Bellzone raises £1m to complete Ferronickel study

Bellzone Mining has successfully raised £1m through the issue of 167m new ordinary shares at a price of 0.6p per share, a discount of approximately 33% to the closing price of its shares on 11 July 2018.

SVS Securities, the placing's broker, agreed to procure subscribers for the placing shares or subscribe for the placing shares itself.

Bellzone will use proceeds of the placing for its remaining working capital requirements, including completion of a feasibility study on its Ferronickel project.

As a result of the placing, the total issued share capital of Bellzone will be 1.76bn - a 9.5% boost to the enlarged issued share capital of the company.

The placing shares are expected to be admitted to trading on AIM on or around 26 July.

Michael Farrow, chairman of Bellzone, said, "The board is gratified by SVS Securities' firm commitment."

As of 0920 BST, Bellzone shares had tumbled 23.33% to 0.69p.