  to ACR  proceeding with  the Agreement  (at the  sole discretion of ACR
after it has completed a due diligence process, expected to be completed by mid-
October),  a  non-refundable  cash  deposit  of $800,000 becomes payable.  Total
initial  costs including  this and  due diligence  work are  likely to amount to
$975,000.
The JORC Resource for the purpose of the Completion Consideration calculation is
limited  to  resources  defined  up  to  a  depth from surface of 100 metres and
excludes  any ore grade less than 1.5% in the case of copper; any ore grade less
than  35 grammes per tonne  in the case  of silver; and  any ore grade less than
1.5 grammes per tonne in the case of gold.
The   Completion   Consideration   is   payable   30 days  after  completion  of
certification  of the copper JORC Resource and the silver JORC Resource, or such
date  after 17 September 2012 as ACR  elects, or on 17 September 2014, whichever
is  the earlier.  The Completion Consideration is payable 50% in cash and 50% in
ACR  shares, or otherwise by mutual agreement.   The ACR shares are to be priced
at the average price over the 15 business days prior to completion, which is 30
days  before payment is due, or at 10p per share, whichever is the greater.  Any
ACR shares so issued will be escrowed for 5 months from the latest date on which
they are liable to be issued.
The Agreement contemplates by concession and by mutual written agreement between
the  parties that after 18 August 2012 progress  payments may optionally be made
earlier  against JORC Resources proven to  that point provided that ACR's rights
are  reasonably protected and that  such payments form a  part of the Completion
Consideration.
It is additionally provided that should an economic diamond discovery be made by
ACR  within the Licence, then EAKM will retain a free carried equity interest of
20% therein  until  completion  of  first  phase  definition  of  a diamond JORC
Resource  to a  depth of  depth of  100 metres.  Any  further expenditure on the
diamond  discovery after that would  be funded by EAKM  and ACR in proportion to
their respective interest.
Other  than the initial costs when incurred, the Agreement imposes no compulsory
monetary  obligations at this point - all  payments being at the sole discretion
of  ACR  as  it  chooses  to  continue.   There  is  no obligation to proceed to
completion  in the event of poor results or other unforeseen circumstances.  ACR
is  permitted to terminate the  Agreement with 7 days' notice  and in that event
the liability of ACR under the Agreement is limited to payments that it has made
prior to the termination.
                                    **ENDS**
         For further information visitwww.acrplc.com or please contact:
 Roy Tucker          African Consolidated Resources plc   [phone]

                                                          [phone]

 Andrew Godber       Panmure Gordon (UK) Limited          [phone]

 Callum Stewart      Panmure Gordon (UK) Limited          [phone]

 Abhishek Majumdar   Panmure Gordon (UK) Limited          [phone]

 Susie Geliher       St Brides Media & Finance Ltd        [phone]


