Originally posted by ASX News
- Release Date: 16/10/18 09:30
- Summary: Orocobre Limited - Notice of Annual General Meeting
- Price Sensitive: No
- View Document
I see some occasional posters to the ORE threads complaining about some of the regulars having a whinge about this company's performance and transparency. When it comes to having a whinge I'm probably the worst case. But not only have I been invested in this company for a while - I first got into ORE about the time Tony Locantro was promoting it and the shares were about 20 cents a pop - but I think they have custody of a tier one mining project producing a metal that is vital in moving away from such a reliance on oil. I think they should and they need to do much better than they have been.
So rather than just complaining I have decided to vote AGAINST all the resolutions being put to the upcoming AGM.
I have voted against the remuneration report: as someone pointed out it is a farce that the total remuneration package of individual Orocobre executives (last time I checked the new MD is to be paid over A$1m a year) is in the same ballpark as the company's net profit (which was in FY18 US$1.9m) Sure, this resolution is only advisory so a shareholders' vote cannot change what has already been agreed to but if enough of us vote it down then we can look at spilling the board at next year's AGM.
I have voted against the re-election of the chairman, whoever he is. Obviously he has been asleep at the wheel and it looks like it took the arrival of the Toyota Tsusho rep onto the board before the decision was taken to effectively bone Richard Seville. Here's a hint champ, every so often get your snout out of the trough and at least pretend you are carrying out your duties.
I have voted against the re-election of the Argentine. First up, why does this company have 8 directors? It is effectively a one mine operation that sells all of its product through the one outlet, Toyota Tsusho. It really can't get much simpler. Secondly, with the arrival of Manuel onto the board that would now make three Argentines on the board. Why, when the company is owned mainly by Australians and Japanese and its one mine venture is already part owned by the regional government there. The only thing going for Manuel I can work out - seeing he has zero experience in lithium production or brine extraction or in east Asian markets - is that he brings local knowledge and networks. So surely this other local chap is a redundant extravagance.
I have voted against the employees performance rights and options plan. How about the senior employees actually start performing first and then we can talk about them getting some cream on their remuneration packages. For instance Alex Lasada has been chief operating officer for over two and a half years now and still the Olaroz stage 1 plant is badly underperforming. Why has this bloke still got a job? And we're supposed to approve top-ups for this goose?
The best and perhaps only glimmer of light for this badly run company at this stage it seems to me has been the arrival of the Toyota Tsusho rep, Mr Masaharu Katayama. I'm not sure it is a coincidence that immediately following Mr Katayama's arrival on the board we were told that Richard Seville was to leave. And I don't think it is a total coincidence that following the company rushing out the June quarterly production figures that we got news that the process to find a replacement for Richard Seville was being fast-tracked or that the decision to FID the stage 2 expansion and LiOH plant has been delayed until Richard Seville is as good as gone. If Robert Hubbard is not willing to behave like he is chairing a billion dollar public company then maybe we need to get Mr Katayama to take the reins for a while.
