Member Info for Muck165

Thanks ASI, but to break all that down.

Zim govt doesn't control the judiciary - agreed. But what it can do is allow a matter to progress by not contesting it further. That is what seems to me has happened here.

It needs to go through the AG office. This is certainly what AP has said although I don't have any understanding of what's involved there. Can you help in that respect?

Then it goes through the bank. Here I'm assuming that what's involved is appropriate docs, presumably from the AG office authorising the release from safe custody, being given to the bank, and them duly handing the parcel over. Again, happy to be corrected.

Then there is the whole cleaning to sale process, which you know far more about than me. But I seem to recall you saying that, at least the cleaning part, could be done very quickly?

I suppose like everyone one else, I'd just like to understand more about this timescale. As it stands, I can't see it being in anyone's interest to delay matters.

It also seems to me that the issue of the parcel is intertwined with a challenge to our rights to have mined them. I think the default judgment related to those rights and not the parcel per se, and in consequence of the default judgment our right to the both the rights, and therefore the parcel was accepted.

Agree Cricket. Some suggest the process could take some time, but to be honest I struggle to understand why. It seems to me the diamond parcel formed part of wider negotiations with the Zim govt, that those negotiations reached a point where the govt were happy to let us have the parcel, and the application for default judgment was just a legal step we had to take in order to get them. Having done that, what reason could the Zim govt have to place further obstacles in the way?

For info

https://investingstrategy.co.uk/stock-tips/vast-resources-shares-diamonds-in-the-rough/

Nice to have been right on this, albeit a little disappointing it’s for distribution and not manufacturing. That said, I still think there’s a fair chance we are conducting TT with them and will ultimately manufacture. The best bit for me was the Krieff comment

“ We believe that Abingdon Health is the right partner to bring this revolutionary product to pharmacy shelves”.

That suggests this and others of our tests actually getting onto mainstream pharmacy floors. If that happens, I can see Salistick doing very well given it is entirely unique as a pregnancy test.

And now of course we have our range out with Lloyds pharmacy, which is a great step forwards.

JJ - I agree with you and have little doubt the unopposed release of the parcel is linked to the JV negotiations.

Satisfaction of the Atlas charges, which I thought were repaid last year

Agree - I’m hoping the parcel yields an average $50-$100 per kt, enough to sort the debt and provide working cap. Thereafter I’m optimistic on the ZCDC JV, and BP production.

One last thought…

All the records show that we mined diamonds, but also bought hem from illegal miners. I would not be at all surprised if the parcel contained a mix of both.

I wouldn’t have thought we’d buy rubbish, and bet we got some for a song.

Let’s hope they’re all still there!

Keep forgetting BP - seems to have really turned around and AP seems very excited about Q1 production!

Are you sure thats been updated Machoman? I looked at Archives of the site for last year and they all said the same thing?

I'd add in two other things

Its clear that the Zim president is pushing hard to properly industrialise and capitalise on domestic mineral reserves, and its notable that VAST paid him much compliments in the RNS put out to confirm we got the default judgment.

Secondly, its notable I think that AP sais Mercuria had been "very understanding" in relation to our debt repayment obligations to them - to my mind lenders are willing to be flexible but only where good things are in the offing.

Yep, its not new.

The thing I don't get is this. Back in 08/10 both sides were fighting tooth and nail over the parcel and mining rights culminating in an appeal by us to the Supreme Court. But that appeal sat there for 12 years until we got default judgement, meaning it went uncontested. Why?

In the meantime, in 2019 we announce a JV with ZCDC, details to follow once the agreement is formally signed. Again, nothing on this since, even though it continues to appear on our website.

In 2020 a VAST director leaves to head up ZCDC, much to the applause of AP.

For me, its not a stretch to think everything here is linked. ZCDC want the JV, otherwise why agree it. VAST want it, but perhaps wouldn't sign until the appeal was heard and they recovered the parcel, explaining why the appeal went uncontested.

So think there is a realistic possibility that we will not just hear about the recovery of the parcel in short order, but that we will also hear that this JV has been formally signed and get details.

Just my thoughts

Maybe nothing, but I see the Vast website is down this morning. Probably just maintenance, but perhaps they’re updating something?

Well there is this

https://www.vastplc.com/operations/marange-diamond-fields/

Perhaps the recent negotiations are all part and parcel of getting the JV agreement with ZCDC formally signed

I’ve been keen to understand the litigation history behind the diamond parcel and thought I’d share for any others interested. Apologies to LTH who already know this stuff!

It appears De Beers originally held prospecting licenses over the relevant land. They decided not to extend and Vast (or African Consolidated Resources as it was then) sought to file claims through a suite of new subsidiaries. They mined, yielding the parcel of 129,400 kt (and perhaps more), but their claims were challenged in court and the parcel confiscated to be held in custody. The court rejected the challenge and ordered release of the parcel - see the judgment here https://www.veritaszim.net/node/324. That decision was challenged on the basis it was obtained by Vast (ACR) by fraud, because the subsids registering the claims had not in fact been incorporated at the time of registration, could not therefore make a legal registration, and Vast (ACR) withheld that info from the court. The court upheld the challenge, rescinded the original judgment, and ordered the parcel be held in safe custody. Judgment here https://zimlii.org/zw/judgment/harare-high-court/2010/205

Thereafter I’m finding it more difficult to put the pieces together, but I did come across this judgment (I think from last year) which may have reinvigorated the process towards getting our latest default judgment https://lawportalzim.co.zw/cases/civil/3145/african-consolidated-resources-private-limited/the-state

I don’t understand all the fine details, but what does seem plain to me is that all parties have been fighting hard in court over the mining rights, and right to the parcel, which must surely mean its not worth twopence halfpenny! Let’s hope it’s remained fully intact after all these years.

Out of interest, anyone have any thoughts on what these negotiations with govt entailed? It just seems to me that the actual legal process of getting the default notice all happened pretty quickly and I'm just assuming that negotiations, which seemed to go on for years, were all about ensuring it went uncontested. If that's the case then what, I wonder, have we agreed with the govt to ensure we got the parcel back?

I’m still researching the history here and don’t know as much about Prelea as many of you. But I don’t get why he (and other Directors) would work 18 months without pay, and chuck £82,500 in, if he thought this was a dog.

PS -I was thinking more about the future mining prospects for us, rather than the parcel.

An interesting piece by Mnangagwa sharing his thoughts on mining and the industrialisation of the Zim economy. It’s about a lithium, but the basic message is the same for any natural resource I think.

https://www.sundaymail.co.zw/harnessing-minerals-to-industrialise-our-economy

As others have said, there seems to be a domestic thrust to make best use of what they have, which can only be good for companies happy to help!

AP was clear in the podcast that he had to raise now to get the reports required for the Romanian authorities next year, and to pay down debt.. “Time is of the essence”. Tells me that whilst hopeful, he’s not banking on realising proceeds from the parcel all that quickly. It is Zimbabwe after all….