March 10 (SeeNews) - UK-based Vast Resources said on Tuesday that it expects to complete drilling at its Baita Plai polymetallic mine in central Romania by the end of April, despite some restrictions on equipment shipping from China due to the coronavirus outbreak.
The drilling is being undertaken by the only local drilling company remaining with underground drilling capabilities, Vast Resources said in an update on its operations at Baita Plai .
According to Vast, initial logistics and drilling proved difficult with breakdowns and spare part availability being problematic, but all issues are resolved and drilling is progressing at an acceptable rate.
Despite delays caused by shipping restrictions from China due to the coronavirus, Vast announced that the initial shipments of equipment are currently being loaded on to a vessel, bound for Romania, scheduled to depart on March 16, with further containers booked for March 20.
The initial shipments will allow the company to commence production within the six month timeline on financing as indicated in its corporate presentation.
Vast Resources started drilling operations at Baita Plai in December 2019.
In October, Vast Resources signed a binding conditional bond issue deed for a facility of up to $15 million (13.5 million euro) through an issuance of secured convertible bonds to UK-based fund Atlas Capital Markets for the purpose of bringing projects in Romania and Zimbabwe into production.
In April, Vast announced it has received a draft proposal for a loan of up to $10 million from a Swiss bank to finance its Romanian mining projects.
Vast Resources, formerly known as African Consolidated Resources Plc, is an emerging mid-tier, multi-commodity, multi-jurisdictional development and mining company with a project portfolio covering gold, nickel, copper, phosphate and diamonds. It also owns a gold mine in Zimbabwe.
The company’s Romanian portfolio includes an 80% interest in the Baita Plai Polymetallic mine and the Manaila Polymetallic mine, which was commissioned in 2015, currently on care and maintenance.
($= 0.8809 euro)