Member Info for MisterPositive

Close of Placing extended to 16:00 pm Friday 20 Jan.... AMCU agreement is what the company really needs...............I don't know the terms but may be workers are ask to accept lower wages in the short term.....to get mine restarted.....with may be higher wage in future OR accrue wage arrears short term to be paid once the mine is up & running...imho. AMCU deal.... with workers should have been agreed by now.......Its no brainer. Everyone has to bear short-term pain for the long-term gain which will clearly be there once we get started and ramp up production, imho.

cheers mate.....saw that earlier. Placing Update "Very good progress is being made in respect of successfully completing the bookbuilding process of the Placing. In order to facilitate certain expressions of interest, the closing of the book is being extended to 16:00 UK time on 20 January 2017."

oldpro, If you don't mind me asking how many shares are you subscribing for ? I am looking to take 300k @ 4p.....and get additionally 300k FREE warrants attached with Ord shares. Happy to pay 1p to convert come Nov'17 Any other holders intending to subscribe for any Placing shares ? Looks like a great deal if you are happy to wait for 6 months for a 5x Bag or may be higher from 2.50p average price (placing + warrants), imvho.

Just read the RNS again...... Effectively the Placing shares & Warrants (combined) deal seems to be quite attractive: 1 Placing share @ 4p each 1 Warrant @ 1p each ------------------------------ 2 shares @ 2.50p ------------------------------ Average cost per share @ 2.5 each, IMO is an excellent entry price for both new investors & existing LTH. Given the prized asset this company has, Lace Diamond mine with USD$1.5 Billion worth of diamonds. P.S: You get the warrant free for now and pay 1p whenever you exercise it into 1 new Ord share. e.g. if the price is say 10p in 8 - 12 months, you are well in profit on your warrant. DYOR, IMHO.

oldpro, good work....just spoke to Tom at Panmure. Have to call my broker now to confirm my commitment as how many shares i can afford. Apparently their is no limit. You can subscribe for as many as your budget allows. You can do it only via your broker. Next steps: 1. Contact your personal broker (giving them amount you want to subscribe) 2. Your broker needs to contact Panmure Gordon to place order & give commitment of £££ Panmure Gordon Tom Salvesen 0207 886 2904 P.S: If you want to get your hands on these at 4p (with 1p warrant) then need to act quickly before book building closes tomorrow. Lets do it folks. Best wishes & Good luck all. MP

jaf, at least you are ahead of myself...will call my broker in a minute to get some info. Is the book building supposed to close by 19-JAN ?.......by close tomorrow ?

Has anybody called / emailed Panmure Gordon ? how to get our hands on placing shares... May be I will check with my personal broker also.....may be they can guide. Will report back as soon as I find out.

http://www.miningweekly.com/article/finding-financing-solutions-will-be-focus-of-upcoming-diamond-summit-2017-01-12

http://www.miningweekly.com/article/diamondcorp-embarks-on-1m-raising-for-lace-mine-2017-01-13

http://www.proactiveinvestors.co.uk/companies/news/171608/diamondcorp-to-raise-1mln-as-first-step-to-rescue-lace-mine-171608.html Diamondcorp is Lace’s largest creditor with £36mln owed through a subordinated loan. South African-focused diamond miner Diamondcorp Plc (LON:DCP) is to raise £1mln through a placing as a first step in pulling its Lace mine out of Business Rescue. The shares will be issued at around 4p through a bookbuilding exercise by Panmure Gordon with a warrant attached that can be exercised at 1p. A condition of the placing is that a labour agreement is reached with the AMCU union over back wages and staff reductions, without which the miner said it faces insolvency. If it can conclude the placing, the next phase will start to ramp up operations at Lace again. That will see more money raised and a new management team join the company 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. Diamondcorp shares will remain suspended until the Business Rescue process is concluded

