Vast Resources reports progress in resolving Zimbabwe claims

4th Jul 2023 16:58

(Sharecast News) - Mining company Vast Resources updated the market on the extension to the settlement of its historic claims on Tuesday, reporting that in a bid to expedite the handover process, it decided to engage the deputy sheriff to retrieve the parcel from the Reserve Bank of Zimbabwe (RBZ) under a writ of execution issued by the High Court of Zimbabwe on 14 June.

The AIM-traded firm said that the RBZ sought clarity from the deputy sheriff, however, regarding the status of the original Supreme Court interlocutory order that had placed the parcel in its custody until the resolution of pending appeals.

Vast said its legal representatives provided clarification to the RBZ, asserting that the interlocutory order was no longer in effect as the appeal to which it was subject had been abandoned by the original appellants, rendering it no longer lawfully before the Supreme Court.

As a result, on 29 June, the deputy sheriff received new instructions to retrieve the parcel, and the company's legal team accompanied the deputy sheriff to the RBZ premises.

During the visit to the RBZ, in consultation with the bank's internal legal counsel, the deputy sheriff and Vast Resources reached an agreement.

The firm said the RBZ committed to providing written confirmation of the process that would govern the orderly and secure handover of the parcel to the company, which would encompass the procedures for valuation for royalty purposes, obtaining export permits, and adhering to the Kimberly Process Certification requirements.

Following that development, Vast Resources and the RBZ would then proceed to establish the necessary logistics for the removal of the parcel, which was previously attached by the deputy sheriff under the writ of execution.

Vast Resources said it remained committed to a transparent and lawful resolution to the handover process.

"The company notes that until the process has been finalised and implemented there is no certainty as to the precise timing for the recovery of the parcel, and will update the market as soon as there is a material development in this respect," the board said in its statement.

At 1629 BST, shares in Vast Resources were down 2.04% at 0.48p.

Reporting by Josh White for Sharecast.com.