Apollo Global ship ‘continues to undergo maintenance’

Apollo Global Capital [APL 0.01 unch; 105% avgVol] [link], the first company in the Philippines to be granted a license/permit to conduct offshore iron ore mining, responded to the PSE’s query about its operations to say that its one vessel, the MV Siphon I, “continues to undergo maintenance and improvements to ensure operational efficiency and safety.” APL reassured the PSE that the MV Siphon I was “safe and secure despite the recent typhoon.” APL also said that its operator is “prepared to deploy their additional vessels”, but that “sailing has been deferred by Marina as a precautionary measure.” APL also noted that there have been some “additional safety protocols on marine vessels brought about by the rising geo-political tensions in the region.” APL said that it anticipates starting commercial operations “in approximately three weeks”, but added, “presuming there won’t be any weather disturbances or other factors that would impede the timeline.”

MB BOTTOM-LINE: As of today, it has been 1,280 days since APL first told the investing public that the MV Siphon 1 was “in place and ready to begin commercial operations.” That’s over 3.5 years! Not 3.5 years since APL started to develop its plan, but 3.5 years since APL said that it was in position and implied in the media that all of the pre-work that needed to be done to dig had already been done. After all of the performative improvements, inspections, training, and preventative maintenance that the MV Siphon I has been forced to endure over that time, it better be the safest ship in the country. Remember when instead of doing mining APL spent all those months focused on conducting that follow-on offering to buy the MV Siphon I (instead of renting it) because that was so important to operations, and now, with the PSE seemingly applying some pressure, all of a sudden it’s bringing in rental ships to do the work that the MV Siphon I still can’t manage to do? I’m not an APL investor, but if I were, I’d be in a blind rage. Theoretically, with a free float of 67.93%, it’s possible for someone to acquire this company through a tender offer and “take” the mining rights that APL has been squandering all these years. Just ?1.3 billion at current prices to gain a majority stake. The MV Siphon I deserves better! Somebody free the MV Siphon I from this torture.

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