Zimpapers Logo

Diversified mining firm, Vast Resources Plc, will have to wait a little longer for official confirmation by the Government concerning the community joint venture agreement at the Chiadzwa diamond project.

Initially, communication was expected at the end of March 2020.

But Zimbabwe, like most countries across the globe has been hit by the coronavirus pandemic, with 18 cases having been confirmed to date, while three deaths have been reported.

The pandemic has disrupted both economic activity and Government business.

“Vast Resources plc, the AIM-listed mining company, notes that its announcement of March 3, 2020 confirmed that it had received official communication that all internal processes leading to the conclusion to the Chiadzwa Community Joint Venture were expected to be finalised during March, and the Company’s announcement of March 23, 2020 confirmed this expectation,” said the group in a statement.

“Following the March 23, 2020 announcement the Government declared a 21-day lockdown in response to the Covid-19 Pandemic commencing on March 30, 2020. As a result of this the finalisation process was not completed in March, but finalisation remains expected to complete shortly.”

Vast Resources is looking to develop the Heritage diamond concession in the Marange diamond fields in Chiadzwa.

Last October, Vast signed a joint venture agreement with Chiadzwa Mineral Resources (CMR), a company designated to represent the Chiadzwa Community interests in the concession, which resulted in the formation of Katanga Mining (Pvt) Limited.

And Katanga was in the process of signing a further joint venture agreement with the Zimbabwe Consolidated Diamond Company (ZCDC), which represents Government in the diamond mining sector. Earlier this March, the Alternative Investment Market (AIM) listed miner said it had received communication from the Ministry of Mines and Mining Development that the second joint venture agreement would be concluded by the end of the month. Although those plans are now up in the air (for now), Vast Resources said “further announcements will be made as the situation develops”. — ebusinessweekly.com