Operations

Austral Africa Resources Ltd (AAF) suspended processing operations of its Congolese copper smelting plant due to current economic conditions. The Company continues to discuss the future of the plant with other parties with a view to possible sale, joint venture or other arrangements should the economic climate improve and are keeping all options open during these uncertain times. With a mild improvement in copper prices, we are hopeful of more active interest in these assets.

The Company currently holds six granted and two applications for mineral exploration concessions in the Katanga province, providing AAF with an opportunity to explore the Katanga copper belt in the DRC. The Company is actively seeking new exploration opportunities as well as considering its many options in the DRC and other parts of Africa and in Australia.