Premier Appoints VSA Capital as Corporate Adviser to Advance Zulu Project
London Stock Exchange-listed mining and exploration junior Premier African Minerals Limited has taken a significant step in its journey to unlock the potential of its flagship Zulu Lithium and Tantalum Project in Fort Rixon by appointing VSA Capital Group plc (VSA) as a corporate adviser. VSA will assist in advancing strategic objectives, particularly corporate and financing options for the project.
By Rudairo Mapuranga
Announcing the partnership, Premier’s CEO George Roach expressed optimism about the expertise VSA brings to the table.
“We are delighted to have appointed VSA, which has a track record of working with and successfully concluding natural resource deals with China-based companies. Given their experience in the natural resources sector, particularly in battery minerals, and their presence in Africa and Asia, we believe VSA will provide invaluable support as we pursue our corporate objectives,” Roach said.
This move comes on the heels of Premier’s recent updates on Zulu, which revealed significant potential in spodumene recovery and a promising mineral resource profile. However, the project remains stalled due to financing challenges.
VSA Capital is a London-headquartered investment banking and broking firm specializing in natural resources, transitional energy, and technology. With a footprint in Shanghai and partnerships in Australia, Kenya, and South Africa, VSA’s global reach aligns with Premier’s ambitions to engage international markets, particularly in Asia and Africa.
The firm’s recent strategic partnership with Drakewood Capital Management Limited enhances its capabilities in commodities trading and fund management, making it a fitting partner for Premier as it seeks financing solutions for Zulu.
Premier’s Zulu Project has long been regarded as a high-potential lithium and tantalum resource in Africa, but operational progress has been hampered by funding constraints. The company has explored various options, including partial sales, joint ventures, and self-financing additional spodumene flotation plants.
Despite challenges, recent test work has shown that minor adjustments to the plant’s reagent setup could achieve acceptable spodumene grades and recoveries without significant structural changes. However, financing remains the critical barrier to restarting operations.
The announcement of VSA’s appointment has sparked mixed reactions among stakeholders. Some investors remain skeptical, citing ongoing delays and dilution of shareholder value, while others see this as a positive step toward resolving Zulu’s financing woes.
Premier’s decision to bring in VSA as a corporate adviser signals a renewed commitment to advancing the Zulu Project. With the global demand for battery minerals on the rise, the successful development of Zulu could position Premier as a key player in the lithium supply chain.