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Past 12-14 months of performance.
-EPO secured, which was transformational for the share price.
-DFS commenced and close to completion. Behind the initial schedule but we've also contended with Delta, Omicron and the Ukraine war.
-Cooling off RHA and MNH and not committing anymore money until other parties step up to their commitments. Choosing to focus 100% on Zulu.
-Good progress on Circum with a chance of cashing in on the shares this year for a much higher value than first thought. I see figures of $6-12mil mentioned.
-Minimal dilution all things considered compared to a lot of other aim listed companies, in a very tough climate. Raised just enough to keep the company operating until we secured the full funding, which enabled full retention of Zulu.
-The big one, securing significant funding for Zulu, the DFS and PREM, whilst retaining 100% of Zulu. I recall many were eager for him to give up a slice of Zulu for a few mil. When his decision to retain the full asset and hold out for a better deal paid off.
-Backing from a major with links to Tesla that may now fully fund the mine
-A path to mine build this year and production next year
Not perfect from him, particularly assays, but we know the lab issues were tied to covid and we also know some big updates are coming which may rectify these complaints soon. But, all things considered, a lot better than other aim listed CEOs since early last year in my books. Some real stinkers out there.
Interesting. Implies the drilling for the main zone / open pit has been completed, with focus now on the extension zones and EPO. Ground work for a pilot plant may be further in than we all think. Just need the next RNS to confirm this now.
The weeks before the DFS funding before the share price went nuts and ran up to 0.54p, we broke above 0.2p a few times and then retraced to 0.18-0.19. Now just under 0.3p, this feels very similar. We've teased breaking above 0.3p a few times, retraced back to 0.28-0.29 and and on the right news (lets say pilot plant) should get a break out to a new recent share price high in the region of 0.6-0.8p. Then we should see 1p+ once the RUS hits, DFS is complete and a prospective pilot plant is fast tracked to production.
PREM is fully funded, Suzhou is pushing this along faster than ever and Zulu is clearly priority. A bit of patience and we'll get there soon enough.
Suzhou don't see a penny from their invest until either:
1. The share price is higher than 0.4p
2. Until the product we have comes out of the ground and is sold
With those things considered, they'll progress this at the fastest rate possible and finance a pilot plant if that's the quickest route for us to capitalise on what is shaping up to be one of the worlds leading resources of its kind.
I think the next report on Zulu is going to be a substantial one. It may land by the end of this week and if not then next week is a good shout.
"Rio Tinto reckons lithium demand will grow by 25 to 35 per cent a year over the next decade with a significant supply-demand deficit expected to open up over the second half of this decade."
"All of the above questions assume a sale of some kind, however GR was originally set out on mining not selling."
Not the case really. The latest interview he again went on the record and said he'd sell at the right price. He's also said many times before that any offer would have to be presented to the market. Let's say one of the many giants come next week and throw a lowball offer of like $300mil, he'd have to present this to the market, which would in turn cause the share price to quickly re-rate to around the 1p level.
If a pilot plant is going to be built as we all expect now, then there'll certainly be offers coming in. Having a pilot plant is a part of why Arcadia was sold in Zimbabwe for $422mil. Suzhou's investment was a game changer for PREM and a funded pilot plant that is being expedited so that we can sell spodumene at record high prices will be a bigger catalyst for a re-rate. Along with the RUS, DFS and EPO.
Very exciting few months ahead all.
DFS Q3, over 13,000m drilled, RUS for indicated resource hinted that it may arrive in as little as 2 weeks from now.
Will take a buyout at the right price (my guess is 2p, a bit over Arcadia value) and someone is seemingly offering money on favorable terms for a pilot plant build if its being talked about as a real possibility, as it is. The Chinese are pushing this along and making sure it's done properly and so I expect we're due for some considerable Zulu developments in May and June. As well as the first EPO mineral discoveries in the extensions in the near future.
Good times ahead loading up with as much as I can sub .3p as I honestly wouldn't be surprised if a buyout offer comes in at 1p. George would reject it, but the share price would then begin to re-rate more rapidly to faire market value, as he'd be obliged to RNS it.
Look at how many more deals landed after the Interim results were published last year.
Now with an AAA publisher on board and in-game advertising increasing so much, I'd expect significant new deals in from this point onwards. I think May will be a great month.
BIDS will no doubt be RNS'ing more AAA publishers this year, as well as other deals.
BIDS is in the right place, has the cash and growing revenues. 10p+ this year is doable.
Stockbox interview specifically mentions coverage and q&a for the Zulu Lithium Project. If there is an RNS as expected next week, it'll be about long awaited developments at Zulu, such as RUS, DFS, mine plans, further deals etc.... Perhaps the EPO.
£12mil is enough to fund operations and DFS. From last week:
"CEO George Roach tells Mining Weekly that, owing to this subscription, the company is now fully funded and, at this time, sees no need to return to the capital market for any further funding."
A shame you sold your shares at a loss as you say. Fair play to you.
Would expect a host of majors are still looking to acquire PREM.
No more placings here just a funded company that will share mineral/lithium finds in the EPO, mine build plans, RUS up to 80mt, completed DFS and buyout offers to take the share price up to 1p and over this year.
All whilst the worlds richest man and owner of Tesla tells the markets to fund the lithium miners....
Would wager in recent years, let's say the last 3-4 years, those that have held through and sold in the past year would have seen a handsome return. Anywhere from 50-1000% return depending on where you held from and where you sold. I'm sure there are quite a few that expect a 1000%+ return from here upon completion of a mine build which has been openly stated this year as the end goal for Zulu. 500mil mcap would be a conservative valuation for a lithium mine with a resource that's somewhere in the region of 60-80mt.
PREM a different beast now with funding concerns removed and backed by a multi-billion dollar major that has done their due diligence on the board, company and assets before investing at a premium.
Resources and Exploration
The Zulu Project has substantial resources. Following a successful 2,500 metres diamond drilling programme between September 2016 and February 2017, Premier published a Maiden SAMREC compliant Inferred Mineral Resource Estimate of 20.1 million tonnes grading 1.06% Li2O and 51 ppm Ta2O5 using a cut-off grade of 0.5% Li2O on the Main Zone.
20.1mil tonnes was inferred in the maiden resource declaration from just just 2500metres of drilling.
We should be over 7000metres drilled into the DFS now and the rate is likely to be higher with the end of the rainy season and the extra drills in place.
"Unseasonal and hugely excessive rains have led to difficult conditions at the Zulu exploration site and to supplement drilling activities, we have engaged Aqua Terra who have mobilised another three drill rigs from their operations in Mozambique and who are expected to complete their camp establishment and commence drilling during the week commencing the 14 February 2022. Extra rigs operating will both expedite development of the extension zones and facilitate exploration in other parts of the Exclusive Prospecting Area ("EPO") where mineralisation has been detected through non-intrusive exploration methods."
Bring on the RUS George.
We have all the fundamentals in place to be a 25k producer, then a 50k producer and beyond within a relatively short space of time.
Already incredibly undervalued based on current fundamentals of a 3 project gold producer / explorer, a fully operating and funded mine capable to turning over approx $1.9mil in revenue per month at 1000oz, 1.6Mil oz resource across our portfolio which should double over time to over 3Mil oz+., 2 wholly owned drill rigs etc...I do genuinely believe from here that 5-10 bags will be achieved in a relatively short space of time, lets say under 3 years. We're simply further ahead of pretty much all listed junior gold explorers.