Vast Resources plc / Ticker: VAST / Index: AIM / Sector: Mining
2 January 2018
Vast Resources plc
(“Vast” or the “Company”)
2018 CEO Statement
Vast Resources plc, the AIM-listed mining company with operating mines in Romania and Zimbabwe, is pleased to provide a statement to shareholders from the Company's new Chief Executive Officer, Andrew Prelea:
“It gives me enormous pleasure to present my vision and mission statement for Vast at the beginning of 2018, coinciding with my appointment as CEO. Before I go into details about how I see our company progressing during the next 12 months, I would like to thank my predecessor Roy Pitchford and wish him the very best of luck in all of his future endeavours.
“My appointment as CEO has occurred at a highly active and exciting time for Vast, and I am delighted to have been chosen by the board to take the Company forward. I have of course been involved with Vast for quite some time, and my involvement in the Romanian mining and metals sector goes back some 26 years. One of my first business ventures in Romania was in the early 1990s as a bulk iron ore and steel trader, a role I held for almost seven years before moving back to Australia to develop a career in the property and earthmoving sector. Having built a successful business in Australia, I returned to Romania in 2003 to apply the skills I had developed to this growing economy; my initial focus was to develop properties for the Romanian Ministry of Defence followed by private sector developments. Nonetheless, my heart remained attached to the resource sector, and having identified a number of highly prospective projects ripe for re-development, I joined Vast in 2012 to support the development of these assets into profitable mines. With a strong network of contacts, extensive experience in-country and sound corporate knowledge, I look forward to supporting the continued growth of our Company.
“It is with this experience and goal in mind that I have set out a framework of objectives for 2018, both corporate and operational, through which I intend to deliver real returns for our shareholders. One of my primary tasks is to implement a wide-ranging cost cutting and saving programme at the corporate level during our next phase of growth, and, when balancing this with increased operational performance at our producing mines, I believe I can substantially enhance our current financial model.
“Looking now to our operations, 2018 will see us continuing to focus on our core assets in Romania and Zimbabwe – namely, the Manaila Polymetallic Mine and associated Carlibaba extension area and the Baita Plai Polymetallic Mine in Romania, together with the Pickstone-Peerless Gold Mine in Zimbabwe. We have comprehensive work programmes underway at all of the above interests, aimed at directly increasing production, efficiency at every asset and move towards operational profitability in Romania in the near term. News announcements will be made regularly in regard to achievements, in addition to our standard quarterly production reports – the first of which will be delivered by the end of this month.
“Expansion remains a core pillar of our strategy and new projects and opportunities in both jurisdictions will continue to be assessed. However, I would like to stress that expansion to new opportunities will be only be advanced if it can be demonstrated that it will not impact current projects or overall performance. We have valuable IP in both Zimbabwe and Romania and we intend to leverage our experience while both countries are going through exciting changes to deliver tangible value to investors.
“We have experienced and dedicated teams in both Zimbabwe and Romania, with strong roots and exceptional networks, and we strongly believe in the opportunities both countries present. It is our intention to undertake new projects that do not require significant capital or human resources from the parent company, and we will provide our shareholders with the opportunity to participate in early stage development. We will also continue our discussions with institutional investors to carry the financial backing of any new projects.
“Institutional financing is expected to be a principal component of our future financing requirements, supporting and enhancing the long-term support of our current private investors. We are currently in possession of several offtake offers that are all more attractive than the historic pricing achieved, and we are now focusing on the financing aspect that will be attached to the agreements. There is one potential offtake and financing partner that we have identified as being particularly appealing and I hope to be in a position to announce an update on this imminently.
“With this outlook for 2018, where both corporate and operational activities look set to deliver significant value to our shareholders, your board will not be resting idle. Our performance over the next 12 months will be critical in achieving these objectives and it is with this in mind that we need to ensure that our board and management are capable and aligned to deliver. We will be looking to strengthen our board with additional operational expertise in the coming months and we will be monitoring performance across all areas of the business to ensure that everyone associated with our company is providing the requisite skills and experience to ensure our ambitions are realised.
“2018 is set to be a hugely significant year for Vast, where the support of long-term shareholders is recognised and new investors join our register with the objective of growing Vast into a profitable mid-tier production company. I look forward to guiding our company into this next phase of growth and remain committed to keeping our shareholders updated on all developments.”
For further information, visit www.vastresourcesplc.com or please contact:
Vast Resources plc
+44 (0) 20 7236 1177
Beaumont Cornish – Financial & Nominated Adviser
Brandon Hill Capital Ltd – Joint Broker
+44 (0) 20 3463 5016
SVS Securities Plc – Joint Broker
+44 (0) 20 3700 0100
St Brides Partners Ltd
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”).
Vast Resources plc is an AIM listed mining and resource development company focussed on the rapid advancement of high quality brownfield projects and recommencing production at previously producing mines in Romania.
Vast Resources currently owns and operates the Manaila Polymetallic Mine in Romania, which was commissioned in 2015, and is focussed on its expansion through the development of a second open pit operation and new metallurgical complex at the Carlibaba Extension Area. The Company's portfolio also includes an 80% interest in the Baita Plai Polymetallic Mine in Romania, where work is currently underway towards obtaining the relevant permissions to start developing and ultimately commissioning the mine.
The Company also has interests in a number of projects in Southern Africa including a controlling 25 per cent. interest in the producing Pickstone-Peerless Gold Mine in Zimbabwe.