19.7 C
Supported byspot_img

Vast Resources plans 10 MUSD for its Romania mining projects

Member of Europium Groupspot_img
Supported byspot_img

UK-based Vast Resources has signed a preliminary agreement for a proposed investment of up to $10 million (8.57 million) in the mining company, to be used mostly for the expansion of its Romanian operations.

The investment proposal, made by an undisclosed corporate finance and investment firm, will be made in two stages, of $8 million and $2 million, respectively, Vast Resources said in a press release.

“The funds raised must be used for the Company’s capital expenditure and working capital requirements, mostly for the expansion of the Romanian operations,” the company added.

Supported by

Stage one will be a direct subscription by the investor for new shares in Vast Resources Romania, which company will hold all Vast’s Romanian assets and would result in the Investor holding 51% of VRR.

Stage 2 would result in the subscription by the investor for a nominal number of further shares in VRR followed immediately by the acquisition of the investor’s entire holding in VRR by Vast for the issue of ordinary shares in Vast at 0.4 pence per share.

Depending on exchange rate fluctuations and share issues through warrant exercises, is estimated to give the investor some 29% of the enlarged share capital of Vast. This stage will require the passing of an ordinary resolution at a general meeting of Vast shareholders.

Vast Resources owns Sinarom Mining Group, the owner of the Manaila polymetallic mine in Romania. Besides Manaila, Vast holds 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.

Source: seenews

Supported byElevatePR Digital

Related News

Progress at Plymouth’s tungsten mine: Final permit secured for production restart

Plymouth’s potential tungsten mine is on track to achieve significant production levels following the approval to commence operations. Tungsten West Plc has secured a...

Elementos pursues acquisition of stake in Iberian smelting for European tin market expansion

Elementos, a tin exploration and development firm, has initiated a non-binding term sheet to potentially acquire up to a 50% interest in Iberian Smelting...

EU corporate sustainability directive: Implications for global supply chains and Africa’s mining communities

On 24 May, the European Union enacted the Corporate Sustainability Due Diligence Directive (CSDDD), a landmark legislation requiring large businesses to identify and mitigate...

Rio Tinto defends environmental safety of Serbia’s Jadar lithium project

Rio Tinto announced on Thursday that it had published new environmental studies indicating the safety of its Jadar lithium project in Serbia, which was...
Supported by
Supported by
Supported by
error: Content is protected !!