Scotgold Resources has announced that Nonexecutive Director Nathaniel le Roux, who is a major secured creditor of its subsidiary SGZ Cononish, has resigned from his position as a director of both Scotgold and its subsidiaries with immediate effect.
According to le Roux, there is an unavoidable conflict of interest between the company’s interests and his personal interest as the major secured creditor. He believes that it is in the best interest of the shareholders for him to step down. However, he emphasized that he remains the company’s largest shareholder and will continue to support its management.
Scotgold Resources has revealed that it is expecting to appoint administrators in the coming days as the ongoing financing talks have not resulted in any investment. The company had been in advanced discussions with a new strategic investor, but if financing cannot be secured, administrators may need to be appointed.
As a result of the funding worries, trading of shares in Scotgold Resources has been suspended since September 11.
Conclusion
The resignation of Nathaniel le Roux as a director highlights the challenges faced by Scotgold Resources. The company is currently in discussions with potential investors but may need to take further steps to secure financial stability. Shareholders await further developments as administrators are expected to be appointed soon.