RDG 0.00% 2.2¢ resource development group limited

Thoughts on Management, page-45

  1. 2,155 Posts.
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    Wouldnt chase it up, Mining services and construction contracts in WA are fiercely competitive in the moment, projects are being priced low , just so company's can keep their doors open. This isn't going to rip up in price. The real action in mining services appears to be on another continent, Africa. Looks what's going on with over at RBR, a company which provide mining personnel to Mozambique etc.

    I don't think we're going to enjoy any of those mercurial rises in RDG SP, short term, its future success so far appears to depend on a homegrown resurgence in demand for mining and construction services, most likely in WA. The management need to expand their vision , they signalled they are willing to make the hard decisions to cut staff and reduce costs, but any accountant can do that, the Management need to look further to grow the business, owning 88% of the shares is one thing, ( if that's correct) but positioning and steering a company in a fresh direction, is what they get paid the big bucks for.
 
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