Pangea Diamond Share Discussion Threads

[cestnous] 11/7/2007 12:33

SWM
I would love to know you. Th post above referred to A. bond and in no way intended to refer to such a discerning poster as your good self. Looking forward to news, great fortune, senility and eventually, death. (Hopefully in that order)

Nous

[smilewithme] 11/7/2007 11:37

cestnous

dont know u

we got few weeks to go here then Dimbi - bingo!

:-)

[smilewithme] 10/7/2007 18:15

Bond sues over Lesotho Diamond claims
Email Print Normal font Large font July 10, 2007 - 1:39PM

Business high-flyer Alan Bond has launched a novel bid to sue freelance journalist Paul Barry over an article relating to his links to an African mining company.

Mr Bond and Lesotho Diamonds Corp Plc lodged a statement of claim in the Federal Court in Perth last month against Mr Barry and those who published the article in June, in London and Australia - News Ltd, News Digital Media Pty Ltd and Nationwide News Pty Ltd.

Lesotho Diamonds Corp cannot sue for defamation under current law so the pair are suing over an alleged breach of the Trade Practices Act.

Their claim alleges The Sunday Times exclusive article - entitled "Bond, the $1 Billion Man" - was misleading or deceptive.

The article made a series of allegations against Mr Bond and his conduct as a consultant to the Lesotho Diamonds Corp.

The case began with a brief directions hearing in Perth on Tuesday, where Yonnene Pearce, for Mr Barry and the media companies, said they needed more time to prepare because it was not "a run of the mill case".

Justice Robert French gave them until August 15 to respond to the statement of claim and lodge any strike out motion.

The directions hearing will then resume on September 12.

Outside the court, counsel Martin Bennett said his clients, Mr Bond and Lesotho Diamond Corp, had been "distressed" by the article.

"Both Mr Bond and the Lesotho Diamond say that the articles were misleading and deceptive - misrepresented what in fact occurs both within the company, Mr Bond's dealings with the company and the nature of the diamond tenements that are being explored," Mr Bennett said.

"This action will explore a little litigated section of the Trade Practices Act that tended to afford protection for media organisations ... and the question of whether it extends to Mr Barry acting as a freelance journalist.

"It will be argued probably on the 12th of September ... to determine whether or not this novel form of action can proceed."

Mr Bennett denied Mr Bond's pursuit of the matter was related to Mr Barry's long history of writing about the entrepreneur.

He said Mr Bond was interested in journalistic accuracy.

Mr Bond's early career went from sign writer to real estate developer and corporate high-flyer before he was convicted in 1997 of the biggest corporate fraud in Australia's history - stripping $1.2 billion from Bell Resources.

He spent just over three years in jail before his release in 2000.

[smilewithme] 09/7/2007 16:38

River Diamonds Pulls Plug on LDC Acquisition



By Avi Krawitz Posted: 07/09/07 02:59 [Submit Comment]


RAPAPORT... River Diamonds has dropped-out of a deal to buy a 4.8 percent stake in Lesotho Diamonds Corporation (LDC.) River Diamonds chairman Colin Orr-Ewing told shareholders July 6, 2007, the company decided to walk out on the deal after "consulting with both shareholders and River management." River Diamonds will retain a 0.5 percent stake in LDC.

LDC is 38 percent owned by Alan Bond, who was hoping the deal's GBP 4 million ($8 million) cash injection would edge LDC closer to a listing on the London Stock Exchange's AIM. Funds were to be used to develop LDC's advanced stage Kao Diamond Project in Lesotho, LDC stated when the deal was first announced in May 2007.

The Koa project is said to have a diamond reserve of 10.19 million carats and is touted to have strong mining potential. However, Bond's involvement in the project has deterred investors, given his controversial past, having been convicted in Australia's biggest fraud case for which he served a 3-year prison sentence.

Bond was hoping the River Diamonds deal would secure his stake in the company, which has been threatened by a group of rebel shareholders who claim his involvement is hindering progress at the Kao mine. They recently lured exploration company Pangea Diamond fields into bidding for a controlling stake in LDC.

In a countermove, Bond has reportedly approached a Middle Eastern investor to buy a one-third stake in LDC, thus reducing his own share to 30 percent.

[chris1983] 08/7/2007 15:36

ALAN Bond's three-year struggle to list his African diamond project on London's AIM stock exchange has suffered a big blow after a key ally pulled out of a £5.7 million ($A13.4 million) funding arrangement.

River Diamonds told shareholders in London that it would withdraw from a deal under which it could have emerged with a 6.7 per cent stake in Mr Bond's unlisted Lesotho Diamonds Corporation.

