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Pan African Resource (PAF)

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Monday 02 October, 2006

Pan African Resource

Manica metallurgical results

Pan African Resources PLC
02 October 2006

                         Pan African Resources PLC
                      ('Pan African' or 'the Company')

                         Manica Project, Mozambique

Update on metallurgical test results forming part of pre-feasibility study

Pan African Resources PLC (AIM: PAF), the African based gold exploration
company, announces the results of the metallurgical work completed on the Fair
Bride prospect within the Manica Project, where the company is completing a
pre-feasibility study on an opencast mine.


•        Overall gold recoveries from the upper oxide zone is 90% through normal

•        Overall gold recovery from the lower sulphide zone is 86% through a
         combination of flotation, BIOX(R) and normal cyanidation

•        Further optimisation test work is currently underway

Scope of work

The mineralised envelope at Fair Bride can be divided into an upper oxide zone
(weathered) and a lower sulphide zone (unweathered), both of which are being
investigated to be mined from surface. Traditionally gold recovery in oxide
zones is more easily achievable than in sulphide zones where the gold is often
locked up within sulphide minerals. However, in recent years, efficient and
effective gold extraction has been achieved from sulphide zones through
additional extraction processes.  With this in mind the company engaged the BIOX
(R) division of Gold Fields Limited ('Gold Fields') to carry out metallurgical
test work as part of the pre-feasibility study.

Work completed

Oxide zone - A 10kg representative oxide sample was submitted to SGS Lakefield
in South Africa. The sample reported a recovery of 90.12% as a result of normal

Sulphide zone - A 500kg composite sulphide core sample was submitted to SGS
Lakefield in South Africa for laboratory flotation test work and a 10.17kg
concentrate was produced therefrom for BIOX(R) test work. These tests resulted
in gold dissolution recoveries with some tests as high as 93% and an overall
recovery of 86% through a combination of flotation, BIOX(R) and normal

Work currently underway

Pan African together with the BIOX(R) division of Gold Fields are currently
finalising a conceptual metallurgical flow diagram, preliminary equipment lists
and order-of-magnitude cost estimates for the treatment of the mineralised
envelope as part of the pre-feasibility study. These cost estimates will also be
used in the engineering assessment of an opencast mine which is ongoing.

Jan Nelson, CEO, Pan African, commented: 'The Company is very pleased that the
work completed indicates that the metallurgical results at a basic stage without
optimisation are excellent. High recoveries such as these are paramount to the
success of any mining project. The Company expects to report on the initial
results of the mine engineering study on the viability of an opencast mine in
the near future and expects to complete, on time, the pre-feasibility study
before the end of 2006. The exploration programme at Manica to locate further
mineralised zones along strike from Fair Bride is well underway and several
drill targets have already been identified.'

For further information on Pan African Resources please visit the website at


Pan African Resources             Ambrian Partners Limited           Parkgreen Communications
Jan Nelson, CEO                   Richard Chase                      Justine Howarth / Victoria Thomas
+27 11 886 1211                   +44 (0)20 7776 6461                +44 (0) 20 7493 3713
Colin Bird, Chairman
+44 (0) 20 7584 2155


•         SGS Lakefield is a SANAS accredited laboratory in South Africa.
Flotation test work was overseen by Mr. H Stallknecht, Manager Flotation
Technologies for SGS Lakefield Research Africa and carried out by Mrs. J
Rupnarain, Head Flotation Technologies SGS Lakefield Research Africa.

•         The BIOX(R) process is a registered trademark of Gold Fields and all
test work was overseen by Mr. Jan van Niekerk, Senior Metallurgical Consultant
(Refractory Ores) for Gold Fields BIOX(R).

•         BIOX(R) - is a process whereby bacteria is used to pre-treat
refractory sulphide gold ores such as pyrite, arsenopyrite and pyrrhotite. The
gold in these sulphide ores is often encapsulated in sulphide minerals which
prevent gold from being leached by cyanide. The BIOX(R) process destroys the
sulphide minerals and exposes the gold for subsequent cyanidation, increasing
recovery rates.

•         SANAS - South African National Accreditation System.

•         Detailed copies of the individual metallurgical reports will be posted
          on the company website under: Manica - pre-feasibility study.

                      This information is provided by RNS
            The company news service from the London Stock Exchange