Member Info for MisterPositive

Last week we had a 6.31 PM RNS....so another 20 mins to go. May be they are typing it out properly. Should come through soon as they need to decide on placing share admission to LSE. or Might drop a 7:00 AM rns.

Mate...really testing the patience now, must say. Not long hopefully to hear some 'Good News'. Think we are overdue some kind of Cheer....

Agree with you. Should come good......just insane to walk away and throw all the hard work that all parties have put into it, for a small temporary adjustment towards the financial restructuring of loan terms. imo

http://www.miningweekly.com/article/state-owned-financial-services-provider-broadens-perspective-to-keep-juniors-afloat-2017-01-27 "This access to alternative funding sources now afforded to South African suppliers will benefit the continued growth and development of these companies and, therefore, the development of the South African economy."

That's also my take on things that IDC is just flexing their muscles a bit taking advantage of the current situation to get terms agreed more in their favour with respect to Loan restructuring & revised Interest rates, etc. Deep down even IDC know that to accept a small haircut now is prudent and beneficial for all parties in the long term.

Valency, as always thanks for your thoughts and good reference to the BR Act.....common sense should prevail. Also that specific deadline of 30 Jan 2017 for IDC talks to be concluded was quoted in reference to the 'Admission' of Placing shares on 31 Jan 2017. Can the company simply not request LSE to defer admission of placing shares until IDC agreement is in place ?

tozerk, based on sanity......which i think will prevail in the end. Also my sixth sense & faith. There is nothing else we can do.....its out of our hands. Common sense & sanity should prevail in the end. Never say never.....

Jaf, we have all been there mate.....made few wrong calls myself and lost a fair chunk.......hang in there. I have a strong feeling this will come good. Let's start praying & hope for the best outcome.

I personally think sanity will prevail in the end. John Meyer of SP Angel, who is very respected city analyst, also suggested sanity should prevail in the end. Any other decision and no body wins. It will be 'egg on face' for both IDC and SA Govt. to let it go under without any attempt to mediate. Backlash will be massive from all quarters. SA Govt. needs to promote investments & make an attempt to improve their Credit Ratings, not send the wrong message to the business world. imho

Bottom line is......let's all hope sanity prevails and hopefully IDC will come to some mutually amicable agreement with 'DiamondCorp' board to ratify the deal by 30 Jan 2017. I have engaged with PL on a very professional manner only offering thoughts and some constructive suggestions simply so that "PHASE 1" can be successfully implemented and LDM can resume operations ASAP. Time will tell if it was worth the effort. Best wishes all & Good luck.

Don't know exactly what issues IDC have. They signed a formal standstill agreement till the end of BR plan, which has estimated completion / implementation time-frame till end of Apr 2017, imho So don't know what their issue is ? May be IDC are using current situation to strike better loan terms on the loan rollover. Whatever the issue, I am sure some amicable solution can be negotiated, otherwise no body wins. The £18m project loan is secured...fine....but if Lace Mine is put in administration then IDC should ask this : 1. How long will that administration process take? 2. What final price would the administrator realise for Lace mine in the end ? 3. Will sale proceeds be sufficient to pay off the £18m ? or 4. Do IDC take a loss on the original £18m project finance? 5. Will it not be prudent to take a small hair-cut short term for long term profit on their loan? 6. Is it not prudent to re-start mining operations at Lace and get back to profitability? More chance to pay off IDC. 7. Are IDC willing to face backlash from all quarters in pushing Lace mine into liquidation? 8. Is SA Govt. willing to take a backlash from this debacle, given already lower Credit Ratings? Got to mediate now I am sending this list to PL right now.....this needs to be acted on now, not later. Had enough of this blackmailing from different parties to hold this company hostage. All imho.

Got a reply from PL, but he could not give any more details due to Disclosures. Think IDC will come to some sort of 'agreement / compensation' of some sort by the weekend. imho Would seem far too silly having made so much progress towards implementing Phase 1, only to throw it all away. Political backlash would be huge and IDC will be seen as the 'Villain' here if they do not engage in positive talks. Again stressed in my email for SA Govt. to mediate in talks to reach common ground. Time for the Govt. to earn their votes....don't you think? imho

RNS.....25 Jan 2017 "Regrettably, Deloitte & Touche, the business rescue practitioner of Lace Diamond Mines (Pty) Limited has thus far been unable to reach agreement with the secured lender, the Industrial Development Corporation of South Africa ("IDC") with respect to various issues related to the Board's obligations pursuant to this Placing." No details were published in the 25 Jan RNS about the last sentence......(I have asked PL for clarification). 'with respect to various issues related to the Board's obligations pursuant to this Placing.'

