Lonrho PLC
01 October 2007

1st October 2007



                                   Lonrho Plc

                          ("Lonrho" or "the Company")



         Lonrho signs Heads of Agreement to lease and manage a 5 star,

                 256 room hotel in Democratic Republic of Congo





Lonrho (AIM : LONR), the conglomerate with a structured portfolio of African
investments, is pleased to announce that it has signed a Heads of Agreement with
Luano Grand to lease and manage a 256 room, 5 star hotel at the proposed Luano
Grand development in Lubumbashi, in the Democratic Republic of Congo.



Luano Grand (www.luanogrand.com ) is a proposed mix-use retail, residential,
office and hotel complex that was officially launched at the South African
Consulate in Lubumbashi on Friday 28th September 2007. The launch was presided
over by His Excellency Moise Katumbi, the Governor of Katanga Province and a
number of Ministers of State and Government officials from South Africa and
Belgium.  Construction of the complex is scheduled to begin in 2008.



Amongst the 300 guests attending the launch of the project were representatives
of the IDC (Industrial Development Corporation) and DBSA (Development Bank of
South Africa).



The hotel will have 256 rooms and 50 long stay apartments and is designed to be
connected to a retail mall, which in turn will have access to offices and
residential units. Lonrho Hotels, a division of Lonrho Plc, will lease and
manage the hotel and long stay apartments in the project.



David Lenigas, the Chairman and CEO of Lonrho Plc, commented :



"The development of Katanga Province in the DRC is being fuelled by the
significant foreign direct investment into the mining of the copper and cobalt
natural resources in the region. Companies such as Phelps Dodge and Nikanor are
investing an estimated US$ 4 billion in mining projects in Katanga over the next
five years and, with this, the demand for quality accommodation and support
services will be significant. Lonrho is delighted to be involved with this
major, forward-looking project that will generate jobs and prosperity."







 ENQUIRIES


Lonrho Plc                                                  +44 (0) 20 7016 5105
David Lenigas, Chief Executive                              +44 (0)7881 825 378
Emma Priestley, Executive Director                          +44 (0)7867 785 177

Pelham PR
Charles Vivian                                              +44 (0) 20 7743 6672
                                                            +44 (0) 7977 297903
Alisdair Haythornthwaite                                    +44 (0) 20 7743 6676
                                                            +44 (0) 7714 721379

Collins Stewart Europe
Hugh Field                                                  +44 (0) 20 7523 8350
Jonny Sloan



NOTES TO EDITORS



About LONRHO:



Lonrho Plc is an expanding conglomerate that is rapidly growing a successful
business throughout Africa.  The Company is listed on the London AIM stock
exchange (LONR). Lonrho is strategically focused on the development of business
opportunities in infrastructure, transportation, support services and natural
resources. The Company has over 20,000 shareholders and substantial
institutional backing to support its mandate to build a profitable business that
plays a fundamental role in the development of the African economy.



Since 2006, the Company has invested in or acquired control of:

*               Hotel Cardoso - www.hotelcardoso.co.mz (retained)

*               Nare Diamonds - www.narediamonds.com

*               Luba Freeport - www.lubafreeport.com

*               Fly540 - www.fly540.com

*               Norse Air - www.norseair.co.za

*               Swissta Holdings - www.swissta.com

*               SA Independent Liner Services

*               Bytes & Pieces




                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

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