Serengeti Announces Management Changes and Proposed Financing
09:00 EDT Wednesday, July 14, 2004
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jul 14, 2004) - Serengeti Resources Inc. (TSX-V SIR) is pleased to announce changes to the directors and officers of the Company and a financing for up to $150,000. These changes are designed to revitalize the Company's mineral exploration activities, including the installation of a senior explorationist as the Company's new president.
Management changes
Effective immediately, David W. Moore P. Geo., is appointed President and CEO, and a director. Mr. Moore has spent most of his 30 year career with Teck Cominco Ltd. and its business units Cominco Ltd., Cominco Resources International, and Cominco American Incorporated. Most recently, from 1999 to 2001 he served as General Manager of Global Exploration and from 2001 to 2003 as General Manager of Exploration Business Development. In addition to the preceding, Mr. Moore held a number of directorships of subsidiary companies. Mr. Moore has a proven track record of discovery and experience in both base and precious metals, ranging from grass roots exploration to feasibility and project development. Mr. Moore holds a M.Sc. in Geology from the University of Toronto and a P.Geo. designation in the Province of British Columbia.
Mr. George Tikkanen, P.Eng., is also appointed as a director of the Company. Mr. Tikkanen is a senior exploration and mining executive who held a number of significant positions before retiring from Cominco Ltd. in 1999. Mr. Tikkanen held the position of Vice-President Exploration, Cominco Ltd. from 1992 to 1998 and President of Cominco Resources International Limited, a publicly listed company, from 1987 to 1995. In the course of his career, Mr. Tikkanen was responsible for the management of eight mining operations in five countries and oversaw the discovery and acquisition of numerous mineral deposits including direct participation in the negotiations leading to the development of the Red Dog Mine in Alaska.
Further changes include the appointments of Ms. Sharon Fleming as Corporate Secretary and Mr. Myron Osatenko P. Geo., as a senior geological consultant to the Company. Mr. Ian Brown, formerly President of Serengeti will remain as a director and has agreed to serve as Chief Financial Officer. Mr. Tim Gallagher has agreed to step down as a director. The Board of Directors wishes to thank Mr. Brown and Mr. Gallagher for their service to the Company.
The Company announces the awarding of the following incentive stock options issued in accordance with the Company's option plan: to Mr. Moore, 600,000; to Mr. Tikkanen, 200,000; to Ms. Fleming, 50,000; and to Mr. Osatenko, 50,000. These options are exercisable at a price of $0.10 per share, expire on July 7, 2009 and vest over an 18 month time period. As part of these changes Mr. Brown has agreed to the cancellation of 183,000 options previously awarded to him. With these grants, the Company now has 1,930,000 shares optioned under its stock option plan.
Proposed financing
The Company announces that it intends to raise up to $150,000 by way of a non-brokered private placement through the sale of units priced at $0.10 per unit. Each unit will consist of one common share and a full share purchase warrant which is exercisable to acquire one common share at the price of $0.15 within 12 months of closing and $0.25 within 24 months of closing. The proceeds will be allocated to general corporate purposes, including completing the acquisition of the mineral properties whose acquisition was disclosed on July 8, 2004. The private placement is subject to regulatory approval and the securities issued under this placement will be subject to a four month hold period.
Property review
The Company is also pleased to report the closing of and exchange approval for, an option agreement to acquire a 100% interest in five early-stage copper-gold-silver properties in British Columbia. These properties are more fully described in News Release #2004-05, dated July 7, 2004. Also as reported in News Release #2004-06, dated July 12, 2004, the summer exploration has been initiated on the Tide Gold Project located near Stewart ,British Columbia. This is in preparation for a drill program at Tide planned for September.
Summary
Incoming President David Moore stated, "The appointment of several senior explorationists to the Company's management team is taking place as the Company has expanded its property portfolio from one to six properties, and has a well-funded initial program under way at the Tide Gold Project. Management looks forward to the Company continuing to expand its scope and scale of operations, with the goal of developing an aggressive and successful exploration program. We anticipate the continued enthusiastic support of our shareholders and of the capital markets for our plans. I welcome this new challenge."
