The contrast between my shareholding in CXO & TNG is getting...

The contrast between my shareholding in CXO & TNG is getting pretty stark (read Management performance).

As a LTH I still have 10% of my portfolio in TNG. I have 18% in CXO. Have been in TNG since 2012...CXO since 2017. Both of these miners are in the critical minerals space & both have their prime staked territory in the NT. A sweetspot you would think.

CXO has had an impressive journey, led by MD Biggins for the toughest part of the journey....from discovery to near production. Market cap is now $2.3B heading to $4B. Biggins is also a geologist (and smart business man). CXO have a very well established & qualified Board & Management team.

TNG has had a much patchier journey. As chronicled by Propunter, Burton, the geologist, was key to the Vanadium discovery, but was not the lead in directing the business. This came a bit later when he got the nod as MD.

So, we can now look at these two prospective critical mineral miners, both in the NT jurisdiction, & do a side by side on their relative performance.

In my research, I haven't found any major legal stumbling blocks to the progression of CXO. And yet, their major production site is within 80 kms of Darwin.

TNG seems to have had a strategic direction that at times has lacked clarity leading to many timelines that were promised and not fulfilled. Difficult relationships with the NT EPA agency have led to time poor & costly decisions ie. the move of the refinery from Darwin to Mt. Peake. Negative press & further timeline blowouts was the result for TNG.

And yet, MD Burton has been extremely well remunerated over the past 10 years or so but hasn't met the normal corporate performance targets attaching to that remuneration IMO.

So, why does an MD of a prospective miner with so much potential & known resource etc think that they can march on regardless of what the long suffering shareholders think? Is it because there is no critical performance evaluation by the Chairman, as required by the Board Charter?

The average time at the top for MD's of most big, established, Companies is probably 4 years. We all know that things can change quickly when the economy goes pear shaped! No room for fair weather sailors. Just watch the movement over the next 6 months or so.

So back to CXO. In a surprise announcement a few months ago, MD Biggins announced he would be moving on towards the end of 2022. This would allow time to find the "right person" to take CXO to the next level. Biggins is highly regarded. He can walk away knowing that he has led a venture to enormous potential from breaking ground. He won't have to work again. But of course he will. No shareholder revolt or agitation at play here...more SH disappointment at Biggins leaving.

CXO has now announced its new MD... a seasoned RIO Exec with all the appropriate experience needed for the next chapter. The share price responded accordingly.

In contrast, TNG is in the middle of a turf war where the current leadership team appears to have a blind spot for its faithful shareholders. Has it taken the time to properly evaluate how others in the same mining jurisdiction (CXO) have been successful & to emulate that success?

PB, please take a leaf out of the Biggins CXO text book & critically examine whether you have the horsepower, exposure & experience for the next key part of the TNG journey.

Thanks for getting us to where we are, but it's time to pass the baton on.

A tale of two MD's indeed.

Jvest