Here is what the cash cow has to say: African Resources, Inc.
This information herein has been taken from The Barrington Report.(3rd Quarter 1998) This company has been chosen from hundreds of candidates. All Barrington publications are based on in-depth research and due-diligent investigation to ensure accuracy and accountability of all information. For a complete Barrington Report on African Resources please contact Cash Cow Magazine On-line.
African Resources, Inc. 3rd Quarter 1998.
Stock Data Common Stock Outstanding
OTC Trading Symbol...........................AFRI
Public Float.................................1,520,000 Current Price..........................................$1.00 Total Shares................................11,400,000 12-Month Range.......................$0.01 - $30.00 Fiscal Year End................................Dec. 31
African Resources, Inc. (formerly known as Alpha Diamonds Corporations - ALDM) is a U.S. natural resource development and mining company with diamond concessions in Africa and operating gold mines in the United States. The company's current mineral resource deposits are among the richest finds in western Africa for the preceding decade and have the potential of generating substantial revenues over the next five years. The U.S. gold and platinum concessions represent billions of dollars in proven reserves.
The Company's primary African concession is on the Konkoure River in Guinea which has proven, in a recent Black Sand Assay conducted by American Assay Laboratories, to consist of 1.2 oz. of gold per ton, a mineral consistency of 45.6% titanium and significant gem quality diamond volume. The Guinea government equivalent of the Department of Minerals and Mines has independently estimated the concession's value at $1.6 Billion. Subsequent to the government's evaluation of the concession, the Guinea government ceased the issuance of any further mining permits perimetering the concession. Full scale alluvial mining of the 20 mile concession is scheduled during the fourth quarter of 1998. The concession is projected to yield approximately $600 Million to the company by the end of 2003.
The Company has an option on a secondary African concession on the Dinguaye river-also in Guinea with Gold reserves, estimated at $1 Billion. Barrington has learned that the Company intends to exercise it's option during the fourth quarter of 1998 and to commence mining operations during the first quarter of 1999 together with it's joint venture partner, Gold Rivers of Africa. In addition to the Dinguaye River Concession, management is negotiating to acquire two additional gold and diamond concessions in western Africa. Barrington analysts forecast that the secondary concession will be achieving operating profits of $450 Million by the end of 2003.
On August 8, 1998, the Company aquired a 30% interest in Golden Green Mining, Inc.-currently mining approximately 1,000 acres of gold claims located on the Papago Indian Reservation in southeastern Arizona. Golden Green is a full scale operational gold mining company with proven reserves of over $120 Million and an estimated $6 Billion in total reserves. The Golden Green-one of only two operating gold mining operations in the State of Arizona-owns one of seven gold-platinum smelter licenses issued by the state. Golden Green is currently negotiating a joint-venture with a Utah based gold-platinum concession with reportedly $1 Trillion of mineral reserves and possibly the largest gold-platinum field in the U.S. Golden Green is expected to yield over 100 ounces of gold per day by the second quarter of 1999 and potentially represents one of the richest gold reserves in the State of Arizona.
The Konkoure River concession, represents one of the richest natural resource finds in western Africa. The combined Konkoure and Dinguaye concessions represent potential reserves of $2.6 Billion. African Resources Inc's 50% participation represents potential reserves of approximately $1.3 Billion - $12.50 per share. The book value of the Company, based on the Konkoure concession alone-not including the U.S. natural resource assets - is currently carried at $3.57 per share.
The Company's securities trade as Units - each Unit consists of One Class B Common Share and One Class A Preferred Share. The Class A Preferred Shares provide the holders with a pro-rata distribution of 3% of the gross revenues derived from the Company's mining interests.
A highly qualified management and advisory team with breadth of experience is committed to the company's long-term objective of developing it's U.S. and African concessions. AFRI's executives serve in active roles toward mining development and strategic acquisitions. These executives have, in their business history, manifested the skills and abilities that are incumbent for a business plan with the scope and dimension of African Resources, Inc. to succeed.
African Resources, Inc., is an exceptional mining stock opportunity. The Company has minimal dept and does not intend to finance itself via the use of future dept financing. This is a major factor in Barrington's selection. The Company intends to derive it's growth via it's proprietary ownership position of two highly regarded and valuable natural resource concessions in Africa and the significant gold reserves on the Golden Green operational mine in the State of Arizona. The Konkoure concession, in the view of Barrington, is one of the most valuable natural resource concessions in western Africa. The Company's book value, accounting the Konkoure concession alone, is $3.57 per share. The units-as seen by Barrington analysts-should be trading at $7.00 per share level today and are forecasted to trade at the $14.00 per Unit level-upon commencement of full scale mining operations in Africa. These prices may pale in comparison with the potential trading value of the Units if the joint venture negotiations between Golden Green and the richest gold-platinum in the U.S. are consummated successfully- which Barrington forecasts to occur during the first quarter of 1999.
Barrington is of the view that the Company will qualify for listing on NASDAQ during the first quarter of 1999.
The trading symbol "AFRI" promises to be one of the fastest moving stocks of the next 36 months! This is one of the highest recommended BUYS that Barrington has published during 1998! |
