Ann: Metgasco (MEL) appoints Mr Greg Short to Boa, page-6

re: Ann: Metgasco (MEL) appoints Mr Greg Shor... The MEL Board consisting of Nick, Len and Peter seems to have invested their remaining personal business credibility in the appointment of Greg Short to the Board. A lot of their credibility is already in tatters due to the decision to appoint Peter Henderson as CEO in 2010 and presiding over the total destruction in MEL’s EV. The EV has only recovered marginally in the last couple of weeks as the market realised that MEL really did have value and if the current Board was incapable of marketing it someone else surely would.

It is a pretty gutsy call to add a Director when the Company is apparently in cash conservation mode, but the Board must be convinced that Greg will give the boost to the MEL share price that it deserves.

So far the market has given Greg’s appointment a bit of a yawn. Even though MEL was being closely followed by a number of people yesterday because of the run up the day before, the announcement of the new director failed to provide any spark. And we have fallen today.

It is difficult to imagine that Greg has the skills necessary to undertake a major turnaround at MEL. He apparently has no CSG experience and is another long term ex Exxon employee. This means that three of the four Board members are now ex Exxon. This is not a good pedigree given that despite being active in Australia since the 1960’s Exxon never managed to develop any oil and gas exploration province outside of Bass Strait. The multitude of other successful Australian explorers demonstrates that this was not due to any lack of oil and gas resources.

And the reasons for Exxon’s past failures seem to be repeated at MEL. Despite the Company sitting on proven resources the Board seems to believe the future of MEL is somewhere else.

But Greg went through University of New England, so perhaps he has a good knowledge of the Northern Rivers area and difficulties involved in moving into production.

Fortunately shareholders will not have to wait long to determine whether Greg does have the ticker to lift MEL.

Firstly we should see an immediate lift in the level of communication with shareholders and an update on MEL’s strategic direction. Except for the statutory required reports, neither the CEO nor the MEL Board has provided any update on MEL’s strategic direction since March 13th this year when shareholders were curtly told that MEL was pulling up stumps and abandoning its then published strategy.

Secondly we should see a lift in action by our CEO as Greg imposes his will on Peter Henderson and changes his recent layabout tactics.

All of this could happen in the first couple of weeks, but it might take a month for Greg to hit his straps. By that time shareholders should be in a position to pass judgement on the true capability of the Board and the new appointment.

I see Energiser is still strongly supporting the current management, but really does have it in for those lefties, I can only feel sorry for any lefties daring to post to these threads.

I think it is always important to understand people’s motivations, otherwise you are likely to get blind sided - applies to investing as well as life in general. I can see that energiser has made up his mind about me and probably isn't prepared to listen to any views not aligned with his/her own.