Member Info for steward1

The drilling camp is due to be up and running by the end of April so I'm expecting an update this week. It would be good to start with a positive update, i.e. drilling camp is operational.

GR doesn't usually put dates on things but, since he has, he should update the market this week.

Frankie74 - I reckon funding for the DFS (circa £5m) is already priced in. According to others, the share issue is not expected to be at a discount either so, as long as there's no departure from that, I'd expect the sp to rise on confirmation. Two things holding the sp back - uncertainty about the above plus nervousness around whether GR will look to get additional funds for other assets (none of which seem to be providing any income).
I'm not a fan of GR BUT I'm hoping that he's learnt lessons from previous failures. Once we're past this funding hurdle, this could be a multi-bagger. I'm holding just now plus I've got funds ready once we get the funding announcement... probably like many others.

I agree, Snowking.
If GR can get away with only issuing 1 billion shares in the next year then that, in my mind, would be excellent news.
I don't mind some headroom for Zulu later down the track... as long as he keeps disciplined. 22 billion in 3 years with a producing mine would be an excellent result.

Interesting Snowking - over that timescale, I've got a more optimistic outlook. I appreciate that this is all very rough calcs but part of my optimism is around how many extra shares are issued and for what but, also, you haven't factored in any other income from any other asset? I wouldn't necessarily apply that level of country risk either.
I'd challenge whether that number of shares should be issued, but in the scenario you've set out with an additional 8 or 9 billion shares in issue then one must assume that those shares would be issued over a period of time and not all at current prices... depending on how many shares are issued and at what point, the £'s raised could be £20m, £30m, £50m or more in the next 3 years. What would GR want that money for? I'd suggest that he shouldn't need it for Zulu... get the DFS done (£5m?) and then the rest is funded by either off-take agreements or jv (if there's a jv then there will be a complete re-structure and I'd reckon that Prem is the junior partner). If he raises funds for something else, eg. MNH, then one would have to assume that it would be to generate more income. And, of course, there appears to be more than just lithium at Zulu!!
So either there is more income than just from Zulu or he doesn't need to issue that amount of shares!
Of course, I'm sceptical about GR's ability to be disciplined about what he does in the next year... if he only raises funds for Zulu, I think the market would respond positively. If he raises funds for MNH with real evidence that PREM is getting income from it then that would be OK but do it in 6 months or a year... just don't do it next month!
So I reckon, if GR takes the rights steps, we could see a 5 bagger in the next 6 months to a year... maybe a 10 bagger after DFS.
The big question is how much does he raise now and what does he do further down the road!

So we should be hearing something this coming week, I'd suggest. The full drilling camp is due to be completed and operational by the end of April 2021 so it would be a boost if GR can confirm that he's met that target this week. That should give the sp a much-needed boost ahead of the funding news sometime after 7th May... which we hope will give the sp a further boost.

Not an unreasonable expectation I'd suggest... can GR prove all his detractors (including me)?

Purely a guess, Snowking, but I think it points to a bigger deal too... maybe GR is going to surprise us (me!) after all

Not sure how significant this is... they've got 1st refusal so GR can put a proposal to them which they either accept or reject. If they reject it then GR can move on... ahead of 7th May I'd suggest. The issue here might be that GR has another outfit that he has already decided that he wants to do business with and Riverfort & co are not happy... interesting times!

Snowking - so now you're suggesting GR is lucky... not quite the same as being wise! If the deal had been done with Cadence (or any of the other potential suitors in 2018), we'd have a producing mine by now!

Snowking - your credibility rating has just dived after that post!
If GR was wise, the DFS would have been done 3 years ago and we'd be raking it in!
Nevertheless, I'm coming round to believe that he's going to do the right thing this time round... but it would be wise to update the market soon or he'll find the cost of his fundraising increasing as the sp drifts.

I'm coming round to that way of thinking, Chuggley.

Certainly, DFS funding is priced in ... I'm still a tad nervous about whether GR will look to dilute more for MNH. I keep saying to myself, surely, he has learned from past misjudgements - if he has and he only acts on Zulu then I think the drop is obviously well overdone and we'll see a steep rebound.

Snowking - if there is only to be a small placement (which would be good) and not at a discount (even better) to cover DFS costs then GR should just get on with it...

What deal is it that he needs to do now... seems too early for a JV or an offtake agreement?