The River deal was seen as a precursor to Lesotho Diamonds listing on AIM.

River chairman Colin Orr-Ewing said on Friday the company had decided to walk out on the deal after consulting shareholders and River management. River would retain its 0.5 per cent stake in Lesotho Diamonds and remained in full support of the company and its Kao asset.

Lesotho Diamonds' key asset is the big Kao kimberlite pipe in the southern African nation of Lesotho. Despite positive feedback on Kao's potential, Lesotho Diamonds has struggled to win over broker support in London because of Mr Bond's involvement.

The failure to secure River's support comes at a critical time for Mr Bond, whose control of Lesotho Diamonds is under attack from disgruntled fellow shareholders who have fallen out with the convicted fraudster.

The rebel shareholders are thought to control 48 per cent of Lesotho Diamonds and have struck a deal with AIM-listed Pangea Diamond Fields to hand over their stake. This has prompted Pangea to launch a full bid for Lesotho Diamonds, a move being resisted by Mr Bond and his allies who speak for 38 per cent of the company.

In response, Mr Bond has tried to secure a Middle Eastern investor to chip in about £40 million in return for a third-stake in Lesotho Diamonds' enlarged capital base. Mr Bond's interests would be diluted to about 30 per cent. He could not be contacted for comment.

[chris1983] 07/7/2007 01:11

Seems that the coast is clearing for PDF. Reckon its only a matter of time before we get our hands on the KAO Diamond project....

[miningmx.com] -- RIVER Diamonds will not proceed with plans to take a 10% stake in Lesotho Diamond Corporation (LDC) after consulting with both sets of shareholders, the company said in an announcement. However, River Diamonds would retain a 0.5% stake in the firm.

River Diamonds also announced it had raised gross proceeds of just over £3m by the issue of 237.5 million ordinary shares. The cash would be used to finance working capital needs, it said.

River Diamonds was involved in a face-off with Pangea Diamond Fields which is attempting to take a 45% stake in LDC. LDC owns the Kao diamond project in Lesotho.

[chris1983] 28/6/2007 22:40

Smilewithme,

Maybe they meant "rain" in a metaphorical sense.

Like in a "why does it always rain on me" sort of way.

Nah, maybe not ;-)

[smilewithme] 25/6/2007 12:24

"So far Pangea has not spent any money on Kao. But it is not walking away from what it claims may be one of the largest unexploited diamond resources in the world"

Since the Lesotho Government supports PDF, believe it's only a matter of time before they get their hands on this gem and the project starts to move.

smilewithme

Lesotho: Juniors Tussle Over Diamond Mine

Business Day (Johannesburg)

25 June 2007
Posted to the web 25 June 2007

Emma Muller
Johannesburg

A COMPLEX takeover battle between two junior miners over Lesotho's Kao diamond project could have important implications for the Lesotho government.

Lesotho relies heavily on foreign investment to develop its natural resources, in particular diamonds, an important revenue stream for the government since the reopening of Letseng diamond mine in 2004.


Lesotho's political stability and investor-friendly mining regime have helped some interesting projects get off the ground, such as Letseng, which produced the Lesotho Promise, a 603-carat stone, bought for $12,36m by the famous jewellers Graff.

Kao is another potential gem. If it goes into production, the government can earn up to 20% from the project.

Based on projections from 1972, the mine can produce about 740000 carats a year with a mine life of more than 23 years.

A new study on the mine is expected some time this year. A bulk sample study, scheduled by the Lesotho Diamond Corporation (LDC) for the beginning of the year, was recently moved to June. This has now been pushed back to the end of the third quarter because of what the company said was bad weather, particularly in winter.

The latest twist involves AIM-listed Pangea Diamonds Fields, the junior miner run by South African entrepreneur Rob Still, and the LDC. Alan Bond -- the Australian business man who served three years in jail from 1997 to 2000 for Australia's biggest corporate fraud -- holds a significant stake through family trusts.

Excluding the shareholding from LDC's "supportive investors" -- River Diamonds and RAB Capital (a London hedge fund) -- Bond's stake is about 38%. Bond's involvement in Kao dates back to 2003, when he set out to raise funds for Kao's development.

Sources familiar with the case say Bond's involvement in Kao is one of the reasons that more than 40% of LDC's shareholders recently approached Pangea to make a bid for the company.

Last month, Pangea launched a conditional offer for LDC, saying its main objective was to speed up the possible development of Kao, with commencement of a bulk sample study as its first step.

In its offer announcement, Pangea said it had the management and liquidity to bring Kao into development, with Still saying all he wanted was to move the project forward.

