Vast Resources has raised £600,000 before costs through a placing of 392,1 million ordinary shares to maintain its working capital in light of the anticipated conclusion of the Chiadzwa Community Diamond Concession joint venture in Zimbabwe.
Image credit: Mhy (Pixabay)
The AIM-listed mining company said it remains confident that the Chiadzwa JV will be concluded shortly.
Vast expected the deal to be finalised last month, but the Zimbabwe government declared a 21-day lockdown in response to the Covid-19 Pandemic commencing on 30 March 2020.
Katanga Mining - a joint venture between Vast and the Chiadzwa Community Development Trust will work with the ZDC to develop the diamond deposit.
Vast previously said that it had everything in place to hit the ground running once it concludes the agreement with ZCDC.
The company recently revised an agreement with Botswana Diamonds, which will see the latter acquire a 2.5% interest in the cashflows generated from Vast’s share in the Chiadzwa concession in exchange for providing “know-how for all aspects of exploration, mining, processing and marketing”.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
