African Gold Group, Inc.: Nyankumasi, Ghana: 4 Kilometre Mineralized Strike Length Identified; All Ghana And Mali Drill Samples Now In Canada For Analysis.

TORONTO -- African Gold Group, Inc., ("AGG" or "The Company") (TSX VENTURE:AGG) is pleased to report that its Phase I exploration program at Nyankumasi, Ghana, has confirmed a gold mineralized strike length measuring approximately four kilometres, at the southernmost significant gold-in-soil anomaly known as the - "Linear Anomaly".

The Nyankumasi concession covers approximately 20 square kilometres and is situated in the northeastern section of the Ashanti gold belt, approximately 48 kilometres east of AngloGold Ashanti's Obuasi mine and approximately 30 kilometres south-southwest of Newmont Mining Corporation's US$500 million Akyem Project, which is scheduled for production in 2H, 2008.

Past exploration work programs at Nyankumasi have consisted of a reconnaissance alluvial program, stream and outcrop sampling, geological mapping, sampling of historical workings, survey grid work, pitting, trenching and RC drilling.

To date, three significant gold-in-soil anomalies have been identified within the concession: The Northern, Central and Linear Anomalies (refer to map). Approximately 3,135 soil samples were collected with 107 of those results showing greater than 100 ppb gold with a peak value of 3,820 ppb gold.

The southern most gold-in-soil anomaly (the Linear Anomaly) is a linear feature with dimensions of approximately 4,000 metres by 400 metres that trends in a northeast-southwest direction.

AGG's Phase I exploration program, completed in Q4, 2005, targeted the Linear Anomaly and consisted of:

- Grid establishment (48.55 line-km)

- Soil sampling (1,221 samples)

- Ground Magnetic surveying (44.55 line-km)

- Trenching (3 new trenches - 203m & 595 m3, 1 old trench - 42m, for a total of 302 samples)

Trench Summary and Significant Results, Horizontal Channel Samples
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                 Interval (m)     Au (g/t)  Min Au (g/t) Max Au (g/t)
Trench    ----------------------
           From    To     Length
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NK-T1 Ext     0     8          8     0.49          0.14         1.60
 incl         5     6          1     1.60
---------------------------------------------------------------------
NK_T1         0    85         85     0.27          0.11         1.71
 incl        31    56         25     0.49
 or          48    52          4     1.21
---------------------------------------------------------------------
NK_T2         0    55         55     0.24
 incl        11    12          1     0.44
 incl        16    17          1     0.64
 incl        30    55         25     0.32
---------------------------------------------------------------------
NK_T3         0    42         42     0.28          0.08         0.97
 incl         4     6          2     0.42
 incl        12    21          9     0.51
 incl        39    41          2     0.45
---------------------------------------------------------------------
NK_T4                      No Significant Intercept
---------------------------------------------------------------------

A threshold value of 33 ppb Au was determined to be the lower limit of anomalous conditions and values as high as 1,320 ppb Au were recorded. The soil sample program confirmed the presence of the east-west trending Linear Anomaly and also provided a better definition of the anomaly relative to previous sampling programs and results. The soil anomaly is confirmed by geophysics and geochemistry to be continuous along the entire 4-kilometre strike length. However, two distinct zones were defined:

- L140+00N to L163+00N, approximately 2,300 metres long with widths from 50 to 350 metres. Values of up to 1,106 ppb were reported in this zone. The stretch from L149+00N to L161+00N is linear, strong and consistent, with widths between 100m and 250m. The best showing occurs on L150+00N from 49+75E to 50+75E, with a minimum value of 260ppb and a maximum value of 1,106ppb.

- L169+00N to L176+00N, approximately 700 metres long and widths between 50 metres and 250 metres. This zone is slightly shifted to the north (local grid west) relative to the other anomaly. Values up to 312 ppb occur along this trend.

The ground magnetic survey provided some indication that suggests that these two zones are connected.

The Nyankumasi concession is an attractive target worthy of further exploration. Elevated gold values in soils that overlie barren to very low grade saprolite suggests that gold has been re-mobilized from a source which has been masked by the high rate of leaching and dispersion associated with tropical environments.

AGG Director, Greg Hawkins P. Geo., states, "The region of the concession encompassed by the Linear Anomaly clearly shows potential for a resource but current drill and trench coverage does not allow any interpretation of mineralization controls or depth extent into fresh bedrock. What is of great significance is both the continuous widths of greater than 0.25 g/t Au over up to 85 metres, that indicate potential for considerable tonnage of pitable low grade material and intercepts confirmed in deep saprolite of greater than 2.0 g/t Au over 12.0 metres with high grades of up to 10.0 g/t Au in more than one stacked zone. If the Tarkwaian turns out to be the host rock, as suspected and as demonstrated by the lack of arsenic in the soils, the more simple metallurgy is also a big plus. A provision for 5,000 metres of RC and diamond drilling is recommended to test mineralization in the primary rock and other targets based on IP and Magnetic surveys."

GHANA AND MALI DRILL PROGRAM UPDATE

AGG is pleased to report that its two diamond drill programs, in both Ghana and Mali, were completed prior to the Christmas / New Year holiday season. Partial samples arrived in Canada prior to Christmas and the remaining samples have just arrived in Canada. Assay results from these two programs will be reported as soon as the Company is in receipt of the Laboratory analysis.

African Gold Group, Inc., based in Toronto, Canada, is engaged in the identification, acquisition and exploration of prospective gold projects that are situated along significant gold trends within West Africa. To date, the Company controls a total of nine gold concessions that are consolidated in six separate standalone gold exploration projects, of which three projects are located in Ghana and the remaining three are located in Mali, West Africa. The Company is embarking on the next phase of its planned development in both Ghana and Mali by focusing on converting known gold potential into resources, initially at Mankranho, Ghana and Kobada, Mali and subsequently at Nyankumasi, Ghana, in early 2006.

On Behalf of the Board:
Michael A. J. Nikiforuk
President, Director

Please note: A map is available on CCNMatthews' website at the following link: http://www.ccnmatthews.com/docs/agg0111.pdf

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

African Gold Group, Inc. (TSX VENTURE:AGG)