The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
Acker - I don’t think he does this time around. Even George must understand now, that prem are not equipped to build and operate a mine. Prem is an exploration company. If they issues uncovered are major, this could be a complete redesign with new sorters and a brand new circuit. That could take 12 months to set up given the lead times to order equipment. It took 8 months to get the new mill.
Wolf - the pumps get smaller and smaller as there are less and less willing to buy. but it went from down 1.5% to up 6% based on some coordinated buying and the moment it hit 6% and the selling into the buying started. Easy 5% for a few who coordinated the pump.
With an EGM and the increase in headroom, George could pull the ol' bait and switch. tell shareholders the headroom increase is to secure finance, get the headroom, then say finance fell through and he has no choice but to do a placing. it would be a very prem type of move. I see the whatsapp group is posting that George is on site. Didn't he say during a previous interview that he would be using a shovel himself if they weren't producing in February. it's March, so maybe George needs to pick up a shovel!
The egm announcement must be close. Prem is running on fumes spending 50k / day on mining plus around 20k/day on diesel for the plant. This is based on George’s own comments. So minimum 70k a day in expenses. The last raise was back pay for Goddard so all that money is gone.