27 Oct 2010 07:00
27 October 2010
Bellzone Mining plc
("Bellzone" or the "Company")
Holdings in Company
Bellzone Mining plc (AIM: BZM) announces that it received notification today from OZ Management LP ("OZM") that, on behalf of certain of its affiliated investment funds (the "OZ funds"), as of 21 October 2010, OZ Funds' interest in the shares of the Company fell below 5%.
Enquiries:
| Bellzone Mining plc Graham Fyfe/Terry Larkan |
+61 439 931 708/ +61 404 041 083 |
|
Canaccord Genuity Limited Nominated Adviser and Joint Broker to Bellzone Andrew Chubb/Tarica Mpinga
|
+44 (0)20 7050 6500 |
| Conduit PR Jos Simson/Paul Youens |
+44 (0)20 7429 6603 +44 (0)7899 870 450 |
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 2.9 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 50mtpa iron ore facility, rail and port, with initial production scheduled in 2014. Stage one is planned to bring online 20mtpa direct shipping ore ('DSO') capacity in 2014 and a 10mtpa magnetite concentrator in 2015. Stage two increasing the DSO output to 30mtpa in 2017 and doubling the concentrate capacity to 20mtpa 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 3rd 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 programme is currently underway at the 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 the short term.
Bellzone has competed an intensive mapping and surface sampling programme and has defined highly prospective drilling targets at its Sadeka Nickel/Copper Project and will commence a drilling programme on these targets in Q4 2010.