Salt Lake Potash Share Discussion Threads

[noirua] 02/8/2022 20:32

kennyp52, those over on Hotcopper are following this one more closely and they are not that confident of a good outcome. As I got back in again after many years out of SO4 at an average of 2.20p or 3.7c there is an outside chance. Anyone well over that has zero chance of a good outcome unless BHP bid very late on. Maybe KordaMentha lives in hope as we do.

[lookingforhelp] 01/8/2022 22:05

All SO4 holders are stuffed. I just feel sorry for those that doubled down and went into Sovereign Metals as well...they will probably end doing their dough as well.

[kennyp52] 01/8/2022 18:48

Noirua . I won’t hold you to it .. but what’s your opinion on any value for shareholders ? Or are we out with the washing and going to be stiffed ?

[noirua] 01/8/2022 08:54

The only hope here for shareholders is if a Major comes in with a bid the likes of BHP but there are no signs of this at present. To get 3c a share an offer around A$310 million would be needed. Then a further $8 million for every additional 1c.

To get 30p a share the bid would need to be around A$700 to A$730 million.

[lookingforhelp] 29/7/2022 21:20

The only two people to blame here are Ian Middlemas and Tony Swiericzuk. Imagine the cashflow this would be making if they had decided to use the recommended process plant equipment instead of thinking they were smarter than the existing producers and use 'new' technology. What a bunch of idiots. If you have money in Sovereign Metals, get out before the same thing happens there.

[noirua] 29/7/2022 19:40

camban
1,257 Posts.
773
26/07/22
15:00
Post #: 62733417
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Update from KPMG...

They’ve finally gotten around to updating the creditor portal. Another extension of the convening period granted by the Court to 30 Sept, and no binding sale agreement reached yet (as at 22 July):

“The Receivers confirm that they are progressing the sale process and require further time to engage and negotiate with potentially interested parties on a transaction...”





Posted courtesy of AKA camban

[noirua] 29/7/2022 19:37

There are no clues as to how much bidders are offering. If shareholders got 3c a share that would be A$25 million on top of all the money owed to creditors and other fees building up. Short and long-term liabilities were A$273 million in June 2021.
Scroll down to the bottom to the Balance Sheet.

[noirua] 22/7/2022 21:54

Jgr64 on HotCopper
456 Posts.
135
21/07/22
09:43
Post #: 62644798
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Interesting development at RWD, with the company going into a suspension "pending the release of an announcement regarding a material acquisition".



Given the timing, could RWD be acquiring the assets of SO4 ? RWD's market cap is only $19.5m, so how would they fund such an acquisition even if it was only cents in the dollar?

Hypothetically, if RWD did a capital raise to buy the SO4 assets, would you participate.

[kennyp52] 31/5/2022 08:53

Yes .. you hope they sell the company for its real worth and get some of your hard earned cash back .other than that assume thEy are worthless and offset some gains

[easylikesundaymorning] 30/5/2022 13:56

Can someone explain to me what will happen to my worthless shares in this non-existent company that I still have on trading 212 app? They are just sitter there frozen.

[noirua] 14/5/2022 12:01

EMR Capital checks out Salt Lake Potash; first round bids near
Anthony Macdonald, Sarah Thompson and Kanika Sood
May 4, 2022 – 9.32pm

Share Resources focused private equity firm EMR Capital is understood to be one of the suitors weighing up bids for bankrupt potash hopeful Salt Lake Potash.

[noirua] 13/4/2022 13:50

31 March 2022
Salt Lake Potash auction almost ready to roll

[noirua] 13/4/2022 13:46

5 April 2022

[noirua] 30/3/2022 16:25

29 March 2022 - KPMG

[noirua] 30/3/2022 16:19

A Salt Lake revival: Potash hopeful up for sale

TOM PARKER
March 11, 2022, 2:00 pm

www.australianresourcesandinvestment.com.au/2022/03/11/a-salt-lake-revival-potash-hopeful-up-for-sale/

Lake Way’s resource has been upgraded since Salt Lake’s collapse, with the measured mineral resource increasing by 108 percent from approximately 900,000 tonnes of potassium to 1.87 million tonnes of potassium. The indicated mineral resource has also increased by 156 percent.

[noirua] 27/3/2022 15:32

There does seem little hope here taking into account the loan book. The asset value whatever it really was last year in true figures has now doubled. So survival now looks very much achievable though whether shareholders get to see a cent is a different matter entirely. At least the impossible is now on the horizon with the extreme shortage of fertiliser.

