Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Pleased to report:
Spod price 1143 + 8
Acker
Dogg, if things go just ok..it will take a while to pay cr@p off, back in early 23 we thought we would multibag just looks like it may be another year or so. tbh if it doubles from here i'm out
Nelly
Why would they convert the amount owed (which I say is $50m and you say is $36m) at the pre agreed valuation of $200m when they can at any time request they be issued in prem shares, as per the agreement. They will just take ownership through prem rather than the project. Basically they own any product produced for the next year and once that is up they will own the majority of Prem. Billionaire Chinese businessman vs GR - no surprise who came out on top.
Also, go through the document you linked and add up the figures. Then add the 12% interest.
RE: Prem10 Jun 2022 00:22
Jenkoo, I've had no additional information. All I can surmise is that something else cropped up. I understand the issues were surrounding some specific wording in the RNS and how best to impart the information, my sources understanding was that this had been resolved, clearly not in time to issue an RNS today. I would imagine that discussions have been ongoing today so if things have been sorted then we will see the RNS tomorrow. I bought more today on the drop and if no RNS tomorrow then I will liquidate elsewhere and add a little more. This is just a trade for me though, in and out when the numbers are right. I dont have enough confidence in Geoege to make PREM a long term investment
It's not like your trying to help people it's just business right martin/Raaydar
Your full of it! if on the off chance Prem starts to do well you will disappear as usual, so why if your not invested don't you just do one? feel free to come back and brag you told every one it would fail if it happens but please for the love of God just do one.
Jaguar, I wish you luck and I hope that you're not banking your family future on this. Future production isn't likely in the near future. The recent video from George was a precursor to another raise. The key equipment to get the plant producing viable quantities are the sorters and they are far from being in a position to work.
I'm not shorting this, I've never shorted a share in my life, I consider it to be immoral and should be illegal. That said I don't think you could get the borrow to short PREM in the traditional sense despite there being 30 billion shares in issue, I don't use any of the spread betting platforms so perhaps one could open a short position on one of those platforms.
Absolutely think you are invested martini, however i think your shorting , so now calm down dear, your just like SK but mirrored.
Why tell us?
š
As for prems current situation im loading my platform up weekly then as soon as we hit full production i will be flooding prem with every penny i have simple.
Iam also lowering my average buy in weekly too.
We all know the financial situation but its like kods joint venture they are a long way off having a production plant every share is a gamble but some are higher risk like prem and its up to the invidual if they want to take a risk for a bigger outcome personally im not into safe shares where it can take years for a good gain id sooner take the risk .
Jaguar I am invested in PREM, however I feel it prudent to point out the inaccuracies in statements made by the ultra fan cult members here. The worst case scenario is not that pointed out by Nelly. Whilst George has historically never failed to raise sufficient working capital, there'll come a time when the market will not support his requests for funding and then the inevitable death spiral financing will come into play. I'm not saying that will happen but it's imperative that he gets Zulu into production of saleable product in sufficient quantities very very soon otherwise I'm afraid that will be the end of PREM. I think Canmax know this and rather than turn the screws and pile on the pressure, they're happy to allow George to be the master of his own downfall.
I am being funny matinigirl investors dont need your advice in something your not invested in you keep coming on here especially weekend slating prem constantly have you nothing better to do with your time ?
Its like someone telling me how to bring my kids up f all to do with you at the end of the day if your not invested ive zero time for you .
Martini, much as I know that would make you ecstatically happy, GR has never failed to raise sufficient capital to keep PREM afloat. There are plenty of options on the table before we get to being insolvent.
Nelly, the worst case scenario is that PREM fails to generate any revenue over the next few weeks / months and is unable to raise further funds to continue as a solvent entity and Canmax get Zulu in lieu of the debts owed to them.
The revised agreement was supposed to be an incentive by Canmax for PREM to get the plant up and running faster.
Yes, your figures are wrong - this is NOT in addition to the $34.7m pre-payment from Canmax that is to be repaid in product / shares / cash. Only the interest is, plus when Canmax can call in the amount owed to them (which so far they have waived, in favour of PREM getting the plant up to production).
