Year end review of operations

RNS Number : 3115Y

African Mining & Exploration PLC

21 December 2010

 



21^st December 2010

AFRICAN MINING & EXPLORATION PLC

YEAR END REVIEW OF OPERATIONS

African Mining & Exploation plc (AME), the AIM listed company with exploration licences in Mali, West Africa, is pleased to announce the details of the letter issued to shareholders this morning outlining the year end review of operations.

Dear Shareholder

As we are approaching the end of the year, I thought it was an opportune time to update you on progress on our projects in Mali.

EXPLORATION TEAM

We have successfully contracted an experienced exploration team to work on our Malian projects including field geologists permanently based in-country. In support of these operational activities, we have recruited an experienced Finance and Administration manager who will set up and manage group policies and procedures and take responsibility for all the commercial activities at the Company's operations in Mali.

EXPLORATION PROGRAMMES

We informed shareholders in an announcement on November 24th that we had signed contracts with  exploration services providers for the geophysics, drilling and assaying programmes. We must now ensure that we have the infrastructure in place to facilitate the on-going sampling programmes and a Phase One drilling contract scheduled to commence at the end of January, 2011.

We are currently finalising the design of additions to our field office on the Karan Licence. This will include a core yard for the management and storage of drill samples, and it will provide basic accommodation for contractors.

The geophysical ground magnetic survey being conducted over the Karan Licence is progressing well and to date approximately 185 of the total contracted 472 line kilometres of survey have been completed.  A preliminary review of the results from the first few lines surveyed is encouraging and we remain confident that the survey will achieve its objective of generating a host of targets for drilling early in 2011. Evidence is emerging of a high density of structures which appear to be largely coincident with both past and present artisanal workings as well as new structures previously undetected.

Sampling programmes over priority targets at Karan have progressed better than anticipated and a substantial number of samples have been lodged with ALS Chemex for gold analysis.

We anticipate taking possession of the first set of assay results in early January and we will update shareholders and the markets at that time. We expect these results to complement the geophysical survey.

HEALTH, SAFETY, COMMUNITY & ENVIRONMENT

The Company is fully committed to operating to the highest possible standards and according to best industry practice. Before the end of the year, our local management, in conjunction with our exploration staff, will begin to implement health and safety procedures to ensure we operate in a safe and efficient working environment. In addition, we have begun a dialogue with the local community to ensure that we maintain the current extremely good relationship that will facilitate future exploration and, eventually, possible development of a mine. 

OBJECTIVES & SCHEDULE

Subject to drill results, our objective remains to be in a position to announce an as yet undefined initial Inferred Resource during the third quarter of 2011. In the intervening period we intend to provide shareholders with regular updates on progress including an assessment of the quality and implications of results obtained.

On behalf of the board of directors and my colleagues we wish you all a wonderful Christmas and a prosperous New Year

Mark Jones

Chief Executive Officer

Enquiries:

African Mining & Exploration plc                                                       [phone]

Mark Jones (Chief Executive Officer)

Singer Capital Markets            Limited (Nomad and Broker)              [phone]

James Maxwell / Jenny Wyllie

Farm Street Communications

Simon Robinson                                                                                  [phone]

                                                                                                          [phone]

 

END

 

 

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