Below posted for SOP price information:
Tailwinds Mount for Sulphate of Potash, but Investors Remain Wary
March 28 2022

[noirua] 10/3/2022 17:39

Commencement of sales process - Korda Mentha
10 March 2022


• Measured Mineral Resource for the Project has increased 108%, from 0.90 Mt of Potassium to
1.87 Mt of Potassium based on drainable porosity.
• Upgrade of Indicated Mineral Resource for the Project has increased 156% from 0.90 Mt of
Potassium to 2.30 Mt of Potassium based on drainable porosity.
SO4 has upgraded its JORC Code (2012) compliant Mineral Resource estimate for the Project further
de-risking the investment.

[noirua] 10/3/2022 17:10

Sale process underway for Salt Lake’s stalled project
10 March 2022

Receivers for failed Salt Lake Potash are set to test market appetite for the company’s stalled Lake Way sulphate of potash project near Wiluna after pressing the button on a formal sales process.

Salt Lake Potash receiver hunts for buyer; MacCap mandated [Macquarie Capital].
23 February 2022

Four months after KordaMentha took the keys at Salt Lake Potash, it has finally kicked off a buyer search with Macquarie Capital’s bankers in tow.

[noirua] 10/3/2022 16:57

Master Sanderson on Friday granted an application for KPMG’s administration to be extended until the end of March and for a special purpose administrator to be appointed to report on potential insolvent trading actions.

No further news is expected before 31 March unless a deal is finalised with one of the interested parties. It is not known if KPMG is still speaking with loan providers. At least the present situation should encourage a bidder to take a punt.
If shareholders receive anything it is likely to be fairly nominal in cash or more likely shares. Hopefully, an offer might be around 2c to 4c or 1.1p to 2.2p a share. Only useful to those who bought in close to the end of play on AIM.

However. the two following posts show the ball game is not over quite yet.

[noirua] 19/1/2022 13:16

KPMG insolvency accountants have been cleared to stay on as administrators of Salt Lake Potash despite protests from the Australian Securities and Investments Commission.

The WA Supreme Court allows the KPMG team to keep talking to four potential bidders about reviving Salt Lake’s plans to produce high-grade potash from Lake Way, near Wiluna.Supreme Court master Craig Sanderson on Friday rejected calls for a KPMG team led by insolvency veteran Martin Jones to be replaced as administrators because of work for Salt Lake before it collapsed in October.

Master Sanderson on Friday granted an application for KPMG’s administration to be extended until the end of March and for a special purpose administrator to be appointed to report on potential insolvent trading actions.

His ruling came two days after lawyers for ASIC went to the court to amplify concerns raised by the Australian Restructuring Insolvency and Turnaround Association about pre-administration work by KPMG.

ASIC claimed that KPMG’s pre-administration advice to Salt Lake had strayed into the sensitive area of safe harbour protections legally available to directors and companies potentially facing insolvent trading actions.

Pushing for the KPMG team to be replaced as administrators, ASIC lawyer Lauree Coci said it was too late to implement safeguards and the law required prevention “at the top of the hill and not an ambulance at the bottom”.

But KPMG’s legal team said its pre-administration advice was confined and argued a key objective of administration laws was maximising the opportunities to restructure a troubled company.

Ruling in KPMG’s favour, Master Sanderson said Salt Lake was a big company with sophisticated creditors and none of them had raised any concerns about the accounting firm’s role.

He said was satisfied there was not any evidence to support the KPMG team being affected by even an apprehension of bias.And even if there were any potential issues, they would be dealt with by the appointment of the special purpose administrator to investigate possible claims.

Avior Consulting insolvency accountant Dermott McVeigh will report to creditors about when Salt Lake become insolvent and whether there are any insolvent trading actions available of the group was liquidated.

Mr McVeigh must also report on whether there are any potential claims arising from the conduct of Salt Lake advisers, directors, officers and the KPMG team ahead of its October 20 appointment as administrators.Master Sanderson is writing detailed reasons for decision.

[noirua] 09/1/2022 01:40

Martin Jones’ KPMG wins court approval to keep trying to save Salt Lake Potash
19 December 2021

[noirua] 10/12/2021 11:02

30 November 2021

Salt Lake Potash Limited (Administrators Appointed) (Receivers and Managers Appointed) ACN 117 085 748 (the Company)



Under the instrument all financial reporting obligations of the Company are deferred until at least 20 April 2022. Should the Administration extend beyond 20 April 2022, the relief will extend to the earlier of:
SO4 -