Last checked at 9 Jun 2021 10:00
Vast Resources plc / Ticker: VAST / Index: AIM / Sector: Mining
9 June 2021
Vast Resources plc
("Vast" or the "Company")
Successful Conclusion of Collective Bargaining Agreement at Vast Baita Plai S.A
Vast Resources plc, the AIM-listed mining company with mines and projects in Romania and Zimbabwe, wishes to confirm that the Company has concluded negotiations on a new collective bargaining agreement "CBA" which is a written legal contract between the Company and its employees of its Vast Baita Plai S.A subsidiary, which operates the Baita Plai Polymetallic Mine "Baita Plai" in Romania.
On 7 June 2021, the Company and the Company's employees' representatives commenced discussions regarding the newly presented CBA and discussed the employees' requests and the financial incentive scheme as part of the CBA presented by the Company.
On the morning of 8 June 2021, before the commencement of the second day of formal negotiations and prior to negotiations being concluded, the Company's mine management team were approached by a small group of underground miners who presented themselves at the Baita Plai Administration Offices in opposition to the formal negotiation process. The negotiations however were already at an advanced stage prior to the gathering and were subsequently concluded without interruption to to either the due process or the Company's mining operations.
Background
In 2020, despite the global Covid-19 pandemic, Vast Resources PLC hired over 100 new personnel bringing the total number of employees to 281 at Baita Plai, creating over 200 new jobs in the area.
The Company can confirm that in June 2020 the Company increased the salaries of all employees at Vast Baita Plai S.A. The employees' salary packages were, until yesterday, already 25% above the average for the entire mining sector in Romania as informed by a salary benchmarking exercise conducted by the Company.
Due to the expansion of the Company's Baita Plai operations it has become necessary to implement a new and standardised agreement with its mine staff in order for the Company to continue to expand the operation which the Company will further increase worker benefits by 15% for the period 2021-2023.
Vast Baita Plai has written to the relevant authorities to investigate the attempt to disrupt the CBA negotiations and will reserve its legal rights.
The successful negotiation was concluded by way of reasonable and professional participation from all parties involved without any interruption to the processing plant and minimal disruption of underground mining activities. Mining, concentrate production and sales continue.
**ENDS**
For further information, visit www.vastplc.com or please contact:
Vast Resources plcAndrew Prelea (CEO) Andrew Hall (CCO)
| www.vastplc.com+44 (0) 20 7846 0974 |
Beaumont Cornish - Financial & Nominated Adviser Roland Cornish James Biddle
| www.beaumontcornish.com+44 (0) 020 7628 3396 |
Axis Capital Markets Limited - Broker Richard Hutchison
| www.axcap247.com +44 (0) 20 3206 0320 |
St Brides Partners LimitedSusie Geliher
| www.stbridespartners.co.uk +44 (0) 20 7236 1177 |
ABOUT VAST RESOURCES PLC
Vast Resources plc is a United Kingdom AIM listed mining company with mines and projects in Romania and Zimbabwe.
In Romania, the Company is focused on the rapid advancement of high-quality projects by recommencing production at previously producing mines.
The Company's Romanian portfolio includes 100% interest in the producing Baita Plai Polymetallic Mine, located in the Apuseni Mountains, Transylvania, an area which hosts Romania's largest polymetallic mines. The mine has a JORC compliant Reserve & Resource Report which underpins the initial mine production life of approximately 3-4 years with an in-situ total mineral resource of 15,695 tonnes copper equivalent with a further 1.8M-3M tonnes exploration target. The Company is now working on confirming an enlarged exploration target of up to 5.8M tonnes.
The Company also owns the Manaila Polymetallic Mine in Romania, which was commissioned in 2015, currently on care and maintenance. The Company has been granted the Manaila Carlibaba Extended Exploitation Licence that will allow the Company to re-examine the exploitation of the mineral resources within the larger Manaila Carlibaba licence area.
In Zimbabwe, the Company is focused on the commencement of the joint venture mining agreement on the Community Diamond Concession, Chiadzwa, in the Marange Diamond Fields.