PREM Possible value21 Oct 2019 11:15
Drawing on the good work of trusted LTHs, particularly tedoby, is a breakdown of the possible contribution that particular elements and aspects of the business might make to the PREM SP
1. Circum Liquidity Event brings upwards of c.$15million to PREM. That is £12.3million adjusted to sterling. In terms of a dividend, we are talking about anywhere between 0.05p to 0.10p per share, huge in relation to the company SP and market cap.
Circum contribution to the SP ------ 0.10p +
Dividend equates to between £5, 000 to £10, 000 for every 10million shares!
2. RHA Tungsten, there have been well documented challenges around this. But Zim Government are committed to bringing it to production, whatever it takes. We are not required to put any more capital in. Following agreement for Zim Government to inject equivalent to $6million, we are owed further $14million, to be taken from profits until the account is cleared.
RHA contribution to the SP ------ 0.10p - 0.35p
3. Otjzondu Managense Mine. We are in the position to merge with the MNH brining in the Otjzondu Managense Mine. This is a producing, profit-making mine. If that merger takes place, we will be significantly cash generative/ profit-making
Otjzondu Managense Mine contribution to the SP ------ 0.21p
4. Zulu Lithium + EPO We have discussed at length the significance of the EPO area. The area is 202 km2 – while present Zulu project is a ‘mere’ 3.5 km2. Present Zulu project on a par with Pilbara Minerals, Australia’s largest hard rock lithium mine. Zulu without EPO (comprising Main Zone and New Zone), has a target ore of 120million tonnes to 160million tonnes. Pilbara Minerals is 108 million tonnes of ore. Even at the lower, without EPO, we are potentially larger than Pilbara.
However, the EPO area is larger than the existing Zulu project area by x 57.
If Zulu on a par with Plibara, then EPO area could be said to be 57 x Pilbara. This takes into the area of comparisons with ‘Sonara Lithium’, the actual present largest hard rock lithium deposit in the world.
Zulu with EPO announcement contribution to the SP ------ 0.20p +
5. Zulu + EPO JV One PREM have Zulu EPO in the bag, we are in a position to close out a JV deal with a large partner. This will be key. There are clues as to who they could/ will be.
Depending on specifics, JV contribution to the SP ------ 0.20p – 0.50p
6. Katate: The Katate is a rare earth minerals project (meant to be enormous) that has sat waiting for a long time. I suspect the current strategy is to enable work on not only Zulu + EPO DFS but to somehow begin on Katate.
Katate contribution to the SP ------ ???
7. New Management: New Management being brought in, as we have seen with Neil Herbert. I suspect there are some other key figures waiting on the side-lines (Stephen Dattels too?!).
New Management contribution to the SP ------ ???
A lot to happening in the very near term, including news of Zulu EPO.
Be researched,
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