IMO we will need to wait for the AGM & DEMAND answers from not...

IMO we will need to wait for the AGM & DEMAND answers from not only TS, but the directors as well to questions such as :-
- were securities put in place before the loan & royalty agreement was signed with TMC?
- if "no" why not?   If "yes" will action be taken on a default situation (which has already occurred with the royalty payments)

If they refuse to answer, whether on "commercial sensitivity" grounds or whatever they will need to be reminded of their obligations under the Corporation Act 2001 - esp section 180 - 184.
Hopefully by the time of the AGM all will be sorted but I am not terribly optimistic.

FYI

"mce-anchorGeneral Duties of Directors - Corporations Act 2001 (Ctth)
  
The Corporations Act 2001 (Cth) requires that a company director or other officer exercise their powers and discharge their duties with care and diligence [s 180]. This duty is subject to a business judgment rule that requires a director making a business judgment to:

• make the judgment in good faith and for a proper purpose;
• not to have a material personal interest in the subject matter of the judgment;
• inform themselves about the subject matter of the judgment to the extent they reasonably believe to be appropriate;
• rationally believe that the judgment is in the best interests of the corporation.

In addition, directors and other officers of companies must exercise their powers and discharge their duties in good faith in the best interests of the corporation and for a proper purpose [s 181]. They are prohibited from improperly using their position to gain an advantage for themselves or someone else or to cause detriment to the corporation......

The Corporations Act 2001 (Cth) also sets out criminal offences where a director or other officer acts recklessly or is intentionally dishonestly in their failure to exercise their powers and discharge their duties in good faith and in the best interests of the company or for a proper person. Similarly, criminal offences are created where a person recklessly or intentionally dishonestly misuses their position or information they have gained through their position with the company [s 184].
Directors have a duty to make full and frank disclosure of information within their knowledge to enable shareholders to make properly informed judgments on any matter [s 191]."