12/03/2014 - 13:51

Atlantic MD Minosora resigns

12/03/2014 - 13:51

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Atlantic managing director and chairman Michael Minosora has resigned from the company after a horror year for the vanadium and iron ore producer.

Atlantic managing director and chairman Michael Minosora has resigned from the company after a horror year for the vanadium and iron ore producer.

The company said chief operating officer Daniel Harris would step up to the chief executive role, while Robust Resources managing director Gary Lewis has been appointed non-executive chairman.

Atlantic has been forced to take on high-interest debt funding from its major shareholder, Droxford International, on a number of occasions throughout the past year after a number of operational issues hampered production at its Windimurra vanadium project near Mount Magnet.

The company disclosed last year that its subsidiary, Midwest Vanadium, had breached a covenant on its secured notes facility as a result of the balance of the interest reserve account falling below the $US5 million minimum holding requirement.

Its problems were exacerbated last month when a major fire destroyed part of the Windmurra vanadium plant, with combined material damage and business interruption costs from the fire estimated to be in the vicinity of $100 million.

The company had some better news this week, however, when it flagged that it had negotiated a standstill arrangement with the majority of its noteholders as it works towards a restructure.

"Michael was instrumental in buidling Atlantic from scratch into an entity that owns and operates one of the most complex mineral processing operations in Australia," Mr Lewis said.

"Michael has played a key role in the acquisition, construction and commissioning of the Windimurra project and has led the discussions that have successfully put in place a new funding facility for the company."

Mr Minosora joined Atlantic in 2009 and led the company to development of the Windimurra project.

He had previously been chief financial officer at Fortescue Metals Group, and before that held senior roles at Woodside Petroleum, Ernst & Young and Azure Capital.

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