Vast Resources plc / Ticker: VAST / Index: AIM / Sector: Mining
28 April 2017
Vast Resources plc
(“Vast” or “the Company”)
Further Update on Strategic Investment by SSCG Africa Holdings Ltd
VAST Resources plc, the AIM-listed mining company with operations in Romania and Zimbabwe, is pleased to give a further update on the financing arrangement with SSCG Africa Holdings Ltd and its group (“SSA”) announced on 30 January 2017 and updated on 14March 2017 and 7April 2017 (the “SSA Transaction”) under which the Company was to receive gross proceeds of US$8 million principally to advance the Company's core activities in Romania. This comprised a US$4 million payment for the sale of 49.99 per cent in the Company's principal Zimbabwean assets (the “Disposal”) and a US$4 million long term loan, repayable in four years (the “Loan”). Completion of all aspects of the SSA Transaction was dependent on the approval of the assignment of 49.99 per cent. of Vast's loan account with Canape (the “Assignment”) by the Reserve Bank of Zimbabwe (“RBZ”) by 7 April 2017, later extended to 28 April 2017.
Final approval of the Assignment by RBZ remains outstanding, but correspondence from and discussions with Canape's bankers in connection with the application for approval indicate that the necessary approval for the Assignment will be forthcoming shortly, and all efforts continue to achieve this as soon as possible. For the record, and as previously announced, the full amount of Vast's loan account with Canape has already been approved as an offshore facility by RBZ in May 2015 or in April 2016.
In the circumstances the parties have agreed that the already announced date of 28April 2017 where it occurs in the documents reflecting the SSA Transaction be substituted by 19 May 2017 in order to allow sufficient time for this approval to be given.
For further information, visit www.vastresourcesplc.com or please contact:
| Vast Resources plc|
Roy Pitchford (Chief Executive Officer)
+44 (0) 20 7236 1177
| Beaumont Cornish – Financial & Nominated Adviser|
+44 (0) 020 7628 3396
| Brandon Hill Capital Ltd – Joint Broker|
+44 (0) 20 3463 5016
| Peterhouse Corporate Finance Ltd – Joint Broker|
+44 (0) 20 7469 0936
| St Brides Partners Ltd|
+44 (0) 20 7236 1177
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”).
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