The British mining company Vast Resources announces that the first phase of the financial agreement signed at the beginning of this year with Mercuria Energy Trading has been successfully executed.
As scheduled, from the USD 4 million paid in March, USD 1.6 million will be used to return part of the loan made last year from Sub-Sahara Goldia Investments (SSGI). The rest of the grant will be totally invested in the projects developed in Romania, a press release informs.
By ending this first phase of the agreement, Vast Resources will invest USD 2.6 million in the development of mines it administrates in Suceava and Bihor counties. The priority of this year remains the construction of the metallurgical complex from the proximity of the mine from Suceava county. The aim of this activity is to reduce transport costs, improve efficiencies and increase production capacity.
”The continuing investment in the Manaila Mine by Vast is a result of our Romanian mining team`s hard work and dedication. Working together with our Executive Team we have proven that the Romanian mining sector is a viable long term business that is now validated by a multinational institution. We look forward to growing our business in Romania and further investing in upgrading Manaila, looking for further opportunities and being a part of restarting the industry,” said Andrew Prelea, CEO of Vast Resources.
The second tranche of the agreement signed with Mercuria Energy Trading, worth USD 5.5 million, is anticipated to be drawn down in July this year, according to the plan.