Vast Resources raises cash for Romania and Zimbabwe projects
Mining company Vast Resources has raised a total of £600,000 before costs via a placing and subscription to help fund its Baita Plai metal mine in Romania and its Heritage diamond mine in Zimbabwe.
The AIM-listed outfit's fundriasing, completed at a 10% discount to its closing price on Thursday, came just 24 hours after Vast revealed that it was awaiting non-binding investment agreements from two financial institutions for loan finance to bring Baita Plai into production.
Vast Resources said the cash is set to be split equally between the two projects.
Half the investment is needed to maintain operations at Baita Plai, while the remaining balance will be used as working capital at Heritage, where a joint venture agreement was recently signed with the Chiadzwa Community Trust.
Vast said this week that it was in "advanced discussions" with a potential cornerstone equity investor.
As of 1045 BST, Vast shares had dropped 7.74% to 0.14p.