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MajWanandCo
There are no winners in rigidly enforcing the contract, without compromise on both sides this will end well for neither company, only their legal teams will profit handsomely. That’s what lawyers do in contractual disputes find a grey solution it’s never going to be Black or White
Canmax should agree to fund OPEX to production with the repayment made on same terms as existing offtake agreement and be offered remaining 50% of Zulu production at the prevailing market value (not including extended EPO) At least that way they are guaranteed supply in the foreseeable future. If they play fair they would then have a chance to get EPO production on good terms when it comes on line in 2/3 years time. Simplistic and idealistic I appreciate, but a win win solution which should be the preferred outcome.
Steward- Canmax must know all they need to know on that basis by now, can’t see the value in them being petty and vindictive at this point or nobody else will want to trade with them in the future.
Ah thanks Roman , I’d thought it was a binary thing, all or nothing, maybe wishful thinking on my part
Minute 31 of interview for those interested
Late in the interview GR said that if the Canmax share ownership %age fell below that agreed when they bought in at .4p (13.3%?) they would non longer be eligible for the guaranteed 50% off take and GR indicated presently that was the case. If so, that really puts the pressure on them to keep their share holding upto percentage or they could lose their eligibility to everything🤔. Did anybody else hear that or did I dream it up?
Good question, where is the money coming from in the short term to keep lights on? Stark are running the plant, are they paying for the diesel? GR can’t do a placing so a rights issue? How many shareholders would stump up for that and what would the offer price, not going to raise much🤷🏻♂️Just need medium term finances dealt with and all this legal problem is going to cost huge amounts, who’s paying for that? We don’t seem to have discussed this issue, would a bank offer a 2m unsecured loan with this going on in background, I would expect not so it’s a new investor or nothing but on what terms. Agree Acker a good DFS and RUS would give us some lithium bargaining chips. Still think this will work out well but not as confident as I have been and now heavily in the Red as I’ve averaged up over the last few weeks.
Tomorrow is day zero for the agreement of the addendum to be signed, so yes, no, or extension will need to have been mutually agreed between Prem and Canmax.
Surely we will be notified by RNS BEFORE the EGM. If the news is not the expected good news, the SP will drop considerably.
Is GR then going to do a placing of the 4 billion shares to his inside circle at a 20% discount to the depressed SP therefore not raising anywhere near the £34m need to repay the prepayment never mind keep the lights on, and further depressing the SP.
What’s plan B?
Unless he’s in advanced negotiations with a well healed 3rd party we have problems. Very much out of our hands, 08.00 Monday could be carnage. All very well individuals saying good time to top up if you’ve got free cash but that doesn’t help the LTHs with their hard earned tied up in this. This is not a deramp just a concerned holder steeling myself for a potential tough day/week/ month. Also as Acker has said unless we publish the year end accounts by 30 th June trading will be suspended
Here’s to a good clear fortune changing RNS tomorrow or Monday 7.00am. As I’ve said before, place your bets folks very Red or very Blue 🤷🏻♂️
That’s the best reply pecul1ar, send them to the green box that is Room 101. I’m sure we all welcome a well balance and we’ll considered negative viewpoint, but not just the repetative pointless drivel. I used to refuse to green box anybody but they wear you down, so I now have quite a collection of quarantined ‘contributors’
Afternoon Waffen, I expect an agreement to a heads of terms, which should have a +ve effect on SP. My apologies if I didn’t make it clear. I do share your fears, however, that no agreement would be badly received by the market in the short term, hence my roulette wheel reference. All the best👍🏻
I wonder who stipulated the date for the agreement? It was always very short for such a major renegotiation unless this will be more of a Heads of Terms agreement with final contract amendments being finalised after due process. If that were the case I would expect an agreement to HoT to be announced by the 25th with a very +ve effect on SP.
One that basis I’m holding.
Place yer bets folks and GLALH🤞🏻
…. Just for a bit of balance 😉
To be fair Snowking, we don’t all get the benefit of that inside track 🤔
I agree shiny, if we all stop responding to these provocateurs and filter them they will be left arguing with themselves.
I’m expecting signing of deal to be delayed, it’s a big ask to get negotiations completed and legals complete in such a short timescale especially if GR has only just started to play hard ball with EGM announcement of the proposed headroom. SP will then dip just like other shares we are mostly familiar with, still more patience neededI feel.
Hope all goes well Dickie3times 👍🏻
Just hope GR doesn’t use headroom for another smash and grab with shares granted to himself and all his mates free gratis. Surely should be having a strong dialogue with other lithium players as a contingency, that should keep Canmax keen.
Laverda- the rainy season may affect the roads and logistics to a degree, but it’s not going to have any effect on the rock itself, it’s not particularly porous, so the plant can continue to operate. We’re also producing tons of waste ballast which can be used to reinforce the surfaces around the plant and pit.
Why are we left trying to read between the lines? Why isn't it clear and unequivocal for goodness sake? Surely as an RNS that's how it should be rather than leaving individual investors to try to work it out !!!!!!
RevoltingPeasant-
George specifically said in the webinar that was an avenue he wasn’t going to follow, saying the relationship with Stark is still good