The Mark Warren appointment is a good sign of a growing company. Get the real professionals in to start streamlining and fine tuning the ramp up and production phase so as to produce consistently a premium ferrotungsten product that meets clients' needs every time.
At the same time I think he'll be used to develop the Mt Mulgine tungsten concentrator, which HAZ has said they will be kicking of in 2015.
The appointment of the other new director, Patrick Burke, is really interesting. He is a M&A and CR specialist. I'd be surprised if it is with a CR focus at the moment because easier to just give that to one of the instos and the Vietnam business will be self funding by first quarter of 2015, and Mt Mulgine is still in very early development. So Mark Warren makes sense because they will use his expertise to do the more detailed feasibility studies and all that entails from a technical design perspective, for Mt Mulgine, I surmise.
TBB also said that they will look at a low equity component for the Mt Mulgine capex or even off balance sheet or owner-builder-operator options. This would be very much in line with the way they have developed the company so far i.e. no big bang approaches here from a CR perspective.
So IMO that begs the question as to why the early appointment of someone like Patrick Burke who is an M&A expert and bearing in mind that Mark Warren is also known as being active in this space.
Any ideas??
cheers GLTA
HAZ Price at posting:
3.6¢ Sentiment: Buy Disclosure: Held