The company also wants to share management and have joint board presentation with LDC -- an offer Bond rejected.

Meanwhile, some have questioned Bond's ability to raise money.

In 2004, LDC unsuccessfully pursued a listing on London's AIM. The Times then suggested that Bond's links to LDC as a consultant, and the size of his shareholding, had hurt interest.

A London-based analyst says: "Bond's reputation in all investment markets is poor. So far they have not been able to raise money." LDC said it was comfortable it would be able to raise funds for the bulk sample. According to a spokesman in London, a "major investor in the Middle East" was interested in taking a substantial stake, and was now doing a due diligence investigation.

The Letseng mine, in which the government has a 30% stake, has given it huge prestige as a small but successful exploration ground with a production that has exceeded all expectations.

Although the average dollar value of diamonds produced by Kao is considerably less than that of Letseng, world production declines could help to improve Kao's profitability.

So far Pangea has not spent any money on Kao. But it is not walking away from what it claims may be one of the largest unexploited diamond resources in the world.

The government, keen on the project taking off, could risk further delays from the protracted battle. It declined to comment.

But Bond's increased involvement in the project is a bigger concern, according to industry sources.


Bond has presented himself as a consultant to LDC, although his influence and stake through family trusts has increased considerably since 2003, when he held 25%. Bond's son Craig also sits on the board of the Gibraltar-registered company.

The fact that more than 40% of the shareholders -- including geologists, and the former management -- have turned to Pangea is telling.

"The last thing the government needs is Alan Bond. He is seen as an impediment to the company, because people don't want to invest in it," says the analyst .

[chris1983] 21/6/2007 15:44

Ok, still holding steady before the news we await. Thanks.

[smilewithme] 21/6/2007 15:35

Same way as it can go up on no volume!

[chris1983] 21/6/2007 14:53

How can this go down on no volume?

[smilewithme] 20/6/2007 11:42

Great spot Chris, only a matter of time before PDF get their hands on KAO.

[chris1983] 20/6/2007 11:38

Battle for control of Kao



A complex takeover battle between two juniors over Lesotho's Kao diamond project could have important implications for the government. The landlocked country in the highlands of southern Africa relies heavily on foreign investment to develop its natural resources, in particular diamonds which have become an important revenue stream for the government since the re-opening of Letseng diamond mine in 2004.



Lesotho's politically stable climate as well as an investor friendly mining regime, has seen some interesting projects come off the ground, such as Letseng, which produced the Lesotho Promise, a 603-carat stone, purchased for $12.36 million by Graff, the famous jeweller.

Kao is another potential gem. If it goes into production, the government can earn up to 20% in the project. Based on projections from 1972, the mine will produce around 740,000 carats per year with a mine life exceeding 23 years. A new study is expected sometime this year.



The latest twist involves AIM-listed Pangea Diamonds Fields, the junior miner run by South African entrepreneur Rob Still, and Lesotho Diamond Corporation (LDC) in which Alan Bond, the Australian businessman who served three years in jail from 1997 - 2000 for perpetrating Australia's biggest corporate fraud, through family trusts holds a significant stake. Including, the shareholding from LDC's "supportive investors" – River Diamonds and RAB Capital (a London hedge fund) – his stake is around 50%. Bond's involvement in Kao dates back to 2003, when he set out to raise funds for Kao's development.



According to sources familiar with the case, Bond's involvement in Kao is one of the reasons why over 40% of LDC's shareholders recently approached Pangea to make a bid for the company. Last month, Pangea launched a conditional offer for LDC, saying its main objective was to speed up the possible development of Kao, with commencement of a bulk sample study as its first step.



In its offer announcement, Pangea said it had the proper management and liquidity to bring Kao into development. The company also indicated that it wants to share management and have joint board presentation with LDC – an offer Bond rejected.



A bulk sample study, scheduled by LDC for the beginning of the year, was recently delayed until June. This has now been pushed back to the end of the third quarter as a result of what the company described as bad weather conditions. Although, poor weather conditions are normal in Lesotho during this period of the year, snow is quite frequent in winter.



Meanwhile, some have questioned Bond's ability to raise money. In 2004, LDC unsuccessfully pursued a listing on London's AIM. The London Times then suggested that Bond's links to LDC as a consultant and the size of his shareholding had dampened interest. An analyst speaking on the basis of anonymity said: "Bond's reputation in all investment markets is poor. So far they have not been able to raise money."



LDC said it was comfortable it would be able to raise funds for the bulk sample. According to a spokesman in London, a "major investor in the Middle East" was interested in taking a substantial stake, and was now doing due diligence.



