RE:Dimitrovgreendayyyy wrote: Dimitrov's position is very questionable. I don't think it's the right choice. With Orvana (ORV ) she hasn't managed to make Orvana a better company. On the contrary ORV has been collapsing for 10 years.
greendayyyy,
With all due respect, your analysis of Daniella Dimitrov's performance at Orvana Minerals from Q2 2012 as Orvana CFO until April 2015 when she was promoted to CEO of Orvana Minerals until her departure in February 2016 is entirely incorrect! I don't believe that Orvana Minerals' Board would have promoted her to CEO unless she delivered results as CFO which she did!
During her tenure as CFO, Daniella Dimitrov was instrumental in the survival of Orvana Minerals during a downturn in the precious metals prices where gold went from $1624 USD per ounce when she started to $1105 USD per ounce when she left, silver went from $28 USD per ounce when she started to $14.83 USD per ounce when she left, and copper went from $3.40 USD per pound to $2.22 USD per pound when she left Orvana Minerals.
Under her predecessor, Malcolm King, Orvana reported 6 month revenue for Q2 2012 at $46.6 million USD, and reported an after tax loss of $12.464 million USD or -$0.09 USD per share. Orvana's long term debt position was $66.97 million USD, and cash position was $7.43 million USD.
In 2013, Dimitrov was instrumental in Orvana generating a profit of $42.14 million dollar derivative gains from price hedges in a market that saw declining commodity prices and declining precious metals prices. So, in 2013 Orvana's revenue was $162 million USD, and after tax profit was $32.6 million USD or $0.24 USD per share. The cash position increased to $13.0 million USD, while long term debt was cut to $31.2 million USD.
In 2014, Orvana took an impairment charge of $29.22 million USD against its Orovalle mine in Spain and ended the year with a loss of $29.74 million USD or -$0.22 USD per share. In spite of this loss, Orvana continued to be cash flow positive, and ended the year with a cash position of $16 million USD and repaid $31.8 million USD in long term debt.
In 2015, Orvana's revenue dropped to $120 million USD, and reported a loss of $16.7 million USD for the year or -$0.12 USD per share. In spite of the extremely low PM prices, Orvana remained cash flow positive and ended the year with $17 million USD in cash and repaid the balance of its long term debt.
So let's take a look at Daniella Dimitrov's exit quarter of fiscal Q2 2016. With gold at $1105 USD per ounce, silver at $14.83 USD per ounce, and copper at $2.22 per pound, Orvana reported six month revenue of $43.7 million USD and an after tax loss of $5.76 million USD or -$0.04 USD per share. She left Orvana with a cash position of $15 million USD and had repaid all of Orvana's long term debt!
So I would argue that Daniella Dimitrov left Orvana in a much better financial position than when she started as CFO. On a personal note, during the time period when she was CEO of Orvana, I could call Toronto and ask for the CEO and she made herself accessible to shareholders to answer their questions.
Your perception that Orvana has been collapsing for 10 years is total nonsense. Orvana has a 100 year mine at Orovalle in Spain that has been in continuous production since 1997, and the Oxide Stockpile and Tailings Recovery project at EMIPA in Bolivia is worth $1 Billion USD and will provide 3x the cash flow that Gogold's Parral tailings recovery project in Mexico generates.
FYI, Orvana is profitable and generates significant free cash flow at current metals prices thanks to its considerable by product revenue from copper and silver.
For full disclosure, I am not an IAMGOLD shareholder, but based on my assessment of Daniella Dimitrov's performance as CFO and CEO of Orvana Minerals, it would be foolish to underestimate her. In fact, I might take a starter position in IAG simply because Dimitrov is the new CFO.