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EvenKeel, I offered an olive branch and an apology & you chose not to accept. Instead, you persist with sarcasm in self defence of your Fri 21:59 post which gave rise to the current unpleasant exchange. It seems that you apportion yourself sole rights to sarcasm & if confronted, you make it personal. My offer stands & until you recount your original post, it's best to follow your own advice!

Evenkeel, sarcasm is not a trait I enjoy at all. Read your post again? Einvestein demonstrated speculative tender dates by reasoning and applying the export process delay period @ Sat 16:27 & read in conjunction with my post Fri 16:39. I replied to Jaf (Fri 17:01) query & pointed out the following @ Fri 17:19 abbreviated version from the update under 'Highlights' point 5 refers - "The Company's diamond sales schedule has been revised to commence in Antwerp at the end of August and then continue monthly for the rest of the year". As mentioned, Antwerp virtually shutdown as per the link earlier from 1st - 22 Aug for summer break. Apart from the SA & Belgium elongated export & import regulations and once cleared and released by customs in Belgium, our agent Natural Diamond Corp. N.V. has to sort, weigh, classify & value each stone before establishing tender lots & prior to any viewing by traders. Viewings are generally open about 10 working days in advance of the 1st day of tender (Lace - 12th) hence I mentioned viewing likely commenced 28th Aug? Interested traders are then given access to assess each stone in each lot they/their clients may be interested in or even the entire batch on offer if the so require. +-7Kcts can make up double the amount of stones or more subject to average size especially tailings diamonds and it takes a lot of time in advance of the tender to prepare as well as for buyers to get their "ducks in a row" ahead of the tender in respect of their opening bids on 1st day. I took the time & effort to explain as best I could on Friday & your innuendo's were unnecessary if you sought more clarification? If I misread your post then please correct me and an apology will be forthcoming.

EvenKeel, refer to Rappaport - "Belgium: Market at a standstill with the bourses closed from August 1 to 22".- http://www.diamonds.net/News/NewsItem.aspx?ArticleID=57700&ArticleTitle=Rapaport%2bWeekly%2bMarket%2bComment Just how do you perceive August production to be sold at the upcoming tender date when the door on August production barely closed 4 days ago? Perhaps you're correct, some do need to manage their expectations....

Update stated - ".... commence in Antwerp at the end of August". As mentioned, the tender viewing process commences well in advance of the actual tender date. Likely started around 28th August?

No worries Einvestein and just as a reminder for anyone new on the forum, the excerpt is from PL - "Because of our obligations to Tiffany, we would prefer to conduct all of our diamond sales in Antwerp in parcels of at least 8-10k carats. Only then do you get enough parties interested in coming and viewing and achieve competitive tension in pricing. Further, because of the government regulation in SA and Belgium it takes 50-60 days to get the diamonds from the mine to end sale and cash in the bank". ATB

Pretty sure it's the end of August scheduled tender. The 'lots' should currently be open to viewing & assessment probably from around 28th Aug (10 working days) ahead of start of the tender so that buyers are able to evaluate (weigh/grade/price) each stone in the various Lace lots on offer in preparation of their bids. Takes quite a bit of lead time & tedious hours especially if a buyer wants to bid on the entire batch but generally buyers are selective and focus only on size & quality their clients need. Understandably, we're all very eager as regards the sale. Looking ahead if production remains uninterrupted, September tender (full months production to end Aug) after applying PL's +-50day export process "mining to money", would likely take place around similar dates as the current tender? Working backwards from around 16th Oct tender date allows a window of roughly 50 days from the end of Aug? It will be a pleasure in future if we able to continue seeing advertised dates on "Diamond Loupe" site. PS. There was also an attached (pdf) official tender invitation at the bottom of the article I posted earlier! Needless to say, non of us were officially invited. Lol. Invitation - http://www.thediamondloupe.com/sites/awdcnewswall/files/attachments/Announcement%20DCP%20Tender%20Sept%202016.pdf PS. Einvestein, just noticed your post. We were advised 9th Aug of +-7Kcts tender? It thus shouldn't include Aug production and is more likely production up to the mine stoppage mid July or to end of July? Remember PL's note I posted previously stating 50-60 day export process period and it's very easy to get confused as a result of the export process lapse period. I will find & re-post his email re sales process if you give me a few minutes?

