Local mining firm Nationwide Development Corporation (Nadecor) held its 2013 Annual General Meeting of Shareholders on August 13 at which it elected a new Board of Directors for 2013-2014.
At the same time, Nadecor President and major shareholder Conrado T. Calalang presented a comprehensive President’s Report which covered key subjects such as its joint venture partner St. Augustine Gold & Copper Limited’s $43.5 million investment in NADECOR, and the steady progress of the Company’s flagship project, the King-king Copper and Gold Mine (the “Project”), including work on the Preliminary Feasibility Study.
Elected as officer and board of directors are:
Roberto R. Romulo (Chairman), Conrado T. Calalang (President), Leocadio Nitorreda (COO and General Counsel), Alfredo I. Ayala, Juan Kevin G. Belmonte, John Engle and Peter Mutuc. Representatives of St. Augustine, Tom Henderson and Kee Ming Chi, were also elected to the Board.
St. Augustine acquired new shares representing 25% of NADECOR for a subscription price of US$43.5 million. St. Augustine is listed on the main board of the Toronto Stock Exchange (TSX: SAU.TO) and is run by industry leaders who have a proven record of discovering, exploring and developing valuable mining assets around the world.
One of the largest shareholders in St. Augustine meanwhile is Queensberry Mining and Development Corporation (“Queensberry”), the resource investment arm of the family of former Senator Manny Villar. Following its investment of $11 million in May 2013, Queensberry now holds 18% of St. Augustine and has the option to increase its holding up to 32%
Calalang reported that NADECOR's relationship with St. Augustine is strong and continues to deliver clear benefits for the Company and the Project.
Calalang noted that the Court of Appeals decision dated February 18, 2013 is legally binding and immediately effective, and removes any doubt as to who is authorized to represent NADECOR as its Board of Directors, and therefore the authority of the newly elected Board and the Board immediately preceding it is clear.
Calalang also noted that the challenge of "dissident shareholder"Jose Ricafort was thrown out by the Court of Appeals, and that the administrative complaint he filed against the Court of Appeals justices who rendered the same decision, was dismissed by the Supreme Court by a vote of 15-0 on February 19
Calalang also clarified that press reports of rescission by NADECOR of agreements between the partners, particularly the Memorandum of Understanding signed in April 2010, were erroneous. He also stressed that the law firm of Poblador and Zamora has not been appointed by the Company and has no legal authority to act for the Company.
Nadecor has reviewed the Preliminary Feasibility Study or "PFS" for the Project and is satisfied that considerable progress has been achieved. The study is expected to be published by the joint venture partners in the near future, and will demonstrate the strong viability of the Project.
Members of the Board have worked closely with St. Augustine on long term funding for the Project and have participated in international Project marketing events. The Company has also established a corporate website, www.nadecor.com.ph
, and a new office at Unit 1401, Pearlbank Centre, 146 Valero Street, Salcedo Village
"I am delighted that NADECOR has been able to attract significant foreign direct investment into the Philippine mining sector, and pleased that we and our partner St. Augustine are making steady progress in the development of this major project, which will generate thousands of new jobs in Compostela Valley," said NADECOR's Chairman Amb. Roberto Romulo.
The King-king deposit is a gold rich copper-gold porphyry deposit located in the southeast of the Philippine Island of Mindanao, 35km east of Davao City and 11 km from the coast. The project is listed as one of the top priority projects by the Philippine Mines and Geosciences Bureau. The project has a low strip ratio and is in the advanced stage of design and engineering. King-king is essentially complete with the feasibility stage of development (social, environmental and engineering phases).
The Project is one of the largest undeveloped copper-gold deposits in the world with a Measured and Indicated mineral resource of 962 million tonnes at 0.254% total copper, and 0.334 grams per tonne (g/t) gold, Inferred mineral resources are an additional 188.8 million tonnes at 0.215% total copper and 0.265 g/t gold. The Measured and Indicated mineral resource consists of 5.4 billion pounds of contained copper and 10.3 million troy ounces of contained gold.