Business
Concerned Oremex Shareholders Take Action
Toronto, Ontario--(Newsfile Corp. - May 15, 2013) - Sprott Asset Management LP, on behalf of c...
About this update from Monarca Minerals Inc.
[{"type":"text","content":"\nConcerned Oremex Shareholders Take Action\n\nToronto, Ontario--(Newsfile Corp. - May 15, 2013) - Sprott Asset Management LP, on behalf of certain funds and managed accounts, and Concept Capital Management (CCM), directly, and along with certain affiliates, currently hold approximately 8.4% and 10.5% of the outstanding shares of Oremex Silver Inc. (TSXV: OAG) (Frankfurt: OSI), respectively. We note that Oremex Silver has only two directors serving on the Board of Directors. This is contrary to TSX-V policy, but more importantly, the company needs a strong board to help take it forward. Sprott Asset Management LP and CCM support the immediate appointment of three additional directors to the board of Oremex Silver, with the assumption that the current board will not amend the by-laws of the company to make the board composition more than five members.Sprott Asset Management LP and CCM jointly invite the Chairman of Oremex Silver to immediately appoint Allan Folk, Frank Hoegel and Keith Stein new directors of Oremex Silver, pending their confirmation at the next AGM.Allan Folk brings 30 years of resource-focused investment and capital markets experience to the board. Allan currently serves as VP/Director of Brant Securities and also as a Director of Atlanta Gold.Frank Hoegel serves on the advisory board of Concept Capital Management, Oremex Silver's largest creditor through a secured convertible bond. Frank is an asset manager and financially evaluates Canadian resource companies for convertible bond financing and structures gold, silver, and copper off-take agreements. He also serves as CEO of Peter Beck Performance Fonds GbR.Keith Stein has spent much of his career working with public companies as an executive, advisor or director. He has been involved in the resource industry as a board member, lawyer and investor. Sprott Asset Management LP and CCM invite other shareholders of Oremex Silver to support this enhancement to the board now, and at the next Annual General Meeting of Shareholders. Many shareholders have already expressed their support given their frustration with the inability of the company to enter into a surface rights agreement for access to Oremex Silver's flagship property, Tejamen, as well as with the dividend of 14 million Oremex Gold shares declared in 2012, but never paid.According to the terms of the Septe...