On a break

Marksman's Investment Corner is currently on a short break - expect activities to pick up from July 2018 onwards!

Are you for or against the merger between Alliance Minerals Assets Limited and Tawana Resources?

Thursday, March 15, 2018

Afterthoughts - Alliance Mineral's CEO getting sacked, and commencement of production

So as of 1st March 2018, the CEO of AMAL has been sacked. What do I think?

It's unfortunate for the CEO, what with the business being months away from finally generating revenue... but when key business partners and other substantial shareholders no longer wants to deal with the business as long as Pramoko remains the CEO? Not a hard decision to make. The sentiment in forums and the price movement suggests positivity.

How will it affects its ongoing business in the immediate term? Tawana is operating the mine, so nothing there, business as usual.

In the longer term, I am curious what will change going forward:
  • Pramoko was looking to expand AMAL towards involvement downstream. This was something I am highly interested in. Would the CEO head towards the same direction? Or will he/she look to continual involvement upstream?
  • Will the CEO be one of the substantial shareholders, or will they look to bring someone else from the outside?
Production finally commenced, this is one of the key moments we have been waiting for! Next up would be delivery, ramping up production further, more resource upgrades, getting their maiden revenue (not counting Burwill's advance payment) from first shipment, commissioning the fines circuit and second DMS plant to further increase output, sales of tantalum concentrates etc. Thoughts of these makes me feel stoked, like a cat on catnip. :D

Disclaimer: These are my own personal view it should not be used as a decision to solicit buy/sell activity. Use all information at your own discretion and DYODD. I remain bullish and vested for the long-term.

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