TORONTO, ONTARIO--(Marketwire - Oct. 16, 2012) - Forbes & Manhattan Coal Corp. (TSX:FMC)(JSE:FMC) ("Forbes Coal" or the "Company") announced today that it has implemented an amicable reconstitution of its board of directors following discussions between the Company and Resource Capital Fund V L.P. ("RCF"), one of Forbes Coal's major shareholders.
As a result of these discussions, Forbes Coal's board has been reconstituted, as follows: Mr. Stephan Theron, Mr. Stan Bharti, Mr. Bernard Wilson, Mr. Ryan Bennett, Mr. Mike Price, Mr. John Dreyer and Mr. Craig Wiggill.
Mr. Stephan Theron, President and CEO of the Company said: "The new board is excited about the opportunities that lie ahead for Forbes Coal and the Company remains focused on executing its strategy of being a leading emerging coal producer in Southern Africa. The Company remains focused on creating shareholder value and executing on its operating and acquisition plans.
As part of the board reconstitution, Mr. David Stein, Mr. David Gower and Mr. Grant Davey have resigned their board positions effective today. Mr. Theron said: "On behalf of Forbes Coal and all its shareholders, the new board wishes to thank Mr. Stein, Mr. Gower and Mr. Davey for their service to the Company and its shareholders."
Mr. Stephan Theron (CEO, Executive Director): Mr. Theron has over thirteen years of extensive financial management, project finance and equity analysis experience in the mining, energy and infrastructure sectors. Prior to joining Forbes Coal in November 2009, Mr. Theron was Sector Head, Materials and Energy at an independent investment research firm with a focus on emerging markets from September 2007 to October 2009. He also worked on various capital projects in Southern Africa for AMEC PLC from January 2002 to March 2004 and AMEC PLC from June 2004 to September 2007 in North America and Europe. Mr. Theron is a Certified General Accountant and has a Bachelor of Commerce degree from the University of Johannesburg.
Mr. Stan Bharti (Non-Executive Director): Mr. Bharti has over 25 years of experience in operations, public markets and finance. Over the last ten years Mr. Bharti has been involved in acquiring, restructuring and financing various mineral companies. He is a Professional Mining Engineer and holds a Masters Degree in Engineering from Moscow, Russia and University of London, England. From 2002 to April 2006, Mr. Bharti was a director and past president of Desert Sun Mining Corp. (which was acquired by Yamana Gold Inc. in 2006). Mr. Bharti is currently the President of Forbes & Manhattan, Inc. In addition, Mr. Bharti is a director of several public and private companies.
Mr. Ryan Bennett (Non-Executive Director): Mr. Bennett is a Senior Partner with Resource Capital Funds, a private equity group of funds that invests in development and growth stage mining companies. From 1992 to 1998, Mr. Bennett held various positions within NM Rothschild & Sons in Denver and Rothschild Australia Limited in Sydney, where he was principally responsible for the technical analysis of mining projects seeking debt finance. Prior to joining Rothschilds, he worked as a geologist for the United States Bureau of Mines and a private exploration company focused on Alaska, as well as a mining engineering consultant for Caterpillar. Mr. Bennett has a Masters of Science degree in Mining Engineering from the Colorado School of Mines and a Bachelors of Science degree in Geological Engineering and Mathematics from the University of Wisconsin - Madison.
Mr. John Dreyer (Non-Executive Director): Mr. Dreyer is a qualified South African lawyer, previously MD of Shell South Africa, CEO of Tavistock Coal and executive director of Anglo American Platinum. He served as chairman of ASX listed Firestone Energy until 2011. Mr. Dreyer currently serves on the board of ASX listed Cobar Consolidated Resources where he also serves on the audit committee.
