The Board & Executive Strategy
Strategic intent – The MRV Board has the very clear strategic intent, that through our subsidiary companies we will seek to be an owner and/or operator within the Australian resources sector.
Near-term outlook – Given the opportunistic nature we are afforded, (from strong cash reserves, a diverse Board and opportunities available), we have defined our short to near-term outlook as being focused on the development of our current near term coal prospects and the potential of acquiring additional assets that may focus upon alternate resources outside of the coal sector.
Near-term outlook rationale – Our market view across all commodities has identified a number of opportunities. Ideal opportunities have significant capital written-downs due to market conditions and will allow potential acquirers, such as ourselves, to take advantage of these at a sustainable level. Capitalising on these new market-created opportunities is taking place across the board and has opened a unique window for the junior mining sector.
The Board has a fundamental view upon the cyclical nature of the coal sector, especially within this depressed market, believing that prudent investment at the bottom of the cycle, will offer potential returns in the multiples as the commodity cycle turns in an upward trend.
- No significant drain on our cash position by negative cash flow operating assets
- Unlike others, we hold a small strategic portfolio with very low holding costs, which is not a drain upon our cash reserves
- We have a strong, operationally focused Board who are prepared to enter the operating resources sector in order to achieve our near-term outlook aspirations once we identify and acquire the right asset, or define a path forward to fast track our current coal assets in an effort to realise shareholder value.