Finally our Board has done what they were supposed to do i.e. listen to the shareholders and appoint a CEO with the experience of developing and operating a mine and a chemical processing plant. I think SDV with or without a partner will be a go now. It's my guess that this is not the entire story; there is more exciting news to follow.
1... Our current board is mostly from M&A, accounting and/or legal background. They needed someone on their side to help them make informed decisions on developing and operating a chemical processing plant. If sheets hit the roof tomorrow the Board won't be able to say that the JV partner proposed to us and we simply followed them.
2... At CEO level you have to be a forward thinker and not a mechanic that will figure out a way to fix the problem when it happens. In fact you will build necessary safeguards in the design of the plant to ensure how you will handle potential problems down the road. At Mt Catlin a 47% recovery issue is exactly the same point which has pushed us behind by almost one year.
IMHO POSCO came to Galaxy not to buy the resource but to become a partner. However; when they saw that the management structure was weak, they decided to hold back. Perhaps AT departure was a condition precedent for them to do a JV. I am therefore; keeping my fingers crossed until I hear what the board has to say.
