Katanga Mining Enters Into Management Services Agreement with Glencore International AG and Appoints New Chief Executive Officer and Chief Financial Officer
ZUG, Switzerland, Jan. 17, 2019 /CNW/ - Katanga Mining Limited (TSX: KAT) ("Katanga" or the "Company") today announced that the Company has entered into a management services agreement with Glencore International AG ("GIAG").
Katanga has entered into the management services agreement to better reflect the integrated nature of Katanga's and GIAG`s businesses and enhance existing controls. Pursuant to the management services agreement, GIAG will make personnel of GIAG available to Katanga, and will provide to Katanga administrative, financial and other management services to manage and support the operations of Katanga and its subsidiaries and to support Katanga's governance and reporting to the Board and Katanga's shareholders.
Katanga is also pleased to announce that Danny Callow has been appointed as Chief Executive Officer and director of Katanga and Paul Smith has been appointed as Chief Financial Officer of Katanga. The executive services of Messrs. Callow and Smith are being provided to Katanga by GIAG pursuant to the management services agreement.
Danny Callow is the Head of Africa Copper Operations of Glencore International, a position he has held since January 1, 2015. Prior to that, Mr. Callow served as the Chief Executive Officer of Mopani Copper Mines Plc, a Glencore subsidiary, from September 2011 until December 2014. Mr. Callow joined Mopani Copper Mines Plc from Mutanda Mining, a Glencore subsidiary in the Democratic Republic of Congo, where he had been General Manager since July 2007. He also served in various senior management positions in the South African mining industry. Mr. Callow holds an MBA from Henley Management College and a Bachelor (Hons) of Mining Engineering from the Camborne School of Mines.
Paul Smith joined Glencore plc in July 2011 and is the Head of Strategy of Glencore Plc, a position he has held since 2013. Mr. Smith joined Glencore from Marshall Wace, where he was an analyst and portfolio manager, overseeing the mining, basic materials and capital goods sectors since 2005. Prior to that, he worked for Credit Suisse First Boston where he was an equity analyst. Mr. Smith is a Chartered Accountant and holds a MA in Modern History from Lincoln College, University of Oxford.
"We are very pleased that Danny and Paul will be joining our executive management team," stated Hugh Stoyell, Chairman of the Board of Directors. "Their extensive experience and operational and financial backgrounds will be of tremendous benefit as we advance the Company's strategy. In addition, the management services agreement with GIAG will allow the Company to continue to move forward with improved governance, compliance and control procedures and to focus on the completion of operational enhancements to its 75% owned copper and cobalt mine in the DRC with enhanced value for all our stakeholders, including its shareholders and joint venture partners."
Grant Sboros, the Company's current Chief Financial Officer, will continue in his role as Site Chief Financial Officer of Katanga's 75% owned operating subsidiary, Kamoto Copper Company SA ("KCC"). Samuel Rasmussen, the Company's current Chief Operating Officer, will assume the role of Managing Director of Operations at KCC. The Company's current Chief Executive Officer, Johnny Blizzard, has resigned from the Company with effect from January 16, 2019 in accordance with the previously announced settlement agreement with Staff of the Ontario Securities Commission.
A copy of the management services agreement will be filed on Katanga's SEDAR profile at www.sedar.com.
About Katanga Mining Limited
Katanga Mining Limited operates a major mine complex in the Democratic Republic of Congo producing refined copper and cobalt. The Company has the potential to become Africa's largest copper producer and the world's largest cobalt producer. Katanga is listed on the Toronto Stock Exchange under the symbol KAT.
Forward Looking Statements
This press release contains forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or describes a "goal", or variation of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.
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Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, those factors disclosed in the Company's current annual information form and other publicly filed documents. Although Katanga has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
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