Elvis has left the building August 12

THE BOURSE WHISPERER: The regular game of musical chairs continues within the boardrooms across the resources industry. The Whisperer pokes his head down the corridors of power to take a quick look at some of the chairs to have recently been vacated and to find out which ones have been filled:

Resignation of Independent Directors

Redbank Energy has announced the resignation of three of its independent directors.

Leonard Gill, Peter Kinsey and Rodney Keller have all tendered their resignations from the Redbank Energy board and all associated companies.

The resignations came about as a result of action by Coastal Capital International, which holds approximately 17.97% of the company’s share capital, to requisition an Extraordinary General Meeting to remove the three and to appoint its two nominees to the board.

The EGM, which would need to have taken place by 4 October 2011, was circumvented when Simon Maher and Richard Butler, who combined control 18.9% of the company’s share capital, advised of their intention to support the appointment of the two Coastal Capital nominees.

The three independent directors saw the writing on the board and realised that, even if they were to remain on the board, they would not have much sway when it came to any effective decision-making.

According to the company’s release the three believe their immediate resignation is in the best interests of shareholders for the following reasons:

– The Board is not able to function effectively in considering critical issues given the impending change;

– Removal of the ongoing uncertainty has the potential to be beneficial to the sale of the Redbank Power Station and thus improve the likelihood of a return to shareholders. It also enables the consideration of any pre-emptive offers for the asset or company, if these were to arise; and

– It will avoid the unnecessary expense of the EGM, estimated to cost approximately $50,000.

The company said the independent directors have been assured the change will not impose unnecessary cost on the business adding the two Coastal Capital nominees, if appointed, have proposed to serve as directors for a nominal amount of $100 per annum.

Board succession as CEO heads up project acquisitions

Legacy Iron Ore announced it has commenced a global search for a suitable replacement to Sharon Heng, as chief executive officer.
 
Heng has been CEO and the largest shareholder of Legacy since its listing on the in 2008.

According to the company’s announcement the move is at Heng’s instigation.

Heng will remain with the company and move into the position of executive director – corporate projects and financing.

The new CEO, one appointed, will continue the exploration and development of Legacy’s current projects.

Heng said her decision to step down from the position of CEO did not dampen her passion for the company she founded in 2008.

Meridian Minerals appointments Dr Dong.

Dr Guoyi Dong has been appointed as the replacement representative from Northwest Nonferrous International Investment Company on behalf of its subsidiary Northwest Nonferrous Australia Mining, which is Meridian’s largest shareholder (41.3%).

Dong is currently the Principal Consultant for Sino-QZ Group in Melbourne and is also an advisor for China to the Yukon Government in Canada.

She is experienced in Sino-Western joint-venture business development, including project evaluation and business negotiation and has substantial knowledge in geology and mineralisation of gold and base metal deposits.

Meridian also announced the resignation of Shaoru Zhao as a director.

 Sherwin Iron Appoints New Managing Director

Sherwin Iron announced that Jerry Ren has been appointed managing director.

Ren was appointed to the board in June and is a major shareholder of the company.

He has a background in metals and mining with diverse interests in Australia, Hong Kong, mainland China and the United Kingdom.

In its announcement to the ASX the company said Ren’s role will include considering strategies that will enable Sherwin to generate early cash flow from production at the Roper River iron ore project while continuing its studies on the major project of shipping 10 million tonnes per annum through the Gulf of Carpentaria.

The review will also re-examine options for shipping iron ore through the Darwin Port.