Nature Grp Share Discussion Threads

[dozey3] 05/2/2012 16:35

I have been taking a look at Nature Group, since it ticks quite a few boxes. However, the Gibraltar incident has caused me to question the competence of the management. I've followed the links kindly posted above by DGW, and they bear no relation to anything in the company's rns bulletins over the past eight months. Take this extract from the Gibraltar Chronicle for example:

"...The tank rooftops were dotted with 60 perforations caused by long term corrosion, the investigation found.

Two men welding on top of one of the tanks caused the vapour to ignite, resulting in the explosion. One of the welders, 40-year old Pedro Zambrano Lopez, later died as a result of the burns he sustained.

The investigators also found evidence that, in their view, suggested serious flaws in the way the plant was operated.

They described "significant departures" from good health and safety procedures in a facility of this type, with management policies and procedures lacking sufficient detail.

They were also critical of the degree of control that Nature exercised over subcontractors, including the two men who were welding on top of the tank when it exploded."

Would you be surprised if there was a much bigger problem than the insurance company refusing to pay up? Well I wouldn't. Ask BP.

Sorry folks, I'm OUT.

Doze

[dgwinterbottom] 01/2/2012 12:09

PugUgly - perhaps I should email the Chief Exec once again - in reply to my prev correspondance and his answer - "requesting his comments"

[pugugly] 01/2/2012 10:27

DGWinterbottom:> Good find but imo very worrying, especially if I read it correctly, the implication that there may be doubts about the licence renewal

If this is a correct interpretation it will have (imo) serious implications for the long term profitability of the site and also potentially impact on the "good citizen" standing of the company when being considered for licences in other locations.

Maybe this could be behind the statement in the trading review that :-

"Feasibility to set up an additional PRF in key Global location under review"

I have often found that such wording is a preliminary to cancellation.

So far as the Insurance Claim is concerned the previous problems with the tanks (if the news report is correct) might well (imo) invalidate any insurance claims subject to the conditions of the insurance and if there were any requirements (express or implied) for Nature to keep the facilty in a "safe condition" - an anolagy could be that a householder will often void their domestic insurance policy if they fail to set a burglar alarm or leave the house unoccupied and fail to lock all doors and close the windows.


Or am I being too paranoid.

[dgwinterbottom] 31/1/2012 20:54

Is this the reason for the Insurance Co failing to accept the claim?:

[jon l] 31/1/2012 10:09

A difficult incident and plenty of mudslinging for the insurer to exploit. Now, with the financial outcome about as bad as it could be, the market may be putting a floor under the price here at 60p. Today's market is unforgiving and this is a muted response...so perhaps the market recognises the health of the rest of the business. Overall this is quite a growth story and maybe the co. is just big enough not to be fully derailed by its Gib branch. Only upside from here?

[dgwinterbottom] 31/1/2012 09:30

It would be interesting to know why the Insurance Co have declined the claim.

[marky_mark06] 30/1/2012 21:32

Does anyone have information about compensation levels for executives at NGR? In the current climate, investors should be wary of any companies that reward failure, as demonstrated by the inept management response to the fiasco in Gibraltor.

[dgwinterbottom] 30/1/2012 08:52

It has to be said the prospect of the Insurance claim being denied was probably responsible for the poor share performance over the last 6 months!

[henryatkin] 30/1/2012 08:13

Pugugly ... yep, I agree. I misread the 1.5 as being a reduction not the final figure. I've edited the previous post.

[norbert colon] 30/1/2012 08:11

I agree with you PUGUGLY. Not great numbers for this year - need to get this insurance claim overhang out of the way. I will be looking to pick up some more on the basis of likely overreaction to this news.

Nobby

[pugugly] 30/1/2012 08:04

henryatkin:> Not sure how you calculated the eps

From the rns, "and would result in an expected profit before tax of approximately £1.5m for the year ended 31 December 2011"

I make this - based on 78.8 M shares to be an eps of 1.904p Very disappointing.

The above of course is assuing th einsurance claim is rejected as per the rns.

Can someone please double check my figures

[dgwinterbottom] 12/1/2012 08:39

Interesting!! 5% rise in 2 days chaps!!

