There was about 20-30 people shareholders)there this year, a lot less than last year which was a full room. The meeting starting with Ian Kirkwood (Chairman)saying that there are some legacy issues (Frank and PDC my guess) that us the shareholders want answer to, but the company wasn’t able to answer just yet as they are still ongoing, and hope that the shareholders understood this. There was one or two questions on this matter, Ian said that he couldn’t say anything more about it.
The old CEO (Robert McAlister) was there which surprise us in the room, as well as the new board, he did ask a lot of questions to the board, a few where on Frank I think the boat and PDC, which Ian couldn’t answer, interesting that he is now a shareholder of the company.
The Filter.
The Matthew Keen showed us some photos of the new filter, I didn’t realise just how big the new filter is, it’s about 15 meters long, about 4-5 meters wide and about 5 meters high, as well as being around 40+ tonnes of equipment.
There was a question asked if shareholders can have a tour of the plant, I think the reply was, due to OHS it wouldn’t be possible to do this, which is far enough as I wouldn’t want people walking around where I work.
He explained how the filter works, what the benefits will be with the new filter, the delays that they have had with installing the filter. They are very pleased with how the new filter is performing at the moment, a question was asked about the password problem on the filter, I think Matthew said that the engineers will stay at the plant site for around 5 days (I might be wrong on the numbers of days) there’s the password problem to fix, which should take only around 3-4 hours to sort out. My thoughts are that the engineers will spend the rest of the time that they are there, working on the filter as well as adjustments that might need with the new filter and some of the equipment at the plant.
Matthew also explained that the industrial chemist that they have in Geelong, is doing a fantastic job there, he when on how the chemist person, is working on understanding the chemical reaction that occurs when process the salt slag, I think he said that when Alcoa sends the salt slag to Geelong, there are all sorts of stuff within the waste that is sent to Geelong, and that they have to work out what’s in it before process it. I think that this chemist person is a very importance member of MHM, and one I hope that stays at MHM.
At the moment I think Matthew said that we are selling to about 5 customers, both locality and overseas, a question was asked about a long term contract for the AL80, I think Matthew said that he didn’t want to have just 1 long term contract with 1 customer, but he wanted to have more than 1 customer to sell the AL80 too.
He also mention about how hard the NMP process is, with breakdowns and some equipment failure from the components within the NMP, this is where the chemist person is worth his weight in GOLD I believe.
Landfill news
Matthew said that they have moved most of the material on top of the landfill site, only about 800 odd tonnes left to move in 5 weeks, Alcoa are very happy that MHM are doing this, as Alcoa will be able to release their mortgage of $3-4 million, what’s hanging over the Alreco plant site in Geelong, which means that Alcoa don’t need to worry about being fine by the EPA .
Also he said that the EPA have been told about the materials at the landfill site, being mover from there to the back of the plant site, Matthew did say, that the EPA have been visiting the plant a number of times, to check and see how the materials at the plant site is being stored, said that they are happy with it so far. Matthew did say that when they first started to put the materials at the back of the plant, that there was a dust problem, but that this has gone away (I think it may have some think to do with moisture in the materials from landfill I could be wrong on that)
A question was asked about when the company will start to dig up the landfill of Alcoa’s, I think Matthew said that it could be 12 months away, as they need to process the materials that are at the back of the plant first, (which I think is part of what belongs to Frank and PDC) as well as incoming materials from Alcoa.
After the AGM I was in a group talking to Lyn Brazil, a question was asked about the hanger building at the landfill site, with the recent bad weather in Geelong, was the building damage in any way. Lyn said that as far as he knows, it hasn’t been damage in any way.
I must say that Lyn looked a lot more relax this year then at last year AGM, he didn’t look worried as much as what he did at last year, he did say that he was a bit worry at last year AGM. He also said that there has been no accident of any sorts at the plant which he was happy about, I think he said around 500 odd days without one.
Alcoa news
Matthew did say that Alcoa where still sending AL waste to MHM plant, I think a new contract is being looked at sometime in April with Alcoa. He did say that Alcoa are still very happy to be working with the company. As well as the news on the landfill, they are very happy with it all so far.
CSIRO news
Matthew said that the work is still ongoing with the CSIRO, there is a report from the CSIRO in about 3 week’s time, also said that this report will not be the last one from them.
US news
A question was asked about if the company was keeping all parties in the US, up to date with the delays and problems (filter) at Geelong, Matthew said that all parties have been kept in the loop on problems at Geelong, and are awaiting news when the filter is to be fully commission in Geelong. A question was asked about John Pugh, if he would go back to work with MHM, once the company has enter the US, I think Matthew said that at this time, we are only focusing on getting the plant working in Geelong, and that John has a job over there, as he needs to make a living while he is over there.
In summary I left the AGM feeling more confident than last year AGM, my thoughts are that it could be up too another 12 months before we enter the US, so the next 6 months will be the one, that either makes or breaks MHM and us the shareholders of MHM.
Also forgot to mention that the plant is also closing down for Xmas holidays for two weeks, so with that in mind, my thoughts are, that maybe the company might want to wait to ramp-up the output from filter, to after they all get back from holidays in January.
I may have forgotten one or two things from the AGM, but I'm sure someone here will let me know if I have got it all right.
Also I'm sure that some here will pick the shit out of what I have posted!
Its a hold for me now until we hear news of filter being fully commissioned.
MHM Price at posting:
9.0¢ Sentiment: Hold Disclosure: Held
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