Cost-cutting measures have reached new heights with Osborne Park-based Northern Mining going to extremes to reduce the company's overheads and its ongoing operating costs in light of the current economic environment.
Cost-cutting measures have reached new heights with Osborne Park-based Northern Mining going to extremes to reduce the company's overheads and its ongoing operating costs in light of the current economic environment.
The mining and exploration company has announced the position of managing director has been made redundant, the payment of directors' fees are to be suspended and following a review of its administration costs, the company has identified and implemented additional cost savings.
Other areas of cost saving are to be applied over the coming month, further reducing administration charges by approximately $50,000 per month.
The resignation of the incumbent managing director, Craig Dawson will take effect from 27 February 2009.
Mr Dawson had worked on the Szklary Nickel Project in Poland and the Blair North Project in Western Australia.
Full announcement below:
C O M P A N Y U P D A T E
Due to the current economic environment, the Board of Northern Mining Limited (ASX: NMI - "Northern Mining")
has today agreed to immediately implement a number of cost-cutting measures designed to reduce ongoing
operating costs.
Resignation of Managing Director
The Company announces with regret that the position of Managing Director has been made redundant and that
the resignation of the incumbent Managing Director Mr Craig Dawson as a Director of the Company, will take
effect from 27 February 2009. Mr Dawson will continue to work with the Company to ensure the smooth
transition of all operational issues to Executive Chairman, Mr Alan Lockett.
The Board would like to take this opportunity to thank Craig for his efforts over the last twelve months and wish
him well for the future. Craig has been instrumental in moving our projects forward during 2008 with a JORC
compliant resource for the Szklary Nickel Project in Poland and the exciting gold and nickel results from our
Blair North Project in Western Australia, being just two highlights during the year.
The appointment of a Non-Executive Director to replace Mr Dawson will be announced in due course.
Suspension of Directors' Fees
The Board has resolved that the payment of Directors' fees shall be suspended. This suspension shall remain
in place until such time as the Board forms the view that the financial position of the Company is sufficiently
robust.
Reduction of Administration Overheads
NMI has undertaken a thorough review of its administration costs and has identified additional cost savings,
some of which have already been implemented. Other areas of cost saving are to be applied over the coming
month, further reducing administration charges by approximately $50,000 per month.
