Shore Gold to move its “registered office” to Alberta
Shore Gold proposes name change to Shore Diamond Corp.
ALEX MACPHERSON, SASKATOON STARPHOENIX
Published on: August 9, 2017 | Last Updated: August 9, 2017 5:31 PM CST
An aerial view of Shore Gold Inc.’s Star-Orion South diamond project east of Prince Albert.
SHORE GOLD INC. / SASKATOON
A Saskatoon-based diamond exploration and development company that has spent the last two decades working to build a mine in the Fort à la Corne forest east of Prince Albert wants to change its name and move its “registered office” to Alberta.
Shore Gold Inc. shareholders are expected to vote on two resolutions — including one that would change the company’s name to Shore Diamond Corp. — at its annual meeting, which was scheduled for June 30 but postponed to Sept. 6.
The company’s executives and directors recommended in their management information circular — a document all public firms must publish ahead of their annual meetings — that shareholders cast their ballots in favour of both resolutions.
“The name Shore Gold Inc., while a connection to the history of the corporation, no longer reflects the current focus of the business (and) rebranding will ensure that investors and stakeholders will better understand the … core business,” the circular states.
The second resolution, which would amend Shore Gold’s articles of incorporation to state that its registered office is in Alberta, does not provide a reason for the proposed change or a more specific location in the western province.
Shore Gold representatives did not immediately respond to a request for comment on Wednesday.
At Shore Gold’s last annual meeting, a group of shareholders concerned about communication from the company’s board and executives came close to unseating three of its directors in a move the firm’s chairman deemed illegal.
Two months ago, Shore Gold consolidated ownership of its Star-Orion South property before signing an option agreement with a Rio Tinto Group subsidiary worth up to $75 million over the next seven and a half years.
If Rio Tinto Exploration Canada Ltd. chooses to exercise all four phases of the option agreement, it is expected to end up with a 60 per cent ownership stake in the project.
Independent diamond industry analyst Paul Zimnisky told the Saskatoon StarPhoenix last month that the world’s second-largest mining company got a good deal, as Shore Gold likely needed a major partner to bring the project into production.