Vatukoula Gold Mines PLC Update on Investment Agreement (3110B)

TIDMVGM

RNS Number : 3110B

Vatukoula Gold Mines PLC

03 March 2014

3 March 2014

Vatukoula Gold Mines plc.

("Vatukoula", "VGM" or "the Company")

Update on Investment Agreement

Vatukoula Gold Mines plc, the AIM listed gold producer focused on Fiji, provides an update on the investment agreement with Zhongrun International Mining Co. Ltd ("Zhongrun") to provide US$ 40 million of funding to implement the capital investment plan at the Vatukoula Gold Mine previously announced on 12 August 2013.

As announced on the 5 November 2013 the US$ 20 million equity component was completed. On the 31 January 2014 the Company announced that the second tranche of the US$40 million was due to be completed at the end of February 2014. The second tranche of the investment agreement comprises of US$20 million secured loan notes.

The Company has been informed by Zhongrun that it is waiting the approval the State Administration of Foreign Exchange (SAFE) of the People's Republic of China. Zhongrun have informed the Company that it expects the clearance of these funds to be granted during the month of March.

 
 Enquiries: 
 Vatukoula Gold Mines plc                         Bell Pottinger 
                                                  Daniel Thöle 
 David Paxton              + 44 (0)20 7440 0643    Marcin Zydowicz    + 44 (0)20 7861 3232 
 Kiran Morzaria 
 
   W.H. Ireland Limited 
 James Joyce 
  James Bavister           + 44 (0)20 7220 1666 
 

This information is provided by RNS

The company news service from the London Stock Exchange

END

AGRJTMMTMBIMTFI