African Eagle Resources to take up a new venture
This year African Eagle Resources will take up a small scale venture by investing between US$ 40 to 50 million to start copper production in Mkushi and by the next year it would take up large scale mining. It is listed on London’s Alternative Investment Market (AIM) as well as Johannesburg Stock Market’s. AIM is conducting a viable study which was last done in 2008 during the global crisis.
Chris Davies, the operations manager said that the company is intending to put its seven Zambian assets into a new firm which could be listed on AIM. AIMs are markets for small companies that are usually second tier and take up large stock exchanges. African Eagle Resources, the London based firm is planning for its Zambian subsidiary companies, Kujima Mining and Exploration Ltd Katanga Resources Limited, to make them separate firms and opt for a public offering by second half of 2011, probably on London’s AIM. Mr. Davies at ‘Investing in Africa Mining Indaba 2011’ said that the company has seven assets in Zambia which also include one at Mokambo, where it conducted about 2,100 m of drilling past year. African Eagle has a stake of 49% in Mkushi mine. It is hoping to conduct exploration in the mine with modern technology.
CGA Mining Limited, which is operating the project, holds 51% of the stake. The company has ventures in other project like the Eagle Eye prospect with iron ore, copper, gold mineralization (IOCG) and Kampumba with copper mineralization. The company also has property in Ndola where it is conducting six drill projects.
It is presuming venture for Blue Sky at Lunga, Central Zambia which has the capability for copper, uranium and gold mineralization. “By this year, construction in Mkushi mine is expected to begin with significant job opportunities as well as social benefits for the local people.” Mr. Davies said.
He also said that Mkushi which is near Kapiri Mposhi would help in easy transportation of the resources but apart from that it is amongst the few areas that were mined outside the Copper belt as well as have good resources with easy processing. The company in an exhibition at mining Indaba, told that various stakeholders has showed interest for the Zambian properties. The Dutwa nickel venture in Tanzania is also a project of African Eagle Resources.