PERTH (miningweekly.com) – Australia-based iron-ore developer Centaurus Metals has announced plans to cut director fees as part of its cost-saving initiatives following a capital raise in February.
Centaurus raised A$1.1-million through a share placement last month, and announced plans to raise a further A$3.5-million through a rights issue to advance the development of its Candonga direct shipping ore (DSO) project, in Brazil.
The junior said that following the raising and rights issue, the company would focus on implementing a number of cost reduction measures to ensure that Centaurus minimised its corporate and administrative overheads, and appropriately managed its cash position to ensure the development of the Candonga DSO project was done quickly.
As part of this cost-cutting initiative, Centaurus would reduce the fees payable to its nonexecutive chairperson and nonexecutive directors by one-third, from April 1.
In addition, MD Darren Gordon would also reduce his remuneration by 10%.
This followed the size of the board being reduced from six directors to four in December.
Centaurus last year also initiated a number of other cost-saving measures, including a substantial downsizing of its corporate head office, an office relocation and a restructure of the company’s Brazilian operations.
Several other measures were also currently being implemented in Australia and Brazil.