Member Info for Bickmaster84

CrystalBall,

If PREM had £10m to pay in dividends it would amount to £515 for every 1m shares held. Nothing to be sniffed at.

Bickmaster

Snowking,

If they are struggling to use it then it should be paid as a special dividend. GR is entirely inefficient when he has limited funds, I can't imagine how wasteful he would be with more.

Bickmaster

Steward, if that were the case I’d prefer a dividend over spending money on MNH or RHA any day.

The concept of a special dividend is fool' gold unless there is a very significant JV. Otherwise PREM should only be raising what it need to complete the Zulu DFS and perhaps look at some other EPO land outside of the Zulu area with a view to bringing forward a separate DFS on it. PREM shouldn't be raising for any other purposes.

Lets hope we see a finish above 0.215p and not a drop back in the next hour and a half. Need a sustained rise. A well written RNS with a few assay results would help greatly to push SP to 0.25p or thereabouts.

Perhaps we could find someone who would buy PREM's interests in RHA and MNH as part of the deal. That would be the ultimate result.

We've seen more than enough flops already!!

Hopefully GR is holding the nuts and isn't bluffing. He will have to show his hand at some stage.

Wolf,

That’s exactly why I would prefer a sale of all of Zulu rather than a JV. We are tired of GR and I imagine any potential JV partners would not want to have to deal with him.

Steward

I firmly believe any deal should be unconditional as it will impact competition and achieving best value. For example, there should not be any rights of pre-emption to the JV partner, if that is the route PREM go down. It is the main reason I think PREM should self fund the DFS - they can afford to do this and it will mean a more level playing field if sell off all or a large part of Zulu at a later stage.

Bickmaster

Steward, I agree that it is possible to get a deal done without assay results. However I don't think it will be possible to provide best value for shareholders without assay results. A JV partner or buyer will always apply a significant discount if they don't have decent results to go by, especially with PREM's past failures and what happen at Uramin in the past. Ideally we would have a DFS and run an auction and that would provide best value for sure.

It reminds me of the game carrot in the box on 8 out of 10 cats does Countdown. The buyers think there is a carrot in the box but wont know for sure until they look inside. At the moment PREM is in a position where GR is telling partners/buyers there is a carrot in the box but they cant look inside so they cant be sure. Which in turn will impact how much they are willing to stake.

Bickmaster

Those who made predictions about having a huge January are going to look rather silly if we don't get big news between now and 4.30pm on Monday...

Bickmaster

Been hearing that message for about 8 years!!

48m volume today.

The big players are obviously taking their positions in expectation of good news.

Chuck

Incorrect, it doesn't represent 526,000 tonnes x £43,000 of resource. It would have to be mined and processed first.

Bickmaster

Wolf,

Should be possible to run PREM on $1m a year. GR's salary is a big chunk of this but apart from that there arent too many other big costs. Biggest variable will be GR's expense account.

Bickmaster

Cherryburn

Yes, $10m was the figure I had in mind, though PREM will have spent approx $1.5m to date so the headroom should be able to fund the remainder.

Not sure he is being coy about releasing results. I am simply assuming he doesn't have anything to release. Other possibility is the results are not as good as expected.

Bickmaster

Acker

Yes, my view is the DFS can be funded from the existing headroom. Last years AGM saw the authorised share cap raised from 18b to 23b. There are currently 19.4b shares in issue, so PREM has the ability to issue a further 3.6b, which at 0.16p per share would raise £5.75m (~$7.75m).

I would hope that PREM should be able to complete the DFS in the next 12 -18 months for $7.5m. Our issue is GR will start throwing money at MNH, RHA and potentially other assets if it is available. Keep the purse strings tight and the focus where it needs to be - Zulu.

God forbid, if PREM were to actually release a few assay results to the market it would also give potential for SP to increase so more could be raised for the same amount of shares. If we were to work on placing at 0.20p per share PREM could raise £7.2m (~$9.7m).

This means you can have a more competitive auction/competition when it comes to selling Zulu or a very large chunk of Zulu in the future.

Bickmaster

Snowking

$10m for 20% isn't worth looking at. Values Zulu at $50m for now. Which is approx £37m so lower than current mcap.

At those rates PREM would be better off continuing to raise via placings for now and continue to hold 100% which ensures they can maintain better competitive pressure come a sell off later in the year.

Bickmaster

Acker

I have no doubt a deal can be done without having assay results available. The key point is whether a good deal can be done without having at least some assay results available. In my mind I would be much more confident of getting a better deal done if I had assay results than if I didn't.

People might think it doesn't matter too much as GR will only be giving away a small percentage of PREM in any case. To me it matters significantly because it could mean the difference between getting £10m for 10% or getting £10m for 5%. The effect of this on the notional market cap of PREM for each scenario is significant. £100m mcap (0.45p share price) v £200m mcap (0.90p share price).

So I cannot agree that not having assay results available wont have any impact on negotiations. In fact I completely disagree with that concept as it is clearly flawed.

Bickmaster

Snowking

Thank you for your very insightful post of 19.36 yesterday.

I take great reassurance that the delays in providing any assay results are 'mostly irrelevant' as 'George concludes a deal'. It does make me wonder why PREM are bothering with doing the DFS or any testing at all for that matter if results won't affect a JV deal or any deal as 'Prem can call all the shots'.

I can just imagine the conversation.

GR : " the price is $500m".
Investors: "But you don't have a DFS and haven't provided any results so how do we have any idea what we are buying?"
GR: "Why would I need to provide a DFS or any results!! You need to remember I hold all the shots here!! The price has just gone up to $600m!!"
Investors: ...scratch their heads whilst looking bemused....

Perhaps PREM would actually be better off sending the drilling rigs home and cancelling the DFS if it is irrelevant and won't impact any deal which GR is close to concluding?

For your own sake it may be best if you post less on here, or at least have a think about what you post because you are making yourself look rather silly.

Bickmaster