Premier African Minerals has agreed to settle a US$2.4 million claim by contractor J R Goddard Contracting, a move that has temporarily halted enforcement action against movable assets at its Zulu Lithium and Tantalum Project in Zimbabwe. The action followed the issuance of a writ of execution in December.
In a statement, the AIM-listed miner said it had entered into a “mutual release and settlement agreement” with J R Goddard Contracting in relation to the “Writ of Execution for Movable Property at the Zulu Lithium and Tantalum Project” announced on December 23, 2025.
Under the agreement, Premier and its Zulu Lithium subsidiary will make an initial payment of US$400,000 on or before January 30, 2026. The remaining balance will be settled through monthly instalments running until November 2026, with interest accruing at the applicable judgment rate on a reducing balance.
The company said the agreement provides for the suspension of enforcement action by JRG for as long as Premier and Zulu Lithium remain fully compliant with the agreed payment schedule.
However, it stressed that the arrangement “constitutes a forbearance arrangement only and does not represent a novation or waiver of JRG’s existing rights until the settlement amount has been paid in full”.
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Premier chairman Godfrey Manhambara said the agreement had eased immediate pressure on the company and its flagship lithium project.
“The Board of Premier is pleased to confirm JRG’s agreement to stay execution and views the Settlement Agreement as a highly positive outcome, providing future certainty and enabling the Company to progress its funding and operational initiatives at Zulu Lithium,” Manhambara said.
He added that the agreement also creates an opportunity to actively strengthen the Board through planned future director appointments.
Despite the settlement, Premier did not disclose how it intends to fund either the upfront payment or the remaining instalments. Any failure to meet the agreed payment schedule would allow JRG to resume enforcement action against project assets.
The company also acknowledged ongoing governance challenges following a board change announced earlier this month, saying it “recognises the need to strengthen its composition as soon as practicable”.
Premier said its objective is to appoint technically focused candidates with the capacity to make a real contribution, and with relevant market experience to support the next phase of development at Zulu Lithium, adding that the process “is being treated as a priority”.
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