Premier African Minerals secured £2 million in funding at a price of 0.17p per share, in preparation for the official commencement of processing activities at its Zulu lithium project in Zimbabwe.
Initial challenges in initiating the plant have led to a delay in achieving full production capacity. However, CEO George Roach recently expressed confidence, stating the project is nearing completion.
Roach further explained that the final stages of commissioning at Zulu primarily involve modifications to the material flow in the flotation plant, as outlined in their April 10, 2024 announcement.
These adjustments are expected to enable the plant to process the intended tonnage and enhance the production of spodumene concentrate. The necessary components, such as piping and valves, are scheduled to arrive at the site by April 16, with the potential for installation completion in the week starting April 22, 2024.
CMC Markets has been appointed as the placing agent for this fundraising, offering the shares at a 19% discount from the previous night’s closing price. Additionally, Premier is in discussions with Zimbabwean financial institutions for further working capital support. In the interim, Zulu has secured a working capital facility of US$300,000.
