Prem18 Aug 2025 12:26
Gentlemen.
The counterargument.
The shareholders have no idea when production will commence, the rate of production, or the grade.
The company faces acute liquidity problems; it currently generates no revenue and has accruing trade debts and loan debts.
It is unlikely that Glencore will enter into any agreement shortly, as the terms and conditions have not been met.
Funding via a frightening dilution is on the cards.
The rise in spodumene is in the hands of the Chinese; should the 7 mines not close, and the one closed mine come back into production, price adjustments may occur. This could happen as soon as the end of September/November.
The CEO inferred that Zulu required electrification before the plant could be profitable.
Without knowing any details of any agreement between Glencore and Canmax, it is impossible to predict a rosy future for current shareholders.
The CEO also commented on the possible breakup of Premier.
Prem has to secure finanace of £20/£25 million before the year end,excluding Canmax.
Not such a rosy picture is it.
Acker