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Vast Resources plc (VAST.L) Update on asset backed debt finance and Placing.

Update on asset-backed debt finance and Placing to raise £4,846,579.90 before costs

Vast Resources plc, the AIM-listed mining company, is pleased to announce that the previously announced detailed Term Sheet with the international banking institution (the “Bank”) has now been agreed between the Bank’s executive team and Vast, and submitted for the Bank’s final credit committee approval which is scheduled for 15 December 2020.

As one of the major conditions precedent to drawdown, the Company will be obliged to raise at least a further USD6.2 million of equity to be invested alongside the Bank and in contemplation of this requirement, the Company has today raised £4,846,579.90 gross through a Placing of 3,671,651,439 ordinary shares of 0.1p in the Company (‘Ordinary Shares’) at a price of 0.132p per Ordinary Share (the ‘Placing Shares’).

The Placing was undertaken by the Company’s joint broker, Axis Capital Markets Ltd.

Andrew Prelea, Chief Executive Officer of the Company, comments:

“The asset-backed debt facility is a key corporate and commercial objective for Vast, and one which I believe will prove beneficial for shareholders as we move into 2021. This is clearly recognised by the new and existing investors who have participated in today’s placing and I believe that this development will provide Vast with the financial optionality to successfully capitalise on the anticipated ramp-up to full production at our Baita Plai Polymetallic Mine.”

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 755,587,515 of the Placing Shares on or around 15 December 2020 (the ‘First Admission’) and that Admission will become effective and dealing will commence in respect of the issue of 2,916,063,924 of the Placing Shares on 23 December 2020 (the ‘Second Admission’). The Placing is conditional on Admission.

Following the First Admission, the total issued share capital of the Company will be 18,060,156,715 and following the Second Admission, this will be 20,976,220,639. The above figures of 18,060,156,715 and 20,976,220,639 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, follow the Company on Twitter @vast_resources and LinkedIn

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 License 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.


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