Peregrine Diamonds Ltd. PGDIF

Throw Mama off the Train

[Oregonduck]

For a long-suffering shareholder, this is the stock only a mama would love, although the Chidliak pipe at about $150/carat (US) is almost twice that of Victor Mine's $80/carat. DeBeers knows its value.

I can see why Robert & Eric would negotiate the sell-out to DeBeers as they aren't interested in spending $500 million or more and many years to bring the mine to producton. They decided to throw the minority shareholders under the train in order to free up their dead capital. As I said before, Robert had in 2015 petitioned a court-appointed receiver to seize the assets of his own company Ivanhoe Energy (IE) in order to recover the money he loaned to IE under a debt debenture instrument. IE stock was once listed on NYSE and TSX, and shareholders lost everything.

Lukas Lundin, the legendary promoter and billionaire financier who controlled Lucara Diamond with Eira Thomas, also petitioned his own company RB Energy under CCAA bankruptcy proceedings in 2014 to stop it hemorrhaging more cash, and threw minority shareholders under the bus. RB Energy was listed on the TSX with a legacy lithium mine in Quebec that would have potentially become a major mine with more funding provided, and momentously, before the lithium stocks - just like the current weed stocks - went into the stratosphere.

Diamond stocks are in the dog house now. Lucara's 1,100 carats stone couldn't sell at first at auction at their asking price. None of the diamond stocks are doing well. C'est La Vie.