Stock opened up 233% before falling by a third shortly afterwards
Companies: Bellzone Mining
Bellzone Mining shares rocketed 230% early on Thursday after the firm told investors that its negotiations with the Guinean government for the approval for the Ferronickel project had concluded "satisfactorily".
The AIM-listed company said it would result in an addendum to the 2010 mining convention, which would then be signed by Guinean Ministers and ratified by the Guinean National Assembly.
Chairman Mr Michael Farrow said the board looked forward to the approval and ratification of the agreement, which would enable the firm to re-commence work on the project.
Negotiations in the west African country began in late 2015.
The microcap secured a $4m loan to fund it to the end of 2017 but said today that it had just completed the first drawdown of $800k, adding that the remaining funds would provide working capital until the end of June 2018.
Bellzone added that it retains separate funds for the completion of the feasibility study work on the Ferronickel project.
Bellzone shares fell 28% shortly afterwards, but remain up 140%+ on yesterday's close.