Acker - any funder or potential partner will have looked at the last 4 years and seen what GR has done with the cash given... some of which was for a Zulu DFS(!?!)... and have said that Zulu needs to standalone and needs to be run by someone else. Hopefully Coozee and the group of 65 are telling GR the same. Just imagine where we would be now if GR had gone down that route in 2018!!!

Anyway - an independent Zulu can accelerate progress on the DFS and the building of a mine. I wouldn't be surprised if a standalone Zulu would be valued at way more than the current market cap of PREM???

That would be my preferred route... I think that part of the separation would be that GR doesn't run Zulu (very positive) and is not held back by the struggles to get PREM's other assets delivering (very positive). It might also be a condition for any potential partner to get involved. I think that it would be hugely positive.... you might then have PREM shares that head back to a fraction of today's price but the Zulu share acceleration would more than make up for it.

My own view is that a dilution for the Zulu DFS is already built in to the sp. If GR can resist diluting for MNH, RHA or anything else then I think that we're pretty close to the bottom.
If he does dilute for another project then, yes, it'll be carnage. I'm ever hopeful that GR has learnt from previous mistakes and that he focuses solely on Zulu for the time being.

whatitsworth - I think the market clearly doesn't have confidence in GR. I don't want to attract the wrath of mugwump again but GR has simply failed to make the right calls over the last 3 or 4 years when it has come to priorities and funding. He could rescue his reputation by simply doing the right thing in terms of Zulu - forget RHA and forget MNH unless there is some income coming from them without PREM shelling out again. He shouldn't go shopping for anything else until the market cap is 10 times what it is now.

Feel that there should be an official term for the phenomenon of the slide in SP after GR announces what should be good news. Almost 5 weeks since the EPO was announced and 2 weeks since the mobilisation of the team.
No sign of an AGM yet - anyone heard anything? Don't know if the lack of an AGM is good news or not? Could be that GR can pay for the DFS start up with existing funds for a while? Or is he finding it difficult to get agreement to his funding approach from the rest of the board... that could be good news as well!

Apologies IQ - fell into conspiracy theory mode there... no offence intended.
Prior to the EPO news, I thought we would go above 0.5 on the EPO news and stay up there. GR has mis-handled the comms since then and has got everyone worried that he's going to buy more of MNH or worse... If he gets the deal and/or the comms wrong for the funding then, at best, I can see what we've just experienced over the last month repeat itself.
I'd like to see evidence of Coozee and maybe the group of 65 exert some influence over GR to rein in his free-spending ways. The focus has to be Zulu... sell the rest or, at the very least, forget about funding MNH and RHA for 14 months... let the sp rise to 1-2p and then the market will be receptive to other things.

Hey IQ - it might suit some agendas to forget the past but one major reason that the sp hasn't held or advanced from the EPO announcement is GR's record. In fact, the main reason we are sitting with 17 billion shares in issue, with another 8 billion to be issued (Snowking's figures) and a market cap of ONLY £36m is GR.

I imagine that there is some nervousness around what he's going to do regarding funding... the past is a good indicator of future performance after all.

He should sell every asset other than Zulu to fund the DFS and then hand over the reins to someone else. I doubt if he'll do either so there's dilution on the way!

Chuggley... and if you do your research on RHA, it wouldn't surprise me if you concluded that the Zim gov't aren't going to cough up any cash for this... that then begs the question where will GR get the funds to get it re-started and, if he gets it re-started, will it make any money?

MNH / RHA / Circum - sell them all and use the funds to do the Zulu DFS!

PS Started looking back at the last 4 years' RNS's... it's pretty depressing... even within that, the bright hope of Zulu was dashed in 2018 when PREM/Cadence couldn't do a deal... this was all under GR's watch, I might add! I started to add up the amount of cash he has raised since 2017... really, really depressing!!!

Hey Chuggley - you see if you had done your research on MNH, you'll have found that there are no real economics available(???). We were told that it was producing income and that we would get some of it... almost 2 years on and there's no sign of it! Was it an "audit" that was done last year... no sign of it!
What if GR had used that money to progress the Zulu DFS... where would we be now?
It's commonly known that GR wants more of MNH... see the last but one RNS, watch the videos that he's done over the last 18 months, ask Snowking, DYOR!
Did you know that part of the case for getting involved in MNH was that they would help re-start RHA?????