Hi troopsBeen doing some research into ALB and very concerned re...

Hi troops

Been doing some research into ALB and very concerned re rumour of trouble at Munali. Made contact with ALB directly.... "no trouble at Munali".

Refer

ALBIDON – 100p – BUY target price 134p – Local politics in Zambia
mkt cap £148m previous different recommendation Add 07.10.07

An article by the Dow Jones indicates some political stirring against the Munali project in Zambia.

The article states that local authorities in the Mazabuka district are seeking to halt the expansion of the Munali project. This is contrary to statements made at the ground breaking ceremony last week by the Zambian president Levy Mwanawasa.

Votes for the development of the project by the ‘local council’ were 18 in favour versus 6 against. Additionally the local chief where Albidon is developing its project is in favour of its development.

Following a recent site visit in Zambia it is clear that the company is going to considerable length to ensure the support of locals. It is providing re-located families with good accommodation, more land, live stock and has even planted crops for the re-located families to continue to farm. Albidon has also made commitments to tackle Malaria and other diseases in the area.

There has been considerable local press on the development of Munali that is very positive with regards to the project, highlighting the backing of the significant majority of local councillors and the president.

Conclusion: Albidon is in the process of investing more than US$100m to develop Munali and has strong backing in government and locally to do so. The project will provide 400+ jobs directly and many more indirectly. Although political risk is always an issue when developing mines, Albidon believes the project should run according to plan.

* Numis Securities Ltd acts as broker and advisor to Albidon

ANALYSTS: JOHN MEYER 020 7776 1578 / MARC ELLIOTT 0207 776 1464 / SIMON TOYNE 020 7776 1579


Also refer recent BUY recommendation on 11 April 2007 at www.numiscorp.com

I hold my ALB plus accumulating....