Ann: Quarterly Activities Report, page-22

It was disappointing to see the pull back today after having seen the modest SP recovery from start of this year. Were people really that disappointed with the Quarterly's. While it would have been nice and I was expecting to see a few more large specials being discovered over the last 4-5 months to take the sting out of the debt I see nothing in the releases that has me overly concerned. The inclement weather at this time of year is not really that much of a surprise, it would be nice to know if the industrial dispute was weather related or other, perhaps in the Annual Report we may get some more detail. I don't see what the big secret is surely it will be a question that will be asked at the AGM. The $ return from the specials is obviously extended due to the new approach to marketing them but it will get to us eventually.

In my opinion it's good to see management entering into partnerships with people like Safdico. They obviously like our product and would have done their due diligence before committing to purchase up to 60% of rough output.

Regarding the negotiations on a larger % of ownership surely it has to come reasonably soon. If the Government is fair dinkum on encouraging the Big Boys to invest in Angola then you would think LOM is the perfect candidate to display the Governments sincerity. With this in mind I guess the question is what would LOM be aiming for, just the 51% or something greater and if so how much is it going to cost and what value would it add to the Share Price?

51% + 2-5c

55% + 4-6c

Greater than 55%

What are peoples thoughts?