I had the chance to attend the presentation and came away with a somewhat different view of the rebirth of ORD. I was not impressed with the way Bruce went about slagging off at their JV partners and every second sentence had the f..k word and demeaned the people who are their JV partners. Poor taste coming from the chairman even if they are less than capable.
Neither Bruce or Frank took any ownership of theirs and previous boards mistakes eg Copper Flats, West Wyalong, Laos and Suplejack. They gave me the impression that it was someone else's problem and "lets move on" to greener pastures. The alarm bells rang when they doubted the competence of their JV partners and rammed home that they will be playing a heavy hand waiting for them to stuff up so ORD could take the whole deal.
And they said that they were looking exactly for this scenario and take advantage of the situation.
The resource seams to be there and looks (according to Bruce and Frank) to be due for a substantial upgrade. They mentioned they would look to release progressive announcements over the coming moths and will be in a position to announce they will/wont go mining in 9 months and a further 6 months for the ore body to go to a nearby plant to start producing gold. 15 months from now is, I believe, optimistic.
I can see how they will look to cashflow this and a lot is hinging on the conversion of the options before expiry in 2014 and the uptake of the rights issue. They need to have good news stories on a regular basis or SH will make them pay and for that I believe they will work hard as they have big skin in the game. Its just I don't like the way they do business on a personal level.
Doubt that I will be getting back in anytime soon.
VAN Price at posting:
0.5¢ Sentiment: None Disclosure: Not Held
