Vast Resources plc Update On Baita Plai Association Licence & Interim Bridging Loan
September 13 2017 - 1:00AM
UK Regulatory
TIDMVAST
Vast Resources plc / Ticker: VAST / Index: AIM / Sector: Mining
13 September 2017
Vast Resources plc
("Vast" or "the Company")
Update on Baita Plai Association Licence & Interim Bridging Loan
Vast Resources plc, the AIM-listed mining company with operations in
Romania and Zimbabwe, is pleased to announce that further to its
announcement on 30 August 2017, the process of agreeing the contractual
terms of the association on the licence granting the right to mine
polymetallic ore at the Baita Plai mine in Romania ("Baita Plai"), with
Baita SA, the holder of the head-licence at the mine, is being finalised
and is expected to be completed during September. A payment of US$1.6
million is a required step in this process, and finance for this has
been provided by a 180-day loan facility from Sub-Sahara Goldia
Investments ("Sub-Sahara") (the "Loan"). This Loan of US$1.68 million
(including fees) has been added to the existing US$4 million loan
previously announced on 30 January 2017 and is on the same terms. The
Loan carries an interest of 1 per cent. per month and is repayable on or
before 9 March 2018. The Company's 49.9 per cent. stake in Sinarom
Mining Group SRL acquired by the Company and announced on 22 March 2017
has been provided as additional security for the Loan.
The Loan enables the process of securing the Baita Plai association on
the licence to progress further without any funding delays whilst
Sub-Sahara and the strategic investor, as referred to in the Company's
announcement of 24 July 2017, continue negotiations with each other and
Vast to determine a mutually acceptable investment strategy and future
corporate strategy.
The formal right to mine at Baita Plai takes effect when the association
on the licence is endorsed by the Minister of Economy and approved by
Romania's National Agency for Mineral Resources (ANRM). Under Romainan
legislation, this must follow within 60 days of the approval of the
association on the licence by Baita SA.
Obtaining the right to mine at Baita Plai will represent a significant
milestone in the process of expanding the mining operations of Vast in
Romania, becoming the Company's second mine in country alongside its
Manaila Polymetallic Mine ("Manaila"). Vast now looks forward to
securing the strategic investment to support growth initiatives planned
at both mines.
A further announcement will be made in due course.
**ENDS**
For further information, visit www.vastresourcesplc.com or please
contact:
Vast Resources plc www.vastresourcesplc.com
Roy Pitchford (Chief Executive Officer) +44 (0) 20 7236 1177
Beaumont Cornish - Financial & Nominated Adviser www.beaumontcornish.com
Roland Cornish +44 (0) 020 7628 3396
James Biddle
Brandon Hill Capital Ltd - Joint Broker www.brandonhillcapital.com
Jonathan Evans +44 (0) 20 3463 5016
Peterhouse Corporate Finance Ltd - Joint Broker www.pcorpfin.com
Martin Lampshire and Fungai Ndoro +44 (0) 20 7469 0930
St Brides Partners Ltd www.stbridespartners.co.uk
Susie Geliher +44 (0) 20 7236 1177
Charlotte Page
The information contained within this announcement is deemed by the
Company to constitute inside information as stipulated under the Market
Abuse Regulations (EU) No. 596/2014 ("MAR").
This announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the information
contained therein.
Source: Vast Resources plc via Globenewswire
http://www.acrplc.com/
(END) Dow Jones Newswires
September 13, 2017 02:00 ET (06:00 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
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