As most of you know, a bunch of HC posters attended MHM's AGM on Monday. Firstly, it was great to meet many of you face to face, and it was obvious how well researched everyone was.
I arrived early Sunday morning and took a cruise on Macquarie Harbour until the early afternoon. It was great to get on the harbour and actually see the Silica deposits up close (as the cruise boat goes straight past them).
I then meet up with everyone else that night at the pub and we ended up drinking much beer and swaping views and stories. A great time had by all.
We then had breakfast the next morning in the Strahan Village hotel, and noticing so too were the MHM directors (bit of a give away with the laptops out and the MHM paperwork on the table). At 12pm we then moved into the meeting room next to the breakfast area. As the hotel was situated on a hill over looking Macquarie Harbour, we could actually see some of the Silica deposits from the AGM.
The AGM started by the Chairman going through the formal proceedings with the resolutions and the votes, where everything passed with close to 100% support. The only question raised was wether the board had thought about changing the name to Macquarie Harbour Metals rather than MHM Metals. The directors pointed out that they wanted to move away from the name Macquaire Harbour, as the business now had major components outside Macqauire Harbour. It was mentioned how it was nice to see so many faces at the AGM as last year there was only 1 shareholder there.
This was then followed up by Frank giving a summary of the business activities over the previous 12 months. No real suprises mentioned in this, as it was all the publically released information. After this summary, the Chairman then went through the list of questions provided to them previously (thanks to all on HC who contributed and put the list together). During (and after this), we also asked questions to further clarify some points, and even there were some suggestions made to the board. I personally was very impressed with the knowledge and answers provided. All the time, they made sure that no new information was given that would go against ASX guidelines. Several times they could not clarify certain points due to ongoing negotiations.
After the AGM, we got to have coffee and a sandwich and talk to the directors in small groups. We congratulated the board on their very successful year, and they were excited about the path ahead. I particually enjoyed talking to Neil (the Chairman who is based in Perth) and Frank.
I would like to share some of my thoughts about the questions asked and answers given, but please understand that the below (and above) is from my memory (which is bad at the best of times), and my understanding of what was said. What I write is also based on some reading between the lines, and putting 2 and 2 together to get 7.
Aluminium Recycling
A FS will be required for each smelter built (which makes sense due to the $$$ involved in building them). I would be expecting some positive news Jan/Feb about the SSC progress as Ben is in the US in Jan (back in Feb). The upside continues to be huge. More later.
NMP
Technology provider is the same tech provider as the Slag (i.e Frank). This is a huge potential money earning, and Frank believes the tech could be commercially ready by the end of 2011. Don't underestimate the upside on this one.
SPL
The US government and SSC is very keen to get this tech up and running and they are looking to build a pilot plant in the US. It sounds like the government is willing to put money toward this and the salt cake (slag) solutions. I personally expect this amount to be many million of dollars.
Silica
Talks on the Silica "have never been better". Still looking at multiple intrests in a Silica Smelter, including from Europe and the US. They are looking to maximise the dollar return on the various silica grades. All three goverment parties are VERY positive on this "including the Greens". Comments made about this being the number one new project for tassie (the state, not the company).
African Gold
Expecting news, and they basically would not talk about it. I'm am personally expecting to see them farm this off. They made interesting commments around doing MET work on this as they already believe the size is big enough for it to go ahead.
Nickel/Copper/Iron Ore
Copper/Nickel is bigger than anyone thinks. MHM have pegged tenements along strike from Mt Lydell. One to watch.
REE
Guess what Frank found.....
General/Corporate
Frank is super paraniod about the IP, as he has been burned before many years ago on some Gold processing IP. These guys are on top of it. Expect hedge fund road show in New York in Jan for hedge funds to "buy on market". No raising here. Aus presentations in Feb.
That is it for the moment guys. I will add part two hopefully tonight (with some pics). Got a long day getting home today. I will expand on the above when time allows.
MHM Price at posting:
$1.15 Sentiment: Buy Disclosure: Held
(20min delay)