Bellzone Mining Regulatory News (BZM)

7.00 a.m. - 7 February 2011

Bellzone Mining plc

("Bellzone" or the "Company")

Forecariah Update

·; Accelerated development of the Forecariah iron ore joint venture permits to achieve an initial production rate of 3-4 mtpa by Q1 2012

·; Ramp up expected to reach 10 mtpa by 2013

·; Initial owner operate capital estimates of $300 - $350 million (Bellzone share 50%)

Bellzone Mining plc (AIM:BZM), the iron ore and nickel/copper company operating in West Africa, is pleased to provide a further update on the development of the Forecariah iron ore joint venture permits ("Forecariah JV Permits") in Guinea, a 50:50 joint venture with its partner China International Fund Limited ("CIF").

Following the positive results of the geologists report on the Forecariah JV Permits, announced on 31 January 2011, Bellzone and CIF have agreed to implement an accelerated programme to deliver a 10 million tonnes per annum (mtpa) direct shipping ore ("DSO") iron ore operation, targeting initial production in Q1 2012.

The following activities have already occurred;

·; Trenching and sampling at Santiguiyah has commenced

·; Camp location selected and an 80 person camp sourced with construction scheduled for March

·; Road feasibility study awarded

·; Port feasibility study tenders under review, with award due by end of February

·; Detailed drilling plan for Yomboyeli completed, an initial programme of 7,000 meters of RC drilling to commence in March

·; Preliminary flow-sheets options study underway

The development plan is focussed on defining and delivering sufficient iron oxide ore from the identified targets to support an initial production rate of 3-4 mtpa of DSO in Q1 2012, ramping up to the target of 10 mtpa by 2013. The operation is expected to consist of open pit mining, with product processing undertaken by modular mobile plant. Power will be supplied to the mine site by modular generators and water will be drawn from nearby rivers under the environmental management plan.

Initial production will be transported to the port by 80t to 100t trucks. The port will consist of stockpiling areas and simple static conveyors for barge loading. Barges between 6,000t and 14,000t will be loaded at a land backed wharf and will be taken down river and out to the trans-shipping point by tugs. The product will be loaded onto ore carriers by either a fixed trans-shipping barge or by self un-loading vessels. This temporary truck and trans-ship operation in the vicinity of Benti is being designed for use until the main railway line and the Matakan port opens in 2014.

The road and port are readily and economically upgradeable to enable DSO product export and the Company estimates that total capital required for an owner operated operation will be approximately $300-350 million with Bellzone contributing 50%. Operating and capital expenditure trade-off studies are underway to optimise expenditure through opportunities for contract mining and processing, contract trucking and the leasing of barges and tugs.

Nik Zuks, Chief Executive Officer commented "The initial target for production at our Forecariah iron ore joint venture is 3-4 million tonnes per annum of DSO in early 2012. The skills, resources and expertise available internally and through the joint venture with CIF give us confidence in achieving this goal. The market forecast of significant increases in iron ore prices over the next two years adds impetus to our timeframes. We want to be in a position to realise the full potential of the Forecariah project and are excited about the value add of transforming Bellzone into a near term iron ore producer.

Forecariah represents the beginning of the iron ore industry in Guinea. Our initial production next year, ramping up to a possible 10 million tonnes per annum by 2013, will be the foundation production for a national industry that could grow to exceed 200 million tonnes of iron ore per annum. To be the pioneers of this, together with developing the multi-user rail and port infrastructure, for our flagship Kalia Mine is an honour, and the fact that Bellzone will underpin the iron ore industry in Guinea motivates the whole team to perform."

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Bellzone Mining plc

Bellzone Mining plc is an exploration and resource development company with iron ore and nickel / copper permits in the Republic of Guinea, West Africa.

The Company's flagship project, the Kalia Iron Mine has a JORC resource of 3.74 billion tonnes, located on the Kalia I prospect. Drilling results and internal estimates indicate that Kalia Prospect has the potential to host more than 10 billion tonnes of magnetite and 2.55 billion tonnes of oxide at surface.

Exploration work continues to further define the potential at Kalia I on both the magnetite and oxide at surface.

Bellzone is committed to the staged development of the Kalia Iron Project, which includes a 50 mtpa iron ore facility, rail and port, with initial production scheduled in 2014. Stage one is planned to bring online 20 mtpa direct shipping ore ('DSO') capacity in 2014 and a 10 mtpa magnetite concentrator in 2015. Stage two increasing the DSO output to 30 mtpa in 2017 and doubling the concentrate capacity to 20 mtpa by 2018.

Bellzone signed an Infrastructure Accord with the Republic of Guinea giving the Company exclusive rights to the designated port and rail areas for purposes of conducting studies for the development of the infrastructure leading to the signing of a convention and concession. The infrastructure forms a key part of the Guinea Government's infrastructure strategy and will support the development of iron ore, bauxite and other minerals in Guinea through its availability for third party use.

On 2 August 2010, Bellzone signed definitive agreements with China International Fund ('CIF'). CIF will finance and develop the rail and port infrastructure and offer a finance package to Bellzone for the development of the Kalia Mine in exchange for the first right to purchase 100% of the off-take of the Kalia Mine at market price.

An exploration and development programme is currently underway at the CIF held Forecariah Iron Permits that lie between 40 and 80kms from the Guinea coast. Bellzone and CIF will jointly develop these permits which are prospective for oxide and magnetite. The oxide has the potential to deliver cash flow from a Direct Shipping Ore project in 2012.

Bellzone has competed an intensive mapping and surface sampling programme and has defined highly prospective drilling targets at its Sadeka Nickel/Copper Project and commenced a drilling programme on these targets in Q4 2010.