yes, BitterVictorian!! Very good post-and so true.
FACT Jim Richards is the person who should be credited for the discovery of Railway. It was Jim Richards as Exploration Director/CEO who suggested focusing on drilling what turned out to be the company-making Railway deposit.
bungy234's post points this out. Read what Jim Richards achieved for UMC, and then reflect on what his successor, Matt Hogan has now attempted to deliver to shareholders.
It's almost beyond belief as to the level of deception that the UMC board think they can get away with....almost that is unless anyone reads the last few years of announcements to where we stand today, and the last few weeks of hotcopper posts!
The true facts about the Railway discovery were also deliberately omitted in this recent Resource Stocks July/August 2009 edition (someone is missing from that pic...now overseas apparently):
Published just a few short months ago .... UMC was being spruiked about being in production in 2011, it had saleable high grade ore, high potential for further discoveries and was "poised to become a substantial iron ore producer in the Pilbara region", while we are now told by the UMC chairman that the BHP bid "crystallised value" (based on a suppressed shareprice?!...and where are all the drilling results?!) and offered "shareholders an opportunity to deal away the significant development risks" of going into production.
Misleading and deceptive?
Since his appointment in late 2007, Hogan was made aware of serious concerns some shareholders had with his lack of corporate and mining experience, and other issues.
Just weeks after his appointment, on 22.11.07, the following statement at the end of a company announcement was put out to 'reassure the troops', signed by Hogan:
We are passionate about the potential of our new discovery. Our exploration success provides us with a clear vision and direction for the project. The further drilling about to commence will provide us with the extra information needed to develop strategic options for the project. We are excited by the opportunities that lie ahead for all shareholders."
So passionate was the board, that they rolled over for BHP and attempted to sell the shareholders out based on an obviously suppressed low share value, below the placement price to CRM. But what a sweet deal it would be for management with the options clause as icing on the cake of a full load of presciently bought shares.
Would be is the key here...cos this story aint over yet!
UMC Price at posting:
$1.27 Sentiment: Hold Disclosure: Held