I've not seen our tenders announced formally on public sites before but noticed this on "The Diamond Loupe" - Lace Mine (SA) Rough On Tender in Antwerp in September - Natural Diamond Corporation and DiamondCorp will be offering rough production from the Lace Mine, Free State Province, South Africa from September 12-19 in Antwerp. Interested parties can request an appointment via Natural Diamond Corporation. http://www.thediamondloupe.com/articles/2016-09-02/lace-mine-sa-rough-tender-antwerp-september Antwerp diamond bourses are always sleepy during Aug (summer break) and slowly start functioning again after 22nd Aug. According to Rapport for the past week - Belgium: Polished market stable but dealers cautious after summer break and waiting for Hong Kong show to signal market direction. Very few overseas buyers in Antwerp. Steady demand for 1 ct., F-G, VS-SI, 3X diamonds. Buyers looking at large stones above 5 ct., D-F, VS+ following price declines in recent months. Steady rough demand during De Beers sight week. http://www.diamonds.net/News/NewsItem.aspx?ArticleID=57871&ArticleTitle=Rapaport%2bWeekly%2bMarket%2bComment Hopefully Antwerp is on speed after the break & doing business as usual by the time Lace tender commences so that the tender attracts strong competitive bidding tension. If the final bids are allocated Monday 19th, settlement payments are generally due within 3 working days of allocation so perhaps we'll only get a sales result around 26th to 30th? ATB

bitSA, choke? Should've seen me when I factored the currency impairment Brexit caused. Expat US$ invested on UK markets pre-Brexit came in at a premium compared to after. Guess I'll patiently keep chewing goats food until Lace proves itself. The most important thing is achieve safe & steady monthly production!

... more recent M&A today - The South African owner of Wimpy has gobbled up British burger chain Gourmet Burger Kitchen for £120m, pouring cold water on Brexit fears in the process. Famous Brands said its acquisition of the restaurant group was the "biggest deal the group has ever concluded.” In a statement, the company said: "The low interest environment in the UK is supportive of continued consumer spend, while the impact of fears of Brexit on this sector appear negligible - endorsed by a recent survey which confirms that despite the generally subdued economy, household spend in the Eating Out category is up 4% year on year in June 2016." http://www.bqlive.co.uk/2016/09/01/gourmet-burger-kitchen-acquired-in-120m-deal/ As mentioned, both prevailing weaker currencies (compared to their historic range), makes either jurisdiction cheap & attractive! Some see risk & others see opportunity.... http://www.bqlive.co.uk/2016/09/01/gourmet-burger-kitchen-acquired-in-120m-deal/ I see current S.A. geo-politics as a drag though in what would otherwise be much more active during a low commodity cycle. Will politicians ever learn that they will be held accountable for their actions? GFD, seems most are anticipating a single comprehensive update (H1 financials + sales incl. recent production)? I'm the outsider, thinking sales & current production figures will follow shorty after an H1 update? Frankly, it doesn't matter and as I mentioned previously; No additional stoppage by end of Aug, will surely result in new highs for underground kimberlite tonnage volume which enhances the subsequent scheduled sale end of September, subject to grade & zone dilution as always! I have a tad more time due delayed travel and as long as that doesn't change, I'll try to focus more in-depth in coming days as regards the current mining phase (290m - 310m level Western' troughs) along with anticipated periphery and internal grades & dilution of those particular blocks as well as the "dome rings" that follow and will be mining progressively upwards to reach 250m level. ATB

Coming out of hibernation? Volume moving & noticed smaller sells filling chunkier buys in tranches of 250K.

