REG - Premier African Min. - Zulu Project Update

Premier African MineralsAnnouncement

29/05/2024 11:45

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RNS Number : 2974Q  Premier African Minerals Limited  29 May 2024

29 May 2024

 

Premier African Minerals Limited

 

 Zulu Project Update

 

Premier African Minerals Limited ("Premier" or the "Company") is pleased to
provide this further update in regard to Zulu Lithium and Tantalum Project
("Zulu"), following on our announcements of 8 May 2024 and 21 May 2024.

 

 ·             Zulu has now commissioned the plant and the plant is able to run continuously.
 ·             Optimising the plant performance is ongoing.
 ·             Installation of additional conditioning cell on target for early July
               completion.

 

Whilst the plant is able to run continuously and produce spodumene
concentrates at up to 50 tons per day during this commissioning phase, ongoing
testing clearly demonstrated that to achieve recovery and acceptable SC6 grade
would require a final modification to the spodumene float circuit. Profitable
plant operations require concentrate at grade.

 

It was anticipated that the plant could run whilst the additional conditioning
tank was being installed but with no further advances in plant performance
without this addition being possible, it is logical to stop the float circuit
now and in so doing both expedite the changes to be made and preserve cash to
the extent possible.

 

The civil construction to support this conditioner is expected to complete by
10 June 2024 and assembly of the new components to commence as soon after 20
June 2024 as possible. Target completion date is now 10 July 2024, and all
efforts are targeted at shortening this period.

 

George Roach, CEO commented, "The overall component cost for this change is
minor and modest in the context of the plant, the resource, the overall
operation and the future of Zulu.

 

I am as deeply frustrated and disappointed as any shareholder would be but the
underlying fundamentals of Zulu are compelling."

 

Shipment

 

Approximately 350 tons of spodumene concentrate produced over the past weeks
has averaged at >4% Li(2)O and is saleable. Procedurally, each bag must be
sampled and tested. A composite sample of all bags must be prepared. Samples
must be independently assayed. This is the first shipment of product from Zulu
and the process is carefully monitored by both Minerals Marketing Corporation
of Zimbabwe and the independent inspectorate.

 

Market Abuse Regulations

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of
the European Union (Withdrawal) Act 2018 ("UK MAR").

 

It is expected that this process will become easier with time and the use of
an in-line sampling system when continuous production occurs.

 

The person who arranged the release of this announcement on behalf of the
Company was George Roach.

A copy of this announcement is available at the Company's
website, www.premierafricanminerals.com
(http://www.premierafricanminerals.com/) .

Enquiries:

 

 George Roach                        Premier African Minerals Limited    Tel: +27 (0) 100 201 281
 Michael Cornish / Roland Cornish    Beaumont Cornish Limited            Tel: +44 (0) 20 7628 3396

                                     (Nominated Adviser)
 Douglas Crippen                     CMC Markets UK Plc                  Tel: +44 (0) 20 3003 8632
 Toby Gibbs/Rachel Goldstein         Shore Capital Stockbrokers Limited  Tel: +44 (0) 20 7408 4090

 

Nominated Adviser Statement

Beaumont Cornish Limited ("Beaumont Cornish"), which is authorised and
regulated in the United Kingdom by the Financial Conduct Authority, is
acting as nominated adviser to the Company in connection with this
announcement and will not regard any other person as its client and will not
be responsible to anyone else for providing the protections afforded to the
clients of Beaumont Cornish or for providing advice in relation to such
proposals. Beaumont Cornish has not authorised the contents of, or any part
of, this document and no liability whatsoever is accepted by Beaumont Cornish
for the accuracy of any information, or opinions contained in this document or
for the omission of any information. Beaumont Cornish as nominated adviser to
the Company owes certain responsibilities to the London Stock Exchange which
are not owed to the Company, the Directors, Shareholders, or any other person.

Forward Looking Statements

Certain statements in this announcement are or may be deemed to be forward
looking statements. Forward looking statements are identified by their use of
terms and phrases such as ''believe'' ''could'' "should" ''envisage''
''estimate'' ''intend'' ''may'' ''plan'' ''will'' or the negative of those
variations or comparable expressions including references to assumptions.
These forward-looking statements are not based on historical facts but rather
on the Directors' current expectations and assumptions regarding the Company's
future growth results of operations performance future capital and other
expenditures (including the amount. Nature and sources of funding thereof)
competitive advantages business prospects and opportunities. Such forward
looking statements reflect the Directors' current beliefs and assumptions and
are based on information currently available to the Directors. A number of
factors could cause actual results to differ materially from the results
discussed in the forward-looking statements including risks associated with
vulnerability to general economic and business conditions competition
environmental and other regulatory changes actions by governmental authorities
the availability of capital markets reliance on key personnel uninsured and
underinsured losses and other factors many of which are beyond the control of
the Company. Although any forward-looking statements contained in this
announcement are based upon what the Directors believe to be reasonable
assumptions. The Company cannot assure investors that actual results will be
consistent with such forward looking statements.

 Glossary
 "Li(2)O"  Lithium Oxide (Lithia) - an inorganic lithium compound used to assess lithium
           minerals.

Notes to Editors:

Premier African Minerals Limited (AIM: PREM) 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 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 Limited ("Vortex") for the exchange of Premier's entire 4.8%
interest in Circum Minerals Limited ("Circum"), the owners of the Danakil
Potash Project in Ethiopia, for a 13.1% interest in the enlarged share
capital of Vortex. Vortex has an interest of 36.7% in Circum.

 

Ends

 

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