Zanaga share prices flounder after second update deadline missed

Zanaga Iron Ore Company delayed the announcement of its project update on Thursday, causing a drop in share prices of over 10%.

The update on the Zanaga Iron Ore project, which is one of the largest iron ore deposits in Africa and "has the potential to become a world-class iron ore producer," according to a company statement, will not be released until product test work is completed in Q2 2018.

This is the second delay in the project update after the company also failed to release information on 29 December, targeting mid-February for the revised deadline.

The Zanaga Iron Ore Company holds a 50% less one share interest in the project which is located in the Republic of Congo, while Glencore holds the remaining interest and has effective management control of the project.

The project is intended to become a large scale iron ore mining, processing and infrastructure operation which will produce 30Mtpa concentrate over a 30-year period, according to the Zanaga Iron Ore Company.

As of 1610 GMT, Zanaga Iron Ore Company’s shares were down 12.42% at 12.37p