Premier African Minerals says it is now fully funded to begin production at the Zulu lithium project in Zimbabwe following a 0.275p subscription to raise £2.475 million.
In addition, Premier African stated that the new ball mill at the site has been completed and is being tested, with commercial production set to begin later this month and the first shipment anticipated for March.
The company also stated that conversations are underway with Zimbabwean bankers for a working capital loan once manufacturing begins.
George Roach, CEO, commented, “This placement assures Zulu of plant startup, subject only to suppliers meeting their obligations and undertakings.
“This has and remains Premier’s single most important objective at this stage.
“That is targeted for next week and remains on target at this time.
“Early indications are that subsequent working capital finance will be available from commercial lenders at Zulu when production is underway as Zulu must begin to fund its operations without the assistance of Premier once commercial production has commenced.”
Meanwhile, the mineral resource estimate (MRE) for the Zulu lithium project now includes about 107,000 tonnes of the metal in both the inferred and indicated categories.
In addition, Premier African stated that Zulu contains approximately a thousand tonnes of tantalum (pentoxide).
The resource estimate (MRE) is based on test findings from 163 drill holes totaling 33,258 metres (m) drilled from September 2016 to the end of August 2023.
