Lonrho Mining - LOM

[macduffy]

Here's a challenge for anyone looking to research a stock with high risk but potentially high returns.

LOM, no, not the late lamented Lombard Finance but the manager and operator of the Lulo alluvial diamond concession in Angola. Exploration has so far recovered numerous sizeable stones, including two of 131.49ct and 53.15ct respectively. The bigger one is said to have a projected value of $4m+.

A mining licence is yet to be issued and the complicated structure of the venture, including govt interests, warrants serious research before investing. It's a bit too speccy for me at present but I've been following the stock with mild interest for a few months. A recent news item about Tiffany and Co's interest in exploration caught my eye, especially the bit about a forecast shortage of rough stones.

http://www.diamondnewsagency.com/tiffany-and-co-funding-diamond-mines

Would be interested in other views, etc.

Later:

I've just had another look at LOM and find that they changed the company name yesterday!

http://www.asx.com.au/asxpdf/20121018/pdf/429gddv979ytk1.pdf

Now, how do I change the title of the thread?

[percy]

Just as well they changed the name.I thought Tiny Rowland had risen from the dead.! [He did die?] Enjoyed the book by Tom Bowler,Tiny loved to employ ex MPs,as they were as bad as him.

[trackers]

Hi macduffy, I've browsed this one a bit too - They're certainly in good company in terms of neighbourhood, and that diamond they found was enormous! Only ASX listed diamond miner also?

[macduffy]

Hi macduffy, I've browsed this one a bit too - They're certainly in good company in terms of neighbourhood, and that diamond they found was enormous! Only ASX listed diamond miner also?

Yes, I think so, trackers.

There is DiamonEx - DON - but they've been suspended since Jan 2009!

Not sure that even RIO are still involved with diamonds any more. Didn't they sell Argyle?

:confused:

[macduffy]

Not sure that even RIO are still involved with diamonds any more. Didn't they sell Argyle?



I'm not sure where I got that last bit!

RIO still own Argyle although it doesn't figure very prominently in RIO's business these days. Not surprising really, given the relative scale compared with the massive iron ore mines and RIO's other interests.

[Aotea]

Post 30:1 consolidation, LOM is on the run....up 57% today

They have two year licenses for alluvials and kimbalites. Recent excavations of a less-likely part of the 220ha kimbalite pipe found diamonds, albeit small ones. The significance of the shallow find cant be over-stressed. Type II most likely. This is set to rocket. Have had a holding for a while and picked up a few parcels prior to consolidation. Bloody good and good be ready to rocket!

Latest announcemtn for a NY presso.
http://www.asx.com.au/asxpdf/20140613/pdf/42q63cs3q4vtqq.pdf

[Aotea]

Up another 27% today at close..presentations in the States kick off tomorrow. Should be another good day tomorrow.

[Aotea]

Four kimberlites found so far..more to come with only a fraction explored to date. Up another 27% today..and expect a solid jump tomorrow morning once news sets in.

Type IIa diamonds and a multi-bagger already.

Anyone holding this stock?

[Aotea]

Up another 7.5% today to 50.5.
This puppy is going to be huge one day, can't believe how little the interest here is in this one....a solid take-over candidate

[penn]

Must fess-up, was watching this one for a while, but when they found that alluvial 404ct 'icicle' I thought they must be close to the 'pipe' and i picked up a few. So my modest holding is only up 20%
at the moment, but agree, the future sure looks rosy. The Angolan govt are a substantial partner (32%) so don't expect a take-over to be easy, unless it is they who do the 'taking" but so far so good, The Big rock (27th largest ever?) has been sold and a special distribution was made - Lucapa’s net share of the special distribution totalled US$5.9 million (A$8.3 million). Now they are drilling for the kimberlite 'source' It could just go boom!
butdyorihaniwiata. ;)

[Gwynn]

Do any LOM holders have information on the timing and process for the gazetting? This is one of the biggest risk factors and stock handbrakes - IMO - and I just can't find much in the way of intel on it. The HotCopper LOM crew don't have much on this.

[Aotea]

Do any LOM holders have information on the timing and process for the gazetting? This is one of the biggest risk factors and stock handbrakes - IMO - and I just can't find much in the way of intel on it. The HotCopper LOM crew don't have much on this.

It is totally at the control of the Angolan government...could be tomorrow, could be next month, could be never. You're right thou, the gazetting is the key hurdle.
Big risk, but no doubt its one of the worlds best new finds.