UK-based Vast Resources commends Zim Govt as share shoots on diamond row deal

Spread This News

By Alois Vinga

LONDON based mining and resource development company, Vast Resources has hailed President Emmerson Mnangagwa’s administration for commitment in resolving legacy issues at a time when the miner’ share price has gone up.

This follows the successful resolution of the firm’s trapped diamonds saga which has dragged on since 2009.

The gems have been held in the custody of the RBZ since 2010, pending the determination of an appeal against the High Court’s decision in 2009. Vast resources began formal legal action in the High Court of Zimbabwe in December 2022 which came to finality this week after production of a court order bringing the matter to a close.

“The order should allow for the start of a lawful and transparent release into its custody of a historic parcel of 129,400 carats of rough diamonds, held in safe custody at the RBZ. The stones will be independently cleaned and valued for the purpose of selling through a tender process.

“Vast Resources PLC shares rose Thursday after it said that the High Court of Zimbabwe has granted a default order against the country’s Mines and Mining Development Minister, relating to historic diamond claims. The shares went up at 0,2 pence, or 25% at 1 penny,” said the company.

The signed High Court order is expected in the coming days and once the processes are finalized, Vast can refocus attention back to other opportunities in the country.

Settlement discussions have been underway for some time, Vast said in late January, adding that the Supreme Court of Zimbabwe gave a direction in 2010 that required legacy issues to be finalized in the High Court.

Vast Resources chief executive officer, Andrew Prelea told the media this week that he was extremely impressed by the manner in which President Emmerson Mnangagwa’s administration expeditiously resolved the matter.

“Despite taking longer than anticipated, I am very pleased to announce that after many years of hard work and discussion with the Zimbabwean Government the matter regarding the release of the historic parcel has now been amicably settled in a manner supported by an Order of the High Court of Zimbabwe.

“This demonstrates the Zimbabwe Government’s and in particular His Excellency President Cmd. E D Mnangagwa’s commitment to resolving legacy issues related to investment in Zimbabwe in a transparent and legal manner for the mutual benefit of investors and the country,” he said.