Ann: Quarterly Activities Report - Period Ending 31 January 2019, page-10

Some observations:

Net debt @ 31/1: $1.283M (item 4.4 and 4.6)
Interest for qtr: $251K (item 1.5)
Let's not forget the dilution!

North Portia Divestment Update (pg 3)
'The documentation was largely completed for submission in September 2018, however CMC’s uncertainty over the most suitable final processing route to be adopted by CMC has prevented completion and lodgement of the PEPR document, which has delayed the second payment to Havilah. Meanwhile, CMC’s testwork that is necessary to complete the permitting documentation is continuing and they have recently indicated that the key processing information should be available by the end of February.'

You have to wonder how HAV's Chairman/Lawyer and the rest of its Board and CEO could place HAV in such a position.

What I EXPECTED to see in the Quarterly Report'

Steps taken by HAV to live within its means, considering those means represent no cash and no revenue. Maybe the Board and CEO could take pay cuts and lay off staff.

No sign of that! More related party payments instead. The Board and CEO do not have aligned interests with Shareholders. With the exception of Dr Giles, the Board and CEO have negligible "Skin in the Game”.

Using debt at exorbitant interest rates. Poor capital management! A capital raising won't even be enough to drag them out of the hole they have dug, ASX Listing Rule 7.1 limits HAV's capital raising to 15% of capital. That's ~ 33M shares. We can all speculate as to the issue price and subscription rate.

From Bergen to CMC to Investec and NAB, the Board and CEO are trapped in a short-sighted strategy that is not creating shareholder value in a long-term industry.

The white-male dominated Board has failed to hold management to account, resulting in a culture of underperformance. Despite poor execution, a Director was promoted to Chairman, the CFO promoted to CEO. These appointments also raise questions of oversight and independence. 

This QR demonstrates that this month’s EGM was a missed opportunity for HAV Shareholders. Instead of a renewal, we have the poor man’s Penn & Teller fooling us– well, those who voted for the Chairman at the EGM anyway. Obviously, that includes Dr Giles.

A New Mining Farce in South Australia!

DYOR