Circular and GM Notice

AFRICAN EAGLE RESOURCES PLC

PLACING TO RAISE £3.3 MILLION
NOTICE OF GENERAL MEETING
DIRECTORS' HOLDINGS

* Commitments received to subscribe by way of a Placing for 88,000,000 new
Ordinary Shares at 3.75p per share to raise £3.3 million before expenses
* The proceeds of the Placing to be used to continue work on the
pre-feasibility study ("PFS") of the Dutwa nickel laterite project and to
fund the general working capital requirements of the Group
* Directors to subscribe for 546,667 new Ordinary Shares in the Placing
* Notice is given of a General Meeting of shareholders to pass the necessary
resolutions to approve the allotment and issue of the Placing Shares
* Interim results, to be released before the end of September, expected to be
in line with market expectations

The Board of African Eagle Resources plc ("African Eagle" or the "Company") is
pleased to announce that Seymour Pierce and Ocean Equities have arranged a
Placing to raise gross proceeds of approximately £3.3 million by way of a
placing of 88,000,000 new Ordinary Shares at a price of 3.75p each (the "Placing
Shares") with new and existing investors (the "Placing"). The Placing will
represent approximately 22.9% of the issued Ordinary Share capital of the
Company as enlarged by the Placing Shares.

At the end of August 2010, African Eagle held net cash of approximately £1.25
million. The Board has decided to raise £3.1 million, after expenses, through a
placing of the Placing Shares at the Placing Price to institutions and private
client brokers. The expenses of the Placing are estimated to be approximately
£0.2 million. Based on current forecasts, the Directors believe that the Placing
proceeds alone will be sufficient to fund the next stage of the Dutwa project
and the general working capital requirements of the Group over the next 12
months.

Euan Worthington, Chairman of African Eagle, commented: "We are very pleased
with this result after strong interest following a roadshow to institutional
investors in the past two weeks. The funds will enable us to make progress on
the pre-feasibility study for our exciting Dutwa nickel project".

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The net proceeds of the Placing (amounting to approximately £3.1 million) will
be used to continue work on the pre-feasibility study ("PFS") of the Dutwa
nickel laterite project in Tanzania and to fund the general working capital
requirements of the Group.

African Eagle discovered Dutwa in June 2008, completed a positive scoping study
in June 2009, and is now conducting a PFS. The deposit contains 92 million
tonnes at 0.88% nickel (JORC inferred mineral resource). Initial metallurgical
work indicates that the laterite can be processed using standard heap leaching
or tank leaching, with no need for a costly high pressure acid leach (HPAL)
plant. African Eagle is evaluating a second promising nickel oxide deposit at
Zanzui in Tanzania.

To take its other non-core assets into production, the Company is seeking
industry partners with records of successful mine development, or other
mechanisms such as spin outs or outright sales. These non-core assets include: a
49% interest in the Mkushi Copper Mines joint venture project in Zambia, for
which a draft feasibility study was completed in Q4 2008; the Miyabi gold
project in Tanzania which has a half a million ounce JORC gold resource; the
Ndola and Mokambo projects in the Zambian Copperbelt; and the Igurubi gold
project in Tanzania. Announcements have been made during Q2 this year of
agreements with partners on both Miyabi and Igurubi.

Shareholders will have noted the announcements with regard to Miyabi and Igurubi
made in Q2 of this year.

Further information on African Eagle and the Group's projects is set out on the
Company's website www.africaneagle.co.uk.

The Placing has been arranged by Seymour Pierce and Ocean Equities, as the
Company's joint brokers. The Placing is conditional, inter alia, on (i)
shareholder approval at the General Meeting; (ii) the Placing Agreement becoming
unconditional in all respects as regards the Placing; and (iii) admission of the
Placing Shares to AIM and listing on AltX.

Notice of General Meeting

In connection with the Placing, the Company has today posted a circular (the
"Circular") to Shareholders which contains a notice of General Meeting.

A General Meeting ("GM") of African Eagle Resources plc will be held at 2nd
Floor, 6-7 Queen Street, London EC4N 1SP, UK (the "GM") on 30 September 2010 at
11.00 a.m. The purpose of the GM is to consider and, if thought fit, to pass the
resolutions necessary to authorise and implement the Placing.

The Circular, containing a Notice of the GM, together with a separate Form of
Proxy, has been sent to all shareholders. The Circular including Notice of the
GM may be obtained via the Company's website:
www.africaneagle.co.uk/im/september_circular.asp.

Shareholders should read the full text of the resolutions contained in the
Notice of General Meeting in the Circular.

Directors' Holdings

The Directors have subscribed for an aggregate of 546,667 Placing Shares.

Details of individual Directors' subscriptions and their consequent holdings and
percentages following the Placing are as follows:

Cash amount Number of Holding Percentage
Director Position subscribed Placing after after
Shares Placing Placing

Euan Non-Executive £5,000 133,333 1,193,333 0.31
Worthington Chairman

Mark Parker Managing £10,000 266,667 4,563,967 1.19
Director

Christopher Operations £1,000 26,667 1,047,165 0.27
Davies Director

Bevan Metcalf Finance Director £2,000 53,333 260,833 0.07

Geoffrey Non-Executive £2,500 66,667 975,967 0.25
Cooper Director

Results for the six months ended 30 June 2010

Pursuant to AIM Rule 18, the Company is due to release its results for the six
months ended 30 June 2010 by the end of September. The Directors expect these
results to be in line with market expectations.


For further information:

Mark Parker
Managing Director
African Eagle
+44 20 7248 6059
+44 77 5640 6899

Nicola Marrin
Seymour Pierce Limited, London
Nominated Adviser
+ 44 20 7107 8000

David Banks
Seymour Pierce Limited, London
Corporate Broking
+ 44 20 7107 8000

Guy Wilkes
Ocean Equities Limited, London
Corporate Broking
+ 44 20 786 4370

Charmane Russell/Marion Brower
Russell & Associates, Johannesburg
+ 27 11 8803924
+27 82 8928052

Ed Portman / Leesa Peters
Conduit PR, London
+44 20 7429 6607
+44 77 3336 3501



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Source: African Eagle Resources PLC via Thomson Reuters ONE


Unternehmen: African Eagle Resources PLC - ISIN: GB0003394813