But put yourself in the shoes of DS who walked into a house of cards with many of the public statements on position clealry unsupportable and poorly conceived.
When you spill milk on the floor what's the first necesary action?
Clean it up!
A negative action which takes time and adds nothing to the forward progress.
Then, when the milk has been cleaned up, it's a case of determine the future direction and go for it.
I think Simonsen has done this resonably well under difficult circumstances where he necessarily had to take a bullet for the company and past management!
Turning now to the finance. How many of us have been in a situation where you are negotaiating with banker on a loan?
It's absolutely frustrating and usually includes these steps:
Initial discussions - very encouraging - bankers are enthusiastic and want to do the deal and tell you so
Then its provide the documentation - frustrating and very time consuming - all along though, the bankers say things are fine
But it drags on and on as they require extra information and extra information...still the bankers say it's looking good and they think the board will look favourably
Eventually it gets to the board or senior management and they come back with some additional clauses that have come out of nowhere. Damn...it's now a case of negotiating on these extra clauses or extra fees or other unsavoury terms.
And on and on and on!
I reckon this is what has happeend with HGO and why they had to look at a CR as well.
That said, we're through the finance hurdle and now it's on with developing the mine.
HGO Price at posting:
26.5¢ Sentiment: Buy Disclosure: Held
