Troy shareholder calls for board spill

A Singaporean group that holds about a 5 per cent stake in Troy Resources has called for a meeting to seek the replacement of the gold miner’s board members with its own nominees.

In a statement today, Troy said it was seeking legal advice as to the validity of the notice received by Republic Investment Management on Friday.

The Singaporean group is seeking the removal of chairman Peter Stern and non-executive director John Jones, and replace them with former Kingsgate Consolidated boss Greg Foulis, Russell Middleton and Jeffrey Williams as directors.

“Troy managing director Ken Nilsson is not the subject of a removal resolution and it would therefore seem Republic would like him to be a part of their team moving forward,” Troy said.

“If the notices are valid, the company is required to call the meeting within 21 days of the date of the notices and hold the meeting no later than two months after the date of notices.”

Mr Nilsson became managing director and chief executive in late May, weeks after his predecessor, Martin Purvis, left the company to take on the top job at mineral sands miner MZI Resources.

Mr Purvis’s departure was followed by Fred Grimwade as chairman in mid-June, who was replaced by Mr Stern.

Troy struck issues late last year when it reported problems at its Karouni gold mine in Guyana.

Regular monitoring checks at the mine indicated an increase in unstable ground conditions around the southern wall of the Smarts pit, which had restricted access to higher grade areas in the pit.

Shares in Troy were lower at midday, but recovered by the close of the market to remain unchanged at 10.5 cents each.