VAST – The case for investment?

On Tuesday the 15th August the share price dipped offering  a good opportunity to invest in this stock. This is why I believe this is a good investment opportunity.

1. Unlike many mining operations VAST are actually at the production stage. In other words revenue will start flowing soon.

2. Business focuses on decommissioned old mining operations providing the following opportunities:

a) Mines have been viable previously using old technology.
b) Expensive infrastructure already in place.
c) Can quickly bring operations into production.

3. Have diverse portfolio. Three operations in Romania and one in Zambia.

4. Investors are just becoming aware of potential. including me. More astute investors have been invested for a while.

5. New leadership  with proven track record.

6. Recent actions by miners has had a positive impact on relationship between VAST and Romanian Government. Has removed barriers associated with mining licences etc.

7. Baita Plai mine achievable production statics vs previous operations statistics indicate how efficiencies will translate into profits. Only a relatively small investment required.

8. Baita Plai mine will reach full production Q1 2016. Outputs could be increased with further investment.

9. New technology and improvements in management will increase production outputs.

10. Previous data inaccurate. Inaccurate records and poor record keeping. Did the mine also suffer from fraud or was it poor management? Could this mine generate good revenues by just being managed professionally with minimal investment?

11. Very close to finding out what revenues will be generated from Baita Plai. This should create a spike in the sp.

12. Currently finalising contracts with Romania state mining company.

13. Baita mine is untouched below level 18. Bore holes indicate several hundred meters of mining opportunity.

14. Pickstone-Peerless Gold Mine – First bullion sales expected within days. Expect positive impact on sp when announced. The small spike in the sp today could be others speculating RNS will be released this week.


1. Main risk seems to be funding / working capital. Will these be alleviated once revenues materialise from the Baita mine?

2. Share dilution due to issue of more shares. Unlikely as looking at debt rather than dilution.

3. Political risks. With Romania now being part of the EU you would hope this would not be an issue.

The following is well worth a read.


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