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African Energy's main focus is the Sese Coal Project, located 50km to the south of the mining hub of Francistown in eastern Botswana. A resource delineation programme on the coal deposit is currently underway with an initial exploration target of between 1billion - 1.5billion tonnes of thermal coal.

Additionally the Company has high quality uranium projects in both Zambia and Botswana, including the Chirundu JV project with a 11.1Mlb U3O8 mineral resource.

Sese Coal Project, Botswana

The Sese coal project in eastern Botswana is wholly owned by African Energy Resources Ltd. The project is 50km to the south of the mining hub of Francistown, and is immediately west of the existing rail, road and power corridor which runs the length of eastern Botswana, and which connects through into neighbouring Zimbabwe and South Africa and on into nearby Zambia and Mozambique.

The coal deposit occurs within Prospecting Licence PL96/2005 which has been recently granted its second extension until 30th September 2012. African Energy has also made additional tenement applications to secure the majority of the up?dip and down?dip extensions to the known coal seams.

A drilling campaign on the project is currently in progress to delineate a JORC compliant inferred resource. It is expected that the resource will be announced in April 2011, and that this resource may exceed the Exploration Target* of 1.5 billion tonnes of thermal coal.

Sese Uranium Project, Botswana

African Energy commenced exploration for uranium on the Sese project in 2007, resulting in the discovery of mineralisation at the Foley prospect, where a large surface uranium anomaly covers almost 50km2. The mineralisation occurs in Karoo aged sediments, with higher grade intersections apparently controlled by a northeast trending basement fault, which in turn controls a sedimentary channel in the hosting Karoo sediments. Further drilling is warranted at this prospect to determine the significance of the mineralisation discovered to date at Foley, and also to test for higher grade mineralisation that may be hosted in the basement faults.

To the immediate south of the Sese tenement, A-Cap Resources has identified widespread and continuous uranium mineralisation in near-surface calcrete and in the underlying Karoo-aged sandstones, resulting in a large resource which extends to the tenement boundary with African Energy’s Sese Prospecting Licence. In late 2009, African Energy completed a programme of reverse circulation percussion drilling on very broad centres (400m x 400m grid, locally to 400m x 200m) at the Gojwane prospect to determine if this resource extends into the African Energy tenement.

African Energy’s drilling programme successfully identified shallow uranium mineralisation at Gojwane. Better intersections are listed in the table below and their location is shown diagrammatically in the related plan and cross-section. Infill drilling is required to determine the resource potential on African Energy’s tenement.

Chirundu Joint Venture Project, Zambia

The Chirundu JV project occurs approximately 150km southeast of Lusaka by sealed road and is where the Company was able to identify an initial Inferred Resource in September 2006. Since that time African Energy has discovered the Gwabe uranium deposit some 20km to the northeast, and has outlined over 11.1 Mlb of U3O8 (5,035t) in combined resources at the two deposits.

Joint venture partner Albidon Limited has elected to maintain its 30% interest in the project through meeting its share of future project costs. Both companies committed to a bankable feasibility study which commenced in May 2008. During the past year, work on the project concentrated on further metallurgical test work to assess mineral processing paths, environmental baseline surveys and resource delineation drilling. A mining licence for the project was granted for an initial period of 25 years, commencing in October 2009.

The Chirundu feasibility study is based on an operation utilising open pit mining and sulphuric acid heap leaching of the uranium ores, with mining initially from the Njame deposit only, followed by Gwabe once Njame has been exhausted. Uranium will be stripped from the leach solutions by ion-exchange resins, followed by elution and precipitation to produce a granulated UO4 product suitable for export at an annual rate of approximately 1.2 to 1.4 million lb U3O8 equivalent over a 7-8 year project life. A centralised uranium processing facility at Njame will support the combined operations with loaded ion-exchange resins trucked from Gwabe to Njame for final processing and packaging.

Kariba Valley Joint, Zambia

The Kariba Valley JV project is the second joint venture with Albidon Exploration Limited, and is approximately 250km from Lusaka by road, occurring 50km to the southwest of Denison Mines’ tenement that contains the Dibwe and Mutanga uranium deposits. The Kariba Valley JV project also contains the same Escarpment Grit Formation that hosts the mineralisation at Njame, Gwabe, Dibwe and Mutanga. African Energy has earned a 30% interest in the project and can increase this to a 70% interest by completing a prefeasibility study and delivering an Indicated resource.

