Premier African Minerals Share Discussion Threads

[edgein] 23/8/2017 11:48

The Bull,

I bought most of mine at 0.22-0.25p when the cap was a mere £5m and there was a handful posting here, that was during the Darwin financing. I've the luxury now that they're all free as the share price has at several times hit between 0.8-1.1p since. It'll likely do it again in the future I've little doubt. But then it becomes a gamble between profit taking and the liquidity event on either Circum and Zulu. Many would boot fill again at those levels but I cannot see the news flow and the current assets allowing that to happen yet again. Drilling is going to be continuous over the next 6 months if they don't extend the campaign beyond that.

Regards,
Ed.

[edgein] 23/8/2017 11:43

Well that's were we'll have to agree to disagree then HD as imo GR is showing us great respect by buying as many Circum as possible as cheaply as possible. Current value of Circum is $150m approx for a project with an NPV of around $2.8bn. When the project is through to development it'll be worth multiples of the above so imo George is choosing the correct strategy. Its quite possible that Circum will sell this asset to a major to take it forward. Just like the Ya deal for 15-20% dilution, this today is minor dilution for major upside. Its interesting that folks think this is only going down yet its quite possible that there's lots of good news to come, like assays, further drilling results, increased holding in Circum at more ridiculously low prices. Lets see how YA cope on the next 500m-1bn volume day.

Regards,
Ed.

[the bull] 23/8/2017 11:42

It bit like jubilee platinum when it trashed its own share price by also using Darwin. drove it to below 1p. But shareholders who still believed in the story and had the readies were able to fill up at those crazy low levels before it stabilised at where it is today.

PREM could be the same, loads of new shares to fund circum, borrowing at crazy rates could drive it much lower. How many would then be prepared to double up if it got driven down to 0.02?

[nicosevos] 23/8/2017 11:34

hiddendepths, couldn't agree more...........

[hiddendepths] 23/8/2017 11:15

Ed - dmitri has no effect on the share price any more, if he ever did.

You talk about "the recent fundraising" as though it's over. Well, it isn't. It's ongoing and Ya have good financial reasons to keep the price as low as they can get it. George doling out extra shares at 0.45 to a presumably loose holder is not going to help the cause either.

Nothing wrong with the assets but dishing out shares like confetti at a wedding is not going to help ordinary shareholders get their proper share of the goodies. I like to see companies have respect for their shares - and their existing shareholders. I'm not convinced that George has that respect which will be more of a problem if and when he hopes to make the company respectable enough to suck in large institutions.

I wouldn't be surprised at a 10 for 1 consolidation (or more) at some point.

[edgein] 23/8/2017 09:42

Saint Dimitri,

Good man, I think you're going to be quite active here to try and make your prophecy come true. I hope the facts here as results from Zulu and Zulu SE flow in over the coming months don't ruin that for you. Well without the recent fundraising we wouldn't be able to actively drill Zulu/SE and get a second rig on there in due course.

Regards,
Ed.

[edgein] 23/8/2017 09:38

Sleveen,

You may have missed the recent interview with George. They're currently planning to open new stopes in the underground mine in RHA, so getting an independent review of the underground development doesn't seem out of place as they produce ore from both pit and underground. And yes the underground ore is higher grade than the pits closer to 0.4% compared to the pits at 0.2% ish. A review of the plant maintenance is all part of the optimization process. Supporting the projected throughput in Q4 17 suggests all is on target to meet targets before end of '17. But this is mining, hopefully these targets will be hit. A bit early days to suggest they'll not though. And would minor delays put off anyone from getting in on the cheap on Zulu and Circum, its a fraction of the size of those other projects. W resources has a mine in operation that has around 0.14% W in Europe, far higher mining costs than Zimbabwe. With RHA averaging around 0.3% and a rising tungsten price its quite possible that it can become a solid asset not a liability. But we'll see, we'll just have to wait and see what happens on Zulu between now and Q1 18 too.

Regards,
Ed.

[sleveen] 23/8/2017 09:28

Edgein,

...Give RHA a chance, he says it'll be cash flow +ve by year end...


What do you make of this from today's RNS:

...commissioning of an independent review of the shaft systems and underground development at RHA that is required to support the projected through put from later in Q4 2017 and a review of plant operational maintenance necessary at RHA...

and

... I could see RHA being worth at least £25m in due course though, but this will seem minuscule in comparison to Zulu...

RHA is still loss making , I doubt your $25m will ever be reached.

[edgein] 23/8/2017 09:22

Dimitri,

That's not the typical attitude of a good Samaritan! Hoping to see fellow investors lose money! Shame on you Dimitri! :) Just think before you sold here recently you saw no red flags at all, not even one did you mention.

Regards,
Ed.

[dmitribollokov] 23/8/2017 09:19

Keep clapping guys, you'll be down at zero soon, think how many shares you can buy then. Fools/money/parted...

[edgein] 23/8/2017 09:18

Vitec,

Give RHA a chance, he says it'll be cash flow +ve by year end, grades are reasonable for a producing mine given the rising tungsten price. I certainly wouldn't write that one off at this stage. Like all mines it'll take a period of optimization to get it to where they want it, but its getting there from the recent interviews and RNS releases. Its no real surprise though that most of the talk is about Circum with an NPV close to $3bn and if proven up Zulu could be worth multiples of that. Puts the $1bn (gross, we have 49% or so) of tungsten in the ground at RHA in its place. I could see RHA being worth at least £25m in due course though, but this will seem minuscule in comparison to Zulu.

