Yahoo Finance Baita Plai Update
Vast Resources plc / Ticker: VAST / Index: AIM / Sector: Mining
10 June 2024
Vast Resources plc
(‘Vast’ or the ‘Company’)
Baita Plai Update
Vast Resources plc, the AIM listed mining company, wishes to announce that following a dispute with the Unions and certain members of the Baita Plai workforce in Romania, the Company has decided to enter Vast Baita Plai SA (BPSA), the operator of the Baita Plai mine, into a period of voluntary reorganisation to be effected by a Court judged process under the Insolvency Act in Romania (and not requiring BPSA to enter Bankruptcy as has been reported).
The news of the reorganisation was published on 4 June 2024 prior to the reorganisation request being approved by the Court in the local Romanian press at the instigation of a group of BPSA employees who were earmarked for dismissal. The reorganisation gives BPSA the opportunity to dismiss, without significant cost, those employees who have been abusing the system, particularly in respect of taking of medical leave, but also the possibility to re-employ those employees whom BPSA wishes to retain on new contracts materially more advantageous to BPSA. Certain employees were demanding a reduction in working hours of about 25% and an increase in paid holidays to almost twice that required under National regulations. The reorganisation affects in no way the ownership or running of the mine, should achieve new efficiencies in working practices, substantial cost savings, and is in the interests of the Company and its shareholders as a whole.
**ENDS**
For further information, visit www.vastplc.com or please contact:
Vast Resources plc | www.vastplc.com |
Beaumont Cornish – Financial & Nominated Advisor | www.beaumontcornish.com |
Shore Capital Stockbrokers Limited – Joint Broker | www.shorecapmarkets.co.uk |
Axis Capital Markets Limited – Joint Broker | www.axcap247.com |
St Brides Partners Limited | www.stbridespartners.co.uk |
ABOUT VAST RESOURCES PLC
Vast Resources plc is a United Kingdom AIM listed mining company with mines and projects in Romania, Tajikistan, 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 Vast Baita Plai SA which owns 100% of 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 the Company is looking to bring back into production following a period of care and maintenance. The Company has also been granted the Manaila Carlibaba Extended Exploitation Licence that will allow the Company to re-examine the exploitation of the mineral resources within the larger Manaila Carlibaba licence area.
The Company retains a continued presence in Zimbabwe.
Vast has an interest in a joint venture company which provides exposure to a near term revenue opportunity from the Takob Mine processing facility in Tajikistan. The Takob Mine opportunity, which is 100% financed, will provide Vast with a 12.25 percent royalty over all sales of non-ferrous concentrate and any other metals produced.
Also in Tajikistan, Vast has been contracted to develop and manage the Aprelevka gold mines on behalf of its owner Gulf International Minerals Ltd (“Gulf”) under which Vast is entitled, inter alia, to 10% of the earnings that Gulf receives from its 49% interest in Aprelevka in joint venture with the government of Tajikistan. Aprelevka holds four active operational mining licences located along the Tien Shan Belt that extends through Central Asia, currently producing approximately 11,600oz of gold and 116,000 oz of silver per annum. It is the intention of the Company to assist in increasing Aprelevka’s production from these four mines closer to the historical peak production rates of approximately 27,000oz of gold and 250,000oz of silver per year from the operational mines.
