Premier African Minerals is a natural resources company focused on Southern Africa. #PREM CEO George Roach is enthusiastic about prospects for the company after a change in strategy and a £1 million placing last October. That placing has helped PREM to become debt-free. We interviewed Roach today 14.01.2021.
Roach told London South East that extra cash wasn’t the only benefit from the placing. The company now has “an expanded body of shareholders who are keen to see PREM change its focus to an extent. That’s now happened as PREM “has expanded its focus from just Zimbabwe into other high value metals, gold and so on.”
Roach was particularly positive about the Ligonho gold project in Mozambique. When he first visited the project, he was “very pleasantly surprised at the extent of the artisanal activity on the tenement. The tenement is relatively small but is clearly highly prospective.” There are also opportunities to expand from Ligonho in Mozambique. Roach said: “I’m quite excited about these relatively new areas…very prospective and looking very interesting.”
The core of PREM’s business is in Zimbabwe. PREM has faced problems here but Roach thinks “things have turned around a little in regard to the Zimbabwe exposure” and we may see positive newsflow from Zimbabwe projects this year. This could include an update on the RHA Tungsten project in February. PREM is also advancing the sizeable Zulu Lithium and Tantalum project here. On top of all this, PREM has invested in Namibia. It has a 19% stake in the Otijizondu project which is a cash-generative Manganese mine. Roach says it’s possible PREM may make a further investment in Otjizondu once the company has scrutinised the project further.
Overall, Roach argues PREM has “an interesting broad exposure. Its position today significantly mitigates a lot of the risk we previously had.”