Vancouver, BC, November 16, 1998: The Board of Directors of Anzex Resources Ltd. (the Company) has with regret elected to remove Mr. Donovan R. Hoult as President and Chief Executive Officer of the Company and as his replacement the Board is pleased to announce the appointment of Board member Mr. James S. Kermeen as interim President and CEO.
Mr. Kermeen is a geological engineer whose long career in the mining industry has involved senior positions in virtually every phase of mineral exploration and mining. Over the past 12 years, he has held top executive positions in mining companies listed on both the Toronto and Vancouver Stock Exchanges.
The Board wishes to emphasize that its dissatisfaction with previous management does not in any way diminish its enthusiasm for the Company's Longwoods platinum/palladium exploration project located in New Zealand. New management is committed to the aggressive and professional exploration and development of this project. Full use will be made of the technical expertise of Consultant and Director Dr. Anthony Naldrett who is an internationally renowned expert on the geology of platinum deposits.
The investor relations policy of the new management is to provide shareholders and potential investors with more frequent comprehensive updates through timely news releases, letters to shareholders, the continued availability of Todd McMurray VP, Corporate Development and ready access to senior management.
The new management has initiated an in depth review of the Company's recent affairs including recent developments on the Longwoods property and the completed program on the Mosquito Hill gold copper project in Australia. On completion of this review management will report further to shareholders.
Due to the seriousness of the management change and the proximity of the Annual General Meeting in December, 1998 the Board feels obliged to comment on the reasons for its decision. Among many other factors, Mr Hoult repeatedly acted in opposition to the advice and instructions of the majority members of the Board. He withheld material information pertaining to the company's activities from the Board, and opposed a visit to the property by Dr. Naldrett during a critical stage of the projects exploration. He attempted to disseminate a news release against the expressed wishes of the three other members of the Board after he had been advised by the Company's chief geological consultant that it presented an inaccurate picture of the geology.
Pacific International Securities Inc. is the sponsor of Anzex Resources Ltd. as required by the rules of the Vancouver Stock Exchange. In a letter dated November 3, 1998 Pacific International expressed concerns regarding the Company's corporate governance. Mr Hoult's response to this letter made it abundantly clear to the Board that the sponsors concerns would not be alleviated under his management. Withdrawal of sponsor could have jeopardised the Company's listing on the Vancouver Stock Exchange.
Prior to removing Mr. Hoult from the position as President and CEO the Board proposed that he resign as CEO and assume a non-executive role with the Company. A number of alternative roles were suggested, none of which were acceptable to Mr. Hoult.
The Board will nominate it's slate of directors for election at the upcoming Annual General Meeting. The Board has been advised by Mr. Hoult that he will be submitting an opposing slate of candidates for the Board. Dr. Naldrett has stated unequivocally that his consulting services will not be available to the project under such an alternative slate.
The Board does not believe that the election of Mr. Hoult's slate will be in the best interests of the shareholders or conducive to the ongoing success of the Company and its value in the market place. The Board therefore urges all shareholders to familiarise themselves with the management issue and ensure that their vote is registered in person or by proxy at the Annual General Meeting.
ON BEHALF OF THE BOARD OF DIRECTORS
ANZEX RESOURCES LTD
James S. Kermeen
President
For More Information Contact;
Todd McMurray
VP Corporate Development
Tel: 1 604 684 6671
Toll Free: 1 888 989 3232 (North America)
Fax: 1 604 684 6643
E-mail: anzex@bed-rock.com
No stock exchange has reviewed or approved the content of this news release
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