@SuperWealthy You are right, we should remain objective and critical, this is why your input is welcomed. Help us to stay objective and critical please. I do believe that ARL will succeed. I have taken the time to speak with management (Most recently 1 week ago) and ask the questions, hence my optimism. You can too.
In love, certainly not, Optimistic, certainly. Reflective, I genuinely try to be, I genuinely allow criticism of my ideas and thoughts, I try to be the best I can and I understand that I am not perfect and have a lot to learn. I will apologize when wrong and I do encourage other thoughts. Throw away non contributory one liners that have no value other than antagonism
To be fair, management have openly stated that they could have sold our offtake many times over, that they are wanting the right partner, not just any partner. They have also said that there is a substantial amount of activity in the KPMG data room, and from that are many questions and answers, with ongoing follow-up. This is not dead by any stretch of the imagination. The delay you speak of is actually a drop in the ocean when you consider the 25 year minimum LOM. 25 years + is a long time to suck it up if you get the deal wrong. SW, just look at AUZ and tell me how great that deal was, they rushed in (Regret). I am happy to wait for management to get the right deal for us, and by the way, themselves as well, yes they are some of the largest shareholders. I am happy for management to progress with the three pronged strategy of adding value, while maintaining financial discipline.
Regarding NSW and the IPO. It is my understanding that the reasons for the IPO are numerous. - To reward loyal shareholders with in-specie shares and possibility. - To reward ARL with revenue, near term and longer term. - To capitalize on the resources within ARL, that do not align with the companies future strategy, direction and intention. - To only maintain resources within WA, as the capital drain for duplication of interstate infrastructure and resource is expensive and unnecessary. - To NOT work on the NSW assets in a positive manner will result in their leases terminating and not being renewed. (There must be progress) - To lose the leases due to expiry and inactivity is not in shareholder interest, especially considering their prospective value. - ROI in the short term is not always an imperative, there are other factors like potential, add value to generate reward, speculation, in the national interest and many more. I would say yes, it is worth the effort to spin this out and get another team working on it in parallel. Cheers RED
ARL Price at posting:
43.0¢ Sentiment: Buy Disclosure: Held
