Member Info for mugwump083

I don't understand why everyone gets aggravated when extra shares are issued to raise funding cash for a business as it is cheaper & more efficient than borowing cash from banks or via loan notes.

The very simple example below seems to illustrate this.

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If a company's 100 shareholders each own one share worth £1 that makes the company worth £100.

If the company borrows £100 extra cash it now has a capital value of £200 or £2 per share plus a liability to also pay the extra cost of borrowing which is the interest on the loan until it is repaid in full.

Let's call that £100 of interest to be paid. The £100 loan interest of £100 can be repaid instantly by using the money shareholders put into the company to each own £1 shares.

Until the company has repaid the loan of £100 in full plus the interest of £100 which is a total of £200 all the money the shareholders put into the company has been used and there is now no money and no debt but the shares are worth nothing at this point in time.

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BUT if the company instead issues more shares to 200 new shareholders costing £0.50p each the company will now have a total £100 of extra capital paid for by 300 shareholders , but no borowings to re-pay and no interest to pay; instead there is now the same amount of capital to fund the business as there would be if the business instead borrowed the £100 cash from a bank.

This values the original 100 shares at less which annoys the 100 original shareholders who have lost some of the original value of their £1 shares.

The many complicated things of actual real life new share issues make it difficult for people to see how it really works. A lot of mental gymnnastics are required to understand it.

And in a simple example fund raising by issuing new shares simply enables a business to survive in order to then earn a good return of profit to the shareholders. Without the fund raising new shares there would be no business at all and no profit either. So it doesn't matter how much the value of the existing shareholders are diluted providing the business goes on to make sufficient profit to make good the loss eventually. Fifty percent of something is worth a lot more than 100% per cent of nothing !

ACKER

Of course people have a responsibility to evaluate posts as to whether they are 'credible' or not.

The problem is I am astonished at the imbecile nature of so many posts by mentally inadequate dimwits with an apparent mental age under about 11 years old.

Nobody wants to waste time reading the garbage they produce or bother to 'evaluate' it.

ACKER SAID:

"It is not a BB for the mining elite,not everone is knowlegeable about the mining process.

Each poster may evaluate a situation in a different way and in my book has the right to put view on BB. Some views may annoy posters however they still retain the right to post".

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But normal, civilised people think differently and along the lines of Nobody has the right to deliberately lie and talk utter nonsense in an effort to manipulate & mislead other people and waste vast amounts of their time. Such behaviour is nasty & abusive and people behaving like that are ignorant fools.

Nope. I'm going to get you cancelled ! ....LOL

Naah ! Using the word 'Woke' to sort of whitewash & validate the low life pig ignorance of so called 'woke' behaviour in an effort to give it 'credibility' is just a deceit. It is just dim witted lack of decency, education & a demonstration of breathtaking ignorance.

so in the breathtaking ignorance demonstrated by people wishing to 'cancel' other people for them daring to have their own opinions or in this case to use descriptive adjectives like backward , ******ed - thats b...ac..k.ward & r.e..t a.r.de..d.ed i suppose every adjective in the english language has to be banned. like stupid, murderous, nasty, thugs, whatever.

how utterly pathetic & stupid people like that are.

there, tha's my opinion and now doubt for that reason it will be removed; perhaps because nitwits, jerk and other types of inadequate people complain about it.

It costs several hundreds of pounds & is a pain in the a..r.s..e.

And if I was the PREM CEO i would wait until the plant has produced the November delivery amount of minimum tonnage of 1000 tons before releasing what is a 'Triumphant' RNS which will also be able to say the plant continues to produce according to plan & PREM will soon be awash with cash so that mining capacity can be vastly increased with more mining plants. Oh.....and Lis3 developed asap !

At the moment I'm willing to bet the produced tonnage is quietly piling up already & there is probably about three hundred tons or so already as the start will not be a full speed - just to be careful about everything being OK. before going at full throttle !

Both the PREM CEO & the Stark CEO clearly stated in their respective separate interviews that the plant was 'now running and meeting specifications'. There were clear staements from both of those people that they had every expectations the plant will be delivering adequate tonnage of spodumene of the desired and planned specification - SP6 !!!

What more do you want ? Blood ?

