Reuters reported that Iron ore explorer Bellzone Mining Plc BZM.L raised USD 50 million in an initial public offering to build a mine in Guinea, capturing investor interest after a sharp rise in iron ore prices.
The firm sold 96 million shares at 35 pence each which will start trading on the AIM market on Thursday morning.
Bellzone plans to use the proceeds to help develop its 100% owned Kalia iron ore project which is due to launch output of 20 million tonnes per year in 2014 increasing to 50 million tonnes in 2018.
It said the project is estimated to contain more than 13 billion tonnes of magnetite ore and 2.9 billion tonnes of oxide ore.
The firm said that a non-binding memorandum of understanding has been agreed with a Chinese firm for the preparation of a feasibility study on needed infrastructure, including a 286 kilometers railway line and port.
(Sourced from http://www.steelguru.com/news/index/2010/04/03/MTM5NjEx/Bellzone_IPO_raises_USD_50_million_for_Guinea_iron_mine.html
Friday, April 2, 2010
Bellzone IPO raises USD 50 million for Guinea iron mine
0 comments:
Post a Comment