                                    Glossary
+----------------------------+-----------------------------------------+-------+
|Term                        |Explanation                              |Acronym|
+----------------------------+-----------------------------------------+-------+
|Au                          |chemical symbol for gold                 |       |
+----------------------------+-----------------------------------------+-------+
|Ag                          |Chemical symbol for silver               |       |
+----------------------------+-----------------------------------------+-------+
|banded iron-formation       |chemical  sedimentary rock  consisting of|BIF    |
|                            |iron and quartz                          |       |
+----------------------------+-----------------------------------------+-------+
|chalcocite                  |Copper   Sulfide   (Cu2S),  an  important|       |
|                            |copper ore mineral                       |       |
+----------------------------+-----------------------------------------+-------+
|Cu                          |chemical symbol for copper               |       |
+----------------------------+-----------------------------------------+-------+
|diamond drilling            |Drilling    method   using   a   diamond-|       |
|                            |impregnated  cutting bit to obtain a core|       |
|                            |sample of rock                           |       |
+----------------------------+-----------------------------------------+-------+
|dip                         |the  orientation  of  a planar geological|       |
|                            |feature relative to horizontal           |       |
+----------------------------+-----------------------------------------+-------+
|disseminated sulphide       |Accumulations  of sulphide minerals where|       |
|                            |the   grains   are   separated  by  other|       |
|                            |minerals  and are not in physical contact|       |
|                            |with each other.                         |       |
+----------------------------+-----------------------------------------+-------+
|fault                       |a fracture or break within a body of rock|       |
|                            |across which some movement has occurred  |       |
+----------------------------+-----------------------------------------+-------+
|felsite                     |silica  rich  igneous  rock,  aka  felsic|       |
|                            |volcanic                                 |       |
+----------------------------+-----------------------------------------+-------+
|greenstone belt             |belts  of  metamorphosed  sedimentary and|       |
|                            |igneous rocks of Archaean age            |       |
+----------------------------+-----------------------------------------+-------+
|hematite                    |An oxide of Iron, Fe2O3                  |       |
+----------------------------+-----------------------------------------+-------+
|igneous rock                |originally  molten  can  be  volcanic  or|       |
|                            |intrusive                                |       |
+----------------------------+-----------------------------------------+-------+
|JORC                        |Joint   Ore  Reserves  Committee  of  the|       |
|                            |Australasian   Institute  of  Mining  and|       |
|                            |Metallurgy                               |       |
+----------------------------+-----------------------------------------+-------+
|laterite                    |highly weathered rock usually conforms to|       |
|                            |a   consistent  weathering  pattern  from|       |
|                            |surface  and  often  redistributes  gold,|       |
|                            |nickel   or   aluminium   to   ore  grade|       |
|                            |concentrations  above the  primary source|       |
|                            |at depth.                                |       |
+----------------------------+-----------------------------------------+-------+
|mineralisation              |metallic minerals such as gold, base     |       |
|                            |metals, pyrite and arsenopyrite          |       |
|                            |incorporated in rocks                    |       |
+----------------------------+-----------------------------------------+-------+
|mineralised zones           |hydrothermally     altered     structural|       |
|                            |features  containing potentially valuable|       |
|                            |minerals                                 |       |
+----------------------------+-----------------------------------------+-------+
|orebody                     |economically    viable   portion   of   a|       |
|                            |mineralised zone                         |       |
+----------------------------+-----------------------------------------+-------+
|pyrite                      |iron  sulphide  mineral  often associated|       |
|                            |with gold and base metal mineralisation  |       |
+----------------------------+-----------------------------------------+-------+
|pyrrhotite                  |iron sulphide mineral                    |       |
+----------------------------+-----------------------------------------+-------+
|quartz                      |silicon  oxide  mineral  very  common  in|       |
|                            |hydrothermal deposits                    |       |
+----------------------------+-----------------------------------------+-------+
|Resource                    |mineral  Resource as defined  by the JORC|       |
|                            |Code 2004                                |       |
+----------------------------+-----------------------------------------+-------+
|reverse circulation drilling|rotary  percussion  drilling  whereby the|RC     |
|                            |sample  is returned from the cutting head|       |
|                            |inside  the rod string to surface thereby|       |
|                            |avoiding  contamination from the walls of|       |
|                            |the hole                                 |       |
+----------------------------+-----------------------------------------+-------+
|schist                      |metamorphic   rock  with  well  developed|       |
|                            |foliation                                |       |
+----------------------------+-----------------------------------------+-------+
|stockworks                  |zone of multiple quartz filled fractures |       |
|                            |with individual veins often of random    |       |
|                            |orientation                              |       |
+----------------------------+-----------------------------------------+-------+
|strike                      |the horizontal orientation of a planar   |       |
|                            |geological feature                       |       |
+----------------------------+-----------------------------------------+-------+
|syenite                     |a coarse-grained intrusive igneous       |       |
|                            |rock of the same general composition     |       |
|                            |as granite but with quartz <5%, and      |       |
|                            |feldspar component predominantly         |       |
|                            |alkaline in character.                   |       |
+----------------------------+-----------------------------------------+-------+
|talc                        |magnesium iron silicate mica of          |       |
|                            |metamorphic origin                       |       |
+----------------------------+-----------------------------------------+-------+
|thrust                      |shallow dipping fault where the upper    |       |
|                            |body of rock overrides the lower portion |       |
+----------------------------+-----------------------------------------+-------+
|UNITS                       |                                         |       |
+----------------------------+-----------------------------------------+-------+
|g                           |gramme                                   |       |
+----------------------------+-----------------------------------------+-------+
|g/t                         |grammes per metric tonne - metal         |       |
|                            |concentration                            |       |
+----------------------------+-----------------------------------------+-------+
|km                          |kilometre                                |       |
+----------------------------+-----------------------------------------+-------+
|m                           |metre                                    |       |
+----------------------------+-----------------------------------------+-------+
|Mt                          |million metric tonnes                    |       |
+----------------------------+-----------------------------------------+-------+
|Moz                         |million ounces                           |       |
+----------------------------+-----------------------------------------+-------+
|oz                          |fine troy ounce equaling 31.1048 grammes |       |
|                            |- normal unit used in selling gold       |       |
+----------------------------+-----------------------------------------+-------+
|ppb                         |parts per billion                        |       |
+----------------------------+-----------------------------------------+-------+
|ppm                         |parts per million, equivalent to g/t     |       |
+----------------------------+-----------------------------------------+-------+
|t                           |metric tonne                             |       |
+----------------------------+-----------------------------------------+-------+






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