Sese Project

Sese Project

The Sese uranium project is located in northeast Botswana and is approximately 50km southwest of Francistown. The project is situated close to the sealed highway between Francistown and Gaborone and is easy to access. The Sese Project covers an area of Karoo sediments which form a band approximately 5km to 10km wide, occupying a position between older basement gneisses to the east and younger, flat lying Kalahari Sand cover to the west. Calcrete horizons are locally developed immediately above the Karoo sediments in this part of Botswana.

To the immediate south of the Sese tenement, A-Cap Resources has identified widespread and continuous uranium mineralisation in the calcrete and in the underlying Karoo-aged sandstones on their Letlhakane project, resulting in an Indicated Resource containing 50 Mlb at an average grade of 159 ppm U3O8 and an Inferred Resource containing 66 million lb U3O8 at an average grade of 148 ppm U3O8. This resource covers a large area, and extends to the tenement boundary with African Energy's Sese Prospecting Licence.

African Energy undertook a programme of reverse circulation drilling to test the northern continuation of this mineralisation in November 2009, completing a total of 92 drill holes on a broad-spaced grid, for a total of 4,512 metres drilling. Preliminary assay results confirm that the drilling has intersected a wide zone of anomalous uranium mineralisation, with grades and continuity that are potentially viable for extraction by open pit mining. The current grid spacing is considered too broad to adequately assess the size and continuity of the mineralised zones, however spectrometer readings taken on each 1m drill sample indicate that the anomalous mineralisation is likely to extend over an area of 3km by 2km. Further assays are required to confirm the grade and continuity of the mineralisation and results to date may not be indicative of the overall zone.

The Company is currently waiting on all assay results from the current drilling programme before making an assessment of the infill drilling required to support an initial resource estimate for the prospect area. Infill drilling is likely to commence in early 2010, once seasonal rains have eased in the Sese project area and drill rig access is viable.

The Foley uranium target occurs 15km to the north of Letlhakane and covers an area of almost 50km2. African Energy completed an 83 drillhole programme of broadly spaced reverse circulation percussion (RC) drilling to evaluate the Foley anomaly in late 2007. Significant thicknesses and grades of uranium mineralisation were encountered in several holes near the centre of the anomaly. Further drilling is planned for the Foley target to test this concept and determine the economic significance of the mineralisation identified to date.