Source - RNS
RNS Number : 4724H
Bellzone Mining PLC
08 June 2017
 

Bellzone Mining plc

("Bellzone" or "the Company")

 

Corporate Update

 

Mining Convention

Further to the Company's announcement on 29 March 2017 about negotiations to update and amend the 2010 Mining Convention for the Kalia Mine, Bellzone is pleased to announce that negotiations, including approval for the Ferronickel project, have concluded satisfactorily. The resulting provisionally agreed addendum to the 2010 Mining Convention is going through the official approval process with the expectation that it will be signed by Guinean Ministers and ratified by the Guinean National Assembly in the coming weeks. A further announcement will be made in due course.

Funding Update

The US$6.5 million loan agreed by Hudson Global Group on 24 December 2015 for the purpose of funding Bellzone's working capital requirements (other than feasibility study work) for the financial year ended 31 December 2016 was fully drawn as announced on 29 March 2017.

On 28 December 2016, Bellzone announced a further loan of US$4.0 million had been agreed with Hudson Global Group for the purpose of funding Bellzone's working capital requirements for the financial year ended 31 December 2017. Bellzone completed the first drawdown of US$0.8 million under this loan on 6 June 2017. The remaining funds available under this loan are now expected to provide working capital through to the end of June 2018.

Bellzone retains separate funds sufficient for the completion of the feasibility study work on the Ferronickel project at Kalia.

Mr. Michael Farrow, Chairman of Bellzone, said: 

"On behalf of the Board, I would like to thank the executive team of Bellzone for their hard work in reaching a provisional agreement with Guinean Ministers. We very much look forward to the approval and ratification of the agreement which will enable Bellzone to re-commence work on the Kalia Ferronickel project as quickly as possible."

Enquiries:

Bellzone Mining plc

Simon Edwards                                                                   

+44 (0) 7767 492 712

WH Ireland Limited

Nominated Adviser and Broker

James Joyce / James Bavister

+44 (0) 20 7220 1666

Bell Pottinger

Financial Public and Investor Relations

Victoria Geoghegan / Liz Morley

+44 (0) 20 3772 2500

 

http://www.bellzone.com/


This information is provided by RNS
The company news service from the London Stock Exchange
 
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