The Kariba Valley JV tenements occur within economic trucking radius of the proposed Njame uranium processing facility near Chirundu and thus form an important and integral part of African Energy’s resource expansion plans for southern Zambia. Any economically viable discovery of uranium in this project could result in a remote ion-exchange mining project capable of delivering high-value loaded ion-exchange resins to the Njame plant where it would be further processed to make the final product for export.

During 2010, exploration drilling programmes were completed at the Namakande and Chisebuka prospects in the Kariba Valley JV project. Whilst a number of narrow zones of uranium mineralisation were identified at several target areas within the Namakande prospect, none were of sufficient width to warrant further investigation in the short term. Further work is required to determine where better structural targets for thicker mineralisation exist at Namakande. In contrast, several good intersections were made at Chisebuka, extending the known mineralisation by 800m along strike to define a mineralised system over 2,000m long.

Aldershot Joint Venture Project, Zambia

African Energy has entered into an Earn-In Agreement with Aldershot Resources Ltd (Aldershot) regarding two prospecting licences in the Kariba Valley in southern Zambia. These two licences cover an area of 748 km2 and occur between African Energy’s Kariba Valley JV project and the northern shore of Lake Kariba. African Energy can earn a 51% beneficial interest in the subject properties through meeting an Earn-In Expenditure commitment of AU $500,000 within three years of signing the Agreement, and can increase this to 70% by completing a prefeasibility study on an inferred resource.

During the year, work in the Aldershot JV focussed on three areas, Zeze, Makonkoto and Nangandwe. A geological mapping and ground radiometric survey was conducted over the Makonkoto and Zeze prospect areas north of Sinazongwe. The work programme included geological mapping and an assessment of uranium content of the soils on a 400m by 25m grid pattern. Infill to a 200m by 25 m grid pattern was completed on part of the Zeze prospect area. The uranium content in soils was established at each grid point using a calibrated RS?125 spectrometer in assay mode. The survey identified several areas of moderate uranium anomalism, but none were deemed worthy of drilling in the 2010 campaign.

Historical ground radiometric data collected by AGIP in the late 1970’s highlighted two high intensity anomalies in the eastern part of the Aldershot JV which had not been previously drilled. These prospects, named Nangandwe East and West, were visited by African Energy geologists and confirmed as high priority drilling targets based on the presence of gently dipping sandstones and siltstones with elevated uranium levels as determined by hand-held spectrometer readings. A programme of approximately 12 RC percussion holes has been planned for September 2010.

Northern Luangwa Valley Project, Zambia

The Northern Luangwa Valley project comprises two Prospecting Licences (Matonda and Mulipo) both of which are wholly owned by African Energy. A number of airborne radiometric surveys were flown over the projects in late 2006 and late 2007, and several uranium targets were identified. The Sitwe target has been evaluated as the most significant of these targets, comprising an 8km long, 0.5km wide uranium anomaly associated with Karoo aged sediments.

Field assessment of the Sitwe prospect commenced in late 2009 and included geological mapping and a programme of geochemical soil sampling over the primary target (400m x 50m sample spacing with analysis undertaken by a calibrated RS-125 hand-held spectrometer). Results from the soil sampling survey were very encouraging, with anomalous assay values highlighting an elongated zone of uranium anomalism corresponding to a siltstone unit within an interbedded siltstone-sandstone association, and with a peak value of 77 ppm eU3O8. The soil anomaly is parallel to the strike of the host sedimentary rocks. A number of outcropping siltstone units along this trend were also analysed with the hand-held spectrometer, which gave results up to 124 ppm eU3O8.

In June, a programme of trenching commenced across a number of sub-peaks of the anomaly to confirm its location, geometry and geological nature. A programme of reverse circulation (RC) percussion drilling to test the anomaly was due to start in the September quarter of 2010.

Mine For

uranium, coal

Location of operation(s)

Zambia, Botswana


Level 1, 8 Colin St


(61 8) 6465 5500



Last Updated



The data on Australian is intended as a guide only and is provided purely as an indication of what information can be found through official announcements. Data on this website should not be used to make an investment or trading decision. All information should be carefully cross-checked against official sources for accuracy. The publisher (Intaanetto Pty Ltd) will not be held liable for any loss arising from the use of this website.