agm summary

Hi all you believers,Here is a summary, will try and cover most details.
All the board present plus Kim Hogg (secretary) and rep from Stanton partners"(auditors)
Food: Tea /coffee and crummy biscuits.(just for you hb)
All 5 resolutions accepted with resolution 5 receiving the biggest 'against votes,' 531k for 155k against 8513k abstentions
Richards address;-
Company borne out of innovatation and R&D and still has a great deal of R&D to do.
$2m federal 'Commercial ready grant' given which is paid at $50k per month.40% of which goes towards existing employees salaries
Not looking for small backyard repair work,large contracts only.He believes the company is in a very strong overall position.
Seeking medium to long term investors to share registry as opposed to short term as they are having too much effect on the sp.Company needs to be seen as strong to attract clientel and for long term growth.
Biggest issue is comercialization of product as opposed to technological issues ie- 'Market Acceptance'

Have been in discussions with a Large water utility over dry welding of their pipes over the past few months.(name not mentioned but assume it to be WA Water Corp)

Austraila:- Continued aggresive expansion
Asia:- Utilise the relationship with IEV group
UAE:-Establish a presence.Significant region from NMS prespective
Europe/US Future of the company,this is where established market players deploy and embrace technology quickly
IEV. Believe the technology will be their biggest mover in years to come
Winning the US amcham Exportential cup was a huge coup leading to US market awareness and acceptance

Questions;
Q:The market slowed and was negative towards NMS when a director resigned(Samantha Tough) last July.
Is this subject now blown over and what does the board have to comment on it
A:We appointed someone with a diverse background (Woodside and Adult Shop) that we thought was the right choice but we were on different levels and she resigned as she felt she could not offer us anything,in hindsight it was probably a wrong chioce for us.We didnt do anything different then or now
Q; How much resources are there to do mutiple ship repairs at any one time
A: At present we have the resources to do Two ship repairs at one time.Insuffiecent qualified staff and equipment to do more.
Do not want to grow TOO quickly which would effect cash flow.Presently addressing to qualify more divers and project managers.

Q: The sp has gone down due to market speculators and the shareholders being over promised and under delivered,what happened to the Danish deal and The IEV project that was promised in June Its now November and nothing has happened and why havent we been informed?

A:Accept full responsibilty for lack of anns and 'looking forward' we will improve in that area.
Danish deal was an opportunity but it was a case of prioritising our resources towards IEV which offers a bigger opportunity and the awareness that we couldnt over commit ourselfs, the Danish interest and several others still exist.
IEV is far more attractive at this stage due to the fact they are all in Asian waters ie +-30mtrs of water
We need more R&D to get us to the 100mtrs and more in Europe.
Q: Are all IEV countries trained and qualified
A: No just a few
Q:Admin costs have gone up and this fancy office is costing $10K a month is this justified
A:Yes we have a commercial face to consider and as a growing company admin costs will rise but not excessively
Q:Will the sp go back $1.50 within the year
A:Strong demand for the product will get us there not day traders.Revenue growth has been achieved.(Info only.... $2.5m cash in bank $2.5m assets GP 48% Net profit $1m)
We do not set our objectives based on the the sp.
Q:Will we expect to see capital raising next year
A:As and when we feel it it essential for our future growth and resource requirements.

Q: What was the outcome of the US visit
A: We are now listed on the American Bureau of Shipping as a supplier and still in contact with Chevron Oil and Oceaneering.
Q: Are we looking at Aluminium Ferries
A: Yes part of our federal grant it for us to to expand our R&D in this area
Q To Clive Langley.Where do you see us in the next couple of years
A: Very Very happy financially,once we get a few runs on the board in oil & gas we will lift off.Presently tendering on some long term projects in that area.I am more confident today than at any point previously
NB 10m pounds is being spent in the North Sea to do one hyberbaric weld.
At this stage we cannot go beyond the 30mtr mark which is fine for IEV but we are presently looking at ROV'S to do the +100mtr projects.

Richard Wolanski stated that he could spend a whole day out of his week just responding to Shareholders phone calls and Emails.He stressed that he has to be extremely carefull at all times as to what he is allowed to say as too much informatiion etc to one individual SH could be construed by ASIC as preferential inside information.

Thats about all i have folks,hope i didnt waffle on too long.Meeting lasted 1 hour 50min

My conclusion? I came away very confident that they are working their butts off,they have a lot to loose to.The product is very much a winner.

I spoke to Clive afterwords and asked how we sat with Patients and someone pinching the technology.He said there will always be backyarders stealing someones ideas but the difference here is that the shipping industry in general is very tightly controlled by the likes of Loyds of London and they will not allow just anyone working on their ships and oil & gas rigs as the insurance losses are so great.
(please excuse spelling)