AFRICAN EAGLE ANNOUNCES NICKEL DISCOVERY IN TANZANIA African Eagle Resources plc has received exciting early Nickel assay results from drilling at its Dutwa Gold and Base Metals Project in Tanzania. Results to date include: 36m @ 1.16% Ni from 12m depth, including 12m @ 2.52% Ni 39m @ 1.11% Ni from 6m 21m @ 1.33% Ni from 18m 30m @ 0.94% Ni from 12m African Eagle's Managing Director Mark Parker comments, "The grades we are seeing at Dutwa are easily comparable with those at many major nickel laterite deposits worldwide. The results to date, coupled with the extent of the geochemical anomaly, suggest a substantial nickel endowment. This is a highly significant discovery, the first of its type in Tanzania, and appears very promising." African Eagle is conducting a programme of vertical reverse circulation (RC) drilling at Dutwa to investigate a promising 2.5km-long nickel anomaly from last year's geochemical soil sampling programme. Seven of the first ten drill holes yielded high nickel values from a considerable thickness of laterite within the top 50m. These first results, verified by two laboratories, are from holes drilled along a 1km segment of the 2.5km geochemical anomaly. Cuttings from further drill holes, for which results are still awaited, indicate that the mineralisation extends over an area of at least 2 x 0.3km. African Eagle is continuing drilling to delineate fully the nickel-rich material. All samples will also be analysed for cobalt and other elements commonly associated with nickel in laterite deposits. All these results will be reported once they are received and checked. The table below sets out key intersections for which certificated and verified assay results have been received to date. The Company is also re-evaluating all data from its Zanzui project, 70km to the south of Dutwa, which returned elevated nickel soil geochemical values from a similar geological setting. The Dutwa project is located in the eastern Lake Victoria Goldfield of Tanzania, 100km east of the country's second largest city, Mwanza. The project is very favourably situated, being close to the main Mwanza-Nairobi trunk road, a major power line and the shore of Lake Victoria. Table: Significant Drill Intersections (Assays received to 25 August 2008 using a 0.5% Ni cut-off) +--------------------------------------------------------+ | Hole No | From (m) | Intersection (m) | Ni Grade (%) | |-----------+----------+------------------+--------------| | DTRC - 1 | 6 | 3 | 0.55 | |-----------+----------+------------------+--------------| | and | 12 | 15 | 0.75 | |-----------+----------+------------------+--------------| | or | 6 | 21 | 0.65 | |-----------+----------+------------------+--------------| | and | 42 | 3 | 0.53 | |-----------+----------+------------------+--------------| | DTRC - 2 | 12 | 30 | 0.94 | |-----------+----------+------------------+--------------| | DTRC - 3 | 6 | 39 | 1.11 | |-----------+----------+------------------+--------------| | DTRC - 4 | 18 | 21 | 1.33 | |-----------+----------+------------------+--------------| | and | 42 | 3 | 0.63 | |-----------+----------+------------------+--------------| | or | 18 | 27 | 1.16 | |-----------+----------+------------------+--------------| | DTRC - 5 | 9 | 6 | 0.56 | |-----------+----------+------------------+--------------| | and | 21 | 9 | 0.72 | |-----------+----------+------------------+--------------| | and | 36 | 15 | 0.80 | |-----------+----------+------------------+--------------| | or | 9 | 42 | 0.64 | |-----------+----------+------------------+--------------| | DTRC - 6 | 12 | 36 | 1.16 | |-----------+----------+------------------+--------------| | Incl. | 33 | 12 | 2.52 | |-----------+----------+------------------+--------------| | DTRC - 9 | 39 | 6 | 0.82 | |-----------+----------+------------------+--------------| | and | 54 | 9 | 1.03 | |-----------+----------+------------------+--------------| | and | 123 | 3 | 0.61 | |-----------+----------+------------------+--------------| | DTRC - 10 | 0 | 3 | 0.60 | +--------------------------------------------------------+ Qualified Person (AFE) Information in this report relating to exploration results is based on data reviewed by Mr Christopher Davies BSc, MSc, DIC, FSEG, FAusIMM, Operations Director for African Eagle, who is a Fellow of the Australasian Institute of Mining and Metallurgy, has more than 27 years' relevant experience in mineral exploration, and is a Qualified Person under AIM rules. Mr Davies consents to the inclusion of the information in the form and context in which it appears. Technical terms A glossary of technical terms used by African Eagle in this announcement and other published material may be found at www.africaneagle.co.uk/african-eagle-projects-glossary.html For further information: Mark Parker Managing Director African Eagle +44 20 7248 6059 +44 77 5640 6899 Nicola Marrin Seymour Pierce Limited, London Nominated Adviser + 44 20 7107 8000 Charmane Russell Russell & Associates, Johannesburg + 27 11 8803924 +27 82 8928052 Ed Portman / Leesa Peters Conduit PR, London +44 20 7429 6607 +44 (0) 7733 363 501 About Dutwa The Dutwa project is located in the Kilimafedha ("money hills") greenstone belt, which lies in the Lake Victoria Goldfields (LVGF), 100km east of Mwanza. Though originally investigated as a gold project, the area holds excellent potential for the discovery of nickel and platinum group elements. In ultramafic rocks adjacent to the mine, previous explorers have reported rock chip samples containing up to 1.87% nickel and 10% chromium. The project area comprises seven licences which cover 668km². African Eagle has a 90% interest in the properties and the option to gain a 100% holding. The project area is underlain by greenstones and granites. The greenstones are Nyanzian in age and are composed of intermediate and mafic volcanics, a suite of schistose metasediments, with banded iron formation (BIF) in the east. Ultramafic bodies, described as peridotites with olivine picrite, gabbro-norite and silicified serpentinite, occur within the greenstones, forming a range of low hills which extend for 12km from Ngasamo in the west to the Wamangola Hills in the east. African Eagle has completed a regional soil geochemical survey which returned gold anomalies over a 16km strike length and high nickel values over the ultramafic rocks. The Company has also conducted ground magnetic surveys which greatly help to reveal the structure and geology of the area, and has compiled historical data including a 1957 programme of detailed mapping and trenching of the ultramafic hills. Regular technical updates with maps, sections and the cumulative results of the drilling programme will be posted on the Dutwa page of the Company's website: www.africaneagle.co.uk/african-eagle-projects-dutwa.html About African Eagle African Eagle is a diversified mineral exploration and development company operating in eastern and central Africa. The Company's principal advanced projects are the Mkushi Copper Mines project in Zambia, for which a Feasibility Study will be completed in Q4 2008, and the Miyabi gold project in Tanzania, at which the Company has defined an estimated half-million ounce gold resource. The Company also holds a large well-balanced portfolio of promising earlier stage gold and base metal projects, including the Ndola and Mokambo copper projects. Zambia, Tanzania and Mozambique, the sites of African Eagle's projects, are all countries which have highly prospective geology, relatively low above-ground risks and track records of successful major investments in the metals and minerals industries. African Eagle specialises in project generation and exploration. To take its discoveries into production, it seeks to sign up industry partners with records of successful mine development. These joint ventures and, in time, the revenue from advanced projects, will finance future exploration and new discoveries. ---END OF MESSAGE--- African Eagle Resources PLC http://www.africaneagle.co.uk/ ISIN: GB0003394813 Stock Identifier: AIMX.AFE
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