Jaf - "I would suggest that if there were to be a takeover bid for DCP, it would occur in the next two months, in other words before the sp becomes too high and before the company becomes too closely monitored". - Good post Jaf, it may seem speculative but I do agree with your business acumen. There are times when companies are particularly attractive to prospective buyers that have been evaluating & exercising due diligence. Similarly, Lace's current low market cap while transitioning to producer & comparable +4 x fold higher NPV, makes it very undervalued. Investors should also consider the post Brexit effect on the Pound which still hovers at or near 30year lows - "The fall in the value of the pound is making British assets cheaper for foreign buyers". http://globalnews.ca/news/2806257/british-pound-drops-to-30-year-low-as-brexit-fears-continue/ “Many euro and dollar denominated funds are seeing the weakness of the pound delivering a gift-wrapped buying opportunity, particularly those who have been in divestment mode over the last few years,” said Guy Norman, head of corporate for Clifford Chance LLP. Apart from the post Brexit "gift wrapping", there are other local (S.A.) cyclical factors that should also be considered; Between the period, 2008 financial crisis leading up to the height of the commodities cycle 2012 and even into 2013, the Rand currency outperformed most and traded at double it's value compared to Jan 2016 lows. Refer - Jan 2008 - 1US$ = R6.78, Jan 2009 - R9.40, Jan 2010 - 1US$ = R7.38, Jan 2012 - 1US$ = R8.08 etc. Cyclically & excl. other factors, it pretty well demonstrates the Rand currency strength in a strong commodities cycle which was also a period when most S.A. multinationals expanded their global footprint through foreign acquisitions e.g. SAB Miller, Steinhoff, Old Mutual, Richemont, Investec, Sanlam, Goldfields, Mix Telematics, Aspen Pharma, to name a few. Such foreign earnings are well hedged to the current low Rand currency and as we've already seen, local M&A activity is high at the reversal of the cycle. Wiese's takeover of TransHex, Sibanye's takeover of 2 x platinum mines and many acquisitions of gold mines as example are focussed inward & the currency weakness makes for attractive acquisitions for foreign buyers as well local groups looking to expand. Thus S.A. & UK assets are comparably cheap in current global markets and though many may not think so, the "risk of uncertainty" is common to both jurisdictions as is depicted in either currency. Only those not prepared to explore the probability will be caught off guard so thanks Jaf for highlighting! ATB

There seems to be 2 different versions why Rio Tinto decided to walk away from the 'Bunder' kimberlite pipe in India. The government has been trying to attract miners & prospectors to grow the mining industry. Bunder was hailed as the only new (2004) meaningful discovery and was anticipated to go into production 2019/20. Global production is estimated to reduce annually and is forecast to reach a supply gap 2018/19 due to aging mines and the lack of new major kimberlite discoveries. It seems that Rio spent +-$500M to date on the project and planned to initially exploit the pipe by means lower cost Capex open pit mine but the government instead wanted Rio to reassess lower surface impact underground mine which would push anticipated Capex much higher and would delay the project further. http://www.bloomberg.com/news/articles/2016-08-22/rio-tinto-to-close-india-bunder-diamond-project-to-cut-costs http://www.thediamondloupe.com/articles/2016-08-21/rio-tinto-withdraws-indian-diamond-mine-project http://www.thediamondloupe.com/articles/2016-08-30/india-may-sell-diamond-mine-abandoned-rio-tinto I will be very interesting to see if parties show interest? If anyone has ever contemplated official business in India from personal experience & I kid you not; I jokingly remarked to an Indian official years ago in Delhi that I'd never experienced such bureaucratic red tape anywhere? He replied; Sorry Sahib, the British taught us. I didn't see that coming but had to see the funny side. Lol. My sympathy's go to Rio Tinto!

