Conclusion of Tolling Contract at Pickstone

African Consolidated Resources Plc ('ACR' or the 'Company')
 
             Conclusion of Tolling Contract at Pickstone
 
African Consolidated  Resources  Plc, the  Zimbabwe  focused  mineral
exploration company  is pleased  to report  that it  has concluded  a
contract with  subsidiaries  of TWP  Holdings  Ltd. ('TWP')  for  the
production of gold  from its sulphide  concentrate dump at  Pickstone
(the 'Contract').   This  is  a significant  step  in  the  Company's
development  and  will  assist  the  underpinning  of  the  Company's
exploration and development expenditure.
 
TWP  is  a  South  African  public  company  that  provides   project
management services to the mining  industry.  As foreshadowed in  the
Company's 2009 Annual Report, under the Contract TWP will furnish the
major part of the treatment plant (the Plant), extract the gold,  and
guarantee  percentage  extraction  performance  in  exchange  for   a
toll-fee per tonne.
 
ACR will incur approximately USD  500,000 capital expenditure on  the
construction of an elution  plant and an  assay laboratory, and  will
contribute a  further USD  500,000 towards  the construction  of  the
Plant.  When  the dump  has been  exhausted ACR  will acquire  a  50%
interest in the Plant for nominal consideration.
 
As previously  reported the  sulphide  concentrate dump  contains  an
estimated resource  of  28,300oz  Au  (200,000  tonnes  at  4.4g/t).
Production is planned to  commence in April or  May 2010 and  achieve
full production in June 2010, with a throughput of 20,000 tonnes  per
month.  On the basis of a targeted recovery rate of 73% and  allowing
for further  possible  processing  losses  of  up  to  10%,  targeted
production is approximately 1,815oz per month, which at gold price of
USD 950/oz would generate revenues of approximately USD 1,725,000 per
month, and  net  cash receipts  for  ACR after  tolling  fees,  other
operating costs, royalties and taxation of approximately USD  400,000
per month.
 
Under  the  Contract  the  treated  gold  bearing  material  will  be
delivered to ACR for  processing in the elution  plant.  ACR will  be
responsible for the gold sales process.
 
The Contract  remains  subject  to certain  conditions  precedent  in
relation to due diligence and  test work but the Company  understands
that the conditions have already been substantially complied with.
 
As  the  relationship  with  TWP  develops  TWP  and  ACR  intend  to
investigate  the  possibility  of  working  together  both  on  other
tailings dumps at Pickstone-Peerless and on other projects.
 
Enquiries:
 
African Consolidated Resources plc
Andrew Cranswick                   +44 7920 189010
Roy Tucker                         +44 1622 816918 / +44 7920 189012
 
Ambrian Partners Limited
Richard Greenfield                 +44 20 7634 4700
 
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