Mr. Craig Wiggill (Non-Executive Director): Mr. Wiggill has held management, executive and directorship positions on several international mining and marketing companies in the coal sector and, as CEO of Coal Americas at Anglo American plc. was responsible for all of that company's coal activities in North and South America. He was previously Managing Director of Anglo Coal Marketing Ltd from 2000 to 2004 and is an engineer by profession (B.Sc. Engineering, University of the Witwatersrand, 1984).
Mr. Bernard Wilson (Non-Executive Director): Mr. Bernard Wilson is a senior financial professional with a wide array of working relationships with business executives in Canada, the United States and internationally. Mr. Wilson serves as an advisor in corporate finance and investment banking and has extensive experience in major financial restructurings and international trade and commerce issues. Some of Mr. Wilson's more notable leadership roles include serving as the Chairman of the Canadian Chamber of Commerce, the largest Canadian business organization with 175,000 members, Chairman of the Canadian Council for International Business, Chairman of the International Chamber of Commerce, as a member of the Canada/US Trade Committee and Chairman Founders Board of the Institute of Corporate Directors.
Mr. Mike Price (Non-Executive Director): Mr. Price has more than 35 years experience in mining and mining finance. He has BSc and Phd qualifications in mining engineering from University College Cardiff, UK, a Mine Managers Certificate of Competency (Coal Mines) South Africa and he is a European Engineer (FEANI) and Chartered Mining Engineer (CEng). After working for BP Coal, BP Minerals and BP Exploration in various mine management and business development roles Mr. Price moved into mining finance with NM Rothschild & Sons, Societe Generale and Barclays Capital where he structured, arranged and advised on the financing of mining projects worldwide. Mr. Price is now a Non-Executive Director of several mining companies and he is an independent adviser on mining finance as well as the London Representative of Resource Capital Funds.
About Forbes Coal
Forbes Coal is a growing coal producer in southern Africa. It holds a majority interest in two operating mines through its 100% interest in Slater Coal (Pty) Ltd., a South African company ("Slater Coal") which has a 70% interest in Zinoju Coal (Pty) Ltd. ("Zinoju"). Zinoju holds a 100% interest in the Magdalena bituminous mine and the Aviemore anthracite mine in South Africa (collectively, "the Slater Properties"). The mines have a substantial resource base and each mine has a projected life span in excess of 20 years. Forbes Coal is in the process of increasing production at both mines and looks to triple production from 2010 levels in the next three years using existing infrastructure and capacity. The Company has in-place transportation infrastructure allowing its coal to reach both export corridors and the growing domestic coal market. Forbes Coal has a strong balance sheet and an experienced coal-focused management team.
Please refer to the Company's NI 43-101 compliant technical report on the Slater Properties dated March 1, 2011 entitled "Technical Report on Slater Coal and Subsidiaries, KwaZulu-Natal Province, South Africa", available on the SEDAR profile of the Company at www.sedar.com. Additional information is available at www.forbescoal.com.
Johan Odendaal, B.Sc.(Geol.), B.Sc.(Hons)(Min. Econ.), M.Sc. (Min. Eng.), a director of Minxcon and an independent Qualified Person, as defined in National Instrument 43-101 has reviewed and approved the scientific and technical information contained in this release.
The ability of the Company to increase production amounts has not been the subject of a feasibility study and there is no certainty that the proposed expansion will be economically feasible.
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the anticipated production results with respect to the Slater Properties, future financial or operating performance of the Company and its projects, statements regarding the anticipated improvements in logistical support and anticipated improvements in sales, statements made with respect to prospects for the business of the Company, requirements for additional capital, government regulation of the mineral exploration industry, environmental risks, acquisition of mining licences, title disputes or claims, limitations of insurance coverage and the timing and possible outcome of pending litigation and regulatory matters. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, foreign operations, political and social uncertainties; a history of operating losses; delay or failure to receive board or regulatory approvals; timing and availability of external financing on acceptable terms; not realizing on the potential benefits of the proposed transaction; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of mineral products; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; and, delays in obtaining governmental approvals or required financing or in the completion of activities. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.