Vast Resources plc Placing To Raise Gbp1,486,900 Before Costs

 
TIDMVAST 
 
 
   Vast Resources plc / Ticker: VAST / Index: AIM / Sector: Mining 
 
   22 June 2020 
 
   Vast Resources plc 
 
   ("Vast" or the "Company") 
 
   Placing to raise GBP1,486,900 before costs 
 
   Vast Resources plc, the AIM-listed mining company, is pleased to 
announce that it has raised an amount in aggregate of GBP1,486,900 
before costs through a placing (the 'Placing') of 826,055,555 ordinary 
shares of 0.1p in the Company ('Ordinary Shares') at a price of 0.18p 
per Ordinary Share (the 'Placing Shares'). 
 
   The Placing was  undertaken by the Company's Joint Broker, Axis Capital 
Markets Ltd. The Company has received interest from certain other 
investors in participating for a further GBP109,800 on similar terms as 
the Placing and will make a further announcement as and when such 
arrangements are finalised. 
 
   The cash raised from the Placing together with further subscription 
proceeds as referred to above will provide funds to cash settle the 
liability to Atlas Capital Markets ('Atlas') at the end of July or 
during August 2020, should Atlas decide to exercise its conversion 
rights prior to the Company finalising the refinancing announced on 15 
May 2020. At current share prices, the necessary sum to achieve this is 
estimated by the Directors to be of the order of US$780,000  As 
announced on 24 October 2019 under the Atlas Bond Issue Deed there is a 
six months non-conversion period from the drawdown date (30 January 
2020) after which Atlas may convert up to 10% of the par value of the 
Bond each month. 
 
   In addition, the funds being raised will provide  the Company with 
funding for the first month's production at the Baita Plai Polymetallic 
Mine until the first sale of concentrate expected in late August, 
together with some further general working capital. 
 
   Andrew Prelea, CEO of Vast, commented: 
 
   "We are happy that the final stages of development at Baita Plai are 
proceeding on time and as planned and expect that the funds raised today 
will take us through to the anticipated date when we can achieve cash 
flow through the sale of concentrate." 
 
   Admission of and dealings in the Placing Shares 
 
   Application has been made to AIM for the Placing 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 
215,000,000 of the Placing Shares on or around 26 June 2020 (the 'First 
Admission') and that Admission will become effective and dealing will 
commence in respect of the issue of 611,055,555 of the Placing Shares on 
6 July 2020 (the 'Second Admission').  The Placing is conditional on 
Admission. 
 
   Following the First Admission, the total issued share capital of the 
Company will be 11,527,660,643 and following the Second Admission this 
will be 12,138,716,198.  The above figures of 11,527,660,643 and 
12,138,716,198 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. 
 
   **ENDS** 
 
   For further information, visit www.vastplc.com or please contact: 
 
 
 
 
Vast Resources plc                                www.vastplc.com 
 Andrew Prelea (Chief Executive Officer)           [phone] 
 Andrew Hall 
Beaumont Cornish - Financial & Nominated Adviser  www.beaumontcornish.com 
 Roland Cornish                                    [phone] 
 James Biddle 
SP Angel Corporate Finance LLP -- Joint Broker    www.spangel.co.uk 
 Richard Morrison                                  [phone] 
 Caroline Rowe 
Axis Capital Markets Limited -- Joint Broker      www.axcap247.com 
 Richard Hutchison                                 [phone] 
Blytheweigh                                       www.blytheweigh.com 
 Tim Blythe                                        [phone] 
 Megan Ray 
 
 
   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"). 
 
   ABOUT VAST RESOURCES PLC 
 
   Vast Resources plc, is a United Kingdom AIM listed mining company with 
mines and projects in Romania and Zimbabwe - focused on the rapid 
advancement of high quality projects by recommencing production at 
previously producing mines in Romania and the commencement of the joint 
venture mining agreement on the Chiadzwa Community Concession Block of 
the Chiadzwa Diamond Fields in Zimbabwe. 
 
   The Company's portfolio includes an 80% interest in the Baita Plai 
Polymetallic Mine in Romania, where work is now currently underway 
towards developing and recommissioning the mine and the Community 
Concession Block in Chiadzwa, Zimbabwe. 
 
   Vast Resources owns the Manaila Polymetallic Mine in Romania, which was 
commissioned in 2015, currently on care and maintenance. 
 
 
 
 

(END) Dow Jones Newswires

June 22, 2020 02:00 ET (06:00 GMT)

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