Update on Funding and on Repayment of Asset Based Debt Facility & General Corporate Update

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

29 April 2024

Vast Resources plc
(‘Vast’ or the ‘Company’)

Update on Funding and on Repayment of Asset Based Debt Facility
General Corporate Update

Funding

Vast Resources plc, the AIM-listed mining company, is pleased to announce an update in relation to the Asset Backed Debt facility from A&T Investments SARL (“Alpha”) as announced on 16 May 2022 and the debt owed to Mercuria Energy Trading SA (“Mercuria”) relating to Tranche A of the Prepayment Agreement announced on 21 March 2018.

As announced on 15 January 2024, the totality of the debt owed to Mercuria and Alpha had an effective repayment date of 29 February 2024, and as announced on 13 March 2024 discussions regarding the terms and conditions of a further extension of the loans have been continuing.

The debt currently due to Alpha is approximately US$5.5 million and the Company has now concluded legal documentation with Alpha under which US$1.5 million will be due to be repaid on 7 May 2024; a further US$1.5 million will be due to be repaid 30 days from the first repayment; and a further US$1.5 million will be due to be repaid 60 days from the first repayment. The Company expects to fund these amounts, to a large extent, from the refinancing as further detailed below.

Mercuria, to whom approximately US$3.9 million is currently due, have confirmed that a further extension and an appropriate contract with Mercuria will be prepared in due course.

At the same time the Company is also pleased to announce that discussions with the owner of the Swiss investment company (also the owner of the PGM metals subject to the Platinum Group Metals agreement and referred to above and in the Company’s Circular of 14 February 2024) for the provision of major restructuring finance for the Company, including payment of the amounts due to Alpha as set out above, have now reached an advanced stage; subject to the provider finalising their own financing arrangements, and in relation to this the Company can announce that these discussions are no longer conditional on completion of the first sale under the Platinum Group Metals agreement as stated in the Company’s Circular announced on 14 February 2024. Should the Company not be able to conclude this refinancing it will need to source alternative funding to be able to meet its obligations to Alpha including the payment due on the 7 May 2024 or otherwise agree revised payment terms.