Corporate Update

RNS Number : 5757W

Premier African Minerals Limited

11 December 2019

 

Premier African Minerals Limited / Ticker: PREM / Index: AIM / Sector: Mining

For immediate release

11 December 2019

Premier African Minerals Limited

Corporate Update  

Premier African Minerals Limited ("Premier" or the "Company") is pleased to provide the following corporate update.

Work on the electrification of RHA Tungsten Pvt Ltd ("RHA"), in which Premier has a 49% interest and is the operator, is now approximately 70% complete and apart from two capital items, all other materials are on site and have been largely installed. Given the modest cost involved for these two remaining items, Premier is considering purchasing the items in South Africa to ensure that the electrification can be completed. Preparations continue for a restart of the operations in early 2020. RHA management is in the process of sourcing processing plant optimisation components and all key consumables locally to utilise the funding from the National Indigenisation and Economic Empowerment Fund ("NIEEF") in accordance with the agreement entered into on 7 May 2019.

In a recent meeting held with representatives from the NIEEF, Premier has been reassured that the project status of RHA in Zimbabwe remains a priority and have further assured the Company of their ongoing support and funding commitment to the project. With completion of the electrification at RHA expected in January 2020, NIEEF have assured the Company that further funding should be expected in January 2020 to support the restart of the operations.

George Roach, CEO commented: "I am pleased with the progress being made to date at RHA even through we have been delayed due to delivery delays in Zimbabwe purely based on the critical access to foreign currency in Zimbabwe. The electrification is now approximately 70% complete and we continue to make preparations for a restart of the operations in 2020.   

I must confirm that should we consider securing the remaining items for the electrification at RHA, the cost associated with these items will be offset against future funds provided by NIEEF that could be applied to development works at Zulu.

We are encouraged that we have complied with all requirements applied by the Mining Affairs Board in regard to our application for an EPO covering the Zulu Lithium claims extensions. The outstanding requirements at this time are procedural including the sign-off from the President. Premier remains ready to mobilise as soon this sign-off on the EPO is granted and to further discussions with those parties who had approached Premier with a view to participation in Zulu.

The Board is also progressing steps to strengthen the Premier Board and management with the right skills and experience which would also allow me to step back from the Chairman's role in 2020.

Given these ongoing developments it is only prudent to ensure that Premier has sufficient capital to and I am  pleased to offer our shareholders the ability to participate in a direct placement in the Company via the Primarybid platform."  

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014. The person who arranged the release of this announcement on behalf of the Company was George Roach.

Enquiries:

Fuad Sillem	Premier African Minerals Limited	Tel: [phone]
Michael Cornish / Roland Cornish	Beaumont Cornish Limited (Nominated Adviser)	Tel: [phone]
Jerry Keen/Edward Mansfield	Shore Capital Stockbrokers Limited	Tel: [phone]

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, encompassing brownfield projects with near-term production potential to grass-roots exploration. In addition, the Company holds 5,010,333 shares in Circum Minerals Limited, the owners of the Danakil Potash Project in Ethiopia, which has the potential to be a world class asset.

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.

 

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