Coal of Africa Limited is pleased to announce that David Brown has been appointed as Chief Executive Officer and Executive Director with effect from 1 February 2014.
David was appointed as Non-executive Chairman of CoAL effective the 6th of August, 2012, and subsequently appointed as acting CEO on the 1st of June, 2013. David joined the CoAL board following almost 14 years at Impala Platinum Holdings Limited, where he served as a board member of Implats as Chief Finance Officer from January 1999 to August 2006, and then as CEO from September 2006 to June 2012.
He is also a Non-executive Director at Vodacom Group Limited (January 2012 to date) and Edcon Holdings Limited (January 2013 to date). He is also a member of the Accenture South African Advisory Board. David is a Chartered Accountant, CA and completed his articles with Ernst and Young, graduating from the University of Cape Town with a BCom. C.T.A. Further, following the appointment of David Brown, Bernard Pryor has been appointed as CoAL’s interim Chairman effective 1 February 2014, whilst the search for a Chairman has commenced.
Bernard is the CEO of African Minerals Limited and until recently Chief Executive of Q Resources Plc. Between 2006 and 2010 he held senior executive positions within Anglo American Plc. as head of business development, and CEO of Anglo Ferrous Brazil Inc. Bernard was appointed as an Independent Non-executive Director of CoAL in August 2012. Bernard Pryor stated: “I am delighted that David has joined the company on a permanent basis as CEO. CoAL now has the ability to build on the significant progress that has been made over the last 12 months. David brings substantial South African mining experience and has been instrumental in defining the CoAL turnaround strategy and commencing its implementation. His wealth of experience will be vital as we shape CoAL towards its strategy of becoming a significant coking coal producer in South Africa.”
ASX Listing Rules (3.16.4) require the company to disclose all the material terms and conditions of the employment agreement.
The following are salient features of the signed agreement
- Commencing on 1 February 2014.
- Annual gross base remuneration of ZAR 5,500,000, inclusive of superannuation.
- An annual bonus equivalent to 100% of base remuneration dependant on business performance.
- 10,575,000 options to be granted in three equal tranches over a three-year period (Year 1: 3,525,000 at ZAR 1, 20, Year 2: 3,525,000 at ZAR 1, 32, Year 3: 3,525,000 at ZAR 1, 45). These are granted in accordance with the Company’s employee share option plan and subject to shareholder approval. Should there be a change of control event, the options will vest immediately.
- The employment contract is open-ended but includes a notice period of three months.
- David has agreed to forfeit the 2,500,000 unvested share options allocated to him in his contract as Non-executive Chairman.