Vast Resources PLC (LON:VAST) said its Manaila polymetallic mine that has been suspended since December due to poor weather conditions will not reopen until a corporate restructuring has been completed.
The group said it would keep its wholly-owned mine, located in Romania, on care and maintenance temporarily in order to reduce costs.
The company had planned to restart operations this month but that will no longer happen despite improved weather conditions.
Vast said it would reopen the mine “once the refinancing of the group is completed and an effective mine plan that will achieve profitability, can be implemented.”
“This decision is based on a full corporate restructuring that seeks to implement a consolidation of the group’s assets to reduce costs and introduce near term positive revenue generating income that will ensure the growth of the company,” Vast said.
Vast is restructuring its debt and asset portfolio with the aim of securing longer-term funding to support its operations.
The company said it will also cease quarterly reporting while the restructuring is ongoing.