VANCOUVER, British Columbia--(BUSINESS WIRE)--AFRICAN QUEEN MINES LTD. (the “Company”) is pleased to announce that the Ghana Mining Commission has now extended the Term of the underlying Noyem-Nyafoman Prospecting License LVB 10244/1995 (the “License”) for a period of one year through March 22, 2012. Extension of the license, which recently was formally transferred to the Company’s operating subsidiary AQ Ghana Gold Limited from Newmont Ghana Gold Limited (“NGGL”), now sets the stage for the Company to commence its 2011 Phase 1 Exploration Program on the Project. Details of said Program have been submitted to the Mining Commission and work will commence upon receipt of approval.
The Noyem-Nyafoman Gold Project. The License currently covers an area of approximately 28.9 sq. km. located within the Birim North District of Ghana’s Eastern Region, approximately 130 km. NW of Accra. It is at the northeastern end of Ghana’s well-known, gold-producing Ashanti Belt, near Newmont’s Akyem deposit which is presently under development for potential production. In addition to its close proximity to Accra which facilitates access, the Project is bisected in a NE-SW direction by a tarred road. It has long been host to large numbers of artisinal miners and in October, 2008, a shed-off area of 8.98 sq. km. adjacent to the current license area was reserved for small scale mining. There remain issues to be resolved with a number of the local small scale miners whose claims may be in conflict with contemplated development of a large scale project, and settlement negotiations have been progressing and are ongoing. Further details of the Project and the underlying agreement with NGGL are contained in the Company’s Press Release dated October 19, 2009.
The Akan Agreement. The Company’s rights to the Project are subject to an Earn-In and Joint Venture Agreement (the “Akan Agreement”), with Marshall Islands’ private company Akan Exploration Ltd. (“Akan”), under which the Company may earn up to a 75% interest in the Noyem Gold Project by funding prescribed stages from exploration through feasibility. Akan has the right to participate at its election pro-rata after the Company has reached 60% ownership interest by funding all costs through pre-feasibility. The Company is designated as manager and operator of the Project and holds the License on behalf of the joint venture partners, subject to full consultation with Akan on all material aspects of the Project.
According to Irwin Olian, CEO of the Company, “After nearly 18 months of administrative, legal and preparatory activities, we are delighted that the underlying Prospecting License for the Noyem-Nyafoman Project has now been vested in our Ghanaian operating subsidiary and extended to cover our contemplated 2011 work program. It will be a pleasure to finally get started with work on this exciting gold project which gives African Queen entree into Ghana’s renowned Ashanti Belt.”
About African-Queen
The Company is an exploratory resource company with diversified mineral properties in Southern and West Africa. It is exploring its properties in Mozambique, Kenya and Ghana for gold and other metals and it is undertaking exploration in Botswana and Namibia for diamonds, gold and other metals. The Company’s licenses in Botswana comprise approximately 2890 sq km of diamond prospects. In Mozambique it has approximately 230 sq km of gold and other metals licenses under an agreement with another company. In Kenya it has approximately 737 sq. km. of gold and other minerals licenses under agreements with two other companies. Its operations in Botswana are carried out through its operating subsidiary, PAM Botswana (Pty) Ltd.; its operations in Namibia are carried out through its operating subsidiary PAM Minerals Namibia (Pty) Ltd.; its operations in Mozambique are carried out through its subsidiary PAM Mocambique Limitada and its operations in Ghana are carried out through its subsidiary AQ Ghana Gold Limited. Its operations in Kenya are being carried out through its operating subsidiary AQ Kenya Gold Limited. The Company has its executive offices in Vancouver, Canada.
ON BEHALF OF THE BOARD OF DIRECTORS OF
AFRICAN QUEEN MINES, LTD.
“Irwin Olian”
Irwin Olian
Chairman & CEO
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of the information contained herein. The statements made in this press release may contain certain forward-looking statements that involve a number of risks and uncertainties. Actual events or results may differ from the Company’s expectations.