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Some of us who criticise PREM often get accused of talking the sp down but I'd suggest that the biggest drag on the sp over the last 6 months has been GR's stated intention of buying more MNH... and here we have an unlikely alliance of Acker and Snowking promoting the idea of buying more MNH despite the impact that it has. Acker has admitted to trading PREM so one can understand why. Snowking appears to be a close associate of GR and believes that GR walks on water but I've long been suspicious that there is a deliberate vandalism of the sp and that there are those in the know and who benefit from that vandalism... on a day when we're all expecting a positive RNS, we get their post and one has to wonder!! Anyway, I'm going to repeat my post of yesterday....

"The idiocy of buying MNH… or anything else.

To illustrate -
If PREM Market Cap is £35m and MNH can be purchased for say £2m then GR would have to issue just over 1 billion shares.

With the progression that we expect Zulu to make, the value of those 1 billion shares will multiply over time… in a few years time those shares will be worth 10’s of millions, if not 100’s of millions… put your own figure on it and that is what we would be giving up to buy MNH.

What would MNH be worth? Well, it might not be worth anything and at best it might be worth a few million more.
There is simply no sense in buying more of MNH or any other inferior asset to Zulu.

If GR, Snowking and co don’t accept this then it is clear to me that there is something very underhand going on!

Our Market Cap would need to be substantially higher for any further purchase of MNH to make any kind of sense but it remains that no-one else has made a success of it!"

johnny - initially, I had factored in a fundraise last month. The fact that it didn't come suggested to me that there was something in the pipeline. Couple that with the fact that GR is getting some engineer to do a valuation of Zulu??
Personally, think that it is way, way too early to strike a deal on Zulu.
I wouldn't rule out something happening with Circum or RHA though and there should be interest payments coming from MNH.
Nevertheless, if anyone is surprised or shocked that there is a fundraise this month, then they clearly haven't done their research.
I think GR is holding off as long as possible... he definitely needs some positive news before the fundraise... drill results plus COO would soften the blow and possibly we'd see an upturn. A positive statement on MNH would definitely see the sp rise.

And that's why GR needs to publicly state that he has no intention of buying anymore MNH.

If he doesn't make that statement or, worse still, if he buys more MNH then I think an EGM has to be called to make a change.

Also, if you apply the logic to current assets (MNH, Circum, RHA), there is an utterly compelling reason to sell them all and put the funds into Zulu!

The idiocy of buying MNH… or anything else.

To illustrate -
If PREM Market Cap is £35m and MNH can be purchased for say £2m then GR would have to issue just over 1 billion shares.

With the progression that we expect Zulu to make, the value of those 1 billion shares will multiply over time… in a few years time those shares will be worth 10’s of millions, if not 100’s of millions… put your own figure on it and that is what we would be giving up to buy MNH.

What would MNH be worth? Well, it might not be worth anything and at best it might be worth a few million more.
There is simply no sense in buying more of MNH or any other inferior asset to Zulu.

If GR, Snowking and co don’t accept this then it is clear to me that there is something very underhand going on!

Our Market Cap would need to be substantially higher for any further purchase of MNH to make any kind of sense but it remains that no-one else has made a success of it!

Chuggley - you're bringing down the mood of the board with your constant harassment of Acker!

Not sure that appointing a 69 year old to the position of COO is what we're looking for..... BUT ..... could he be replacing GR as chairman?

Snowking - I guess you don't get this just like GR doesn't get this. I know that GR can only buy more of MNH with shares. Which shares do you think these are and where do they come from? He will have to issue more PREM shares to buy MNH which in effect is giving away a bit of Zulu to buy MNH... any purchase of MNH with more shares dilutes PREM and cannot be divorced from the impact on the overall shareholding... this isn't rocket science!
Someone tell me that I'm not going mad here?

Snowking - I doubt very much if there will be any circumstances where it makes sense to give up part of PREM (i.e. Zulu) to buy more of an inferior asset with huge risks. If he is determined to do it then he should only do it when the impact on Zulu is negligible.

Snowking - a statement from GR saying that his ambitions on taking more of MNH won't happen until after the DFS would be a major reassurance to the market and, imo, would boost the sp.

