Appointment of Directors

RNS Number : 8927B

GCM Resources PLC

23 April 2012

 



23 April 2012

GCM Resources plc

(the "Company" or "GCM Resources")

(AIM:GCM)

GCM Resources plc is taking a new approach to the development of the Phulbari Coal Project and appointment of Gary Lye as executive Director

GCM Resources plc is taking a new approach to dealing with the Government of Bangladesh (the "Government"), its most important partner in the development of one of the country's most important world class natural resources, the Phulbari Coal Project (the "Project"). 

Following the recent change in management, the Board has undertaken a thorough review of its activities and engagement with the Government.  The Company recognises its approach must be more targeted to addressing the needs of the Government and people of Bangladesh, and that the Project must deliver significant sustainable benefits for the local community and the nation.

The Government is determined to improve the country's power generation situation.  It has recently called tenders for numerous coal-fired power stations based on imported coal and many more are planned.  Discussions with the Government will now be particularly focused on four key areas: 

·      The Phulbari mine could produce coal sufficient to support up to 4000MW of power generation;

·      The Power produced using Phulbari coal would be cheaper than imported coal;

·      Positioning power station(s) at the mine site would make power generation simpler and more reliable, obviating the need for shipping and associated coal handling and inland transport infrastructure; and

·      Utilisation of locally produced coal would create many thousands of Bangladeshi jobs as well as deliver foreign exchange and balance of payments benefits for Bangladesh. 

As part of this approach the Board is delighted to announce the appointment of Gary Lye as an Executive Director of the Company.  Gary is GCM Resources' in-country Chief Executive Officer.  He has well established relations with a wide variety of key stakeholders in Bangladesh and will take a lead role in discussions and negotiations with the Government.

Gary has over 39 years experience in the mining industry and has held senior positions with several leading mining companies.  He has a Master's Degree in Rock Mechanics from the Royal School of Mines in London and an Honours Degree in Geology from the University of Queensland, Australia.

Additional information

The information detailed below is disclosed in accordance with Rule 17 and Schedule Two (g) of the AIM Rules.  Except for the information disclosed below, there is no other information which falls to be disclosed under these rules.

The Directorships and past Directorships of Gary Norman Lye (aged 59) in the previous five years are listed below:

Current Directorships and Partnerships	Past Directorships and Partnerships
Asia Energy Corporation (Bangladesh) Pty Limited	GCM Resources plc
Asia Energy (Bangladesh) Pvt Limited	Asia Mining (Bangladesh) Pvt Limited
	Asia Energy Holdings Pte Limited

Gerard Holden, Chairman said: "The Company clearly must be more responsive to the needs of our most important stakeholders in the Project, the Government and people of Bangladesh.  The Phulbari Coal Project is a world class coal deposit and one of the most important natural resources in the country.  I am confident that our new approach will deliver a way to move the Project forward with the Government and people as partners.  I welcome Gary Lye to the Board."

For further information contact:

GCM Resources plc Gerard Holden Non-Executive Chairman [phone] Graham Taggart Finance Director [phone]	Pelham Bell Pottinger Charles Vivian / Lorna Spears [phone]
J.P. Morgan Cazenove Nominated Adviser Michael Wentworth-Stanley [phone]	Evolution Securities Chris Sim [phone]

For further information: www.gcmplc.com

 

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