Worst case Scenario, PREM default on the repayment (in product or cash) and by April 2025, Canmax can call in the $34.7m + interest owed as a stake in Zulu, at a pre-agreed valuation of $200m, so they would add approximately 20% ownership of Zulu to their current 13% stake.
Nelly, itās exactly what I said. Add up the figures:
If no product produced the we pay them
So if no product provided by April 2025 them
$6m owed for the period 1 November 2023 - 28 February 2024
-$9m owed for period 1 March 2024 - 30 May 2024
$40m for 1 June 2024 to 1 April 2025 ($4m/m)
Thatās a total of $55m.
Are my figures incorrect.
Is it not also incorrect that if we do provide the product Canmax have already paid for it u see the ore payment? How much will Prem be receiving for the next year IF it does start producing?
Keyboard warriors (with nothing to do; often with no shares) find it extremely difficult to comprehend the facts. It's all GR's fault!
It's clear that CanMax/Pei are in charge here - with the well invested Roach, doing their bidding - look at the shareholding.
Https://polaris.brighterir.com/public/premier_african_minerals/news/rns/story/xje3pgr
Bridgedogg, You've seriously misjudged (and misread) the repayment agreement.
The amount 'owed' to Canmax is 'only' increasing month by month by the (now) 10-12% APR interest.
The $3m per month is what PREM had agreed to pay back OF THE PRE-PAYMENT AGREEMENT. It's not an additional $3m per month that is being added to to the total amount that will be owed to Canmax (in product / cash / shares).
It's circa $5m of total interest (that would be added to the amount owed to Canmax, over a whole year, so around $37m total repayment that would be due to Canmax ($34.7m + circa 10% interest)
The interest owed is 12% per annum with effect from the 1 December 2023, Prior to that it was 8% from May 31st 2023.
Snowking, if PREM cannot produce and ship within the next 3 to 6 months what will the market cap be? How will George be able to pay the contractors and all the other bills if the company has no revenue? Companies that don't generate revenue can only survive for so long after which, no matter what agreements are in place with the customers, the become insolvent and cease trading. That's when the assets are sold for pennies in the pound to satisfy the creditors. The long stop date and associated agreement is a distraction and an irrelevance.
We can carve it up and argue as much as we like. Bottom line is Production soon or we are screwed. Although it might be useful to know how long we have..
As someone said on another site MOB bag....(Multi or body bag). And this is regardless of people opinions.
Are you in or are you out......
Ofcourse they could just request the $55m in Prem shares. How much of Prem would that be on 1 April 2025 if insufficient SC6 is being delivered. Remember we would not have yet made any revenue due to it all being sold under the pre purchase agreement. I.e. already paid for. At the current share price that would be 50% of Prem but without production the share price would be in the gutter so letās say a generous 75%. They already own 16%ā¦.
You mean āSettlement of all amounts of Product due under the Amended Agreement will be subject to a new Long Stop Date of 1 April 2025, and should Premier have not delivered the required Product or provided Cash Settlement to settle the Advance Purchase Amount in full, and provided that Canmax has not elected to take settlement in new ordinary shares (the "Outstanding Amount"), then Canmax will be entitled to receive as settlement of the Outstanding Amount, a direct interest in Zulu Lithium based on a project valuation of US$200 million.ā
So if no product provided by April 2025 then:
$6m owed for the period 1 November 2023 - 28 February 2024
-$9m owed for the period 1 March 2024 - 30 May 2024
$40m for 1 June 2024 to 1 April 2025 ($4m/m)
Thatās a total of $55m. Based on a valuation of $200m thats 27.5% of the project. That probably is the best case senario, however it a we havenāt managed to repay the outstanding amount almost a year from now what would that say about the actual value of the project, and what would the Prem share price be by then?
In the meantime we would have our other debts to pay.
ZP owns 24% of Canmax - who own 15% of Prem
Pei-zhenhua is the major player here....as - effectively - the biggest shareholder in both companies....
Try harder to keep up
Bridegroom,
You seemed to ignore the fact that if prem pay nothing back to canmax this year , then canmax donāt get prem or Zulu plant . But they get a small % of Zulu valuing Zulu at $200 m ie .32 p a share .
How come you failed to mention that .