🕐16.12.08 - 15:14 Uhr
KEEGAN PROVIDES PROJECT UPDATES FOR GHANIAN GOLD PROJECTS
TSX-V: KGN NYSE Alternext US: KGN
KEEGAN PROVIDES PROJECT UPDATES FOR GHANIAN GOLD PROJECTS
Vancouver, BC, December 16, 2008 - Keegan Resources Inc.
("Keegan") is
pleased to provide the following project summaries and corporate and
financial updates:
Project Summaries
Esaase Project:
Keegan has drilled 118,000 meters to date including 58,000 meters this year
at its Esaase project, where Keegan is currently delineating and expanding
an existing 43-101 resource.
Keegan will complete infill and stepout
drilling by Dec 15, 2008 in preparation for its next resource estimate.
Results are currently pending from both the infill and aggressive stepout
drilling to the south and down dip drilling on the existing resource.
Keegan has contracted Lycopodium Engineering Pty.
Ltd., a mining engineering
firm based in Perth Australia, to coordinate scoping studies at the Esaase
Project.
To date, numerous previously drilled samples and an additional two
large diameter core holes have been submitted for the purpose of extensive
metallurgical testing.
Keegan has also begun meteorological, groundwater,
and hydrological monitoring and is continuing with its community development
projects.
Keegan has released the discovery of very prospective coincident geophysical
and soil anomalies from the Jeni portion of the Esaase project and expects
more results in the near future.
Asumura Property:
Keegan released an intercept from its NW target earlier this year of 14 m of
4.48 g/t Au; further drilling confirmed bedrock mineralization over a two
kilometer strike length.
Surface sampling at both the original Asumura
concession and on the newly acquired Mt.
Olives concession continues.
Corporate Update
Keegans plans to complete its resource drilling program on the Esaase
project by the end of 2008; a new resource estimate will be completed and
announced early in 2009.
The updated resource estimate will include both
southern and northern extensions of the existing resource and, based on
intercepts released throughout 2008, is expected to increase the number of
ounces significantly.
Later in the year, Keegan will publish a scoping study, which indicates the
optimal mining scenarios by which the highest value of the existing Esaase
deposit may be realized.
At the same time Keegan will continue to design
additional drill programs to test the areas where the deposit is still open
and will continue to evaluate surface anomalies obtained from Jeni Lease in
preparation for initial drill testing.
Keegan will also complete
prospective new acquisitions in the Esaase district and will continue
surface sampling program at the Asumura Property with an eye to further
exploration drilling there.
Keegan would also like report that Dr.
Roman Shlanka has resigned from the
companys advisory board.
Keegan would like to thank Dr.
Shlanka for his
service and wish him the best in his future endeavors.
Financial Status:
Keegan expects to end 2008 with over US$5 million in its Treasury.
Should
markets prove disadvantageous for accretive financing in 2009, Keegan will
preserve its budget throughout the year by limiting the amount of drilling
it undertakes.
President and CEO Dan McCoy states: "Keegan is pleased to have been able to
advance its projects at an aggressive pace during 2008 despite global
financial hardships.
We continue to have a strong cash position that will
enable us to continue our resource estimation and scoping studies at Esaase.
However, even as Keegan progresses into a development stage of the Esaase
project, the continued surface exploration success at Esaase and continued
reconnaissance drilling and surface exploration success at Asumura indicate
great growth potential.
We believe that we will be remarkably positioned to
enjoy the next turnaround in the junior gold market."
About Keegan Resources
Keegan is a junior gold company offering investors the opportunity to share
ownership in the rapid exploration and development of high quality, pure
gold assets.
The Company is focused on its wholly owned flagship Esaase and
Asumura gold projects located in Ghana, West Africa.
Managed by highly
skilled and successful technical and financial professionals, Keegan is well
financed with no debt.
Keegan is also strongly committed to the highest
standards for environmental management, social responsibility, and health
and safety for its employees and neighboring communities.
Keegan trades on
the TSX-VEN and on the NYSE Alternext US under the symbol KGN.
More
information about Keegan is available www.keeganresources.com.
On Behalf of the Board
Dan McCoy, Ph.D.
President & CEO
For more information please visit the company website at:
www.keeganresources.com or contact investor relations at 604-683-8193 or
.
The TSX Venture and NYSE Alternext US Exchange have not reviewed and do not
accept responsibility for the adequacy or the accuracy of this release.
This release includes certain statements that may be deemed forward-looking
statements.
All statements in this release, other than statements of
historical facts, that address future production, reserve potential,
exploration drilling, exploitation activities and events or developments
that the Company expects are forward-looking statements.
Although the
Company believes the expectations expressed in such forward-looking
statements are based on reasonable assumptions, such statements are not
guarantees of future performance and actual results or developments may
differ materially from those in the forward-looking statements.
Factors that
could cause actual results to differ materially from those in
forward-looking statements include market prices, exploitation and
exploration successes, continued availability of capital and financing, and
general economic, market or business conditions.
Investors are cautioned
that any such statements are not guarantees of future performance and those
actual results or developments may differ materially from those projected in
the forward-looking statements.
For more information on the Company,
Investors should review the Companys filings that are available at
www.sedar.com.