AFRICAN QUEEN’S JV PARTNER ABBA MINING IN DISPUTE OVER PORTION OF RONGO LICENSE IN KENYA
Vancouver, British Columbia — AFRICAN QUEEN MINES LTD. (the “Company”) announces that a dispute has arisen between its joint venture partner, Abba Mining Company Ltd. (“Abba”), owner of Special License No.287 granted January 22, 2010, covering approximately 112 sq. km. comprising the Rongo Gold Fields Project in the Rongo district of Southwest Kenya, and B & M Mining Company (“B & M”), a Kenyan company which held a prior license over certain portions of the area from 2003 through 2005. B & M is now asserting that it has valid rights covering 15 sq. km. of the 112 sq. km under license by Abba due to technical issues related to the termination of its license. The matter is being adjudicated by Abba in Kenya through arbitration and possible court action.
According to Irwin Olian, CEO of the Company, “It is unfortunate that B & M, which has never to our knowledge done any significant work on the ground in question and has waited to assert an adverse claim for nearly 5 years until we have and Abba have spent significant sums and established genuine value for the property would be permitted to proceed in a disruptive manner. It is particularly troublesome since we had received a written opinion as to the validity of Abba’s license from the Commissioner of Mines and Geology prior to commencing our work programs. The Commissioner also approved the Earn-In and Joint Venture Agreement between Abba and AQ Kenya Gold Limited prior to commencement of work. We trust that reason and equity will prevail in this situation and that the claims of B & M will be set aside.”
The Company is active in Kenya exploring the Rongo Gold Fields Project with Abba. It has completed its Phase 1 field exploration program and is now readying targets for a comprehensive core drilling program which is scheduled to commence within the next few months. The Company is also in negotiation on several joint ventures with other partners covering other projects and has applications pending with the Commissioner of Mines and Geology for exploration licenses covering a number of other highly prospective areas.
About African Queen
The Company is an exploratory resource company with diversified mineral properties in Southern and West Africa. It is exploring its properties in Mozambique, Kenya and Ghana for gold and other metals and it is exploring its properties in Botswana and Namibia for diamonds. The Company’s licenses in Botswana and Namibia comprise approximately 9208 sq km of diamond prospects. In Mozambique it has approximately 230 sq km of gold and other metals licenses under an agreement with another company. In Kenya it has approximately 112 sq. km. of gold and other minerals licenses under an agreement with another company. Its operations in Botswana are carried out through its operating subsidiary, PAM Botswana (Pty) Ltd.; its operations in Namibia are carried out through its operating subsidiary PAM Minerals Namibia (Pty) Ltd.; its operations in Mozambique are carried out through its subsidiary PAM Mocambique Limitada and its operations in Ghana are carried out through its subsidiary AQ Ghana Gold Limited. Its operations in Kenya are being carried out through its operating subsidiary AQ Kenya Gold Limited. The Company has its executive offices in Vancouver, Canada.
ON BEHALF OF THE BOARD OF DIRECTORS OF
AFRICAN QUEEN MINES, LTD.
Chairman & CEO
For more information, contact:
President and CEO
Phone: (604) 899-0100
Fax: (604) 899-0200
Dubai - +971 55 997 0427
London - +44 (0) 7780 602 788
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of the information contained herein. The statements made in this press release may contain certain forward-looking statements that involve a number of risks and uncertainties. Actual events or results may differ from the Company's expectations.