I think LOL Speak is a mutated combination of "text speak" (with its use of abbreviated, shortcut spellings) and "Engrish" (which is all about the use of peculiar wordings and misspellings like you often find in instruction manuals that are produced by people for whom English is not their primary language).

I kinda find LOL Speak to be pretty hilarious. I get really intrigued by creative use of language.

Here's a guide to LOL Speak: lol kitteh