A look back to 2015

I thought it may be worth starting off 2019 year by refreshing KCN holders and detractors with a summary of the original shut down back in 2015.  As the Chairman highlighted during the 2018 AGM, politics and corruption has subsequently played out again to put them where they are today despite playing by the book and the Thai's at their own game (via paying highest royalties in the world whilst contributing $M to multiple layers of "community funds").   Any type of outcome from NE sale will create a war chest that should allow us to max our shareholder value.  It is arguable from an outsiders perspective that Zurich's legal counsel have poorly advised their client to take on KCN over their PRI policy in the NSW Supreme Court given the clear cut nature of the cessation of Chatree operations and orders to rehabilitate. Lets just see if this conjecture plays out in the first few days of the court hearing in June when the judge starts asks clarifying questions about the PRI policy that will highlight his initial inclination.  Although we can't know precisely what was contractually agreed to with the customised PRI policy, KCN and their legal advisers remain resolute in their opinion which will be based on general insurance contractual obligations and legal precedent.  Never a conflict of interest thought when it comes to legal advisers and their ability to max their your own billable hours.  

"Strong production performance was achieveddespite a 44 day suspension of operations in thethird quarter. Issued by the Thai Department ofPrimary Industries and Mines, the temporarysuspension order related to the matter of slightlyelevated arsenic and manganese levels identifiedin several local inhabitants during regularscreening. Kingsgate worked closely with Thaiauthorities and the local community to satisfy allrequests concerning this community health issue.This included health checks and lifestyle educationprograms and a commitment to continued assistancewith ongoing management of the situation.A major environmental report by independentinternational and Thai scientific expertsconfirmed that the Chatree mining operation wasnot the source or cause of the elevated arsenicand manganese levels. This report was deliveredto the Department of Primary Industries andMines and presented to the local authorities andcommunities. The suspension order was liftedand operations resumed on Friday 27 February.

During the shutdown period, major maintenancetasks scheduled for later in the year were undertakenthus reducing future downtime.No Lost Time Injuries were recorded during theyear. Chatree has achieved four million manhoursof operations and construction activitysince its last Lost Time Injury. Managementcontinues to congratulate all employees andcontractors for their attention to safety andcare for each other.In recognition of our safety standards andemergency response preparedness, Chatreemine received the “Thailand National OccupationalHealth and Safety Award 2015” on 2ndJuly 2015. This is the eighth consecutive yearthat Chatree has received the OccupationalHealth and Safety Award.Chatree is operated under strict environmental,safety and quality standards and is proud to beISO14001 (Environmental), OHSAS18001(Safety) and SA8000 (Social Accountability)compliant.

Source:  http://www.kingsgate.com.au/wp-content/uploads/documents/KCN_AR2015_web.pdf