African Gold shares rise 8%

Shares in African Gold rose 8% yesterday after the exploration firm issued a positive update on its operations in Ghana in west Africa.

The company said it was working on two potential goldmines in the region and that tests had shown parts of the licence area were similar to a nearby area where a goldmine had been in operation for 90 years.

Company co-chairman Oliver Baring said the initial results of tests were particularly encouraging.