| Mon 30 Jun 2008, 8:48 | | BCD - BRC Diamondcore Appoints New Board Restruct |
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BCD
BCD
BCD - BRC Diamondcore Appoints New Board, Restructures Management And
Announces Cdn$1.5 Million Private Placement
BRC DIAMONDCORE LTD.
(Incorporated in Canada)
(Corporation number 627115-4)
Share code: BCD & ISIN Number: CA05565C1095
("BRC DiamondCore" or "the Company")
BRC DIAMONDCORE APPOINTS NEW BOARD, RESTRUCTURES MANAGEMENT AND ANNOUNCES
CDN$1.5 MILLION PRIVATE PLACEMENT
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES
Toronto, Canada and Johannesburg, South Africa - June 30, 2008: BRC DiamondCore
Ltd. (the "Company") (TSX - BCD; JSE - BCD) announces that the following Board
of Directors was elected at the annual meeting of shareholders of the Company
held on June 27, 2008: Simon Village, Dr. Michiel (Mike) de Wit, Arnold Kondrat,
Gregory Hunter, Geoffrey Farr and Stephen Thomson. The Company`s Chief
Executive Officer, Theo Botoulas, and Chief Financial Officer, Craig Campbell,
withdrew themselves from nomination for election as directors.
Mr. Botoulas will continue in his position as CEO of the Company until a new CEO
is appointed by the Board, which is expected to occur shortly. Mr. Botoulas will
continue to be associated with the Company as a consultant to optimize the
empowerment structure and work with the empowerment groups to attract new
opportunities to the Company
Danie Van Der Merwe, currently head of operations in South Africa, will be
appointed Chief Operating Officer of the Company. Mr. Van Der Merwe has
extensive operational experience, building, operating and successfully managing
diamond projects in South Africa and Sierre Leone.
Brian Scallan will join the Company as interim Chief Financial Officer. Mr.
Scallan has an extensive background in arranging and structuring corporate
finance, particularly for capital projects, as well as in strategic and
contractual planning. He also has a wealth of banking experience, including some
15 years in a senior position with Standard and Corporate Merchant Bank. He has
also had financial experience in the Democratic Republic of the Congo since
1996, initially with Standard Bank and then on a project finance consultancy
basis. More recently, Mr. Scallan was Head of Funding at Nikanor plc, a company
which had extensive copper and cobalt mining interests in the DRC prior to its
takeover by Katanga Mining Ltd. He was involved in setting up the capital
expenditure control procedures for Nikanor and negotiating certain capital
expenditure contracts as well as the copper and cobalt off-take agreements
between Nikanor and the Glencore Group. Mr. Scallan will work actively with
Company President Mike de Wit and Mr. Van Der Merwe in respect of the financing
of the Company`s exploration and operational divisions.
Simon Village, Chairman of the Company, stated: "On behalf of the Board, I would
like to thank both Theo and Craig for their contributions to the Company over
the past years. The Company has benefited from Theo`s success over the last five
years in structuring a company with a superior portfolio of assets. The new role
for Theo will be a tremendous support for the empowerment group and should
deliver new opportunities for the Company. We believe that the announced
restructuring will also lead to improved dynamics within the organization which
will benefit all stakeholders and allow us to realize the full potential of the
Company`s portfolio of projects."
The Company also announces that it proposes to carry out a non-brokered, interim
financing by way of private placement of up to 1,000,000 common shares of the
Company at a price of Cdn$1.50 per share for total proceeds of up to
Cdn$1,500,000. The proceeds of the financing will be used for the exploration
of the Company`s diamond properties and for general corporate purposes.
The securities offered have not been registered under the United States
Securities Act of 1933, as amended, and may not be offered or sold in the United
States absent registration or any applicable exemption from the registration
requirements. This press release does not constitute an offer to sell or the
solicitation of an offer to buy nor will there be any sale of the securities in
any state or other jurisdiction in which such offer, solicitation or sale would
be unlawful.
BRC DiamondCore is an African-focused diamond explorer active in South Africa
and the Democratic Republic of the Congo (the "DRC"). Led by a management team
with extensive experience in diamond exploration and mine development, the
Company has a broad spectrum of projects ranging from advanced stage trial
mining operations through grass-roots exploration. The Company`s projects
comprise both prospective alluvial gravels and primary kimberlite targets. The
Company works in a systematic and responsible manner to discover assess and
develop diamond resources for the benefit of its shareholders and local
stakeholders.
For further information, please visit our website, www.brc-diamondcore.com, or
contact:
Simon Village, Chairman, + 44 788 405 4012 in the U.K. or Martin Jones, Vice
President, Corporate Development, at (416) 366-2221 or 1-800-714-7938 in
Toronto.
Sponsor
River Group
30 June 2008
This press release contains forward-looking statements. All statements, other
than statements of historical fact, that address activities, events or
developments that the Company believes, expects or anticipates will or may occur
in the future (including, without limitation, statements regarding the closing
of the financing and future plans of the Company) are forward-looking
statements. These forward-looking statements reflect the current expectations
or beliefs of the Company based on information currently available to the
Company. Forward-looking statements are subject to a number of risks and
uncertainties that may cause the actual results of the Company to differ
materially from those discussed in the forward-looking statements, and even if
such actual results are realized or substantially realized, there can be no
assurance that they will have the expected consequences to, or effects on the
Company. Factors that could cause actual results or events to differ materially
from current expectations include, among other things, the possibility that
future exploration results will not be consistent with the Company`s
expectations, changes in equity markets, changes in diamond markets, foreign
currency fluctuations, political developments in the DRC or South Africa,
changes to regulations affecting the Company`s activities, uncertainties
relating to the availability and costs of financing needed in the future, delays
in obtaining or failure to obtain required project approvals, the uncertainties
involved in interpreting geological data and the other risks involved in the
diamond exploration business. Any forward-looking statement speaks only as of
the date on which it is made and, except as may be required by applicable
securities laws, the Company disclaims any intent or obligation to update any
forward-looking statement, whether as a result of new information, future events
or results or otherwise. Although the Company believes that the assumptions
inherent in the forward-looking statements are reasonable, forward-looking
statements are not guarantees of future performance and accordingly undue
reliance should not be put on such statements due to the inherent uncertainty
therein.as may be required by applicable securities laws, the Company disclaims
any intent or obligation to update any forward-looking statement, whether as a
result of new information, future events or results or otherwise. Although the
Company believes that the assumptions inherent in the forward-looking statements
are reasonable, forward-looking statements are not guarantees of future
performance and accordingly undue reliance should not be put on such statements
due to the inherent uncertainty therein.
Date: 30/06/2008 08:48:22 Produced by the JSE SENS Department.
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