Regards,
Ed.

[vitec] 23/8/2017 09:01

There are those that believe the story and those that don't. I am ok with that.

Dimitri, you lose all credibility when you post "I'm not trying to wind people up, i just don't like it and i don't want to see people lose money" Please, I do not need to be saved by people like you and money is completely safe in my hands.

I am gobsmacked that most of all of the chatter is about Zulu and Circum. I do not see anything negative about purchasing more Circum shares. My concern is about RHA.

You have to be a complete idiot to not recognise that George knows the guys at Circum very well. Does anyone honestly believe that George is so naive that he would invest in this asset knowingly diluting himself and all other shareholders in the hope that his gut instinct was that there was going to be a liquidity event? I believe the answer to that question is no. I am convinced that this will happen but it is unclear when. Potash is a resource the world wants. Lithium is a resource the world wants. Limestone is in demand. There is a strategy unfolding to be involved in minerals and metals that have a growing demand and these demand a growing price.

All the shares I own are paid for. I am in no hurry. I am disappointed that we have had a few false dawns but one day in the not to distant future I believe we will get a transformational RNS and the party will begin.

[edgein] 23/8/2017 09:01

Dimitri,

That's a very negative outlook you have on the rest of the world, so its not just PREM then! Its not that bad really! Glass half full man! Go on to Amazon and buy yourself a few books on positive thinking. Sun is shining, folks getting some cheapuns ahead of the assay results on Zulu SE, we're getting our ducks lined up on Circum. Its really not all that bad, well funded too after the 31st of July financing to support drilling on Zulu. Cheer up.

Regards,
Ed.

[dmitribollokov] 23/8/2017 08:55

It's a sad, paranoid and confused world.

[edgein] 23/8/2017 08:51

Dimitri,

Well you'll fit right in with ADVFN then, good Samaritans are all over this site, not a deramper in sight. :)

Regards,
Ed.

[edgein] 23/8/2017 08:49

Dimitri,

Oh yeah the red flags of a significantly growing asset at Zulu and a superb investment in Circum. I'm just one of the realistic investors that know that drilling on Zulu isn't free and while there are distressed sellers on Circum they're not just going to give us free shares in a world class project. So shock horror an AIM company needs to raise money to develop/invest in two world class multi $bn projects. Old Ed here has all the time in the world, old Dimitri on the other hand needs to get back in before one of the liquidity events, or both of the liquidity events. :) What grade do you think the practically pure spodumene will come in at, or even the high grade samples around it?

Regards,
Ed.

[dmitribollokov] 23/8/2017 08:39

Ok ed - i see no amount of red flags or share price decline is going to stop the pom-poms and confetti approach for some. Silly market, it's wrong again...

I'm not trying to buy back in btw! Feeling pretty lucky to get out of here unscathed. I could buy back at a 25% discount to where i sold now if i wanted.

I'm not trying to wind people up, i just don't like it and i don't want to see people lose money.

[andrewsr] 23/8/2017 08:35

I think what is already known publicly is sufficient justification for the purchase.

[edgein] 23/8/2017 08:31

Dmmitri,

Don't have to keep telling myself that at all, its all in the RNS and presentations. Zulu was 20Mt of ore when they drilled 35% of the known strike. Through infill and expo they now believe its up to 80Mt of ore. But then they made an additional discovery in the SE which they now believe to be bigger than Zulu. So they needed to raise £4.8m to get a second rig on there and go all guns blazing on Zulu over the next 4-6 months so that our new partners have to pay a suitable price for a 80-160Mt+ asset. That's whats going on now. So yeah these funds are going to be put to good use and highly valuable. So George cannot just lump all his cash into Circum, that's the difficulty when you've two world class projects approaching liquidity events. He has to keep momentum going on Zulu as he needs to prove as much lith there asap or it could be taken out of his hands with a hostile bid. That's just the simple earthly facts.

Yeah PREM now own 5.2% of Circum, probably buy some more on the sale of the timber business. We might get a couple of % more on the cheap through issuing equity, but probably get above 10% when we get Zulu sorted and one of the deals on the table signed after many more results and assays from Zulu and Zulu SE. I bet you can't wait for SGS to get the results back from the practically pure spodumene samples taken from the SE discovery. I know I can't, but then I'm a holder and not trying to buy back in again. I guess that's why you're so vocal. :)

Regards,
Ed.

[mike_f] 23/8/2017 08:29

andrewsr, George is good mates with a couple of people at Circum. I would be amazed if he doesn't know more that what is in the public domain...

[dmitribollokov] 23/8/2017 08:27

andrew that applies to pa trading...He hasnt just done a pa trade.

[dmitribollokov] 23/8/2017 08:25

3m - really? That's a retail punt.

[andrewsr] 23/8/2017 08:25

If George is 'privy to information' he would be an insider and so couldn't trade the shares or does that only apply to individuals? I would think his actions are based on publicly available information, i.e. his assessment of the situation?