African Gold Group, Inc.
TSX VENTURE : AGG

African Gold Group, Inc.

March 14, 2007 09:00 ET

African Gold Group, Inc. Closes Financing

TORONTO, ONTARIO--(CCNMatthews - March 14, 2007) -

THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

African Gold Group, Inc., ("AGG" or the "Company") (TSX VENTURE:AGG) is pleased to announce that it has closed the "best efforts" private placement financing previously announced on February 26, 2007. Through the efforts of Westwind Partners Inc. ("Westwind" or the "Agent"), the Company raised gross proceeds of $4,448,500 through the issuance and sale of 2,542,000 units at a price of $1.75 per unit. Each unit consists of one common share and one half of one common share purchase warrant. Each whole warrant entitles the holder to purchase one additional common share of the Company at a price of $2.25 for 24 months from the closing date.

African Gold Group, Inc. will use the net proceeds from the placement of the units for its continuing exploration programs in Mali and Ghana and for general corporate purposes.

"We are eager to apply the proceeds of this financing to the ongoing development of our assets with a primary focus on our Kobada, Mali project. We are grateful for the continuing support of our existing institutional shareholders and are encouraged by the breadth of participation from new institutional shareholders", states Michael Nikiforuk, President, African Gold Group, Inc.

Westwind received compensation comprised of cash and broker warrants upon closing of the offering.

The securities issued under the private placement are subject to a four month resale restriction and the entire placement is subject to TSX Venture Exchange approval.

African Gold Group, Inc., based in Toronto, Canada, is engaged in the identification, acquisition and exploration of prospective gold projects that are situated along significant gold trends within West Africa. To date, the Company controls a total of nine gold concessions that are consolidated in five separate standalone exploration projects, of which three projects are located in Ghana and the remaining two are located in Mali, West Africa.

Additional Information is available on the Company's website at www.africangoldgroup.com and on www.sedar.com and through the Company's offices at: BCE Place, Canada Trust Tower, 27th Floor, 161 Bay Street, Toronto, Canada M5J 2S1

On Behalf of the Board:

Michael A. J. Nikiforuk, President, Director

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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