re: Ann: 2012 half year financial results ann...
In my view TB is doing a great job and i wish more CEOs were like him. I would challenge someone to point to at least one acquisition in the copper sector in recent time that would now be considered value accretive. Most of us would be aware of Barricks issues with EQN.
TBs focus is clearly on building long term value for shareholders. In my view OZLs key achievements under TB’s management have been: • PH has consistently operated at 25% above nameplate capacity. • A decline in production has been avoided by bringing Ankarta online • A 20% stake in SFR was picked up at a bargain price. • We can’t call Big C a success yet, but it is certainly looking to be a promising long term growth option. • And most importantly he hasn’t pissed away the cash available for M&A
Obviously the market is frustrated by the lack of exploration success at PH (despite significant expenditure), but if they find something tomorrow he will be considered a genius.
Anyways, the key point i want to make is that the current share price is more a function of the assets that were inherited after the MinMetals debacle rather than poor management. The results out this week made it clear that OZL will not be the yield stock that some thought it would be, hence the strong selling this week. I must admit that i wasn’t expecting a 10c dividend.
OZL Price at posting:
$7.18 Sentiment: LT Buy Disclosure: Held