G'morning bitSA & thanks for the inside scoop re - alignments. Should hand them over to 'Toby' (Rowan Atkinson) https://www.youtube.com/watch?v=91DSNL1BEeY Regarding "rand weakness" - I recall an article by an economist during the height of the commodities cycle (strong Rand) and although a weaker Rand is beneficial in terms of foreign trade competiveness, a balanced range where the currency (commodities exporter) best performs is between R8.50 - R12.00 to the $ due to the fact that when the currency is weaker than that range, it's less able to benefit directly from lower international oil import prices as a country that relies on oil imports which makes up a large part of mining production costs. Generally speaking (excl. political factors) the Rand & Aussie $ trend stronger during positive commodities cycles and weaker during lows and both currencies can thus be used to an extent to track where in a commodity cycle the trend currently resides. Interestingly, both currencies were at lows to the US $ during Jan 2016. Base metals & iron ore have trended stronger in H1 which (disregarding all other factors) has probably supported both currencies? One might also then ask; has the commodities cycle finally bottomed and starting to turn around?? Wouldn't we all like to know!! Refer to Fast Markets Quarterly Metals report - https://www.fastmarkets.com/base-metals-news/aluminium/summary-economic-overview-metals-markets-quarterly-metals-report-q3-2016/ Although publication is delayed (non-subscribers) there is always excellent data & regional summaries especially in regard to China which is the global engine.

Banksman, local geopolitics seems to be an attempt by the ruling party to oust the minister of finance (aligned with the opposition) as reprisal for a probe he instituted into certain ruling party politicians financial matters during his tenure as former head of Revenue Services. He is well respected and I suspect the politically motivated reprisal will go nowhere, save to say add to currency volatility and does little for the countries reputation in a time when the economy needs to attract more foreign investment. http://www.moneyweb.co.za/news-fast-news/sa-assets-recover-as-investors-eye-federal-reserve/ There is definitely strong indication that PAF & Au stocks recent retreat is aligned with Fed rate decisions - Gold hits near 5-week low after Fed strikes hawkish note, By Jan Harvey, LONDON, Aug 29 (Reuters) - "Gold slid to a near five-week low on Monday after comments from top Federal Reserve officials fuelled speculation that U.S. interest rates would rise sooner rather than later, boosting the dollar". "Weakness in gold prices is likely to extend over the next weeks, and we expect gold to steadily slide to $1,270 and below," Pradeep Unni, head of trading and research at Richcomm Global Services, said. "The case for a September rate hike seems to have clearly increased and most economic data feeds are showing improvements," he said. "September and December hikes seem to be on the cards and any further strength in data feeds will only (reinforce) this view." http://www.sharenet.co.za/news/Gold_hits_near_5week_low_after_Fed_strikes_hawkish_note/37eb66e7d8db4118c3621181b26a25eb Banksman, for what it's worth I think gold is in for some headwinds in the short term? I exited well ahead of the scheduled Fed meetings so opportunity may present itself in coming weeks/months. If a rate hike is implemented, I doubt it will be more than a 0.25 basis points and that will likely be maintained for quite some time as part of the Fed's "easing policy" thus allowing Au to regain momentum in the longer term? I hope it helps & it's just an opinion of course! PS. Seems I could have waited with the top up here as travels have been shelved for now. I do have some dry powder though. ATB

Banksman - http://www.reuters.com/article/global-precious-idUSL3N1B61CJ

Hello Mac! Everywhere...., Brexit, Hillary & Donald, Turkey, blah, blah, blah... Are you back in the heat or still in the UK? ATB

