African Gold Group, Inc.
TSX VENTURE : AGG

African Gold Group, Inc.

October 14, 2010 10:46 ET

African Gold Group, Inc. Step-Out Drilling Yields Discovery of New Gold Zone Located 4.3 Km North of Zone 1, Kobada, Mali

TORONTO, ONTARIO--(Marketwire - Oct. 14, 2010) - African Gold Group, Inc., ("AGG" or the "Company") (TSX VENTURE:AGG) is pleased to report the analytical results for 17 near surface, step-out reverse circulation ("RC") drill holes from the Company's Kobada, Mali gold project.

The 17 RC drill holes that are the subject of this release are collared in a newly-discovered, distinct structural setting, the "Foroko North Zone" or "Foroko North", that lies up to 4.3 km north-east of the most northerly section of the Kobada, Zone 1 gold deposit. This structure emanates from AGG's Foroko concession, which is contiguous with AGG's Kobada concession, on Kobada's eastern boundary, and projects north into the northeastern section of the Kobada concession. The Foroko North structure is oriented in a North/South (N-S) direction as distinct from the Kobada structure, which is oriented at North 20 degrees East.

Please activate link to view Foroko N mineralized envelope map: http://media3.marketwire.com/docs/Foroko_map.pdf.

Near Surface (Oxide) Drill Highlights From Foroko North Step-Out Holes Include:

KBRC10-034: 23m @ 2.10 g/t Au
KBRC10-037: 10m @ 0.92 g/t Au
KBRC10-038: 53m @ 1.33 g/t Au and 9m @ 5.78 g/t Au, includes 1m @ 46.86 g/t Au
KBRC10-047: 16m @ 0.91 and 62m @ 1.04 g/t Au

The assay results representing the 17 near surface (oxide) RC holes drilled on Foroko North are listed in Table 1 below:

TABLE 1
 
Foroko North Zone
Mineralized Intercepts In Drill Holes
 
Hole ID
From (m)
To (m) L (m) Au (g/t) EOH (m) AZIM. (Deg.TN) Hole objective
KBRC10-032 22 25 3 0.71 108 180 EW tension gashes,Step-Out
KBRC10-032 36 39 3 0.52      
KBRC10-032 46 49 3 0.62      
KBRC10-032 69 74 5 0.64      
KBRC10-032 80 96 16 0.44      
KBRC10-032 105 108 3 0.57      
KBRC10-033 105 108 3 0.48 108 180 EW tension gashes,Step-Out
KBRC10-034 38 41 3 0.38 108 180 EW tension gashes,Step-Out
KBRC10-034 61 64 3 0.36      
KBRC10-034 80 103 23 2.10      
 including 99 100 1 32.18      
KBRC10-035 39 42 3 0.40 108 180 EW tension gashes,Step-Out
KBRC10-035 62 74 12 0.31      
KBRC10-035 83 88 5 0.98      
KBRC10-035 95 104 9 0.93      
KBRC10-036 no significant mineralization 108 180 Wall rock
KBRC10-037 6 26 20 0.60 108 180 EW tension gashes,Step-Out
KBRC10-037 59 62 3 1.21      
KBRC10-037 78 88 10 0.92      
KBRC10-038 14 17 3 0.75 108 180 EW tension gashes,Step-Out
KBRC10-038 25 78 53 1.33      
 including 59 60 1 37.16      
KBRC10-038 87 90 3 0.45      
KBRC10-038 99 108 9 5.78      
 including 104 105 1 46.86      
KBRC10-039 no significant mineralization 108 180 Wall rock
KBRC10-040 2 5 3 1.02 108 180 Wall rock
KBRC10-040 14 17 3 0.32      
KBRC10-041 to 45 no significant mineralization 108 180 Wall rock
KBRC10-046 2 21 19 0.51 108 180 EW tension gashes,Step-Out
KBRC10-046 45 48 3 0.37      
KBRC10-047 6 22 16 0.91 108 180 EW tension gashes,Step-Out
KBRC10-047 45 107 62 1.04      
 including 78 79 1 10.65      
 including 90 91 1 21.17      
KBRC10-048 25 33 8 0.68 108 180 EW tension gashes,Step-Out
KBRC10-049 5 10 5 0.71      
KBRC10-049 54 57 3 5.80      
 including 55 56 1 17.25      
KBRC10-049 65 68 3 0.39      

