VANCOUVER Three weeks ago we told our readers of the lawsuits flying over the joint Fenelon high-grade gold mine in Quebec. Vancouver-based INTERNATIONAL TAURUS RESOURCES (62%) and Montreal’s FAIRSTAR EXPLORATIONS (38%), joint venture partners in the project, had taken their financial differences to the courts (Net News, Nov. 3).
Now it appears that Taurus will merge with AMERICAN BONANZA GOLD MINING, also of Vancouver. The new company, which as of yet had no name, will buy out Fairstar’s interest in the Fenelon mine for a payment of $300,000 and 6.5 million shares in the merged corporation. The lawsuits will then be dropped.
Management of the new company will include Brian Kirwin as president and CEO, Guilio Bonifacio as executive VP and CFO, and Dr William Bird as VP. The board will include four members from Bonanza, two from Taurus and one from Fairstar.
Few mergers in the Canadian mining industry have gone smoothly in the last six months. Perhaps this one will be an exception. We will pass along the new name and website address when they become available.