Joint Stock Company Uzhuralzoloto Group of Companies ("UGC") notes recent statements by other shareholders in Petropavlovsk plc about the composition of the Petropavlovsk Board of Directors, the company informed.
UGC's clear objective as a shareholder in Petropavlovsk is to seek to enhance the independence of the Board of Directors and thus to ensure a rigorous focus on the company's core business and operational efficiency.
UGC wants to support the appointment of truly experienced, diverse and independent Directors to the POG Board as only experienced independent Directors will be able to effectively address the issues that have held Petropavlovsk back from achieving its potential, the company notes.
UGC is not proposing candidates for the Board, beyond its existing Director, Mr Maxim Kharin. The company has requested that a leading Executive Recruitment agency be appointed to sel ect the candidates on merit from a wide and diverse talent pool.
A new senior executive management team would take the Company forward with a close focus on its economic efficiency supporting a sustainable improvement of its returns profile and outlook for the benefit of Company's shareholders.
UGC is disappointed that the Company does not currently have an appointed auditor following rejection of the proposed appointment by PricewaterhouseCoopers following Deloitte's earlier decision not to seek reappointment (including due to concerns about Company's reporting processes) and calls for an expedited appointment of the Company's auditor as soon as practicable.
UGC urges the shareholder-elected directors to act to address the concerns of shareholders, so the Company can move forward to realise fully the potential of its resource base.
UGC calls on all shareholders to support the appointment of a truly independent Petropavlovsk board, that will have the appropriate skillset to build the Company's future and unlock its full potential, the statement notes.
Uzhuralzoloto Group is a major Russian gold mining company. The vertically-integrated group includes deposits and gold mining assets in Chelyabinsk region, Krasnoyarsk krai, the Republic of Khakassia, as well as the Shchelkovo Secondary Precious Metal Plant in Moscow region and other assets.
Petropavlovsk Plc. is a mining and prospecting company with core assets in Russia. It is the first English mining company with 100% Russian assets that placed its stock on the LSE of alternative investments. Petropavlovsk Group was created through the consolidation of gold mining company Peter Hambro Mining and iron ore producer Aricom in 2009. The Group is focused on the acquisition, exploration, development and organization of production fr om mineral deposits.