Acker - interesting post but predicting the future is impossible. Personally, I think the world is only just waking up to the climate situation... whether you agree on whether there is an issue with climate or not, within a year or 2, we'll all feel much more pressure to respond and in the affluent western world, we'll be the ones who drive a load of the demand... my next car in 18 months will be an EV.
I think that there will be a mad scramble to secure lithium supply over the next couple of years - is PREM currently well-positioned to benefit from that just now? NO but, at least (belatedly), GR is taking that first step in recruiting a COO. I think all of us would rather seen an accelerated DFS rather than the current slowness.

Snowking - good to hear from you again!

Zulu - I think 3 results will disappoint the market but it depends what else is released/said. Good grades might compensate. If there's also some definite news about a COO then that would help as well. If GR can even say what he's expecting to publish in terms of results and when then that might help.

Circum - the DFS might provide GR an opportunity to dispose of the holding... personally, I'd listen to any offer and put it Zulu's way so that any future dilution is limited or eradicated.

MNH - I think he needs to say that he's not going to buy anymore MNH. If he's not willing to say that, he really should confirm that he isn't going to buy anymore of MNH until the PREM sp is say 1p.

I would love this week to be the turnaround but who knows?

"Partial early monetisation of Circum holding allows funding for Zulu without further dilution"????

Not sure I believe this given the history of Circum to date but....

Over on Facebook yesterday, Keith Nicol has intimated that he thinks news is coming Monday or before... he's a pretty straight up guy, isn't prone to exaggeration and I think he has connections.

Johnny - the Pandora folk seem to have disappeared this week... I'm guessing that degrasse is part of it. My only hope is that their silence means that they're busy educating GR about how to run a company. Perhaps, we'll hear from them again once we get the next RNS.

Acker,
I think that it's got to the point where there needs to be an RNS which sets out more than you've indicated... I think we need some openness and clarity about the DFS plan, the scope and the cost and some honesty about where we're at against that plan. If we're behind plan (which I think we all believe we are), we need to know what action is being taken to recover lost time.
Beyond that, we need to know what the strategy will be for Zulu especially around whether there is a change to the stated intention of retaining 100% of Zulu. If that has changed then we need to know the reasoning.
Last Wednesday was an ideal opportunity to communicate all of the above but it appears that we didn't get much of the above.
I'm repeating again that GR is out of his depth, he doesn't have the capacity to do the above and market confidence in him is at an all time low. The best thing that can be done for the future success, for the sp and for GR's wallet is for him to step aside and for a competent CEO/COO to be put in place. He might have a lot invested in PREM but it seems more important to him to stay in situ.
With us sitting on potentially the biggest lithium deposit in the world, there needs to be a complete overhaul!
Meantime, I don't think that there will be any news that the market is going to be pleased with.

Another day closer to needing to fundraise and dilute, and another day without any positive news of drill results and still no video of the Q&A last week.

Bick - good post. As I said the other day, I think GR is between a rock and a hard place and there's a good chance that the next fundraising will have to be at a lower price than the last one. Given how long it took to get one hole's results, I don't think that he's had enough time to have 4 or 5 more holes tested... I do think that whatever is included in the next RNS isn't going to be well received unless he can prove that there's been a massive upturn in testing. If he publishes 1 or 2 more then that will just reinforce the lack of progress and control. If he delays the publication to have more holes done, it will just reinforce the lack of progress and control. But he needs positive results to shift the sp back up before the next fundraising... but he's running out of time!!!

And I can see why he doesn't want a 4th or 5th rig on site and that's because he doesn't have the testing capacity to process the tests.

There are so many holes in his "plan" - I'm still unclear on what he plans he has to do the DFS drilling and testing for the pre-EPO DFS.

Not sure about a blue day - something very drastic has to happen for the sp to reverse the drift.

Just struck me looking at one of my very boring holdings (BT) which is up on a potential bid that it might be better to be a boring investor!

sp is jumping around - news soon?

JohnnyPC - I have definitely wondered whether there is some sort of arrangement that involves the Pandora group keeping GR in post...

Can I just remind folk that a JV is not the stated strategy of PREM... as far as I know, it came from a suggestion from someone in the audience at the Q&A last week. It would be great to see the video of the Q&A so that we could see it 1st hand but, like so many things with PREM, it takes forever and a day!