Business
Shareholder Letter
Shareholder Letter.
About this update from Premier African Minerals Ltd.
[{"type":"text","content":"\n \nRNS Number : 2686H Premier African Minerals Limited 30 July 2019 \n\nPremier African Minerals Limited / Ticker: PREM / Index: AIM / Sector: Mining\nFor immediate release\n \n30 July 2019\n \nPremier African Minerals Limited\n \n(\"Premier\" of the \"Company\") \n \nShareholder Letter \n \nThe Company is today sending a letter to shareholders ahead of the Annual General Meeting with an update on current developments. A copy of the letter can be accessed at:\nwww.premierafricanminerals.com.\nThe full text of the letter is set out below without amendment:\n\"Dear Shareholders,\nIn advance of Premier African Minerals Limited (\"Premier\") Annual General Meeting (\"AGM\") scheduled for 5 August 2019 and hopefully a positive conclusion to our stated plans to diversify country risk and seek involvement in cash generative assets, I am pleased to expand on the current status of our operations and set the ground work for our plans going forward from here.\nWhilst developments in Zimbabwe have been painful and torrid, there is light, and some very recent developments are very encouraging. Generally speaking, the adoption of the RTGS Zimbabwe dollar as the formal transactional currency in Zimbabwe and the exchange with US$ at a rate of one-to-one on initial adoption, is in Premier's opinion a big step in the right direction. The RTGS is still to find its market value with regard to foreign currencies, and again although we believe that the RTGS may weaken further, this is unlikely to offset the positive impact it already has had on RHA Tungsten Private Limited (\"RHA\"). A good example of this is the domestic price of fuel, which although in short supply was priced at approximately RTGS $7 per litre on my last visit, significantly lower than in neighbouring countries like South Africa. The recent payment to RHA of RTGS $6 million has been dismissed by some detractors who have not acknowledged the fact that debt and many other Zimbabwe based expenditures are also now priced in RTGS below the former direct US$ equivalent. There are, and will always be exceptions, and the currency and cost situation in Zimbabwe is far from settled, but any funds paid to RHA reflect significant support from the Zimbabwe Government. Neither I nor the Premier Board have ever claimed to have agreed a payment in RTGS as opposed t...