Banksman, apology for the late reply & it's a complex question which no doubt will have varied responses and opinions which makes me hesitant because I doubt I have a full answer to your query. There has been plenty of political jabbing between the ruling party & opposition of late, even more so at the conclusion of the municipal elections 3rd Aug when the opposition emerged victorious in all major cities containing the majority of the population i.e. Jhb, Pretoria, Cape Town, Port Elizabeth etc. It is significant as the ruling party have been unopposed for over 2 decades. It also signifies that the ruling elite have lost the support of trade unions in those districts which helped them into power in the 1st place! The 'headless chicken' will have to face a national election (presidential) in 2018/19 which bodes very positive for long awaited change. Looking at the currency having moved 10% stronger over 2 months on the results, it indicates strong foreign influx in approval. Political jabbing continues pretty much on par with Hillary & Donald..., lol. I obviously don't know the intricacies around PAF but looking at my own Au interest as well as offshore Au stocks, similar retraces are present. You can refer to SBGL, POG, RRS, SOLG etc. During our recent discussion here relating to Sibanye, I mentioned I'd trimmed the holding for now due to it's high PE ratio +56 at the time. Gold has done well but is retracing from recent highs in the short term. There are other factors affecting the Au price which have a strong influence on the gold stocks. The US Fed rate hike decision looms once again and gold players as well as those considering riskier emerging markets are awaiting Yellen's call. - "Gold is highly sensitive to rising U.S. interest rates, which increase the opportunity cost of holding non-yielding bullion, while boosting the dollar, in which it is priced". - Of course there will also be stock specific factors with which I'm certainly not familiar but I do think Au in the long term has more upside and BR world gold fund remains in my investment fund portfolio for the foreseeable due to lower volatility than some Au stocks. I do have other S.A. multinationals (non gold) which did not display the move you described for PAF thus I'd say the 'Yellen' & gold effect on rate hike expectations is at play? PS. Non of the above are recommended and apology if construed off-topic but the jurisdiction is applicable.

Hi Einvestein, you mentioned - "This should easily generate $1.3 mill". You must be looking at achieving $185/ct average for 7K cts?? I'm inclined to be more conservative and we can make use of a 'range estimate' for rough guidance. The update mentioned approximately 7K carats to be sold thus subject to that figure we can use the company base case estimate ($164/ct.) as a low guide and the June sale ($189/ct.) as a high for underground production which was stated as 4601cts from slot development. E.g. Using the low/high range figures; 4601cts should thus earn in the range of $755K to $870K. The balance 2399cts comes from tailings and although June sale achieved $53/ct let's lower that to $50/ct due to weaker recent market interest in melee. That would net +-$120K. Combined it gives us a range total of between $875K to $990K revenue from the Aug sale. Note; Specials were not mentioned and cannot be accounted for in the above? Please check the figures & sorry if I burst the bubble but better to be conservative thus avoiding disappointment. Also note that the Rand trend over recent months is stronger than the ratio ($1:R15) utilised in the resource statement estimate for mining cost/ton (R193.60 or $12.90/ton) at full production. It has actually gained from lows of +-R16 advancing to today's rate +-$1:R14.30 In GBP terms there will be a significant currency effect on translating mainly due to Brexit but in reality what truly matters is; operating cost currency (ZAR) versus earnings currency ($) over a set period which determines margins and in addition thereto, stated loan currency relationship versus earnings currency. As someone mentioned in a previous post, actual production costs will become clearer after 1 whole quarter at full production.

Hi Banksman, I'd love to but I don't have much of a choice due being put on notice to expect extended travel around 28th to 3rd world locations which will likely impede my ability to buy a momentary dip, if any. I've adapted over the years & if a dip presents itself (when I'm available) I'll embrace it with both arms similar to the one in January but at times when I'm going to be out of touch, I'll add the odd handful subject to valuation & other factors. Other factors currently present - I think that the anticipated interim loss for the 1st half is largely priced in already and if there is any downward movement it is likely to be brief due to the Aug sales update to follow shortly thereafter. The sales update will likely also contain 'current' production figures & given the fact that the month of Aug is drawing to close without further stoppage, it should take tonnage & associated production to new unseen higher levels which will strengthen the likelihood of the next tender end of September, subject to grade & dilution of course. Considering that H1 was focussed on development the 2nd half performance should be the key indicator as investors will be looking toward verification of stable commercial production & revenue.

No problem with access from my side Banksman. Topped up this morning.