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Market: FSE
Sector: General Mining - Gold
EPIC: AMQ
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Anglo-African Minerals
www.anglo-african.net

Anglo-African Minerals plc (“AAM”) is a junior exploration company focussed on African countries where changes to the political landscape have provided significant opportunities to increase shareholder value and add value to the economies in which we invest.

In Guinea AAM owns a number of exploration licences over highly prospective concessions for gold, diamonds, and bauxite adjacent to proven deposits or producing mines.

Full Anglo-African Minerals profile here
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Anglo-African Minerals to acquire coal and diamond assets in US$9m deal with CANAF Group

5th Feb 2010, 11:12 am Anglo-African Minerals to acquire coal and diamond assets in US$9m deal with CANAF Group

Anglo-African Minerals (FSE:AMQ) has agreed the acquisition of Quantum Screening and Crushing Pty Ltd, including the Southern Coal Pty Ltd subsidiary and a 51% stake in a Sierra Leone based diamond business, from CANAF Group Inc (TSX: CAF) in a share-based deal worth US$9m.

According to Anglo-African, the deal will further diversify the company's portfolio and bring a highly desirable revenue stream. Quantum Screening and Crushing primarily consists of South African based Southern Coal Pty Ltd, and a 51% stake in the Canaf SL Ltd which operates an alluvial diamond business based in Sierra Leone.

Under the terms of the deal, the company will acquire the assets of Quantum Screening and Crushing, in return for 3 million Anglo-African shares. All employees of the business to be acquired are expected to join Anglo-African, and CANAF president and CEO David Way has agreed to join the company’s board.

“David and his team bring an exceptional contact base and a great deal of management experience in a variety of African operations,” Anglo-African chairman Michael Smith commented. “We very much look forward to merging the operations. In addition, in these uncertain times it is most reassuring to be cash flow positive before discretionary exploration and capital costs.”

Southern Coal Pty Ltd produces carbon for end users in the steel industry, the majority of the feedstock anthracite which is supplied by Springlake Colliery, which has reserves in excess of 40 years. The business’ customers include BHP-Billiton and Arcelor Mittal. “The addition of the South African business will see the company providing major steel producers with key components in their respective operations,” Anglo-African stated.

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