The GRR Management decision 3 years ago to invest shareholders profit in a JV on ROC property development was arguably not in shareholders best interests.
There's absolutely no point for a Companies management or board to do anything other than being in the shareholders interest. That doesnt mean it will always work out but the option is do nothing.
At the time GRR had some spare cash, IO prices were average and SD was a bridge too far.
As stated at the time ROC was an attempt to diversify a Company so was done with shareholders interest in mind.
As it so happens ROC probably pays its way.
lack of ability to expand operations at SR due to pipeline limitations and being a one trick pony ( but what a pony.. ) has always been GRR's weak point IMO I dont know whether they can or will push the pipeline to 3mtpa, its permitted to 3 mtpa and was originally expected to last 20 years , now 30 years later its still going . It's certainly not lack of ore that prevents it being run at a higher rate so there will be a reason and perhaps rocket973 or Goodheart could throw some light on the subject.
The bottom line is if one doesn't think a company is being run in the shareholders best interest then move on, perfect management doesnt exist, they are just like the rest of us but their track record of running a very small operation profitably through good times and bad is hardly a poor one...
Cheers Whisky
GRR Price at posting:
74.5¢ Sentiment: Buy Disclosure: Held
) has always been GRR's weak point IMO I dont know whether they can or will push the pipeline to 3mtpa, its permitted to 3 mtpa and was originally expected to last 20 years , now 30 years later its still going . It's certainly not lack of ore that prevents it being run at a higher rate so there will be a reason and perhaps rocket973 or Goodheart could throw some light on the subject.
(20min delay)