I can't help noticing that when I used capital letters correctly the very ignorant software used on this forum changed things to lower case which makes it annoyingly incorrect. And also when I used certain ordinary words the very, very ignorant software writers who produced this rubbish software have banned these ordinary words used in a totally normal context they were designed for in the first place. Nothing abusive mind. In this case me describing Russia as R.e..t...ar..d..e.d.

aimisaluagh

"sp still drifting downwards even after both parties saying it’s ok. the market is not confident 8days to go and no proof of sc6 and no leaks to suggest it’s being produced'

except the ceo running the business says in an interview last weekend that everything is working fine and there are no problems and the mine is meeting expectations and specifications and is already will be delivering. and the sub-contractor ceo who built the mine - stark - said exactly the same in another interview a short while before the prem ceo interview over last weekend.

so it is almost certainly the case that the imminent threat of world war is spooking the financial markets and the prem share price would normally be rising fast right now if it wasn't for this threat to world wide stability by primitive barbarians in the middle east and in backward, ******ed russia run by a gang of criminal thieves & murderous thugs.

Jaglith

All the posts about things slowing down when it is the wet season in Africa are drivel. I've lived in Southern Africa and people there can't wait for the dry season to end & the rains to come as it actually makes life easier in many ways.

Drivel, drivel drivel.

Raydaar - the Royal Navy takes great care to weed out idiots before they ever get into the navy in the first place. I find it inconceivable you were ever in the navy at all. I was in the navy so know you wouldn't have been tolerated.

I would imagine anyone living in Zimbabwe or with any business interests in Zim would be a bit nervous about what is going to happen when the current election is complete and announced. The risk of severe civil unrest is high.

Could this be why the share price has tanked in the past few days & today in particular ?

What do other shareholders here think ?

From the Idiot Braindead De-Ramper who says:

Paragraph 4 of the RNS:

"The total proceeds received under the terms of the Facility HAVE been used for general working capital purposes and to meet the ongoing operational costs at the Zulu Lithium and Tantalum Project."

That sounds precisely what any average person would write in an RNS if the business they were running had a month or so worth of cash in the bank to pay operating costs & they were making sure there would be more than enough cash available for the months beyond that, rather than badly manage the business by surviving on a hand to mouth, edge of the precipice way by not having enough cash in bank to pay for basic operating costs for a few months ahead.

Having acquired a largish lump of cash & needing to explain via RNS rules what the cash is for I would naturally say "I have used that cash for operating costs" meaning it has been chucked into the current cash reserve of the business to enable it to pay it's bills (operating costs) going forward for a few months ahead.

Has anyone any idea of how much Zulu mine operating costs are right now while the actual plant is idle while the current modifications are made by adding a more competent milling unit ?

And then how much the operating costs will be when the pilot plant is fully operational - hopefully in a matter of just weeks ?

I would have thought that current operating costs were minimal until the plant is producing again.

It's a demonstration of how utterly pathetic most posters on this board are that all they are concerned about is hurling abuse while one of the single most important bits of information investors need is how long will the Roach two million pound loan cover it etc.

I owned 100% of Prem right now, what would I do ?

Well, I would have just persuaded my shareholders to vote to allow issuing lots more shares, 5 billion to be exact, or very roughly 20% of the capital value of the company. Why ?

UMmmn...... Errr...... Oh, of course that's why ! I knew there must be a good reason, just forgot for a moment there with all the excitement going on at the moment - too much to think about all at once , LOL !

With the Prem pilot mine producing a minimum of £100 million profit per year within a few months from now, what to do next ?

Dhoh ! Build another mining plant as fast as possible Dumbo ! Bigger than the pilot plant too to more than double that £100 million profit a year. Now we can really motor and speed up Mutare maybe to get a mine going there asap too !

Is anyone else using zoom & finding it totally ridiculous ? Zoom software is total rubbish as it wouldn't let me use it to start with and now that I'm in the meeting the only person I can hear is George Roach. The entire computing/software industry needs a nuclear bomb up it's backside as it is totally incompetent !

Does anyone have the Zoom code to get in to see the meeting on zoom

If I was a major shareholder & CEO of Prem right now I would make as much use as possible of that EGM meeting on Saturday 12th August to ensure a successful vote.

And that means making sure at least one 'Useful' RNS goes out just before that meeting, Wednesday being the ideal day, failing that Thursday. I would make sure that even if there was not much in the way of RNS news that I would 'organise' something 'suitable' to conjure out of thin air if necessary. And I would make certain I attended in person to chair the meeting, however inconvenient it might be flying all the way from Africa to the UK after endlessly flying backwards & forwards all the time recently to and from the Zulu mine in Zimbabwe & Johannesburg.

I'm surprised nobody here is chattering about whether George will turn up to chair the EGM vote meeting on Saturday 12th August !

Sadly, I used to have six million Prem shares which I sold before the idiot Russian invaded Ukraine so I could buy more EUA shares - which then all 'evaporated' until I lost patience and sold them all to buy some PREM shares as I was confident they would multi-bag fairly soon. so far there is a slight loss there too, but I'm still hopeful - although anything could happen in a place like Africa. A place i know well as I spent some time living there.

Does DSO stand for Direct Shipping Ore ?