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

 

Shore Gold FALC aerial

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.

 

About prosperitysaskatchewan

Consultant on Saskatchewan's natural resources.

Posted on August 10, 2017, in diamonds, economic impact, political. Bookmark the permalink. Leave a comment.

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