Century Mining Reaches Agreement For Repurchase Of Long-term Debt And Announces Management Appointments
Blaine, WA, Nov. 30 /CNW/ - Century Mining Corporation (CMM: TSX-V) announced that it has reached agreement in principle with Investissement Quebec for the repurchase of the long-term note held by Investissement Quebec. In exchange for payment of $8,750,000 in cash and the issuance of 5,000,000 common shares in the Company, Investissement Quebec has agreed to discharge the Company from all obligations under the note and to release all of its security interests in the property of the Company. Funding for the transaction will come from the debt and equity financings recently announced by the Company which are scheduled to close in early December. Also from the closing of the debt and equity financings the Company's working capital gold facility with Gerald Metals will be paid out. After the closing, the Company's only long-term debt will be the $33 million prepaid gold forward facility.
"Over the last several weeks and months, we have methodically taken the right steps towards the reopening of the Lamaque underground project. The repurchase of the note from Investissement Quebec is another major step forward in our financing and development plans" said
Margaret Kent
, President and CEO, Century Mining Inc.
The Company also announced the following management appointments:
Hugh W. Blakely, C.A., B.C. - is appointed to the position of Chief Financial Officer, effective November 18, 2009. Blakely was most recently Interim Chief Financial Officer of Canadian Royalties Inc. Previously, he held the position of Senior Vice-President and Chief Financial Officer of Heico's Canadian steel operations, operating under the name of Ivaco (formerly Ivaco Inc, a public company). During his tenure at Ivaco Inc,
Mr. Blakely
held a number of senior financial positions and worked in tandem with the Chief Restructuring Officer and Ivaco's financial advisors in managing the restructuring and sale of the businesses to Heico. He earned his Bachelor of Commerce from Concordia University and began his career with Coopers & Lybrand in Montreal and obtained his C.A. designation in 1974.
Mr. Blakely
is a solid professional with deep financial skills bringing over 30 years experience to Century.
Richard B. Meschke, J.D., M.B.A., B.A. - is promoted from Chief Financial Officer to Vice President, Legal and Corporate Development, where he will be leading the Company's major contract negotiations and growth and acquisition programs.
Mr. Meschke
has extensive experience completing acquisitions, optimizing operations and negotiating contracts in the mining industry. During 20 years with AMAX Inc., a major metals and energy company, and its successor, Cyprus Amax Minerals Company,
Mr. Meschke
held executive positions with finance, business development and operating responsibilities. His accomplishments include completion of more than $.5 billion in acquisitions and divestitures, and negotiation of long-term contracts representing in excess of $300 million in annual revenues. He also worked in the engineering and construction industry where he negotiated contracts up to $100 million in value.
Mr. Meschke
earned a B.A. from Wabash College, an M.B.A. from the University of Michigan and a law degree from Indiana University.
Peter A. Ball - will be joining the Company as Director, Investor Relations in early December 2009.
Mr. Ball
is a graduate of the Mine Engineering Program, Haileybury School of Mines and the Canadian Securities Program.
Mr. Ball
comes to Century with over 20 years experience in the resource industry, most recently at Hawthorne Gold Corp. and previously with El Dorado Gold Corp. He is well versed in corporate communications, public relations, engineering, business development initiatives, investor relations, marketing, finance and securities.
Margaret Kent
, President and CEO of Century commented, "The Company has a very bright future, and over the coming months we plan to rebuild our corporate management and add staff to execute the Lamaque project. We are pleased to welcome Hugh and Peter to our team."
About Century Mining Corporation
Century Mining Corporation is a junior gold producer. The Company owns and is working towards the restart of the Lamaque mine in Québec that historically has produced over 9.2 million ounces of gold. In Peru, Century wholly-owned subsidiaries own an 82.6% interest in the San Juan Mine where the Company accounts for 100% of gold production. Total gold production for 2006 and 2007 was 70,401 ounces and 63,124 ounces of gold, respectively.
"Margaret M. Kent"Chairman, President & CEO