marampa iron ore, page-2

FYI:

London Mining Co served a writ in Marampa iron ore project
London Mining Plc announced that its Sierra Leonean subsidiary London Mining Company Limited has served a writ in Sierra Leone on SLDC Exploration Limited, a wholly owned subsidiary of African Minerals Limited.

The claim relates to London Mining Plc's iron ore project at formerly producing Marampa mine in Sierra Leone. It has a 25 year mining lease from the government of Sierra Leone over the old Marampa mines area previously mined by DELCO.

London Mining is seeking a declaration that its mining lease coordinates are valid and subsisting, an injunction preventing African Minerals from entering its mining lease area and damages for trespass on the mining lease area.

African Minerals is asserting that certain areas within London Mining's Mining Lease area fall within its exploration license. African Minerals has recently announced that it is intending to sell a stake in the company containing the Marampa Exploration License to Cape Lambert Iron Ore with an option for Cape Lambert to purchase African Minerals' entire Marampa interests.

The disputed area covers approximately 30% of the area of the Company's Mining Lease and includes areas where the company has been carrying out mining operations over the past year. It should be noted that, while the exclusion of this area would reduce the potential total mineable tonnage, it would not affect the planned production rate or the timing of start up of mining operations at the Marampa mine.

Mr Graeme Hossie director of London Mining said that "London Mining invested in Sierra Leone 3 years ago as it was a country that had make a clear commitment to building long term economic growth with overseas companies. Its legislative structure has been set up to protect all companies under Sierra Leone law and we have every confidence that this dispute can be resolved to our satisfaction through the courts."

September 19, 2008