Coast Mountain Power Corp.
TSX VENTURE : MW
April 19, 2006 15:23 ET
Coast Mountain Power Appoints Independent Director
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 19, 2006) - On April 13, 2006, NovaGold Resources Inc. ("NovaGold") announced its intention to make an offer to acquire all of the outstanding shares of Coast Mountain Power Corp. (the "Company") (TSX VENTURE:MW).
In anticipation of NovaGold making an offer, the Board of the Directors of the Company (the "Board") has appointed Mark Termes to the Board and formed a special committee of the Board consisting of Mark Termes, who is an independent director, to formally respond to any offer that may be made. The Special Committee will now proceed with retaining a financial advisor and independent legal counsel.
Mr. Termes is a long time resident of British Columbia and has been a shareholder of Coast Mountain Power for more than 3 years. He graduated from the University of British Columbia in 1978 and received his MBA by Fulbright Fellowship at the University of Michigan in 1980. His employment service includes positions with Unilever, Simon Fraser University, Telus and BC Rail. Mr. Termes has 10 years of directorship service to the board of a public company, TIR Systems Ltd. His current interests reside in the public equity markets and hedged capital management programs.
The Board and management is committed to achieving maximum value for the Company's shareholders and shareholders are urged to take no action with respect to any offer which may be made until the Special Committee and its financial advisor have had the opportunity to review such offer and the Board has made its recommendation to shareholders. The recommendation of the Board and its reasons supporting such recommendations will be mailed to shareholders and filed with securities regulators within 15 days following the time that any offer is made.
About Coast Mountain Power Corp.
Coast Mountain Power Corp., through a wholly owned subsidiary Coast Mountain Hydro Corp., is developing the Forrest Kerr Hydroelectric Project located on the Iskut River near its confluence with Forrest Kerr Creek, in northwestern BC. The project will have an installed capacity of 115 MW, and includes the development of a 178 km, 138kV AC transmission line to deliver the power to the BC Hydro grid at Meziadin Junction. Power generated from the project is sold under a 15-year electricity purchase agreement with BC Hydro for the delivery of 540GWh of electricity on an annual basis. In addition, Coast Mountain is developing the 60-70 MW More Creek and the 55-60 MW Mclymont Creek Projects. Please visit www.coastmountainpower.com for more information.
ON BEHALF OF THE BOARD OF DIRECTORS
COAST MOUNTAIN POWER CORP.
Clifford Grandison, President
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.