RE: Re. Magufuli here to stay19 Sep 2018 13:50
"The same can be said for Aminex BOD and JB. I’ve never witnessed such poor PR and the weak share price it’s created has affected its ability to negotiate with banks and the Tanzanian Government. It’s truly shocking."
Poor PR I wouldn't disagree with but how much of that has been under internal control? My own impression of BH from his reply to me at the AGM was that he was old school and he didn't believe in social media, I think he called it nonsense when in fact these days it is extremely important and people expect it. Gone are the days when people are happy to be mushrooms. With his attitude in mind, in many respects, I would lay the blame for that at the feet of BH, however it is also true that hands have been tied and RNS have to be cleared through TPDC.
I'm not sure about it affecting bank negotiations because they have cleared of the loan last year and I've seen no evidence that they have discussed further funding with banks. As for TPDC I don't see the PR & SP affecting negotiations with them either and if there has been an issue with them it is more likely as suggested that they wanted to have somebody involved with the where-with-all to carry out the project quickly. Jay admitted at the AGM that going alone we would be in a drill raise drill raise situation and if the projections are correct re demand out stripping supply next year, then that would not be acceptable to the country. Additionally this has been stated many times "a country changing find" & Aminex in reality, are just not geared up to cope with the responsibility of that on their own.
Top and tail for me is... I agree poor PR but I don't think good PR would have changed negotiating positions, it is more about the cash and resources we have available to complete the job. Now we have that available to us and that is why I believe the farm-out is the best method of bringing reward to shareholders in the reasonably near future instead of years and years away.
Sign In
Follow the stocks
