The 'contractor' who is a shareholder in LLL is Capital Drilling. There has been no issue raised with their drilling work for either FFX or LLL.
There were problems for FFX with the mining contractor who had trouble with reliability of the existing plant/fleet and ramping up equipment as promised/required. During the Foster Stockbroking presentation, Simon Hay suggested that LLL was aware of those issues and of the 8 contractors being considered, due diligence included visiting and inspecting current operations sites.
As Simon continues to build his new management/Board team, there will be less and less 'links' with the FFX crew. In the next month he will announce the new Chairman of LLL and the new COO. He has already made a number of senior management appointments made by him (and the Board). The 'sterilisation' process is not just occurring in the LLL drilling...
LLL Price at posting:
58.3¢ Sentiment: Buy Disclosure: Held
(20min delay)