Hi Guy's, Here is a short interview Mike had with Norm prior to...

Hi Guy's, Here is a short interview Mike had with Norm prior to the last egm. you can read more on this at the blog jervoisvision2009 and read through the 128 comments


I spoke to Norm Seckold today. I thought it very relevant to other Jervois shareholders & asked him if I could post a summary of our conversation on the Jervoisvision blog. He said no probs but asked to see the summary before posting. Here it is:

Mike: Norm, you’ve been involved in mining development for thirty years or more: how do you see this global down-turn?

Norm: Obviously its enormous and unprecedented, but there is a huge amount of stimulus as well that will in time work through.

Mike: How concerned are you about the ability of Jervois to come out the other side?

Norm: It’s not so much a matter of concern, but what you do about it. It does seem strange to me that Jervois is operating currently as if It is the only listed mining company that’s exempt and untouched by what has become a deep global recession.

Every company I am aware of has taken measures to reduce costs protect the company’s assets. Simply being listed is a large drain on a small company. Then there are the lease retentions and so on.

Mike: Do you see any positives in this situation?

Norm: Frankly not many, but you’re right, there will be opportunities. Nickel has been sold down to levels where very few mines remain economically viable and underneath is the on-going demand for nickel. It’s essential in hundreds of applications- food, health, chemical processing, corrosive environments of all sorts.

Mike: Now the big question- laterite technology. What are the issues there?

Norm: “I am very interested in and a keen student of alternative process routes for nickel laterites. In fact my Development Manager has just returned from visiting a test lab for one such technology. But no matter what, any development at Young will be capital intensive and in these times of scarce finance I think it is all the more important to have a strong partner.

Jervois’ technology has been hovering near the point of breakthrough for what seems to have been a considerable period. Even if the process is finally demonstrated to be viable, it is hard to envisage that there would be capital available for development until a third party audit, carried out over probably a fairly lengthy period, was completed.”

Mike: What do you see happening if this board change doesn’t take place?

Norm: I suppose Jervois may survive in attenuated form, but what will the next rights issue be done at? At .02c. Then at fractions of a faction of a cent? There comes a point when loyal shareholders run out of patience. The world doesn’t owe Jervois and its staff a living.
The whole idea of investment is actually the reverse: companies are there to provide a return in the mid-term, even the long term, but not in the never-never. There’s not much point being an exploration company if that is all you ever do.

March 5, 2009 4:16 AM