Shareholders fight for seats on Extract

SWAKOPMUND – The battle for control of Rössing South, which is considered to be one of Namibia’s biggest uranium deposits to date, is heating up as shareholders fight for board seats.

According to international mining website Mineweb.com, Polo Resources, which has a 9,1 per cent share in uranium explorer Extract Resources, has requested an extraordinary general meeting (EGM) to put its nominee Stephen Dattels on the Extract Board.Following this move by Polo Resources, Kalahari Minerals, which owns 39,6 per cent of Extract, has confirmed it is seeking the removal of Extract’s Managing Director (MD) Peter McIntyre from the board to replace him on the board with its own chairman, Mark Hohnen.’This all represents a major jockeying for position ahead of any decision to go ahead with a mine on the hugely promising Rössing South uranium deposit – the most advanced of Extract’s slew of highly prospective uranium properties in Namibia,’ says Mineweb.In a statement issued on its website on Wednesday, Kalahari confirmed it has sent a notice of request to Extract regarding the change in its board composition.According to Kalahari, this move has been taken partly as a result of the breakdown of an initiative agreed on May 18 between Extract and Kalahari, whereby Extract would move its executive and administrative base to Namibia in order to continue the development of its world-class uranium assets. Kalahari claims that part of this agreement states that Peter McIntyre had agreed to step down to make way for a new Chief Executive Officer (CEO), who would be based in Namibia.’The Board of Kalahari believes that Extract is at a key stage in its development, whereby it is imperative that its executive team be based in the country,’ the statement read. ‘The Board believes that a relocation was necessary in order to fully realise the potential of Extract’s exceptional uranium assets and as a result, approached the Board of Directors of Extract to implement such an initiative,’ the statement continued. Kalahari chairman Mark Hohnen said in the statement that ‘our intention is to ensure that the value of Extract’s world-class assets, particularly the Rössing South discovery, are maximised.’’We see that the relocation of Extract and its management to Namibia is imperative at this stage of its development, and something that we believe was agreed between all parties as being beneficial. We are, therefore, naturally disappointed with the current situation, and have been forced to issue a requisition in an attempt to ensure that these initiatives are implemented,’ he added.According to Mineweb.com, Rio Tinto, which owns a 15,3 per cent share in Extract and is also a major shareholder of Kalahari, also requested to have a representative on the Board of Directors of Extract. -Nampa