Below is what I have found from recent RNS announcements... LDM Creditors: * Diamondcorp is Lace’s largest creditor with £36mln owed through a subordinated loan. * South Africa’s IDC is the next largest creditor with an £18mln project loan. RNS......13 Jan 2017 "As previously announced, a standstill agreement has been reached with LDM's primary secured lender, the Industrial Development Corporation of South Africa (the "IDC")." "The Group has also now formally entered into standstill agreements with: (i) the Group's UK bondholders until such time as Business Rescue proceedings in respect of LDM have been concluded; and (ii) the South African bondholders until such time as Business Rescue proceedings in respect of LDM have been concluded or until 13 March 2017, whichever occurs first. Should an extension be necessary, the Group would seek to extend the duration of the various creditor standstill and amendment agreements where and if deemed appropriate." RNS........19 Dec 2016 "The Industrial Development Corporation of South Africa (the "IDC"), the primary lender to LDM, has formally agreed to a standstill with respect to its rights under the secured project loan to LDM until the completion of the business rescue process."

Ok, yes will take AMCU good news on board first; will have a look at IDC secured loan terms, Amount O/S, etc To summarise thus far: 1. Placing to raise £1.00 M.................................................................................................................DONE 2. AMCU labour talks.............Agreed in Principle.......to sign formal documents..........Almost DONE 3. IDC raised issue with Board's handling of the Placing and not happy...................................PENDING Point 3: IDC not happy ? may be with terms, OR were unable to participate, etc.....confused myself (need to dig bit more) as to what needs to be done to win them over. No other choice than to negotiate & address their grievances and find common ground in order to implement Phase 1. If any other LTH finds something on IDC loan terms, details, then please share ASAP. Will get back to you guys. We are almost there. Think its about time that SA Govt. steps in to facilitate IDC negotiations. Time for Govt. to earn their votes ? imho

In my opinion Section 54 closures in DCP case came across as abuse of power by the DMR. There was no case for section 54 when only the truck caught fire, in my honest opinion. There was no case for total closure of mine operations. I wonder if these people at the DMR are even properly qualified OR understand the implications of such rash decisions to pump their egos. imho Section 54 closure resulted in unnecessary closure of mine and the resulting almost 50% drop in share price. This then caused the convertible Debt party to walk away from the deal leading to further drop in share price. I know DiamondCorp has a case against the DMR, but will probably not pursue that route due to BR priorities, which is more sensible. But company needs to be compensated for the ripple effects of that stupid section 54 closure slapped by the DMR. imho Any way rant over.....May be one of the bigger companies should face up to this bullying of the DMR and set the records straight....imho

DiamondCorp (LON:DCP) Suspended – DiamondCorp raises £1m DiamondCorp has raised £1m from investors. The placing is conditional on “Admission becoming effective and the Group concluding a labour agreement with the Association of Mineworkers and Construction Union that is on terms approved by the Business Rescue Practitioner, on behalf of LDM, and by the Board of DiamondCorp.” The new shares have been placed at a price of 4 pence per share and with one warrant per new placing share exercisable at 1 pence per share anytime between 1 Novermber 2017 and 30 June 2019. Conclusion: The placing gives new confidence over the company’s debt restructuring and its ability to return the Lace diamond mine to production. The company remains in a state of ‘Business Administration’ following the recent fire and subsequent flood which forced the closure of the mine. Closure of the mine during its critical production ‘ramp-up’ stopped cash flow generation when the company had spent virtually all its cash and was at its most indebted. We expect the mine to reopen shortly and for the shares to resume trading sometime soon.

Valency, appreciate your detailed analysis. My thoughts below on next steps : * BR practitioner will now list all outstanding payments due in order of priority, Secured vs Unsecured, etc. * Insurance claim funds will boost cash balance ; gives better cashflow visibilty and timing of future payments * Back Wages - full or Part payment ; Accrual of some of Back Wages will be prudent & can be paid after ramp Up * Standstill agreements - some were deferred to 2018 ; some till end of BR process is completed (whatever date?) * Labour Talks - AMCU will need to reach a compromise to secure jobs OR face total lay off of work force (should be no brainer.......but they will try to wiggle out maximum for union workers to look like heroes). Outcome of AMCU labour talks with BR Practioner will decide next steps in Phase 1 implementation. imho. Let's see when we get the wage talks update.

That's great. Yes I was there twice last year. Next trip planned for may be in Feb / March this year. Will let you know. Yes always need few Cold / chilled ones there. Will be great to catch up. Mr P

Valency, appreciate your thoughts. I have emailed some suggestions to PL for the talks. Agree, next hurdle is the labour talks & to reach an amicable deal with AMCU in order to restart mining operations, and repairs ASAP. Phase 2 fund raise should be pretty good. Have also requested PL to ensure 'Prospectus' is published for Phase 2 to avoid issues private investors faced during Phase 1 as I am looking to subscribe for about 1m or so. Best wishes all. p.s Where abouts in Middle-East are you? I visit that region almost annually, sometime twice a year.