Companies: WAD   

Controversial ex-Regal Petroleum boss Frank Timis and activist South African investor Julian Treger have acquired 30 per cent of West African Diamonds.

Timis’s African Minerals and Audley European Opportunities Master Fund, advised by Treger, have each bought nearly 15 per cent each of Dublin-based West African, headed by entrepeneurial Irish resources player John Teeling. The two groups have together paid £1.5 million at an above-market 10p for their combined 29.2 per cent of AIM-quoted West African in a deal expected, by observers, to be the forerunner of a major restructuring and asset swap involving the two companies.

Treger and seasoned mining player Roy Pitchford, ex-boss of Zimbabwe Platinum, are joining the board of West African. Analysts suggest African Minerals is now focused on iron ore projects and might view its remaining alluvial diamond interests as ‘non-core’, while West African Diamonds, disappointed with its gem prospecting in Sierra Leone but
enthusiastic about prospects in Guinea, might welcome a strong management infusion.

It is understood Teeling and Timis are vigorously negotiating terms of the next move. A satisfactory outcome might even benefit West African’s shares, at 7.75p, down 30p last year, or African Minerals at a depressed 63.75p, though the prospects remain uncertain.

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West African Diamonds	AIM	£3.63m	6.25p	0.75p
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Other company articles:
Exploration Insights by Robert Tyerman			03/11/2008
Timis in new gem move			23/10/2008
Gem group in talks			25/06/2008
Teeling’s toast			21/02/2008
Newcomer - West African Diamonds			05/01/2007