Member Info for steward1

Chuggley/Snowking - you're both right. Long term, and not forgetting other minerals that might be there, Zulu is a stonking asset BUT BUT BUT BUT BUT BUT........... GR!!!!
Something needs to be done about him or else we'll never realise the potential that Zulu has.

Bick - re MNH, in some way I'm reassured that JG has stated his opposition to that on here and he confirmed he would tell GR that. I hope the Pandora group would voice their opposition as well - btw, their absence today is very noticable - and that they could jointly stop GR before he goes down that route! If the sp was much higher (say above 0.7/0.8) then I don't think it would be anywhere as near as big an issue

Bick - I doubt if anyone would want to be a minority partner with GR still calling the shots. And I very much doubt they would want any other part of PREM. It is way, way too soon to be talking about JV's - I reckon the completed DFS is a year away.

But this is part of GR's flipping and flopping - jv, no jv, jv, off-take, no off-take, jv, no jv, jv, keep 100%, give some away!

If there's going to be a JV then the deal could be done Q2 next year and he should give up 51% for a substantially higher amount than in the next couple of months.

Ivans - it's got further to go imho.

Market is clearly saying that it has no confidence in GR!

Welshy - I think that he's between a rock and a hard place with results.

The big problem is that we don't yet know how many holes he can test and in what period (I doubt that GR knows this either!) but it sounds like we might only get the next hole's results... which, imho, will disappoint the market again. Perhaps, in a month or two, they will be able to gather momentum but, for now, I think that they'll be struggling.

And do I reckon that they might've picked out one of the better samples first?... yes... so he could possibly disappoint on the grade.

I've yet to see the video from the event last week but one small snippet of info that has been mentioned speaks volumes about the level of planning, readiness and execution... and that is the fact that they're already doubling the resource to prepare the samples for testing. Clearly, if there is a plan, it has been developed by someone who doesn't know what they're doing... but I suspect, like others have mentioned, they are winging it.... and that's with potentially the biggest lithium deposit in the world! OUT OF HIS DEPTH!

And we're at a critical stage too - with a fundraising due and, supposedly(???), in discussions about a deal.

I was one of those who was expecting a big week last week but the news that came out just reinforced that nothing has really changed... lack of progress on test results really does call into question whether GR can catch the lithium wave or will he miss it? There are still lots of holes in the "plan" (if there is one) and that raises the question of cost as well as timescale. Talk of deals and no further dilution seems to have been recklessly over-stated. Talk of MNH again shows GR's failure to grasp basic business... who gives up a share in a premium resource for an inferior resource... either he doesn't grasp it (he's a smart guy, why wouldn't he) or Mr Dattels in lurking in the shadows again. Really disappointing week and I'm factoring in another fundraising below the current sp in the next few days/weeks.

Snowking - the bigger picture is that we're now more than 7 months down the line since the EPO was granted (I'd also suggest that we're several years since GR first raised funds for the DFS but that's another story!). We've had results from one drill hole 10 days ago (which took several weeks after the lab was "commissioned" and after we were told they were "imminent") and it is still going to be another 12 days before we get the next result and we don't know if that is for one hole or all the holes drilled to date or somewhere in between. I wouldn't gloss over the fact that he is doubling resource on testing because that clearly shows that they didn't have a properly resourced plan from the outset. Crystal clear it is certainly not!
Goodness, Snowking, we're all here to see Zulu realise it's full potential but it doesn't help anyone if significant holders accept anything and everything that GR says as gospel when clearly, there are years of evidence that he is simply our of his depth.

I may not have been at the meeting but it does appear that some things reported by some from the meeting were clearly overstated (can't wait to see the video).
What is indisputable is that GR didn't know when the next results were due and had to phone to find out (damning indictment of his lack of control and competence) ... if it is in 12 days then that is still over 3 weeks since the "flow" of test results was expected to start... and what will we get... one drill hole again?

Forgot to include that the other gross overstatement seems to be that there will be no further dilution... I'm factoring in one in the next 2-3 weeks.

