Premier African Minerals Raises £500,000 to Support Development of Zulu Lithium Project

Premier African Minerals Limited (LSE:PREM) has secured approximately £500,000 through a share subscription and has also settled £100,000 of supplier invoices through the issuance of new equity at 0.0185 pence per share. In total, the company issued 3,243,243,244 new ordinary shares as part of the funding and debt settlement.

The capital raise and debt-for-equity arrangement are intended to support operational costs and manage outstanding creditor obligations at the company’s Zulu Lithium and Tantalum Project, while also providing additional working capital.

Most of the newly raised funds will be directed toward the installation and commissioning of a 15–20 tonne-per-hour flotation plant supplied by Xinhai at the Zulu project. The facility is designed to enable the production of lithium products at commercially viable grades and recovery levels, marking a key step toward stable processing operations.

Following admission of the newly issued shares to trading on AIM—expected around 17 March 2026—the company’s total issued share capital will increase to 17,501,485,100 ordinary shares with voting rights. The enlarged share count highlights the ongoing dilution faced by shareholders as the company prioritises stabilising operations and achieving consistent production at Zulu.

Despite operational progress, the company’s outlook remains challenged by financial pressures. Premier continues to report persistent losses, negative gross profit and ongoing cash burn. Technical indicators also suggest bearish market momentum, with the share price trading below key moving averages and showing a negative MACD signal. Valuation metrics provide limited support due to a negative price-to-earnings ratio and the absence of dividend yield.

More about Premier African Minerals

Premier African Minerals Limited is a mining and natural resources development company focused on projects in Southern Africa. Its key assets include the RHA Tungsten Project and the Zulu Lithium and Tantalum Project in Zimbabwe. The company also holds a broader portfolio of exploration and development interests spanning tungsten, lithium, tantalum and rare earth elements in Zimbabwe, along with lithium and gold projects in Mozambique, ranging from early-stage exploration to near-term production opportunities.