It sounds as though the plant commissioning is finished and operational tuning is happening, so I guess it won't be long before we know if it makes money or not.Potash is still overheated in WA. Lots of players, lots of projects, lots of shenanigans, lots of opportunity to make mistakes.
5 year chart is essentially a flat line. Same with KLL. APC, AMN. Only those who have traded in and out over 5 years have made money. Oh and the directors and employees. Just because a project gets up and going (eventually) doesn't mean it will make appropriate levels of returns for mom and dad shareholders.
I am still skeptical of the presentations, forecasts, feasibility from all of these players.
Games will be played once trading starts again as discussions wonder at what price a cash-raising may be done at. There is a method of getting funds in the UK via 'Primary Bid' which they could use: https://primarybid.com/home/Sounds like I will be burnt again.
Yes, it is interesting that they had a cap raising a couple of months ago, plant 95% complete, now all goes pear shaped. Not a good look, one wonders as to the legal position.Games will be played once trading starts again as discussions wonder at what price a cash-raising may be done at. There is a method of getting funds in the UK via 'Primary Bid' which they could use: https://primarybid.com/home/
There is sometimes a way of getting money back in these situations as the share price may well plunge too far. It takes a lot of patience at times or on other occasions watching trades and jumping in quickly. As the UK and Australia trade differently, there are different games to be played.
Sometimes on the ASX leaving a very low limit order price to buy can come off. Some want to get out quickly and just accept a market price. For instance, trades are going through 20c to 22c so I place bids to buy at 12c, 13c, 14c, and 15c. Sometimes piles of sales come in wiping out all the offers to buy in market depth. So someone wanting market price, usually from the UK, gets only 12c. Then I sell quickly when the price rises.
On AIM Market Makers set the bid and offer spread and in a difficult situation for them it becomes quite wide. With trades going through 17p - 25p. Suddenly masses of sales come in and the MMs must give a market price to sell. The price crashes to 10p - 15p and a price to buy maybe just 13p within the spread with MMs under pressure. Wait a while, often not long, and a chance to get out at maybe 17p and bingo 30% profit in a matter of minutes if lucky.
Not for the faint-hearted or sleepy characters who want too much certainty or ask questions. Good luck.
If they can't source funding on their business plan, my guess is the whole thing was a scam and investors wont pump more in.Daily live chart on AIM: http://uk.advfn.com/p.php?pid=staticchart&s=L^SO4&p=0&t=46&vol=1
Longer term chart: http://uk.advfn.com/p.php?pid=staticchart&s=L^SO4&p=9&t=46&vol=1
That is tomorrow.The shares are suspended on ASX until 13 September.
... the Company's securities remain in voluntary suspension pending the finalisation and release of an announcement by the Company in relation to an update on its Lake Way Project. The Company requests the suspension to be extended to 27 September 2021 at this stage. The Company is also responding to ASX queries.
Now for those not in the know this could be a gamble to nothing or not very much like Sirius Minerals formerly LSE: SXX and now part of Anglo American: https://www.nsenergybusiness.com/news/anglo-american-sirius-minerals-2/#:~:text=Anglo American has agreed a,primarily used as a fertiliser.That is tomorrow.
and on 09 Sept, a further request (#5) that ...
Appointment of CEO Salt Lake Potash (SO4 or the Company) is pleased to advise that Isak Buitendag has been appointed as CEO of the Company, subject to requotation of the Company’s securities on the ASX. • Mr. Buitendag will be joining from his position as General Manager of Transformation at Kazzinc (69.7% owned by Glencore). • Prior to Kazzinc, he was Vice President of Operations and Vice President of Development at Kazchrome, the largest ferrochrome producer in the world. • Mr. Buitendag has significant experience in Executive roles within the mining industry in Australia, Kazakhstan, and Africa, including at BHP and Fortescue. • In an Executive capacity, he has led teams in project development and minerals processing and has a track record of delivering business turnarounds. • The SO4 board believes Mr. Buitendag’s skills and reputation as a disciplined operator and manager will serve shareholders well and look forward to his leadership bringing the Lake Way Project into a sustainable, profitable operation. “I’m excited to be joining SO4 at such a critical stage of its development and look forward to working with the team to deliver Lake Way and grow the business into a meaningful player in the global SOP market". |
| TigerByTheTail - 13 Sep 2021 - 09:30:47 - 720 of 722 | SALT LAKE POTASH LIMITED - SO4 |
| Today's news probably eliminates / reduces one of the worst risks here - that of immediate administration. You have to think that the new CEO wouldn't join the company without a fair degree of informed confidence that the required funding will be raised. But there are still lots of questions: 1. I'm assuming that the new money will be equity rather than debt. But how much dilution and at what share price? 2. The new guy has no experience of salt evaporation. It's worth reading what they say about him on Hot Copper as well. 3. The new guy has worked a great deal for Glencore, and Glencore engineers are reported to have been on site. Is this going to end up with a partial or complete Glencore takeover? The general commodity outlook for fertilizers is strong, so the operation might appeal to a predator despite its current problems. p.s. Today's RNS the first time the world "turnaround" has been used for the current situation. We still haven't had the full confession of the plant's obvious problems yet. |
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