Johnny - you've hit the nail right on the head with "Only real, concrete and substantial Zulu news is going to move this struggling SP up."
GR's difficulty now is that he probably now needs to deliver test results quickly and frequently and it seems that this isn't going to happen until he has greater testing capacity up and running... I don't think that will happen for some time (look at how long the 1st lab took to get going).
Not only that, I don't think that the market is going to get excited if the results are at the same level as before - if they're below, even slightly below, then I think the market is going to react badly.
Unfortunately, the genesis of his current predicament lies months ago in decisions about how he would execute the DFS and the 14 month plan (if indeed there was a plan) - there are no quick fixes and I think he has hoped that the sp would be much higher to allow him to throw more resource at it but I'm now of the view that the sp will drift/languish for a while now.
There are two things that I think will shift the sp upwards - GR's departure (which I accept is unlikely) or a major deal. The initial feedback from the meeting suggested that there were active discussions on a specific deal... I now believe that to be a gross overstatement and that it's way too soon, in any event.
My guess at 1p by the end of the year seems to be utterly foolish now.

Appreciate the response, JG.

I think you'll be able to add a bit cheaper than today's price in the coming weeks.

Your timing seems to be immaculate - unfortunately for me, I was a couple of years too soon and my views on GR are certainly coloured by his failures during that period. I'd be very happy if GR stayed involved at an advisory level but he shouldn't be able to call the shots or go shopping for his latest bauble. I don't know if you've been able to express your views to him but I imagine everyone here would appreciate that.

The difficulty I have with MNH or any other new asset is that none of them will provide the return that Zulu will hopefully provide. To give up part of Prem/Zulu to buy another inferior asset is how value is destroyed. I don't understand why GR doesn't get this.

Anyway, I wish you well.

Tipping point hasn't been reached yet...

1. Publication of test results is slow - disappointment that the next one (or batch) is at least 1 week away and that GR had to phone to find out.
2. 3rd rig only just operational but it's OK cos GR said the rainy season won't be an issue!
3. Still no clarity on when the DFS will be complete or the cost of it.
4. All of the above points to the same old, same old!

5. Speculation that there will be a deal to deliver the DFS, mine etc seems to have come from a suggestion from the audience rather than GR stating that he was actively engaged in a deal discussion.
6. Suggestion that there will be no more dilution seems to be based on the comment that GR was not in London to do a fundraise rather than an absolute commitment from GR that he won't do any more dilution for anything.
7. GR's stated desire to buy all of MNH was repeated by him (which can only be funded by, yes, you've worked it out... a dilution).

I'm afraid that my optimism has been sadly crumpled (again) by GR! The market seems to be saying the same - GR can't be trusted to deliver!

Snowking - the lithium has been found. What we need now is a board and a CEO who are going to deliver. And that's not GR!

Fair enough, Bick - then he can answer those questions!

If you are who you say you are and there's no way that we can verify that, why have you not increased your holding to the level that you have said you would? Or is that someone else pretending to be JG?
Why have you not used your considerable holding to move GR aside?
Why are you prepared to see your holding diluted further for a questionable asset such as MNH?

Snowking - that 1st statement, if you believe it, says a lot about your view of GR... he is now God because he says that the rainy season will not affect drilling... is he descended from King Kanute?

Snowking - I wasn't arguing about MNH, I was stating fact. Past performance is a very good indication of future performance!

Thanks Bick,
yes, I don't have any confidence in GR and there are clear signs that he is up to his old tricks. He just doesn't have a handle on the DFS and it is scary that he wants to buy all of MNH... he just can't have a handle on that either.
I'm afraid the more I hear, the more I think of Deja Vu!!!
That tipping point I was talking about has just disappeared over the horizon!

Snowking - there is no defence in GR buying a stake in MNH in the first place. Clearly, he didn't do due diligence and has had to bail them out. To then suggest that he's going to buy the rest of it just smacks of utter disdain for shareholders. It is indefensible!!!
And thanks for the clarification that he didn't come to the UK to do a placing - that clearly does not mean that he won't do a placing... he didn't have to do the last one from London, did he?

Thanks Bick - that's very valuable info and does put things in a different light.
Definitely a major red flag that he still wants to pursue MNH! He can only do this through dilution and I doubt if any of us has the appetite to sink more millions into it. He does seem intent to use the headroom to buy questionable assets rather than for Zulu.
And if GR is asking for opinions about how Zulu should be funded then it seems a deal is a long way off.
Not only that, he has to phone Zim to find out when the next test results are due... surely that should be front and centre in his mind but it appears that he didn't have a clue.
His head is still in the clouds!