Salt Lake Potash Share Discussion Threads

[lefrene] 01/9/2021 14:43

kennyp52, they must have borrowed Biden's speech writer for that one! :¬)

[meanreverter] 01/9/2021 14:34

The problem with SO4 is that the process doesn't work. If anyone is to blame, it is proximately the engineers who designed and tested the supposed process for producing potassium sulfate from the Lake Way brine and gave it the all-clear. At the company level, the responsibility falls on the shoulders of the CEO at the time when the engineers' report was accepted.

[beercapafn] 27/8/2021 13:09

Sack the salesman CEO. SO4 is mining a commodity, if the price per ton is right, people will buy it. Simples. We need engineers now.

Please.

[lefrene] 27/8/2021 10:34

Tiger, there do seem to be parallels with SXX. I nearly bought this story in 2019 thinking OZ would be a comparatively safe jurisdiction, but luckily I decided on AAZ instead. (I no longer see OZ as a 'safe' place). I too wouldn't be at all surprised to see an opportunistic bid from a rival, a rival that has the required skill set that has patently been lacking at SO4. On the bright side perhaps this is the nadir, the CEO being ejected maybe the board has finally woken up to the fact that they need more brains on the job.

[beercapafn] 27/8/2021 08:19

KoP202:

He needs to be TOTALLY GONE. Did the same thing with the Unriaum thing in europe.

[red171] 27/8/2021 08:13

This was in Wubin, Western Australia, a harsh remote place, with an average of 0.6 people per sq km in WA outside Perth, who would honestly know what goes on in businesses financed elsewhere? It wouldn't be auditors based in Perth or head office, anything could be going on the ground until it came to stump up the goods.

[kirk 6] 27/8/2021 08:08

Would of thought that would of been good news today Don't know why it's down

[beercapafn] 27/8/2021 07:27

El - tel:
Yes. New owners will not have a used car salesman involved. I hope he is eventually struck off.

[el-tel] 27/8/2021 07:24

Is the CEO's head the price of a deal ?

[beercapafn] 27/8/2021 07:24

CEO sacked more like. Looks like he has wangled a way the keep his share options by staying connected to the company.
New owners should cancel all previous share options as a condition of refinances. Sack the lot.

[melody9999] 27/8/2021 07:03

CEO resigns - the use of the word 'guided' seems inappropriate to me

[lookingforhelp] 26/8/2021 18:26

If I was the Company’s advisor I'd be suggesting a 5 for 1 rights issue at A$0.01...

[tigerbythetail] 26/8/2021 15:03

Hi Lefrene!
Actually, there always was a serious lack of experience in this particular field (salt evaporation) on SO4's board. And some very macho fast salestalk and over-confidence.
LookingForHelp's point about "the Perth stable" is a good one. This particular group of "mining entrepreneurs" is possibly best avoided in general.
God knows what will happen now. But if I were a rival outfit, I'd be tempted to put in a very low bail-out bid for the entire shebang. (Think SXX).

[lefrene] 26/8/2021 11:29

Tiger I think it highly unlikely that a group of experienced engineers would have taken the business this far by just learning on the job. But as with most AiM start ups, there's loads of hubris early on, and frequently an under estimation of the costs that will be incurred to get the thing going. Here they seem to have fallen down on the anticipated costs. Very likely there are some vultures watching the situation, waiting to step in and pick the thing up for a fraction of the costs incurred so far.

[lookingforhelp] 26/8/2021 09:31

This thing is potentially cactus...I'm still struggling to understand how no-one questioned it when EQX.AX, one of the cashed-up sister companies from this stable was asked to put in a load of money. I'm avoiding anything from this stable from now on. That includes EQX, SVM, PDZ, BKY, PLL, AON and a few others I think.

[tigerbythetail] 26/8/2021 09:05

Suspended on ASX not suspected of course!
Oh, and Kop, it's not a simple operation. At all. Evaporation of salts is actually complex technically, and there all kinds of variables you need to factor in. It does look like SO4 have got this aspect of the plant badly wrong, but they haven't given us any details, and stated whether this is fixable or not.
Remember, the board have no previous experience in this kind of operation (they are iron ore guys, a very different business), and the technical director left the company a few months' back.

[lefrene] 25/8/2021 14:14

Yes it's all down to whatever deal they can strike to get the money they need to get the thing into production and carry them through to generating a viable cashflow.

It's a typical AiM stock, loads of bullish talk whilst they dilute the equity to keep the plates spinning. As per usual it's only those in the boardroom that really know the true story. It's your call Easy, would you buy them today, does today's price reflect all that's known or expected?

[tigerbythetail] 25/8/2021 13:45

The share is suspected in ASX (it's main market) pending details of a capital raise to save the company. Somehow it is still trading on AIM, which is a bit weird.
News has been promised by the end of the month. Questions abound as to whether the current equity in the company has any value at all - it all depends on the terms SO4 can obtain for the new money. It's fair to say that management credibility is almost non-existent now.
Hot Copper bulletin board for SO4 will keep you updated with the broad outlines of the saga.
Best of luck whatever way you jump. But right now SO4 isn't an investment, it's a straight up gamble on the terms of the refinancing.

[easylikesundaymorning] 25/8/2021 10:51

Does anybody have any clear updates about what is happening? I'm struggling to find any info online. My position is down 60% now and I'm thinking to just bite the bullet and sell but would be interested to hear if anyone has any positive news to share?

[lookingforhelp] 16/8/2021 13:08

talks from who ?

If its anyone from the company then ignore it.

Selling other stocks from this stable is the best strategy...SVM.AX and PLL.AX. There's already been some news recently about PLL having some issues with permits and local relationships.

[hotrocketshares] 16/8/2021 12:34

Talks circulating on a very strong institution backing and funding at 1-2 x higherASX still suspended at 14-15p that makes sense of a funding at a very high premium

[kop202] 16/8/2021 12:19

Medium/Long term whats the risk?The stuff is in the ground or in the lakeIts a simple operation.... Dilution yes ...delay yes But investors will be rewarded....eventually

[lookingforhelp] 16/8/2021 09:18

That's always a good sign...