Amsterdam/London, 1 June 2015
NWR Board & Management Changes
New World Resources Plc ('NWR' or the 'Company') with its subsidiaries (together the ‘Group’) announce the following changes to the Board of Directors of NWR (the 'Board') and the Group’s management:
Mr. Marek Jelínek has resigned from the Board and as the Group’s Chief Financial Officer, with effect from 1 September 2015. He has also resigned from all his Group directorships;
Mr. Boudewijn Wentink, currently the Group’s Chief Legal Officer, will become the Finance and Legal Director of NWR and it will be recommended to the Board that he joins the Board as an Executive Director; and
From 1 January 2016, Mr. Dale R. Ekmark will become the Group’s Chief Executive Officer, while retaining his position as Managing Director of OKD, a.s. (‘OKD’).
Following this change, Gareth Penny, currently Executive Chairman of NWR, will continue as Chairman of NWR, focusing, in particular, on the development of the Company’s strategy and its response to evolving conditions in the coal markets.
Mr. Gareth Penny, Chairman of NWR, said:
“Marek joined the Group upon its formation in 2004 and served as its CFO and on the Boards of Group companies since 2007. He has indicated that after 11 years it is now time for him to pursue other opportunities. We respect his decision.
His financial and management skills have helped to navigate NWR through good and difficult times. Among Marek’s achievements as our CFO are the 2008 IPO that brought NWR to three stock exchanges, and the securing of competitive financing for the complete overhaul and renewal of OKD’s mining machinery and technology. In 2014 Marek led the successful negotiations with all NWR stakeholders and creditors in the restructuring of NWR’s balance sheet. The Board and management of NWR would like to thank Marek for his great commitment and dedication to NWR and wish him well in his future business ventures.
Recently, the Company has undergone important structural changes as it adapts to market conditions and pursues its stated strategic goal of becoming Europe’s leading miner and marketer of coking coal in a safe and sustainable way. The changes that we are announcing today, following Marek’s decision to resign, are another step towards greater alignment, the focus on priorities for NWR and OKD and the drive for further efficiencies in the way we run our business.
Boudewijn joined NWR in March 2013 and has since been instrumental in maintaining the financial stability and good stakeholder relationships of the Company. He brings continuity to the Board and management in that he is the natural successor to Marek, and he possesses both the legal and financial skills necessary in today’s commercial environment. Boudewijn has the full trust and support of the Board.
I am delighted that as from next year, Dale will take responsibility for the combined post of OKD and NWR CEO. This will provide for a more efficient operating structure and greater synergies across the Group. Dale has been highly successful at transforming OKD under difficult circumstances and will contribute even more now in this combined executive role.
It is clear that we have still a lot of work ahead. But with this executive team and each and every one of our dedicated employees, I am confident that we will succeed in weathering the continued depressed coal market environment.”
“I would like to thank all the colleagues I have worked with during my time with NWR. The last couple of years have been challenging for NWR, and indeed the broader coal mining industry, as price levels have declined. But NWR has responded responsibly and positively to the challenges it has faced, and I am proud to have played my part in ensuring the stability of the Company. In my view, the worst is over for NWR and I believe that the Company is in good hands under Gareth, the Board, Dale, Boudewijn and the management team.”
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New World Resources Plc is a Central European hard coal producer. NWR produces quality coking and thermal coal for the steel and energy sectors in Central Europe through its subsidiary OKD, the largest hard coal mining company in the Czech Republic.
Disclaimer and cautionary note on forward looking statements and notes on certain other matters
Certain statements in this announcement are not historical facts and are or are deemed to be “forward-looking”. The Company’s prospects, plans, financial position and business strategy, and statements pertaining to the capital resources, future expenditure for development projects and results of operations, may constitute forward-looking statements. In addition, forward-looking statements generally can be identified by the use of forward-looking terminology including, but not limited to; “may”, “expect”, “intend”, “estimate”, “anticipate”, “plan”, “foresee”, “will”, “could”, “may”, “might”, “believe” or “continue” or the negatives of these terms or variations of them or similar terminology. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurance that these expectations will prove to have been correct. These forward-looking statements involve a number of risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied in these forward-looking statements because they relate to events and depend on circumstances that may or may not occur in the future and may be beyond NWR’s ability to control or predict. Forward-looking statements are not guarantees of future performances.
Factors, risks and uncertainties that could cause actual outcomes and results to be materially different from those projected include, but are not limited to, the following: risks relating to changes in political, economic and social conditions in the Czech Republic, Poland and the CEE region; future prices and demand for the Company's products, and demand for the Company's customers' products; coal mine reserves; remaining life of the Company's mines; coal production; trends in the coal industry and domestic and international coal market conditions; risks in coal mining operations; future expansion plans and capital expenditures; the Company's relationship with, and conditions affecting, the Company's customers; competition; railroad and other transportation performance and costs; availability of specialist and qualified workers; and weather conditions or catastrophic damage; risks relating to Czech or Polish law, regulations and taxation, including laws, regulations, decrees and decisions governing the coal mining industry, the environment and currency and exchange controls relating to Czech and Polish entities and their official interpretation by governmental and other regulatory bodies and by the courts; and risks relating to global economic conditions and the global economic environment. Additional risk factors are as described in the Company’s annual report
Forward-looking statements are made only as of the date of this announcement. The Company expressly disclaims any obligation or undertaking to release, publicly or otherwise, any updates or revisions to any forward-looking statement contained in this announcement to reflect any change in its expectations or any change in events, conditions, assumptions or circumstances on which any such statement is based unless so required by applicable law.