LRL Assets15 Jan 2014 17:22
Guys, have a look at the leyshonresources.com site and check docs in the Investors Centre - ASX&AIM Announcements archive from mid 2012 onwards. In a doc called 'Commences drilling at Mt Leyshon', the gold in the 12 - 15 million tonnes of highly mineralised ball mill scats (the only asset of LRL) is estimated to be 100000 to 175000 ounces. At say $1000 an ounce, it's worth upwards of $100m which blows the <£5m capitalisation of the LRL (excluding leyshon energy) out of the water. However, the old LRL management decided that the processing of the scats wasn't economical (but remember at that time they were busy with negotiating/starting up the Chinese gas project). The asset may well be viable to a larger gold company who have the knowledge/kit to extract the gold from the ball mill scats. IMHO, the people buying into LRL (post the split) can see the potential value in the asset and are expecting a takeover of LRL down the line. As ever, DYOR GLA.