Beament’s autocratic style causes unrest

Bill Beament’s leadership style is black and white. There are no greys. It is either yes or no, right or wrong, and nothing in between. Beament’s oppressive dictatorship leads to poor relations at all levels and poor decision making. 

Beament is usually portrayed with a ‘squeaky clean’ image in the media. His oppressive conduct leaks out like a gold spill and market insiders can see through his guise of a ‘credible’ Executive Chairman. 

Beament’s opportunistic conduct

Beament appeared to take advantage of Rand Mining and Tribune Resources when he made a $150 million bid to buy out their combined 49% stake of Northern Star’s East Kundana Joint Venture partners (EKJV) in November 2018. Rand Mining and Tribune Resources unanimously rejected Beament’s offer because it was opportunistic and it undervalued them as EKJV partners. Insiders think Beament to be Machiavellian in his ways, scheming and doing everything in his power to get what he wants. This management style will ultimately lead to dispute and litigation. 

Insiders were sceptical when Beament and his team replaced Barminco with Northern Star Mining Services as the mining contractor for the East Kundana Joint Venture, to self-perform the work. The transition was questionable considering how Barminco was doing well with its mining operations. Mining costs have now increased 50% to the detriment of his East Kundana Joint Venture partners, Rand Mining and Tribune Resources. 

Partners, investors, and employees are perturbed

Beament’s poor judgment calls, his autocratic style, and his insider share sell-downs unsettle his partners, employees, and shareholders. His oppressive style makes investors wary and uncertain of their holdings in Northern Star. Northern Star may get into difficulty as a result of Beament’s resolute and oppressive tactics. Partners and employees will face risks and shareholders will have to deal with substantial losses. Shareholders should consider selling down their holdings in Northern Star, like Beament, and look to other business opportunities.

Beament’s “my way or the highway” bully approach will likely lead to a raft of litigation and out of court settlements. 


Be First to Comment

Leave a Reply

Your email address will not be published. Required fields are marked *