Kenmare Resources Share Discussion Threads

[amj321pixiebristol] 03/6/2014 09:41

Fair enough, but KMR surely has to focus more on cost savings rather than intermittent production stoppages I believe. All debt and equity raising options are played out, so cost cutting is the only way KMR can survive. We are sub-10 pence now.

[donaferentes] 31/5/2014 18:41

the gennie's are only for when the cheap Moz power fails - cheaper than halting work.

[amj321pixiebristol] 31/5/2014 09:12

Surely powering the mine with generators will increase costs rather than decrease them ? "Cheap power from Mozambique's hydroelectric grid" was always a selling point of this project, remember ? Lots of conflicting statements " dividend imminent, pleasing solid progress, share price tragedy".....all sounds a bit desperate. Perhaps we saw the cat bounce yesterday ?

[sg31] 29/5/2014 22:03

Whoever they are they should hang their heads in shame.

Knowing how KMR mess around with figures it's possible they mean 7% of total shareholders voted against therefore they assume the other 93%, including those who didn't vote, must have been in favour. :-)

[donaferentes] 29/5/2014 20:00

Who are the 93% who agreed to this?

[donaferentes] 29/5/2014 17:16

"I'm not comfortable" - maybe not, but you certainly make a living!

[bh61] 29/5/2014 16:52

This BoD are the most greedy set of under achieving useless bast*rds I have ever come across,

[sg31] 29/5/2014 15:38

Snouts in the trough and no shame.

We have lost a shed load are almost bankrupt but we want a bonus for our outstanding performance. Pay top staff a bonus IF any of them have deserved it but the BOD should be ashamed to draw what they do with their abysmal record

[libertine] 29/5/2014 12:46

Thu, May 29, 2014, 01:00

Kenmare Resources has became the latest London-listed company to experience an investor revolt over executive pay after a third of shareholders voted against approving a recalibrated bonus package for senior staff.

More than nine in 10 voted in favour of a redesigned incentive package that runs from this year. That incentive plan replaces a previous scheme that failed to pay out to executives over the past two years as the Dublin-based miner slumped into loss because of declining demand for titanium-oxide produced at its Moma mine in north Mozambique.

However, 34 per cent of shareholders voted against an extra bonus scheme aimed at rewarding key staff who face the prospect of no share bonuses under the main revised scheme until 2015.

Elizabeth Headon, chairwoman of Kenmare's remuneration committee, called for shareholders to support the additional bonus scheme in its annual report.

She described the scheme as designed to "bridge the gap" between an old and new compensation scheme being introduced at a time of poor global demand for the company's output when targets for production were being hit.

Base salary
Michael Carvill, managing director, is set to receive a further 125 per cent on base salary for on-target performance over the next two years under the terms of a revised scheme for top executives that was approved by 93 per cent of shareholders.

Mr Carvill said he accepted the bridging scheme had been opposed by proxy voting agencies, but had been proposed by external adviser PwC and backed by most shareholders.

Yesterday's Mr Carvill repeated his dissatisfaction with Kenmare's share price performance. "I'm not comfortable – I'm a shareholder." – (Copyright The Financial Times Limited 2014)

[donaferentes] 28/5/2014 16:12

"management is reviewing and cutting costs where possible"

Taking a well-earned pay cut is very hard, but not impossible - so why not?

"working continually to maintain reasonable margins"

for the BoD no doubt - could write a novel in those margins!

[libertine] 28/5/2014 13:37

Michael Carvill, Managing Director, commented: "We are pleased at ongoing solid progress being made at Moma. Arrival of the generator sets which were ordered in April remains on schedule and they are expected to reach site in July. Market conditions have not yet recovered, with prices continuing to persist at what we believe are, for the sector, unsustainably low levels. This in turn is continuing to weigh on market sentiment towards Kenmare. In line with our previously stated strategy, management is reviewing and cutting costs where possible, working continually to maintain reasonable margins and to position Kenmare for the upturn. We thank our shareholders for their continuing support."

[dr know] 28/5/2014 11:29

The AGM started at 11.00 today and the company hasn't used it as a opportunity to issue an RNS containing loads of share price boosting good news about how production and sales are going gangbusters...

