Chris Heminway, Exec-Chair at Time To ACT, explains why now is the right time for the Group to IPO. Watch the video here.
“0.21 and still falling” - I’d like to suggest this is due to rumours of an after hours RNS confirming no shipment followed by the webinar on Saturday to try and ease the blow to shareholders :-)
We shall see dilution immediately as stated in the resolutions below;
As announced on the 11 December 2023, Zulu open pit mining contractor, JR Goddard Contracting (Pvt) Ltd ("JRG") had agreed to accept payment of a limited number of future invoices until commercial shipments begin at Zulu in Q1 of 2024. The board believes that this share settlement is essential and should be maintained as such, 769,230,769 new ordinary shares of
the Company at the price of 0.26 pence ("JRG Settlement Shares") will be issued to US$2.5 million (equivalent to £2 million) in invoices once the conditional precedents have been met.
As announced on the 9 August 2023, the board entered into a Loan Facility Agreement with George Roach (“Facility”). While George Roach agreed to waive immediate settlement on the Facility to allow the Company to conclude the fund raise announced on the 15 February 2024, the Company is now in breach of the Facility, and it is imperative that 370,000,000 new
ordinary shares are available to the Company to ensure that an agreement can reached with George Roach for the defaultand also settlement of the Facility.
As reported in Premier Annual Financial Statements for the year ending 31 December 2022 under section 17 (Contingent Liability), China Zenith Capital Ltd were suing Premier for a 3% net debt success fee based on Premier’s consultancy agreement with China Zenith Capital Limited. In spite of Premier having two independent legal opinions supporting Premier believe that the prepayment and offtake funding by CanMax was a deferred revenue in accordance with International Financial Reporting Standards (IFRS), the
Arbitration hearing held under the rules of the London Court of International LCIA Arbitration was lost following a ruling whereby the arbitrator sought fit to discount the definition of debt under IFRS and focus on a common sense interpretation of the Engagement Letter that prepayment and offtake funding was contemplated under the debt success fee. Premier refutes the judgment in the strongest possible terms; however, the arbitration ruling is final and binding whereby Premier will settle Zenith Capital Limited award in new ordinary shares at prevailing share prices.
The remaining shares are intended to be used to bring Zulu into profitable production and general working capital of Premier.
I think it is now fair to say that due to ongoing issues, optimisation and lack of experience that the shipment in March will be missed, it’s deeply concerning that we are having to hand sort ROM material to achieve SC6 grades, big question mark is once the plant is ramped up to speed, can they hand sort material quick enough and as a result when they can’t they will be feeding in ROM ore as quickly as possible without checking it thoroughly this then impacts the grades resulting in less than SC6 been achieved and canmax receiving a discount on an akready low spodumene price. now then let’s discuss the sorters which work elsewhere in the world but not at Zulu? Very interesting they are taking out some of the waste but not all and the optimisation of the dieters has been ongoing for a considerable amount of time, to the stage now where a decision is been made on whether or not to continue using the UV sorters or consider other options, again this will effect grades temporarily until a replacement is sourced, supplied and tested.
The upcoming AGM to request for 4.5 billion shares will be used instantaneously regardless of shipment as we will be operating at a loss, it is stated in the RNS these shares are to support the ongoing work at Zulu and that is exactly what they will do
In my humble opinion I sincerely believe Mr Roach will be announcing all of the following in the coming weeks, the shipment target has not been met this month therefore premier are deeply frustrated at the stage, the issues we have identified are still ongoing as is optimisation, premier issues a raise to cover working capital through to shipment targeted for the end of April, the spodumene produced and bagged is saleable but contains contaminants effecting grades and further work is required to consistently achieve grades of SC6 therefore a discount will be applied for the offtake partner
Many will suspect that in this interview George will portray everything is going as planned to try and convince share holders to buy and to vote in favour of the resolution, we can assume he will be telling the usual porkies and then release a bad RNS
4.5bn shares requested and we require big dilution to raise funds down at these levels… I did warn you guys this morning
Plant issues do not seem to be as minor as George has portrayed, 20 days into March and the wait continues. We sacked the plant supplier (STARK) as they are responsible for poor design and poor fault finding of the plants issues, however the “Zulu team” are expected to resolve all Issues in a matter of weeks and ship SC6 by the end of March? Come on George pull the other one… No chance!! Sacking stark now means George is responsible for resolving all the issues with the plant, yes with support from the OEM’s which will be very costly, stark will no longer contribute cash towards any fix’s leaving prem responsible for all costs…. One slight problem, prem have no cash and they’ve also got no shares to carry out a placing which means the inevitable has to happen - EGM called followed by dilution. The recent video from prem of the plant ”producing” is a tactic used to increase the share price before delivering such a low blow!!! BE WARNED
The latest video from prem shows the plant running but does anyone find it strange we didn’t see the finished product in bags? one may be sceptical that this is an old video from earlier this month when stark were running the plant and had “MINOR” issues which was not the case and the resolution of these fixes has too considerably longer to mitigate.
The vast majority of PI’s are able to see through a typical pump from a CEO on an aim stock and what will follow is bad news regarding the plant or more funding required as many have mentioned previously
We knew they could demonstrate SC6 but prem will be not be shipping anything anytime soon which again takes shareholders back to cash constraint worries
Goingtomoonufo - I agree with yourself this will be delayed before we produce anything worthy of shipping but by then prem will of held an EGM and done multiple placings so again hitting us hard earning shareholders in their pockets! It is always “premier are now fully funded until production” yet PREM has NEVER produced and has NEVER been fully funded, so expect more own plant issues to be rectified and as always another placing to follow :-)
Minor issues fixed in hours and days - we are nearly half way through March so this indicates we are looking at more issues and further delays plus no shipment for canmax this month
If the oem had rectified the issues we would know by now… EGM by end of week :-)
Now then now then yesterday there was an iceberg seller present and guess what? Today we have our iceberg seller back AGAIN…. I can only come to the conclusion that as per the rumour of an RNS after hours regarding further issues to come is most likely true :—)
Hey y’all I sold the majority of my shares this week as little rumour on the block is that issues are still causing thy old king George problems and a not so good RNS can be expected after hours… DYOR :—-)
After been invested for some what 4-5 years I take small comfort that George is on the cusp of success or short term failure, the interview seemed bullish as the pilot plant is producing but to still be highlighting issues with the plant does cause serious concern amongst investors, floatation issues causing both quality and quantity set backs, the new pump required may trigger delays and the best bit… our plant manufacturer stark knew about the concerns regarding the pump back in November, why wasn’t it resolved at that given time? The grades from the floatation will be lower than SC6 given the chemical imbalance is not set to correct specification, also unsure regarding contaminants within our spodumene concentrate so until stark resolve their floatation issues we are in no mans land, they could possibly create; or come across even more issues.
So on that note it’s 2 steps forward and 1 step back, we are moving towards the finish line slower than anticipated…. Further delays and cash required, with no shares left to raise in George’s piggy bank we could possibly be looking at an EGM in the coming weeks