Kenmare Resources, the minerals producer operating in Mozambique, had its biggest slump for almost nine months in London trading after the southeast African country said it planned to revise its mining law.

Kenmare dropped 8.1 per cent to 55p, the biggest decline since October 8th, giving it a market value of £1.3 billion ($2.1 billion).

Mozambique plans to revise its mining law, seeking to give the state a share of projects in “strategic sectors” such as coal, mineral resources minister Esperanca Bias said.

“Kenmare is one of the only significant mining operations currently operating in Mozambique so I’m sure they will be having conversations,” an analyst said. - (Bloomberg)