Given the size of NCM and its terrible history of mine stoppages/plant break downs over the past 18 months, may I suggest the following:-
That NCM forms a Spot Check team consisting of a mining specialist, a grinding specialist and a processing specialist. This team could review the current R&M plan and perform spot checks on mines and report back directly to the CEO. This would, IMO, minimise mine and plant outages and provide a second opinion to the CEO and as such the CEO could not claim ignorance when there is another major problem.
We all know that front line supervisors and managers are in touch with weaknesses at the "coal face" and spot checks on this level would short circuit bureaucratic communication systems.
The market is now skeptical of plant reliability because of the past year's cockups and this strategy would help to restore market confidence by improving reliability.
If you like the idea, please send a message to the CEO saying so.
With kind regards Moorookamick
NCM Price at posting:
$25.65 Sentiment: LT Buy Disclosure: Held