Please activate link to view cross sections of intercepts on sections 547,775E; 547,825E; and 547,900E - http://media3.marketwire.com/docs/aggsections1014.pdf

The Foroko North structure is marked by a 2 km long N-S zone of contiguous ancient orpaillage workings which have resulted in collapse zones in the duricrust averaging 50 meters in width with areas up to 100 meters wide. The investigation of certain of the workings, that have not collapsed, reveals that the artisanal mining was to depths of approximately 6 meters and mining was exclusively within the mottle zone (saprolite devoid of structure) of the laterite weathering profile. To the north of this zone there is an additional 3 km of sporadic NNE oriented ancient and modern orpaillage activity that extends onto the Chakabougou airborne geophysical anomaly that is located in the northern region of AGG's Acoma license. (see AGG press release - Aug. 10, 2010).

The 17 holes reported in this press release are located within the northern most quarter of the Foroko North structural anomaly. KBRC10-32, the most northern hole, lies approximately 600 meters from KBRC10-48, the most southern hole. (please refer to Foroko N mineralized envelope map link above).

"Employing the model that evolved from the Kobada Zone 1 efforts and also based on limited evidence derived from the Foroko North workings, south directed holes were drilled targeting east-west (E-W) striking tension gashes within the N-S striking Foroko shear zone. The success of this program has proven this model to be correct and accordingly we would anticipate that we may well intersect E-W mineralized tension gashes along the entire 2 km strike length of the Foroko North shear." States Dr. Kevin N. Downing, Sr. Structural Geologist.

Please activate link to Model Illustration: http://media3.marketwire.com/docs/Model_Illustration_Map.pdf.

"We wish to reiteriate that AGG's Kobada, Mali gold project represents a 216 sq km footprint contained within 4 contiguous concessions. As of this date, less than 10% of this footprint has been explored. We most recently reported on the results of our airborne survey that was flown over the entire Kobada footprint and that this exercise generated seven (7) structural targets. All seven (7) of the newly identified Target Areas exhibit geophysical characteristics that are similar to the mineralized structures contained within the Zone 1 deposit. All of the Target Areas are traversed by the favorable NNE and NE-SW mineralized faults. Six (6) of the Target Areas have coincident radiometric potassium anomalies interpreted as granitoid intrusions with hydrothermal alteration. All of the Target Areas have shown evidence of historical and/or current artisanal mining. The discovery of this new gold zone at Foroko North speaks directly to AGG's growing potential to significantly increase Kobada's gold resources. We have no doubt whatsoever that additional discoveries of new gold zones remain a matter of time and methodical exploration, they are there and we intend to discover them," states AGG President, Michael A. Nikiforuk.

Under the guidelines of National Instrument 43-101, the qualified person for the Kobada Gold Project is Mr. Pierre Lalande, P. Geo. Mr. Lalande is a member of the Association of Professional Geoscientists of Ontario and has reviewed and approved the contents of this news release.

Sampling - QA/QC Program

RC cuttings are recovered at the bottom outlet of the RC rig cyclone into 50-kg capacity poly-weave bags to recover the cuttings from each 1 meter of drill penetration. Each one meter sample weighs an average of approximately 19 to 23 kg. Each sample is passed through a 3-tier Jones Riffler (1 to 8 split), the samples are riffled twice to obtain from 3 to 5 kg of cuttings which are put in a numbered sample bag. Each bag is sealed and picked up on site by ALS Chemex Laboratories for delivery to its Burkina Faso facilities. The remaining 14 to 18 kg of cuttings (field rejects) are stored in camp under tarps to protect the bags against the elements.

Original samples are analyzed using Leachwell on 2 kg of pulp. Leachwell is a bottle roll cyanidation procedure with the addition of a catalyst to speed up gold dissolution. A QA/QC program is in place and includes: blank (1 in 20 samples), duplicates (1 in 20), standards (1 in 20), external lab checks (1 in 30) and two different analytical procedures checks (1 in 100).

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 twelve gold concessions that are consolidated in five distinct 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: Sun Life Financial Tower, Suite 2518, 150 King St. West, Toronto, Canada M5H 1J9.

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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