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Dickie, that is why they are using a pilot plant to find lithium on the small claims licence.

Old mine workings meant they COULD NOT prove lithium on the ground by the normal method of drilling, jorc, DFS, but of course you knew that by listening to George's stock box interviews as you are not stupid.

PS, that said who knows until everything is signed up, or not as the case may be?

Raaydaar, I don't think Canmax will walk away, they stand to lose so much money it is likely they have a small additional figure in mind relative to their outlay, possibly 5 to 10% max, after this they could pull the plug.

I thought George mentioning opening up another cut in the mining area was odd, possibly to do with the type of material they think may process better through the plant? Or are they not finding what they expected to find on the current ground?

That jumped out at me in the interview.

Aimis, that could be happening, any lithium and it strengthens George and prems position.

Any SC6 and Canmax surely would not want to let go and may not be aggressive on contract detail.

Plus somebody else may see an opportunity.

Easy with hindsight, but unless sufficient water is an issue on that site a DMS or flotation plant would have been a lot less risk and likely lithium would already have been sold.

Tiny flotation plants are available which fit on very large pallets, two or three of those could chug along processing material from the plant until it ran properly, small units like that could at least provide a few hundred tonnes per month until the plant functions properly. Keep some income coming in.

It will be an interesting couple of weeks here.

Steward not sure what you are seeing that gives you that optimism.

George will be working hard, he is experienced and I am sure will try and hopefully succeed to continue and hopefully everything will work out.

He may have an idea in combination with the potential share capital which may give him an alternative to Canmax, until it happens who knows.

However, there is optimistic, pessimistic and there is reality.

In reality on the negative side of the scales is ran out of cash and no lithium therefore no income. Plus the plant does not appear to be operating properly - it is unproven.

On the positive side everything is on site and the ground is opened, there could also be lithium in the bags, preferably SC6, but we don't know yet.

Steward on what basis can George walk away from Canmax. Bearing in mind the debt to Canmax without interest is much greater than the placing?

KK17, another financial backer may be the better outcome as the new contract cannot be as favourable as the previous one for Prem.

A deal would be much easier with lithium to sell.

I agree until the RNS comes out there is no way of knowing what is in the bags.

Lithium in the bags brings more negotiating leverage, weaker without it.

Agree Mike looking forward to it.

George earns his money at times like these.

We said = well said.

Oldbutnotout, I agree 100%. Stick to what is the truth, what the RNS actually say and not to fabricate half truths.

People lose money that way and faith in investing is gone.

We said.

Steward, not picking holes.

If there is lithium in the bags that would be the very first tick.

A flow of product, even 100 tonnes per week would be a bigger tick.

Get past the repayment period then hope and dreams can start.

A jorc on the exploration site and it is take off.

But one step at a time, early days.

Steward1, I hope he does as contrary to some crazy posters, I would like him to succeed too, plus of course Prem investors.

Without sounding over dramatic it is such a ballsy way to proceed it will be a tense ride all of the way.

RNS on bag contents would be great.

RNS contract signed, after the solicitors have drawn it up would be great.

The rest will be an interesting ride without those issues and I am looking forward to it.

ATM has a similar, but not identical approach they are all worth looking at closely as they are trying new methods.

PS Steward, the placing is insufficient to pay off Canmax.

I don't know what his plan is unless Stark has a financial plan for the plant? Buy it back and lease it? I have no idea.

But the placing would not do it.

Steward1, I have most definitely kept up to date and no contract has been signed and no lithium has been reported to have been mined.

An RNS reporting saleable lithium in the bags will resolve this issue, which everyone expects, me too.

A signed contract once announced resolves the current and short term financial problems of Prem. I am expecting this to be signed too.

So that would resolve those two immediate issues.

You obviously have zero experience of new plant, especially new technology ( new to lithium), that is not so cut and dried, Stark want to enter this lithium space and will be putting all of their effort and expertise into making it work, but don't underestimate how difficult it is to do what they are doing, no pretesting and no samples to work on before going on site. As far as I am aware this is their first lithium plant with this technology. This is used as their lithium promotion.

Pilbera is going down a more well trodden path, having sent hundreds of samples off to a different plant company so they can use the same technology as Stark, but so the scanners and sorters are more likely to be the correct type in the correct order so that it will be close to operating correctly from the get go. They have been testing this at the plant manufacturers headquarters before going on site. Pilbera don't want to be fiddling about with plant on site with no revenue.

Old but not out. You are very on trend. Everyone on TV appears to know why everyone else did something but not certain of what they themselves are doing.

Thank you for explaining to me why I am interested in doing this, I was totally under the illusion that my plant, mining and business interest was the reason why I was curious how Stark's new to lithium mining technology would fare and how working through old artisan workings with a pilot plant would go.

It just shows you how wrong I must have been. I wonder why I keep going to plant demonstrations and tour invites.

Mike - in a nutshell.

No ramping no deramping just simple fact.

To answer your question if there is lithium in the bags and the deal is signed is it a great day?

It would certainly be a big relief.

But remember what is ahead of that, the small claims area cannot be tested accurately to assure that they are digging up lithium, it is compromised with old artisan workings, which is why there was already a previous mining licence on the small site, so the pilot plant tests to see if there is lithium, the whole point of a pilot plant. The plant needs to work through this site repay Canmax, provide Prem with working capital and cash to drill the wider exploration licence site and hopefully build a jorc on that ground.

It will be a relief, but that is the start of prems journey.

Lithium in the bag also means the new technology plant may work.

Joey, I do expect lithium on the little small claims licence area, I have never said different, again you are making up stuff seems common on here.

However factually Zulu has not produced a single saleable tonne of lithium. Unfortunately nobody gets paid on tonnage dreams only on weighed amounts.

It is a tough situation Prem are in and it will be fascinating to watch how it all plays out.

Lithium in those dumpy bags would help, even a few hundred thousand dollars would help pay some of the bills.

Joey, much simpler than that, no lithium in the bags it still has not produced anything, this puts pressure on the contract signing and assuming it is signed which we both assume it will be, places pressure afterwards as the cash burn starts again with no revenue to slow it down.

Prem CEO has put in place the potential share issue in case they don't proceed as agreed.

Joey, instead of guessing and ramping, just hope that the rescue package is signed on the date.

Nobody who goes into a venture expects failure. Canmax is no different it is not a charity.

Good results from those 200 bags would release a little of the pressure.

George is putting the ability for a large share issue though the board in case they don't sign. But it would not be enough to clear the debt and interest.

The contents of those bags is important.

Prem is not in a great position as some are posting.

Prem are seeking a rescue package, look at the latest RNS (3) not AGM, and listen to Prem CEO on stockbox.

It would be a huge leap of faith for Canmax to pay for each dumpy bag leaving the mine when absolutely nothing has been produced to date and still shareholders have not been told what is in the 200 dumpy bags. Is it rock, high grade or low grade spodumene?

They could have hand picked 200 dumpy bags by now.

Ramping rubbish on this board, listen to Prem and the CEO.