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Vast Resources plc / Ticker: VAST / Index: AIM / Sector: Mining
28 October 2021
Vast Resources plc
(“Vast” or the “Company”)
Placing to raise £1,350,000 before costs
Extension of Directors’ Lock up period
Vast Resources plc, the AIM-listed mining company, is pleased to announce it has raised £1,350,000 gross through a placing (the ‘Placing’) of 54,000,000 ordinary shares of 0.1p in the Company (‘Ordinary Shares’) at a price of 2.5p per Ordinary Share (the ‘Placing Shares’). The Placing was undertaken by the Company’s joint broker, Axis Capital Markets Ltd (‘Axis’).
The net cash raised from the Placing will cover the shortfall in working capital that has arisen for the reasons set out in the Company’s announcement of 25 October 2021 and for contingencies.
The Company would like to confirm it will be making its next sale of concentrate to its offtake partner in early November. Production and sales continue in line with revised internal forecasts announced on 25 October 2021.
The Company also announces that Andrew Prelea and Roy Tucker, directors of the Company, have agreed to extend the lock up period in relation to respectively 15,000,019 and 2,250,057 Ordinary Shares held by them and referred to in the announcement of 9 November 2020 by a further year until 30 November 2022.
Admission of and dealings in the Placing Shares
Application will be made to AIM for the Placing and Subscription Shares, which will rank pari passu with existing Ordinary Shares, to be admitted to trading on AIM (‘Admission’) in two tranches. It is expected that Admission will become effective and dealing will commence in respect of the issue of 10,000,000 of the Placing Shares on or around 3 November 2021 (the ‘First Admission’) and that Admission will become effective and dealing will commence in respect of the issue of 44,000,000 being the balance of the Placing Shares on or around 11 November 2021 (the ‘Second Admission’). The Placing and Subscription is conditional on Admission.
Total Voting Rights
Following the First Admission, the total issued share capital of the Company will be 250,981,717 and following the Second Admission this will be 294,981,717. The Company does not hold any Ordinary Shares in Treasury and accordingly the above figures of 250,981,717 and 294,981,717 respectively may then be used by shareholders, following the respective dates at which the Shares are issued, as the denominator for the calculations by which they will determine if they are required to notify their interest in Vast under the FCA's Disclosure and Transparency Rule.
Market Abuse Regulation (MAR) Disclosure
Certain 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 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018 (“UK MAR”) until the release of this announcement.
For further information, visit www.vastplc.com or please contact:
Vast Resources plc
Beaumont Cornish – Financial & Nominated Advisor
Shore Capital Stockbrokers Limited – Joint Broker
Axis Capital Markets Limited – Joint Broker
St Brides Partners Limited
ABOUT VAST RESOURCES PLC
Vast Resources plc is a United Kingdom AIM listed mining company with mines and projects in Romania and Zimbabwe.
In Romania, the Company is focused on the rapid advancement of high-quality projects by recommencing production at previously producing mines.
The Company's Romanian portfolio includes 100% interest in the producing Baita Plai Polymetallic Mine, located in the Apuseni Mountains, Transylvania, an area which hosts Romania's largest polymetallic mines. The mine has a JORC compliant Reserve & Resource Report which underpins the initial mine production life of approximately 3-4 years with an in-situ total mineral resource of 15,695 tonnes copper equivalent with a further 1.8M-3M tonnes exploration target. The Company is now working on confirming an enlarged exploration target of up to 5.8M tonnes.
The Company also owns the Manaila Polymetallic Mine in Romania, which was commissioned in 2015, currently on care and maintenance. The Company has been granted the Manaila Carlibaba Extended Exploitation Licence that will allow the Company to re-examine the exploitation of the mineral resources within the larger Manaila Carlibaba licence area.
In Zimbabwe, the Company is focused on the commencement of the joint venture mining agreement on the Community Diamond Concession, Chiadzwa, in the Marange Diamond Fields.