I checked from ASX announcements - plant commissioned August 2022.(now more than 2 years ago)
From released numbers, working back, only produced 51k of garnet products produced with a stated name plate capacity of 130k so running at circa 40% of capacity after 2 years of now being commissioned ....plus the CEO and Board have kept borrowing money from Mine Res. Yes, good the wind turbines are up and running and will significantly reduce operating costs.
RDG senior management on Australian Garnet,the core asset of the company, have done a poor job and with no previous mineral sands plant experience...the failures are fully on managements shoulders.
The only executive on the Board is the CEO, the brother of Chris Ellison.Check out their website and remuneration report but essentially the Board and CFO are all part timers on daily rates etc.
The Board and more so the executive directors needs to be strengthened immediately and improve Corporate Governance for all share holders.
I cannot believe now with total debt of $122million and a market cap of now $70 million at 2.4 cents per share, they can justify such a massive increase to CEO salary package ....its completely outrageous.
When they brought Australian Garnet the stock was at circa 6 cents.
Typically when an exploration company goes into production phase the market cap goes up as they start generating cash.
Last terms of executive options last year were set a 4.5 cents.
Current share price 2.4 cents ---share holders down 46% equity ...CEO cash salary up 40 % plus options ($500k to $700k) ...completely outrageous and i will definitely be filling my proxies in against such a raise
Remember also the year before his salary went from $350k to $500k plus bonus options etc.
No problem getting paid if they deliver but getting thrown a civil contract from the parent company and loading the balance sheet with debt to this level is truly astonishing.
If the CEO truly believes in what he is doing and how much money he has borrowed from Min Res ...then the minimum he could do is invest the $200k salary increase back into shares now and show the market he has confidence in what he is doing.
all results are out and he can buy stock now as well as other Boardmembers.
I believe the plant has turned the corner and more product will begin to flow but now management has to market the company properly and do their job (as being well paid to do).
Things must change and now.
