Keegan Resources Inc.
TSX VENTURE : KGN

Keegan Resources Inc.

December 19, 2006 08:30 ET

Keegan Continues to Receive Excellent Drill Results at Esaase Gold Project

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Dec. 19, 2006) - Keegan (TSX VENTURE:KGN) is pleased to announce it has received assays from three new core holes from its ongoing drilling program at the Esaase Gold Property located in southwest Ghana. The results continue to indicate the presence of high grade zones of sheeted quartz vein style gold mineralization as well as wide zones of disseminated stockwork vein style mineralization. Intercepts from Hole 12 includes 20 meters of 0.98 g/t, Hole 13 includes 12 meters of 1.23 g/t gold and 46 meters of 2.17 g/t gold and Hole 14 includes 16 meters of 1.12 g/t gold and 74 meters of 1.24 g/t gold. The assays from Hole 12 indicate that the stockwork style gold mineralization has at least 1400 meters of continuously drilled strike length. Results from Holes 13 and 14 indicate continuity within the 1400 meters of strike as well as good continuity to mineralization at depth. Please see www.keeganresources.com for a location map of the existing drill holes.

Dan McCoy, president and CEO of Keegan Resources states: "These results extend the strike length of drilled mineralization and confirm excellent continuity and depth extent to the bulk mineable mineralization reported in previous news releases. We believe that there is a very high probability that we will find a significant deposit in the saprolite zone at Esaase within this strike length and we plan to begin delineating this resource using an additional rig in 2007. We also believe that we have a good chance of finding additional bulk mineable resources at depth and along strike below the saprolite and will continue to use the existing drill rig for that purpose. With the task of the delineation of a resource upon us after a program six months old, we look forward to our 2007 programs on both our Ghanaian properties with great anticipation."



Table 1: New Drill Results from Keegan's Esaase Property
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Hole # From (m) To (m) Width (m) Grade (g/t)
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KE6012C 157 177 20 0.98
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KE6013C 41 53 12 1.23
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KE6013C 145 151 6 0.87
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KE6013C 175 221 46 2.17
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including 201 215 14 4.82
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including 213 215 2 26.56
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KE6014C 5 21 16 1.12
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KE6014C 63 75 12 0.56
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KE6014C 97 113 16 0.62
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KE6014C 133 207 74 1.24
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including 133 141 8 4.16
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including 133 135 2 12.62
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Richard Haslinger, P. Eng. is the Qualified Person with respect to NI 43-101 at Esaase. All rock samples are assayed using standard fire assay with atomic absorption finish by Transworld Laboratories (GH) Ltd., Tarkwa, Ghana. QA/QC programs using internal and external standard samples, reassays, and blanks indicate good accuracy and precision to the assays.

About Keegan Resources

With a primary focus on established gold districts located in stable political environments, Keegan's seasoned exploration and management team have leveraged their collective experience and networks of contacts to efficiently assess, acquire and explore high quality, mid stage, precious and base metal projects. With two active exploration programs in Ghana combined with an enviable capital structure, the company is well positioned to deliver an active and exciting year for its investors.

On Behalf of the Board

Dan McCoy, Ph.D. President & CEO

This release includes certain statements that may be deemed forward-looking statements. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's filings that are available at www.sedar.com.

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