The Letseng mine, in which the government has a 30% stake, has given it huge prestige as a small but successful exploration ground with a production that has exceeded all expectations. Although the average dollar value of diamonds produced by Kao is considerably less than that of Letseng, world production declines could help to improve Kao's profitability.



So far Pangea hasn't spent any money on Kao. But it is not walking away either from what it claims is potentially one of the largest unexploited diamond resources in the world. The government, keen on seeing the project take off, could risk seeing further delays as a result of the protracted battle. But it is Bond's increased involvement in the project which is a bigger concern, according to industry sources.



Bond has presented himself as a consultant to LDC, although his influence and stake through the family trusts has increased considerably since 2003, when he held 25%. Bond's son Craig also sits on the board of the Gibraltar-registered company. The fact that over 40% of the shareholders - including geologists, and former management - have turned to Pangea is telling.



"The last thing government needs is Alan Bond. He is seen as an impediment to the company, because people don't want to invest in it," said the analyst, speaking on the basis of anonymity.

[p15343] 17/6/2007 21:29

Just came across this link courtesy of 'Resource Investor' hoping he doesn't mind but it is relevant to holders of Pangea. I hold PAF and was not aware that Pangea will own 6% of them. They are due back off suspension following a recent reverse merger of a gold producer. Hense the rerating of PAF as a then gold producer as well as explorer should give the share price a wee lift here too. Just my deduction of course. Sorry if this is all old news but i am only recently a new shareholder here too.
Good luck to all holders.
Dave.

[smilewithme] 08/6/2007 23:59

"We are very excited about CAR and Dimbi," Still said.




Pangea 3 months behind in diamond target

Allan Seccombe

Posted: Fri, 08 Jun 2007
[miningmx.com] -- PANGEA DiamondFields is about three months behind in its work to reach a target of three operational mines by the end of 2009, but the AIM-traded company has a lot of projects in Africa to work through.


The focus is largely on alluvial diamond because it is relatively cheaper to mine those deposits, economic diamondiferous kimberlites are rare and expensive to process, and they lend themselves to modular exploitation as confidence in the deposit increases.

Pangea is actively exploring and sampling projects in Central African Republic (CAR), Democratic Republic of Congo (DRC), Angola and South Africa.

It also has the rights to about 45% of Lesotho Diamond Corporation, a private company that owns the Kao kimberlite pipe in Lesotho, not far from Gem Diamonds' Letseng mine.
three months behind where we would like to be"We would hope Dimbi (in CAR) ends up as an operational mine, depending on results. We would hope to get one mine operational in South Africa and one in the DRC," Pangea CEO Rob Still told Miningmx.

"We are three months behind where we would like to have been. We are unable to say any one of them will be successful or that they aren't," said Still, a well known figure in the southern Africa mining industry, but who tries to keep a low public profile.

At Dimbi, near the southern CAR border, Pangea will spend the rest of this year and into the first quarter of next year working at the project before deciding the best way forward.

"We are very excited about CAR and Dimbi," Still said.

Work done by Pangea so far has shown grades running at between 0.5 and 2.75 carats per cubic metre or two tonnes of material. There is at least 75 million cubic metres of material signed off at the project, he said.

"We like the diamonds we are producing," he said. "The next event is the sale of a diamond parcel to get a statistical carat value. We expect that in the next two or three months."

Pangea has worked hard in South Africa to secure the mineral rights to a project north of Kimberley called Harts River, Bakerville to the west of Johannesburg and Bloemhof, near the town of the same name between Kimberley and Johannesburg.


Click Here to subscribe to our daily newsletterThe rights were previously regarded as sterilised and were largely ignored because they were located in tribal lands. Changes in mining legislation in 2004 made the rights available.

"It took us a long time to put the rights together," Still said of the Harts River project, where a one million tonne bulk sampling project has been conducted.

"It has a great deal of diamonds, much like the Middle Orange River," he said.

However, the grades are on the low side at 0.2 to 0.25 carats per cubic metre. A second phase of bulk sampling is underway and Pangea is trying to better understand the micro geology of the area and achieve larger grades.

The Bakerville area was home to one of the largest diamond rushes. Work has traced the Bakerville gravel line and identified two trap sites where bulk sampling has begun.

Work in the DRC is focussed on Tshikapa.

"We had 12 million carats signed off a year ago, but we've added land north and south and we expect to double that," Still said, adding a pilot plant should be operational on the concession in July.

Pangea has half of a 65% stake in only one of two old order rights in Angola, where the state diamond company Endiama does not hold a majority stake. Pangea has the option to the remainder of the 65%.

