IBI Corporation: Updates On Corporate Matters
TORONTO, ONTARIO--
IBI Corporation (IBIC: CDN) (the "Company"), a junior mining company, provides the following updates:
Delay in Filing Audited Annual Financial Statements
The Company was delayed in filing its audited annual financial statements, normally due on May 19, 2000, as outlined in its press release of May 17, 2000. Work is continuing on the preparation of these financial statements, and it is expected that they will be filed in the near term.
Cease Trade Orders Against Directors, Officers and Significant Shareholders
As of June 8, 2000, the Ontario Securities Commission ("Commission") issued a 15 day temporary cease trade order against Gary A Fitchett, Lloyd E Dove, Leon H Gouzoules, and Paul D Mack, the Directors and Officers, and Edward Lai, the Significant Shareholder ("Individuals"), as a consequence of the delay in filing audited annual financial statements of the Company, in accordance with proposed policy 57-603 of the Commission issued in March 2000.
A hearing was scheduled for June 22, 2000 to consider the imposition of a continuing cease trade order against those Individuals.
The hearing did not take place since all of the Individuals voluntarily consented, as an expediency, to the pro tem continuing order and waived the right to a hearing of the matter. It is expected that the continuing order will be lifted upon filing of the required financial statements.
Further Progress with Canmin Vermiculite Mine
The initial phase of this project by Canmin Resources Limited ("Canmin"), the opening of the Namekara Vermiculite Mine in Uganda, was announced on May 31, 2000.
In accordance with Canmin's draft business plan, Canmin has started the next phase which involves the provision of commercial samples to a number of prospective customers. Small laboratory samples were forwarded to certain targeted prospects in 1999 after completion of drilling and exploration work. Feedback from these prospects has been positive, and they have requested that Canmin provide them with commercial samples of 25 - 100 kg in size for final testing, prior to granting of contracts for production.
A number of other matters continue under negotiation as a result of recent meetings in Uganda by Gary A Fitchett, President and CEO, and announcements will be forthcoming as these matters are concluded.
Appointment of Canmin Managing Director
Mr. Fitchett is pleased to announce the appointment of Hans I M Hansen, formerly Vermiculite Mine Manager, as Managing Director of Canmin Resources Limited.
Mr. Hansen will have full responsibility and authority to develop and commercialize the Bukusu Project in south-east Uganda, consisting of the Namekara Vermiculite and Busumbu Phosphate deposits. In the technical report on the resource prepared by Ulrich Kretschmar, Ph.D, the Namekara deposit was described as "world-class".
During his visit to Uganda in May, Mr. Fitchett noted the high quality and committed team of managers assembled by Mr. Hansen, and the outstanding achievements of the team to date in moving forward with the project.
Exercise of Warrants
During May and June 2000 to date, warrants to acquire 1,316,667 shares in the Company at $0.06 were exercised for a total consideration of $79,000 to settle various debts of the Company.
Extension of Warrants from Rights Offering
Pursuant to the Company's rights offering of February 1999, which was fully subscribed, 18,183,844 units were issued, each Unit including one warrant which entitled the holder to acquire one common share at $0.06 prior to February 21, 2000.
There are 13,672,175 warrants outstanding at this time, subsequent to the exercises noted above.
At the request of a number of shareholders and interested parties, the expiry date for exercise of the warrants has been extended until September 30, 2000.
All other terms of the warrants remain unchanged.
Common Shares Outstanding
The Company has 204,878,958 common shares issued and outstanding after the exercise of warrants as noted above, and before the closing of the private placement announced February 21, 2000. |
