Later this week Premier African Minerals Limited (LON:PREM) is expecting to produce spodumene, a lepidolite mica rich concentrate and a tantalum rich concentrate, providing that certain Zimbabwean authorities give formal outstanding approvals.
The group is a multi-commodity mining and natural resource development company focused on Southern Africa with its RHA Tungsten and Zulu Lithium projects in Zimbabwe.
The company explores for tungsten, lithium, tantalum, fluorspar, potash, and gold deposits.
It has a diverse portfolio of projects, which include tungsten, rare earth elements, lithium and tantalum in Zimbabwe and lithium and gold in Mozambique, encompassing brownfield projects with near-term production potential to grass-roots exploration.
The company has accepted a share offer by Vortex Ltd for the exchange of Premier's entire 4.8% interest in Circum Minerals Ltd, the owners of the Danakil Potash Project in Ethiopia, for a 13.1% interest in the enlarged share capital of Vortex. In turn Vortex has an interest of 36.7% in Circum.
PREM also holds a 19% interest in MN Holdings Ltd, the operator of the Otjozondu Manganese Mining Project in Namibia.
Research analyst Sheldon Modeland at Shore Capital continues to be encouraged with the results coming from the intersection of multiple and relatively thick zones of significant lithium mineralisation.
He also notes that further news is awaited on the group’s pilot plant, which is now assembled and constructed, awaiting final instrumentation connections.
It is now expected that the group could be seeking out further lines of financing by way of either equity participation in the Zulu project or funding by way of future offtake.
CEO George Roach stated that:
“I am personally excited at this prospect of so significant a company-changing moment in the history of our Company and am somewhat in awe when I consider that in September 2022 this was virgin bush!”
The group’s shares have risen from 0.68p over the last week and are now up to 0.91p, valuing the company at £206m.