Euromax Announces Withdrawal of Concessions Merger Approval
Euromax Announces Withdrawal of
Concessions Merger Approval
VANCOUVER, BC
,
July 28, 2023
/CNW/ - (TSX: EOX): ("
Euromax
" or the "
Company
") announces
that the Government of the Republic of
North Macedonia
(the "
Government
") has withdrawn its
recently granted approval of the merger of the Company's Ilovica 6 and Ilovica 11 exploitation
concessions (the "
Merger
"). This decision contains no explanation of the legal grounds for the
reversal of its decision in which the Merger was approved.
The Company will ask the Government to reconsider the Merger at the appropriate time, given its
importance for the region and country as a whole.
Taking into account the political circumstances around this sudden reversal of the official decision
made by the Government, the Company is evaluating the next steps and will take all actions
necessary in order to protect the rights of its stakeholders, which include, amongst others, the
European Bank for Reconstruction and Development (one of the leading institutional investors in
North Macedonia
), Galena Resource Equities Ltd (an entity controlled by the Trafigura Group, one
of the world's largest commodity trading companies), ND Group (a private equity and investment
entity from
the Netherlands
), Equinox Partners (a
New York
based hedge fund) as well as Royal
Gold Inc (the US incorporated gold royalty company).
While the Company's priority, as the case has been, remains to develop and construct the mine in
accordance with the applicable local and international environmental standards, under the
International Centre for Settlement of Investment Disputes rules, the Company has already given
Formal Notice of a dispute to the Government, and is now able to initiate international arbitration at
any time. Any parties involved may also be the subject of direct legal action if this new decision is
subsequently proven to be contrary to the laws of the Republic of
North Macedonia
or politically
motivated.
Tim Morgan-Wynne
, Executive Chairman, stated:
"The Company understands that this decision is
sensitive for all stakeholders, but the Company will take all necessary actions legal and otherwise
to protect its legitimate rights and its significant historic investment. Whilst the Government
may
have sought to obtain additional time in order to achieve internal alignment
, such arbitrary political
decisions, outside of the prevailing legal framework, will ring alarm bells to international
institutions and investors, and cast doubts about transparency and legal certainty in the Republic of
North Macedonia
."
About Euromax Resources Ltd.
Euromax has a major development project in
North Macedonia
and is focused on building and
operating the Ilovica-Shtuka gold-copper project.
Forward-Looking Information
This news release contains statements that are forward-looking, such as those relating to the
Company's potential courses of action in response to recent decisions by agencies of the
government of
North Macedonia
, including potential legal appeals to other courts of applicable
jurisdiction in
North Macedonia
or the pursuit of international arbitration processes; the results of
any such appeals or legal processes that may be pursued by the Company, if any; any future
decisions, whether by way of appeal or otherwise, of any agency of the government of
North
Macedonia
or of any court of applicable jurisdiction; whether or not any decision of any agency of
the government of
North Macedonia
or of any court of applicable jurisdiction would be favourable
to the Company's interests; whether or not any decision of an agency of the government of
North
Macedonia
or of any court of applicable jurisdiction that was favourable to the Company's interests
would be implemented by applicable government authorities or could otherwise be enforced by the
Company; potential investments in the Ilovica-Shtuka Project, with or without the support of any of
the Company's current or future third-party investors; the potential impact of any investment by the
Company or any third-party investor on the development of the Ilovica-Shtuka Project; the effect of
the development of the Ilovica-Shtuka Project on the economy of
North Macedonia
, including the
number of jobs which may be produced in connection therewith; the results of operations and
financial condition of the Company; permitting and licensing matters related to the Ilovica-Shtuka
Project; capital spending by the Company; financing sources available to the Company, including
from any current or future third-party investors in the Company; commodity prices; mineral
resources; and property evaluation plans and programmes. Forward-looking statements are
frequently characterised by words such as "plan", "expect", "project", "intend", "believe",
"anticipate" and other similar words, or statements that certain events or conditions "may" or "will"
occur. Forward-looking statements are based on the opinions and estimates of management at the
dates the statements are made, and are subject to a variety of risks and uncertainties and other
factors that could cause actual events or results to differ materially from those projected in the
forward-looking statements. This information is qualified in its entirety by cautionary statements
and risk factor disclosure contained in filings made by the Company, including its annual
information form for the year ended
December 31, 2022
and financial statements and related
MD&A for the financial years ended
December 31, 2022
and 2021, and the unaudited condensed
consolidated interim financial statements for the three months ended
March 31, 2023
and 2022
along with the accompanying MD&A, filed with the securities regulatory authorities in certain
provinces of
Canada
and available on SEDAR. The forward-looking statements contained in this
document are as of the date of this document, and are subject to change after this date. Readers
are cautioned that the assumptions used in the preparation of such information, although
considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue
reliance should not be placed on forward-looking statements. Euromax disclaims any intention or
obligation to update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise, except as otherwise required by applicable law.
SOURCE
Euromax Resources
View original content:
http://www.newswire.ca/en/releases/archive/July2023/28/c4563.html
%SEDAR: 00009131E
For further information:
For more information, please visit www.euromaxresources.com or
contact: Tim Morgan-Wynne, Executive Chairman, +44 20 3918 5160,
CO: Euromax Resources
CNW 08:00e 28-JUL-23