Echo Resources Boardroom battle

THE CONFERENCE CALLER: Kalgoorlie is synonymous with gold, and gold, in turn, has historically been synonymous with intrigue.

Just to the north of Kalgoorlie sits the Yandal gold province, which is populated by a number of fairly well-known gold deposits.

The thunderbox mine is currently serving its owners Saracen Minerals Holdings (ASX: SAR) quite well.

Just above this Kin Mining (ASX: KIN) is working up the Brownzewing deposit, while Northern Star Resources (SX: NST) has famously taken the Jundee mine to new heights and Blackham Resources (ASX: BLK) prepares to bring its Wiluna project into being.

Sitting right in the middle of all this is the little-known Julius gold discovery of Echo Resources (ASX: EAR), which as The Roadhouse has learned is about to become the subject of a Boardroom Battle.

A shareholder meeting has been called for 24 August, seeking the appointment of three new Board members.

Those calling the meeting say they are doing so to, “arrest the decline in shareholder value and oversee the strategic direction of the company.”

In response the current managing director has called a meeting of his own to replace a current Board member.

It seems the new putsch for change is concerned about the direction, or as it sees lack of direction, the company has taken.

Drilling first took place on the project around eight years ago, since when some 25,000 metres of drilling has taken place but no resource estimate is yet to be calculated.

Of further concern to the disgruntled shareholders is the lapsing of some of the company’s tenements.

Of course the story runs much deeper than what we can so briefly cover here, and we have not been able to make contact with all parties involved.

So for now, let’s just say there is an interesting story emerging. One that could make a good movie, or at best an intriguing radio serial.

Whatever happens, we’ll be checking company releases around 24 August to see how it all pans out.