Expected Positive News Flow, page-170

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IronKing2010

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23/02/16

20:10

Post #: 17097074
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Originally posted by unsinkable ↑

Why buy LOMOB besides leverage?

There is company making news just around the corner, they will be drilling L259 kimberlite. I'll give you one scenario why you would want to buy LOMOB instead of LOM

Your position is 100,000 units...

100,000 LOM cost you $40,000

100,000 LOMOB cost you $10,000 (leaving $30k in the bank what you would have used to buy LOM)

The drilling comes up trumps and diamonds everywhere, LOM and LOMOB sky rockets, everybody is happy...

If you hold LOM you have made a fortune from your $40k

If you hold LOMOB you are happy to convert the 100,000 options to shares with the $30k you have left in your bank...

If drilling isn't a success and there are no diamonds in L259 and this isn't the primary source kimberlite...

LOM sinks to 15c: You are down $25k from your initial $40k investment...

LOMOB worthless and you lose your $10k but still have $30k in the bank...

If you like LOM for the long term and still believe they will find the primary source kimberlite on their grounds, then you can spend the $30k buying back 200,000 shares at 15c for the long term, or even just the 100,000 shares and keeping $15k in the bank...

You can use options like this as a risk/reward scenario when there is imminent company making news around the corner. Then you don't have to stump up all of your money right away, you have the option to convert later, possibly after good news...

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anyone please tell me how much convert fees for LOMOA and LOMOB. Thanks

LOM Price at posting: 40.0¢ Sentiment: Hold Disclosure: Held
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(20min delay)
Last 4.2¢		Change -0.003(6.67%)		Mkt cap ! $12.18M

Open	High	Low	Value	Volume
4.3¢	4.3¢	4.2¢	$11.03K	257.6K

Buyers (Bids)

No.	Vol.	Price($)
1	80000	4.0¢

Sellers (Offers)

Price($)	Vol.	No.
4.3¢	4081	1

View Market Depth

No.	Vol.	Price($)
1	80000	0.040
1	83360	0.036
1	285714	0.035
1	85000	0.034
1	210000	0.033

Price($)	Vol.	No.
0.043	4081	1
0.045	259143	2
0.048	150000	1
0.053	100000	1
0.055	30000	1

Last trade - 10.39am 17/09/2024 (20 minute delay)

LOM (ASX) Chart

Expected Positive News Flow, page-170

Siren Gold boosts antimony resource by 66% to 14.5Kt at Auld Creek, NZ

Altair Minerals hits high-grade copper and gold at Wee MacGregor, QLD

Winsome scoping study proposes low-cost operation for Adina lithium project

Petratherm adds $1.6 to the piggybank ahead of SA titanium drilling program

Western Mines identifies 2 high-grade zones at Mulga Tank in WA

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Expected Positive News Flow, page-170

Top Stories

Siren Gold boosts antimony resource by 66% to 14.5Kt at Auld Creek, NZ

Altair Minerals hits high-grade copper and gold at Wee MacGregor, QLD

Winsome scoping study proposes low-cost operation for Adina lithium project

Petratherm adds $1.6 to the piggybank ahead of SA titanium drilling program

Western Mines identifies 2 high-grade zones at Mulga Tank in WA

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News