Maudore issues proxy circular; urges shareholders to vote in favour of the management slate of board nominees
MONTREAL, QUEBEC–(Marketwire – June 27, 2012) – Maudore Minerals Ltd. (TSX VENTURE:MAO)(OTCBB:MAOMF)(FRANKFURT:M6L) issued a proxy circular today ahead of its annual and special meeting of shareholders on July 19, 2012.
In an accompanying letter to shareholders, Ronald Shorr, Maudore’s chief executive, urges shareholders to vote their BLUE proxy in support of management’s slate of board nominees on the grounds that they are best qualified to build on Maudore’s successful gold discoveries, ensure that its strategic vision is realized and thus maximize the value of shareholders’ investment.
Maudore’s slate of board nominees includes four incumbents: Scott Jobins-Bevans, Stephen McGruder, Robert Pevenstein and Ronald Shorr. Collectively, these directors have extensive experience with the company and considerable knowledge and experience in mining, corporate finance and financial management. This core group of directors will provide the necessary continuity and industry knowledge to ensure the company is able to capitalize on its recent achievements.
The Maudore slate of board nominees will also include three new independent members: George Pirie, who has more than 29 years of experience in senior management roles in the mining industry, Raynald Vezina, a mining engineer with over 40 years of experience, and Dale Wallster, a geologist and prospector with over 30 years of experience in North American mineral deposit exploration. The Maudore slate of board nominees has the skills, experience, relationships and industry knowledge to continue to provide strong leadership required at the company. They are well-qualified to guide Maudore in the right direction and ensure the company’s strategic vision is realized, with a view to maximizing the value of shareholders’ investment.
Mr. Shorr adds that, in contrast, recent demands by a group of dissidents are not in the best long-term interests of either the company or other shareholders. While the dissidents own only 18% of Maudore’s shares, they insist on having effective control of the company, denying all shareholders the opportunity to benefit from any control premium that would typically be expected for a change of control.
“We believe that their demands are inconsistent with sound corporate governance,” Mr. Shorr writes.
As noted in the circular, the current board and management team can point to significant accomplishments, including:
- A very active drilling and project evaluation program that will enable the company to reach a production decision as soon as possible;
- Encouraging exploration results from the Osbell deposit and other nearby areas;
- An unusually strong cash position compared with other junior gold exploration companies.
“Our team has the funding to rapidly follow up any successful drilling results,” Mr. Shorr says. “We are committed to an aggressive exploration campaign with careful future planning to maintain a healthy financial structure.”
By contrast, he notes, “Supporting the dissidents will cause Maudore to lose the momentum it has worked so hard to develop. It will also result in costly delays during the transition, and slow our drive to pursue valuable strategic relationships and advance existing projects to production. The dissidents have little first-hand knowledge of our programs, making them ill-equipped to lead the company through the critical next stage of its development.”
Attention Maudore shareholders:
You are urged to vote only your BLUE proxy well in advance of the deadline of July 17, 2012 at 10:00 a.m. (Toronto time).
If you have any questions about your vote, please contact Kingsdale Shareholder Services at 1-866-230-2635 toll free in North America or at (416) 867-2272 outside of North America (collect calls accepted) or by email at [email protected].
About Maudore Minerals Ltd.
Maudore owns 100% of the Comtois gold project in Quebec, as well as a large land area west of Comtois with volcanogenic gold/massive sulphide (VMS) potential. VMS gold deposits are more common in Quebec than anywhere else in the world. Maudore’s total land package, now 94,000 hectares (235,000 acres or 367 sq. mi), is larger than New York City.
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