VANCOUVER, June 30, 2014 /PRNewswire/ - American CuMo
Mining Corporation ("CuMoCo" or the "Company") (TSXV: MLY)
(OTCQX: MLYCF) announces that it has received a notice filed on
behalf of IEMR(HK), a company owned and controlled by
Hongxue Fu, the chairman and
director of the company, that the company has defaulted on
its two debentures with IEMR(HK). IEMR(HK) alleges among
other things that the company disposed of assets contrary to a
section of the general security agreement.
The company will be seeking independent legal counsel to
vigorously defend the allegations, as the company has not defaulted
on any conditions of the debenture agreements.
IEMR(HK) also has filed an additional lawsuit against the
company and the Chief Operating Officer, Shaun Dykes in which IEMR(HK) is seeking an
oppression remedy.
Mr. Dykes has advised the Company that the allegations made by
IEMR(HK) against him in the Notice of Claim are denied and without
any merit.
The company has accepted the resignation of Aurora Davidson, the company's Chief financial
Officer, as of June 30, 2014.
The company wishes her success in her future endeavors and thanks
her for her work on behalf of the company.
The company is currently interviewing highly qualified
candidates for the position.
Certain Members of the board have formally requested Mr.
Hongxue Fu's resignation from the
board of directors, as a result of the filing of the notice
claiming default.
Shareholders have called a special meeting of the company
scheduled for July 22, 2014.
Specific resolutions to be voted at the meeting include the removal
of HongXue Fu, and Yi Ming Xie from the board of directors and
appoint Thomas Conway as an
additional director. The proxy materials and circular are being
mailed to shareholders and are available at
www.sedar.com.
About CuMoCo
CuMoCo is focused on advancing its CuMo Project towards
feasibility and establishing itself as one of the largest and
lowest-cost molybdenum producers in the world as well as a
significant producer of copper and silver. Management is continuing
to build a strong foundation from which to move the Company and the
CuMo Project forward.
American CuMo Mining Corporation
Directors
Joseph Baird,
John Moeller and Shaun Dykes
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this new release.
Forward-looking information
This news release contains "forward-looking information" within
the meaning of applicable Canadian securities legislation
including, but not limited to, statements that address activities,
events or developments that the Company expects or anticipates will
or may occur in the future, such the Company's ability to move its
CuMo Project to feasibility and production, and to become one of
the largest and lowest-cost molybdenum producers in the world as
well as a significant producer of copper and silver.
Forward-looking information is based on a number of material
factors and assumptions, including the result of exploration
activities, the ability of the Company to raise the financing for a
feasibility study and to put the CuMo project into production, that
no labour shortages or delays are experienced, that plant and
equipment function as specified that the Court will not intervene
with the Company's proposed exploration activities at the CuMo
Project, and the ability of the Company to obtain all requisite
permits and licenses to advance the CuMo Project and eventually
bring it into production. Forward-looking information involves
known and unknown risks, future events, conditions, uncertainties
and other factors which may cause the actual results, performance
or achievements to be materially different from any future
prediction, projection or forecast expressed or implied by the
forward-looking information. Such factors include, among others,
the interpretation and actual results of current exploration
activities; changes in project parameters as plans continue to be
refined; future prices of molybdenum, silver and copper; possible
variations in grade or recovery rates; labour disputes and other
risks of the mining industry; delays in obtaining governmental
approvals or financing, as well as those factors disclosed in the
Company's publicly filed documents, including the Company's
Management's Discussion and Analysis for the period ended
September 30, 2013. There may
be other factors that cause actions, events or results not to be as
anticipated, estimated or intended. There can be no assurance that
forward-looking information will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking information. Except as
required under applicable securities legislation, the Company
undertakes no obligation to publicly update or revise
forward-looking information.
SOURCE American Cumo Mining Corporation