AEA - African Eagle Resources plc - African Eagle Announces Completion of
AEA
AEA
AEA - African Eagle Resources plc - African Eagle Announces Completion of
the First Stage of Asset Disposals to Syrah Resources Limited
African Eagle Resources plc
Incorporated in England and Wales
(Registration number 3912362)
(AIM share code: AFE AIM ISIN: GB0003394813)
(JSE share code: AEA JSE ISIN: GB0003394813)
African Eagle Announces Completion of the First Stage of Asset Disposals to
Syrah Resources Limited
African Eagle (AIM: AFE; AltX: AEA) is pleased to announce that, in
accordance with an agreement dated 25th October 2011 (the "Agreement"), it
has completed the first stage of an asset disposal programme to Syrah
Resources Limited (Syrah), an Australian minerals resource company listed on
the ASX (ASX: SYR), and has realised proceeds of A$695,120 (approx.
GBP470,000). The Company anticipates that the disposal of the remainder of
the assets to Syrah will be completed later in the year. The proceeds will
contribute to funding for the development of the Company`s flagship Dutwa
nickel project in Tanzania.
The Agreement pertains to the disposal of eight licenses, two in Mozambique,
five in Tanzania and one in Zambia.
The Company has completed the disposal of Twigg Exploration & Mining Ltda.,
its Mozambique subsidiary, which holds the Balama Graphite and Sena Uranium
prospecting licences. As a result consideration of A$325,120 (approx.
GBP220,000) has been paid to the Company.
In Tanzania, Syrah has made a down payment of A$100,000 to cover the
submission of applications to transfer all of the five licences. Of these,
the Company`s three Wembere prospecting licenses have now been transferred
to Syrah, resulting in a further payment of A$270,000. Total proceeds for
the disposal of assets in Tanzania to date amounts to A$370,000 (approx.
GBP250,000). For the two remaining Tanzanian licenses, Tanga and Shikula
licences, Syrah will pay the Company A$90,000 on the completion of the
transfer of each (total A$180,000 (approx. GBP120,000)). The Company
anticipates that both these transfers will be completed later in 2012.
The final licence is African Eagle`s Sasare North licence in Zambia, which
expires in July 2012. If on or after expiry Syrah applies for a new licence
over all or part of its area, Syrah will pay the Company A$25,000 on
submission of the application and a further A$50,000 if the application is
successful.
Trevor Moss, CEO, commented: "The early completion of the major part of this
transaction reinforces our efforts to focus our full attention on the
development of the Dutwa nickel project and we appreciate the efforts of
Syrah in its timely completion. The funds realised are significant and will
be employed to partially fund the Dutwa bankable feasibility study."
About African Eagle
African Eagle Resources plc is a junior mining developer and explorer. The
Company`s flagship project is the Dutwa Nickel project, located about 25
kilometres south of Lake Victoria and 110 kilometres east of Tanzania`s
second city, Mwanza, within the greenstone gold belts which host many of
Tanzania`s operating and developing mines. The Company is quoted on the AIM
market of the London Stock Exchange (AIM: AFE) and on Johannesburg`s AltX
(AltX: AEA).
Technical terms
A glossary of technical terms used by African Eagle in this announcement and
other published material may be found at www.africaneagle.co.uk/african-
eagle-projects-glossary.html
Sponsor
Merchantec Capital
23 February 2012
For further information:
Please see the Company`s web site at www.africaneagle.co.uk or contact one
of the following:
African Eagle Resources plc
Trevor A. Moss (CEO)
Yasumi Toyoda (Investor Relations)
+44 20 7248 6059
Canaccord Genuity Limited
Rob Collins
Andrew Chubb
+ 44 207 050 6500
Ocean Equities Limited
Guy Wilkes
44 20 7786 4370
Russell & Associates, Johannesburg
Charmane Russell
Marion Brower
+27 11 8803924
+27 82 8928052
Date: 23/02/2012 09:46:58 Produced by the JSE SENS Department.
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