There is a small operation in northeastern Angola, which produces up to 4,000 carats a month.

"We've outlined what we think is nine to ten million carats in some good geology. But we will not build our operation there until we get our own licence, which we are currently negotiating," Still said.

[smilewithme] 07/6/2007 19:41

"The outlook for the jewelry market is healthy," he said. "Even Warren Buffet has signaled he is open to acquisitions in the sector."

"At junior mining level, consolidation has already begun. Recent moves include Gem Diamonds' acquisition of BDI Mining, Mwana's bid for SouthernEra, and Pangea's offer for Lesotho Diamond Corporation"



De Beers triggers M&A activity


By: PolishedPrices

07.06.07 / World

The sale by De Beers of some of its assets is setting the tone for more merger and acquisition activity in the diamond industry.



Rio Tinto, rumored to want to acquire De Beers' Cullinan mine as well as Finch, has itself recently been earmarked as a takeover target by analysts. Another potential take over candidate is Aber Diamond, although its Harry Winston business could serve as a poison pill for any mining company wanting to buy the company's 40% stake in the Diavik diamond mine.



Xstrata, which recently sold its stake in Gope, a relatively small diamond exploration project in Botswana, to Gem Diamonds for $34 million, is said to be looking at a bigger presence in the industry. Xstrata spokes women Claire Divver said the company would not comment on market speculation.



At BHP Billiton, the announcement last week that Marius Klopper - who was been described as a keen deal maker - will succeed Chip Goodyear as the company's CEO has sparked renewed rumors that the diversified mining group may put its Ekati diamond mine up for sale. This has been reinforced by the fact that BHP has been unable to grow its diamond unit into a business of scale since acquiring an 80% stake in Ekati in 1998. Although some are skeptical about a possible sale: "Its going to be a difficult sell, its an old mine that is going to die, they have to finish the mine's end of the life and even with the underground project it is not going to be a long time, its like taking a 45 year old women," said a major player in the industry.

At junior mining level, consolidation has already begun. Recent moves include Gem Diamonds' acquisition of BDI Mining, Mwana's bid for SouthernEra, and Pangea's offer for Lesotho Diamond Corporation.



Supply constraints combined by De Beers' decision to cut the number of wholesalers and manufacturing clients next year will also force alliances and possible takeovers further downstream, both at wholesale and retail.



In the US, the world's biggest market for polished diamond sales, a consolidation trend is emerging among smaller retailers, as the margins that were previously generated have come under pressure from increased price transparency. "The price transparency introduced by online players like Blue Nile has had a big impact on margins of small traditional jewelers," said an Ohio-based retailer.



"The outlook for the jewelry market is healthy," he said. "Even Warren Buffet has signaled he is open to acquisitions in the sector."

[smilewithme] 07/6/2007 19:39

Highly Geared

Welcome -some one on the ground in SA told me that I will do very nicely out of this one, so here's hoping - but lots of patience required!

[highly geared] 06/6/2007 22:32

Bought a small punt in these this afternoon. Reliably managed to shift the share price down a penny! Still, looks an intruiging play on 2 fronts. Happy to hold for a couple of years and hopefully be in on a decent gain.

All the best.

[smilewithme] 05/6/2007 16:32

Apart from a rollover, 161 shares traded today!

Massive ;-)

[smilewithme] 04/6/2007 17:50

Isreali Diamond News

May Highlights

By: PolishedPrices

04.06.07

Lesotho

Pangea Diamonds Fields, the junior miner run by South African entrepreneur Rob Still, launches a conditional offer to buy Lesotho Diamond Corporation (LDC), 93% owner of the Kao project in Lesotho. Privately-held Lesotho Diamond Corporation says it expects shareholders owning over 50% of the company's shares to reject the offer for the company. LDC is 38% held by family trusts of Australian entrepreneur Alan Bond, the Australian business man who served three years in jail from 1997 -2000 for perpetrating Australia's biggest corporate fraud and describes himself as a consultant to LDC.

[smilewithme] 03/6/2007 18:27

What will Rob Still do about LDC?

1. Give up

2. Keep banging on the door until sense prevails - maybe the govt will help him out (they want the money from the diamond mine too)

3. LDC share holders sell him some more - unlikely.

Am betting on 2, but I love the stability of the share price and the fact that the hordes are not here.

Always a good sign before a multi-bagger ;-)

[cestnous] 03/6/2007 10:37

SWM

Like you, I was in for the other projects but if the pernicious Bond fails here (which I hope he does), then we could see a real and for me, unanticpated jump in the share price )
Keeps up the interest, and we have the added value of our own soap opera.