By Ian Lyall
Proactive Investors (UK)
Uganda-focused East African Gold floats on the AIM (London’s Alternative Investment Market) later this month with an exciting story and a fairly direct route to value creation.
The investment proposition is a simple one: it has four leads, two drill ready targets and expects to reach a maiden resource within the next 12 months. And in creating this ‘oven ready’ proposition it has spent just over $3mln.
While Ghana and Tanzania are establishing themselves as newly emerging or emerged mining districts Uganda has been left behind.
Partly, this is because the country is deemed, fairly or unfairly, as an agricultural economy.
And while the first round of exploration in the region was taking place in 1970s, the instability wrought by dictatorship of Idi Amin meant it was largely overlooked.