What is our plan for Formation?
If our nominees are elected to the Board we would anticipate that they would immediately press the Board to undertake the following steps:
-- Undertake a top-to-bottom review of the management structure of the Company and realign its functions to the current reality of Formation Metals;-- Create a strategic review of the viability of the construction and development of the Idaho cobalt project in the current cobalt market;-- Cancel the proposal to sell the Complex, including the valuable Sunshine Refinery, for an imprudent and depressed price and turn it into a profitable enterprise or make completion of that proposed sale conditional on obtaining shareholder approval by special resolution;-- Raise adequate funding to carry out whatever actions the strategic review determines for the Idaho cobalt project and the Sunshine Refinery;-- Consider how to better utilize the Company's net cash collateral which was covering the bonds, now that the imprudent industrial development bond funding has been collapsed; and-- Undertake a complete corporate review and restructuring in light of the current conditions of international mining markets and review the executive compensation arrangements including the size and composition of the management structure and the overly generous "golden parachutes" for senior management.
Here are our nominees:
David Christie, P.Geo: Mr. Christie is Vice-President of Goodman & Company, Investment Counsel Inc., a wholly owned subsidiary of Dundee Corporation. He has 27 years of experience in the resource sector, including 14 years as a geologist working for a number of mining companies including Agnico-Eagle Mines, Sudbury Contact Mines, Goldex Mines Ltd, Gold Fields Limited, W. A. Hubacheck Consultants and others, 12 years as a senior gold and mining equity analyst at both independent and bank-owned brokerages, including Newcrest Capital, TD Newcrest and Scotia Capital and one year in resource financing at Bellotti Capital Inc. as its President. Mr. Christie received a Bachelor of Science degree in Geology from McMaster University and is a Professional Geoscientist with APGO (the Association of Professional Geoscientists of Ontario, which is the licensing and regulatory body responsible for Ontario's geoscientists) and NAPEG (which licenses and regulates Professional Engineers and Professional Geoscientists practicing in the Northwest Territories and Nunavut). He also is a Fellow of the Geological Association of Canada.
Paul A. Carroll, Q.C.: Mr. Carroll has had a 45 year career in the mining industry, both as a lawyer and as a director and officer of many mining companies. He is a director of Energy Fuels Inc., the largest producer of uranium from conventional sources in the United States and he is Chairman of War Eagle Mining Company Inc., a base metal developer in Mexico. He has been engaged in the mineral exploration and mining industry in Canada, the U.S., Mexico, Central and South America, Africa, China, Russia and Kazakhstan. Mr. Carroll is President of Carnarvon Capital Corporation, a private corporate management and advisory company based in Toronto. Prior to 2003 he was a partner of or counsel to Gowling Lafleur Henderson LLP, a major Canadian law firm, and its predecessor, Smith Lyons LLP. Companies with which he has been extensively involved include Dundee Corporation, Corona Corporation where he was a member of the Executive Committee, Zemex Corporation, Royex Gold Mining Corporation, Campbell Resources Inc., Cobra Emerald Mines Ltd., Lacana Mining Corporation where he was Chairman, Arcon International Resources plc where he was Chairman, Tahera Corporation, World Wide Minerals Ltd. where he is President and CEO, Poco Petroleums Ltd., Mascot Gold Mines Ltd., United Keno Hill Mines Ltd., Nova Scotia Savings and Loan Company, The Real Property Trust of Canada, Repadre Capital Corporation (now IAMgold Corporation), Crowflight Minerals Inc., Strategic Resource Acquisition Corp. where he was Chairman and Diadem Resources Ltd. where he was Chairman. In 2004-2005, as one of the Court-mandated committee of "independent directors" thereof, Mr. Carroll was a director of Argus Corporation Limited and Hollinger Inc. (and in 2005 he was CEO of Hollinger Inc.). He was a director of The Uranium Institute (now the World Nuclear Association) in 1998.