REG-Manaila Extension (Carlibaba) Finance Update and Effect on possible strategic investment of up to US$10 million <Origin Href="QuoteRef">VAST.L</Origin>

Vast ResourcesAnnouncement

06/10/2017 07:00

For best results when printing this announcement, please click on link below:
http://pdf.reuters.com/htmlnews/htmlnews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20171006:nGNE8bT280


Vast Resources plc / Ticker: VAST / Index: AIM / Sector: Mining

6 October 2017
Vast Resources plc
("Vast" or "the Company")

Manaila Extension (Carlibaba) Finance Update 
Effect on possible strategic investment of up to US$10 million

Vast Resources plc, the AIM-listed mining company with operations in Romania
and Zimbabwe, is pleased to advise shareholders that as a result of the
consistently positive results delivered from the drilling and development
programme at the Carlibaba Deposit ('Carlibaba') located adjacent to the
Company's producing Manaila Polymetallic Mine in Romania ('Manaila'), coupled
with the 2018 off-take bidding process for the concentrate production, Vast
has been presented with a number of potential non-dilutionary financing
options to advance its Romanian interests.  As such, the Company is in
discussions with metal traders and debt providers to finance the new
metallurgical complex planned for Manaila and in particular to cater for the
extended mine life that the scheduled new open pit at Carlibaba provides.

The drilling results to date at Carlibaba support the potential for a
considerable extension to life of mine at Manaila which has enabled Vast to
obtain medium term financing possibilities for Sinarom Mining Group, the
Company's 100% owned subsidiary, to facilitate the construction and
commissioning of the new metallurgical complex.  Internal Company estimates
have highlighted that the new metallurgical complex could result in a saving
of up to 25% on the current production costs by eliminating the transport of
ore and waste between the mine, the Iacobeni metallurgical complex, and the
current tailings facility.

The possible introduction of a debt facility will reduce the Company's
requirement from the potential strategic investors referred to in the
Company's announcements of 24 July 2017 and 25 September 2017 or of any other
potential incoming partner at the subsidiary level by almost 50% of the US$10
million in the Directors' estimation. This would grant management the
opportunity to reconsider the current financing proposals to the Company and
retain a greater proportion of the Group's assets in Romania.

The Company will update the market with further information in due course.

**ENDS**

For further information, visit www.vastresourcesplc.com or please contact:

 Vast Resources plc Roy Pitchford (Chief Executive Officer)                    www.vastresourcesplc.com +44 (0) 20 7236 1177    
 Beaumont Cornish - Financial & Nominated Adviser Roland Cornish James Biddle  www.beaumontcornish.com                          
                                                                               +44 (0) 020 7628 3396                            
 Brandon Hill Capital Ltd - Joint Broker Jonathan Evans                        www.brandonhillcapital.com +44 (0) 20 3463 5016  
 Peterhouse Corporate Finance Ltd - Joint Broker Duncan Vasey                  www.pcorpfin.com +44 (0) 20 7469 0936            
 St Brides Partners Ltd Susie Geliher Charlotte Page                           www.stbridespartners.co.uk                       
                                                                               +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").
This announcement is distributed by Nasdaq Corporate Solutions on behalf of
Nasdaq Corporate Solutions clients.
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