Folks - my interpretation of the RNS summarised below as bullet points - (keeping in mind the USD$1.5 BILLION worth of diamonds at Lace mine). Who will let go of such a prized asset ?...."short term pain for long term gain".... PHASE 1 1. Phase 1 - Placing @ 4 p - Issue 25m New shares @ 4p to raise £1M (warrants exercise price @ 1p ratio 1:1) 2. Care & maintenance work probably planned & budget by Deloitte - not implemented yet until union meeting. 3. Deloitte need to prioritise payments & expenditure: Wages paid first, then start remedial work & Rig workover etc 4. Standstill agreements in place (19 Dec RNS) 5. Insurance Claim Proceeds Due shortly: Net due 90% after 10% excess; sufficient for all Rig refurbishment costs 6. Current CASH balance £240,000 7. Standstill agreements until 13 Mar 2017 for UK & SA bondholders - to be extended if necessary under the BRP 8. Care, maintenance & Remediation work to complete by Apr 2017 9. Rig to be re-built by 'Sandvik' during Phase1 - while maintenance & remediation work is carried out. 10. During Phase 1 - Business Rescue Plan is drawn to re-structure Company Debt and achieve 'solvent exit' 11. Creditors vote on the Business Rescue Plan - main creditors being DiamondCorp (company itself) and IDC 12. Phase 1 placing shares admitted to AIM by 25 Jan 2017 (latest 31-Jan) PHASE 2 1. GBP 3-5M additional funding (Issue 125m New shares @ 4p to raise £5M) 2. Ramp up commercial production to 30,000 tons per month for next 2 years 3. Senior management to take shares in lieu of Salaries - terms to be confirmed 4. Shares will remain suspended until Phase 2 fundraise completed (expected: Apr 2017) 5. Support from some Large Institutional holders to subscribe in Placing In my opinion - the political will to secure future jobs for all the workers for another decade should prevail & result in successful labour negotiations with AMCU labour union. SA Govt. should get involved to facilitate negotiations if they have to imo. Also look at the benefits of a successful outcome of the BRP for all parties........ * All Shareholders can receive 'Dividends' from future Revenues * Govt gets tax income from future mining Revenues * All Workers can enjoy stable future employment & earnings IMHO...thoughts welcome. Best wishes & Good luck all.

Valency, thanks for your summary prior to the RNS. Agree, demand for diamonds is increasing....think i read a report from De-Beers who expect demand to be higher than previously forecasted with 2018 expected to be strong. Why don't De-Beers buy out Lace mine ? they are not located that far from Lace as far as I know.....who knows could already be keeping an eye on proceedings here in the background waiting to show their hand. IMHO

Also I am ok with suspension (however long that might be) as long as we can secure the future of this company. Not letting go of the USD$1.5 Billion worth of diamonds, are we ?

I have not gone through the details of the RNS yet....will be doing that shortly.....only skimmed through very quickly. Thanks for the feedback so far. My own impression is that they put out RNS on Friday for everyone to go over the details properly in their own time over the weekend. Punch line is £1m to be raised to probably pay off Rasmala balance & o/s salaries. This is NOT going under, Govt. wants DCP as viable economic business, securing employment for the locals. Lot of political will should be there to see this company through securing stable jobs for all staff involved for future years. For placing shares, we can always call / email Panmure Gordon to find out more details on how to get our hands on these shares. Will revert back later folks.

Placing at 4.0 pence.......I will be more than happy to subscribe and support the company. True value will shine through once we get passed this 'financial restructuring' phase. IMHO

Agree, would not worry about it too much. Yes little frustrating but too much at stake here with SA Govt. probably fully on board to see things through from securing jobs angle, etc. Time for the Govt. to show their muscle and get DCP back on its feet and restart mining operations ASAP. With approx. USD$1.5 Billion worth of resource at stake, senior management must be finalising formal papers after careful review and in the best interest of all stakeholders. Expecting good news sometime in Jan though. IMHO

Following is what I am expecting for the company to update the market on: 1. Operational Update - latest with Rig refurbishment 2. Timelines for Operations to resume 3. Finance restructuring details 4. Timeline for coming out of suspension

Yes, next update could be next week in my view. That will give more clarity on the 'Business Rescue Process' and other negotiations going on in the background in respect of finance restructuring, etc.

Happy New Year to everyone here. Here is to a more prosperous and successful year for all holders. In my view DCP will come out of suspension much stronger with all the latest developments going on in the background. GLA

http://www.arabianbusiness.com/dubai-s-citigate-closes-10m-deal-for-african-mining-portfolio-656474.html Just wanted to do a comparison with respect to potential resource valuations, recently Citigate did a USD$10m JV deal with Stellar Diamonds (also currently in suspension). Their Guinea project is a brown field with estimated 3.3m carats resource and in-situ value of around USD 518m. Stellar price at suspension was 7.22 pence. Diamondcorp has a producing mine with almost x 3 times potential 9.9m carats resource with in-situ value of USD$1.5 Billion. This just gives us an idea of where DCP share price should be heading in coming weeks/months as soon as operations restart, we should see positive effect on DCP price. All IMHO. GLA.