Keegan Resources Inc.
TSX VENTURE : KGN

Keegan Resources Inc.

February 01, 2006 09:50 ET

Keegan Obtains Exploration License for Asumura Gold Project in Ghana

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 1, 2006) - Keegan (TSX VENTURE:KGN) is pleased to announce that it has obtained final approval from the Ghanaian Minister of Mines for conversion from reconnaissance to exploration license. Keegan is now in a position to execute its plans to commence drilling in mid February. Over the last year the company has completed extensive soil geochemistry, Induced Polarization and trench sampling programs. The technical team has compiled and interpreted this data and now has several highly prospective drill targets (see www.keeganresources.com and press release dated January 25, 2006). Keegan is in the process of finalizing a 43-101 technical report on the property for submission to the TSX exchange.

The Asumura Project is located within a favorable geological setting on a large convex flexure of the Sefwi greenstone belt. Each convex flexure of the Sefwi and Ashanti greenstone belts besides Asumura has delivered multi-million ounce deposits; the most recent discoveries occurring in Newmont's (NYSE: NEM; TSX:NMX) Ahafo gold district (proven and probable reserves of 10.6 M oz at an average gold grade of 0.068opt (1.92g) . The Asumura concession comprises a 210 square kilometer area 65 kilometers south of Ahafo along the same belt boundary. Vincent Dzapasu is Keegan's Qualified Person for the Asumura project. Mr. Dzapasu is a qualified member of the Institute of Mining and Metallurgy in the United Kingdom.

Dan McCoy, president and CEO of Keegan Resources states: "We are looking forward to a very exciting drilling program. We are very pleased with the level of interest that this project is generating in the financial and technical communities."

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 active exploration programs in Nevada and Ghana combined with an enviable capital structure the company is well positioned to deliver an active, 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.

Contact Information