Repo - you're absolutely right - Lucapa has never held a mining licence in Angola for the alluvial mining operation, but held 40% of a JV which in turn holds the mining licence.
To answer Pootie's Q.
My personal opinion, I believe Lucapa is a heavily over-priced, has an overweight company board and is 3-5 years away from knowing if a commercially viable kimberlite is on it's concession.
On a capitalisation front, Lucapa is currently valued at over $100 mill, is a minority holder in a JV that controls the alluvial mining licence - it is also a minority holder in a kimberlite JV and the market seems to be pricing in a commercial find.
For me, this will sag back into the 20's soon enough, kimbo drilling may have been a fire starter but that's a while off now, the JV will not provide capital returns for shareholders and the chilling outcome that has yet to have been picked up on is the Angolan government just asked for 7 million from Lucapa to pour into the JV.
Seems like a very similar amount to the "special distribution" that was handed out not long ago.
LOM Price at posting:
36.5¢ Sentiment: Sell Disclosure: Not Held