I guess one can draw the conclusion that there wasn't any good news to tell us. Or maybe they just couldn't give a stuff about shareholders.

[a0148009] 28/5/2014 09:09

The following sent to me by a fellow investor
which sums up the KMR management as if there was any need to.

"I have a small holding in Iluka Resources (ILU Australian SE) that is in the identical business to Kenmare – produces mineral sands in Oz – Zircon and Rutile. The Chairman and MD always give an excellent overview of the forward market and prices for these materials such guidance seems to be lacking from Kenmare. It's worth a look at Iluka's latest AGM statement (yesterday), basically small signs of a pick up that will take production above 2013 in 2014 but no recovery to the glory days of 2010. The share price jumped 6% on the back of it maybe a lift coming for Kenmare although Iluka has large cash holding so no new money needed."

AO

[bh61] 21/5/2014 21:18

The words the management have used in the past are laughable:-
World class asset
2013 a watershed year
Dividends are imminent
Releasing shareholder value to our long suffering shareholders

The ones I would use are, overpaid, greedy, devious, lying, useless to mane but a few.

[cumnor] 21/5/2014 17:56

Agree, only guffaws and buffoons could have allowed a company's value with a world class asset get to this state, notwithstanding the cyclical nature of such commodities which a half intelligent mgmt would have anticipated and planned for. Only hope is a TO by a serious player with a mgmt that has some credibility, and background. aimho

[bh61] 21/5/2014 17:43

I agree kmr may have not yet reached the bottom, the company could even go bust as the debt repayments may not be met next year if Ilminite prices don't look up. More likely a private equity company will buy for peanuts get rid of the Irish muppets and sell on quickly. This is possibly the worst share I have ever held and am glad I got out some time ago.

[dingbat21] 21/5/2014 16:13

Salpara111 - not much analytical comment there!

[salpara111] 21/5/2014 13:00

I was waiting for the inevitable 10p but now it is here I am not convinced that it is a buy yet.

[congar9] 20/5/2014 17:56

This was a punt on my part and I suppose its fortunate I have other shares which have gone the right way....look at Ryanair

[demac] 20/5/2014 16:46

Doubt we'll get any information before the AGM on 28th May.

I'm guessing the market for ilmenite is still depressed and possibly becoming more depressed. Prices probably at very low levels. Not a lot Kenmare can do about the market demand and prices. They can,however, get their own operation in order,improve efficiences and control costs. If they have done these things and continue to do them there might be a very faint light at the end of a very long tunnel. This is the only hope I can see for the future. In the meantime I hope their financial situation doesn't explode.

I don't detect any significant selling by the institutional holders who must now be holding at significant losses. There has not been evidence of exceptional volume selling over the past few months.

I think long term investors (like me) must be caught in a trap - can't afford to sell and can't afford to buy.

Hopefully, some hope will come from the AGM.

demac

[sg31] 20/5/2014 16:15

They don't work that way. Only tell good news. Forget any bad news.

Half truths are OK. If the Mineral Separation unit breaks down release news of how well the dredges are doing and don't mention the MSU. Nobody buying the end product, tell them how much you are producing.

You get the idea. They've used the same technique for years

[sorksandnorks] 20/5/2014 15:35

There must be a reason for this continuous sickening and steepening decline - why no RNS? If anyone from KMR is out there and actually reads this (which I know is extremely unlikely before anyone comments on the futility of such an expectation), we need some information and we need it now!

[ravenheart] 20/5/2014 14:04

Haven't been checking on KMR since price fell to 16.5p. Come back hoping that was the floor and what do I see................down another 40%. Incredible. Absolute disgrace !!!

Time the institutional shareholders put their feet down on this Board. Can not be allowed to go on at current remuneration levels. Rewarded for total shareholder value decimation. In case everyone forgot it is us who together own the company!

Would you allow other things you own to be treated in such a way and pay ppl exorbitant sums for the privilege...

AIMHO

[bh61] 20/5/2014 11:06

Yes this is really in trouble, one on the Institutions must be selling, I'm not surprised the way the board have treated the shareholders , I said a year ago this would be in single figures eventually, with all the leveraged spending it will all end in tears, the board are exempt any pain will their $ million salaries and bonuses. With only one product which they can't sell they should have been more prudent. Carvill is the one to blame , end of.