[dgwinterbottom] 20/12/2011 09:51

Hi Chaps

Nature Group has acquired a fourth tanker the MT Crystalwater:


Happy Christmas to all

[marky_mark06] 05/12/2011 12:22

Looking rather oversold. Time to top up?

[dgwinterbottom] 01/12/2011 08:47

1356 - Yes, I share your perception. As things were but subject to delay!!

[1356] 30/11/2011 17:39

Thanks for sharing the email response DGW...

My thoughts are they will announce any improvement as soon as they get confirmation. Not wait for results. I'm not even sure they could legally do that anyway.

At the moment I share the thoughts of Mr Eldridges final Outlook:

Outlook for the Year
With both the European and Global economic situation going through a period of uncertainty, and the expectation that our Gibraltar
treatment plant is unlikely to be back in full operation before the end of 2011, the Board feels it would not be prudent to predict the
final outcome for 2011. In contrast, the Board feel that with 2011 behind us and the task of business integration completed, we will
be going into 2012 with confidence based on all the opportunities we have in hand, and the contacts made during this year.
Despite all the gloom that we all read and hear about, it is encouraging to see that the International commitment to higher standards
for a cleaner environment continues to hold strong. This gives us optimism that the sectors in which we operate will continue to grow,
and support our corporate commitment to cleaner seas and oceans.


I've just tried to accept the fact that everything's running about 12-18 months further behind than I'd thought (in terms of the value of the acquisition being realised in the share price). With the current market conditions, if I wasn't invested already I'd definitely wait until an announcement on the Gibraltar front before taking a share...

Patience needed.

[dgwinterbottom] 29/11/2011 17:00

Indeed they have Marky!!! I was emailed with it on 22 Sept 2011



Another thing that crossed my mind - not a long journey - now that the Dutch are in charge (see report) perhaps they are not accustomed to the British psyche of wanting regular information updates under such circumstances
ie a culture thing.......if you follow!!!!!

[marky_mark06] 29/11/2011 10:12

Maybe I'm mistaken, but I don't think they've provided results for the first six months yet, have they?

[dgwinterbottom] 29/11/2011 08:49

Marky & Norbert

What I have noticed - that is nice - given events of the past year is that we are practically at year end with no nasties (hopefully) ie profit warning due to logisitical problems with Gibraltar ops.

I wonder if the lack of communication is because they wish to announce it all with year end results and get a "bounce" on the positive newsflow. Would appreciate your thoughts!

In the past I have occasionally contacted Chief Execs direct, but along with carefully drafted questions, to see what and how they are answered!

[norbert colon] 28/11/2011 16:31

Yes thanks + surprised too.

[marky_mark06] 28/11/2011 09:47

@DGWinterbottom Thanks for the helpful post. It's amazing that the company hasn't provided an update to the wider investment community.

[dgwinterbottom] 28/11/2011 08:58

Further to previous:

Para 2 should read: Our license to treat waste has been suspended, but we are still collecting waste and have this treated elsewhere. Our legal claim against the government, for this illegal suspension, has been accepted by the court in Gibraltar, so we expect to get some traction here.

[dgwinterbottom] 28/11/2011 08:56

Following an email I sent to the MD last week I have received a reply confirming the following points:

1. The current status is that their third party liability insurer has accepted all claims, and they are awaiting the loss adjuster insurance report which should be coming within the next month.

2.The license to treat waste has been suspended, but they are still collecting waste and have this treated elsewhere. The legal claim against the government, they expect to get some traction here.

3.The Chief Minister, and the Gibraltar Government wants them to operate as soon as possible, but is questioning if the current location is correct. They want to discuss possible moves for the terminal, which will bear financial implications for the Gibraltar Government, which they understand, but unfortunately the discussion is suspended till the elections on the 8th of December.

4. We remain confident that they will operate a Port Reception Facility in Gibraltar in the near future

[marky_mark06] 25/11/2011 17:07

I think recent falls have been triggered by numerous stop losses. It's a domino-effect as each one triggers the next stop loss. The biggest drag on the share price is the Gibraltor issue, which has been ineptly managed by the company.