AIM-listed mining group Vast Resources says it has raised a total of £896 000, before costs, through a placing and subscription of ordinary shares.

The monies will be used to pay off the convertible security issued to Bergen Global Opportunities Fund LP on 20 December 2018.

Vast Resources, which has operating mines in Romania and Zimbabwe, said in total 663,703,703 ordinary shares were issued at 0.135p each.

It added that the placing, undertaken by the company’s joint broker SVS Securities, was for 550,000,000 ordinary shares, and the subscription was for 113,703,703 ordinary shares with existing shareholders or others known to the company.

The company said the funds will be applied both in repayment of US$675,000 (approximately £525,000) the amount currently outstanding on the Bergen convertible security, and also for general corporate purposes.

The company said that the funding of the second tranche of the Bergen convertible security has been paused for at least 60 days, with effect from 8 February 2019.

“The funds raised from the Placing and Subscription will be applied both in repayment of US$675,000 (approximately £525,000) the amount currently outstanding on the Convertible Security issued to Bergen Global Opportunities Fund LP (Bergen), the terms of which were announced on 20 December 2018, and also for general corporate purposes.

“As announced on 12 February 2019 the funding of the second tranche of the Bergen Convertible Security has been paused for at least 60 days,” said Vast Resources.