Bellzone Secures Funding for Kalia Project

26 May 2010 (Last Updated May 26th, 2010 18:30)

Bellzone Mining has signed an agreement with China International Fund (CIF) for its Kalia iron project in Guinea, West Africa. Bellzone said it has signed a Binding Memorandum of Understanding with CIF to finance the infrastructure required for the 2.4 billion-ton project. Under

Bellzone Mining has signed an agreement with China International Fund (CIF) for its Kalia iron project in Guinea, West Africa.

Bellzone said it has signed a Binding Memorandum of Understanding with CIF to finance the infrastructure required for the 2.4 billion-ton project.

Under the agreement, CIF will fund the entire infrastructure, which includes a rail system, bulk storage facilities, a port and its loading facilities and services, and power development.

In exchange, CIF will get an area equal to approximately 50% of the Kalia II Prospect and 100% of the Faranah Permit.

The agreement also allows CIF to have rights to purchase 100% of the off-take from the Kalia Prospect.

Bellzone and CIF have also agreed to create a joint venture to finance, develop, produce, transport, export and sell iron ore from the Forecariah Permits held by a subsidiary of CIF in south-west Guinea.