The Founder’s Group

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Message: Vindication: Alexandria Minerals Admits Exploration of Val d’Or Property is Only Path Forward – Sadly, Board Directors Have No Plan for Going Forward

Vindication: Alexandria Minerals Admits Exploration of Val d’Or Property is Only Path Forward – Sadly, Board Directors Have No Plan for Going Forward

posted on Jun 07, 2018 09:56AM
  • 43-101 resource estimate, led by Mr. Owens, better positions the company to move forward and fully realize the potential of Alexandria Minerals.
  • The potential of the company’s Val d’Or property is great and similar to neighbouring properties that have significant deposits.
  • Only Eric Owens has a plan that puts the interests of shareholders – an increase in their return on investment – ahead of the interests of members of the board.

TORONTO, June 07, 2018 (GLOBE NEWSWIRE) -- Today Eric Owens, former CEO, current director, and a founder of Alexandria Minerals Corporation (“Alexandria”), along with other concerned shareholders (together the “Concerned Shareholders” or “Founder’s Group”), welcomed the vindication of Mr. Owens by Alexandria Minerals Corporation (“Alexandria” or “Company”) through their strong endorsement of Eric Owens’ 43-101 resource estimate work.

As stated in Alexandria's news release yesterday, the 43-101 resource estimate, led by Mr. Owens, “has enabled the Company to have a much better understanding of the styles and potential of ground within the belt and to know how to drill out, model and build resources more efficiently. A number of targets with significant historical drill results as well as known mineralized structures have not been followed up with recent drilling but have shown the ability to host the required widths and grade to host potentially significant mineralization. Additionally, some zones previously targeted for drilling are known not to have the gold tenor required to warrant further drilling. These will be eliminated.”

The Founders Group believes it is a mistake to turn aside a CEO with a proven ability to conduct the very drilling program that will allow the company to “better understand” its assets and to raise the funding necessary to more aggressively and quickly explore this asset base.

Even more importantly for shareholders, the fabrications contained in the first 14 paragraphs of the news release are directly refuted by Alexandria’s own conclusion in its “Path Forward”.

As Mr. Owens has been excluded from company affairs for more than 7 months, the Founders Group questions the current management’s decision to exclude approximately 25% of the 2017 drill holes from the estimate (10,500 m of core), given the delay in the resource estimate, and further to not capture the additional 12,500 metres of drilling that had occurred in early 2018. In total, some 40% of the drill holes completed over the last 18 months have been excluded from the results.

“It is frustrating for shareholders that the Special Committee of Alexandria over the last 7 months has wasted so much time and money to only come to the conclusion we had the right plan all along,” said Mr. Owens. “Plus, some points of clarification are required. I’ve never opposed selling non-core assets. While non-core asset sales can be strategic, attempting to finance a proper drilling program, and continuing to grow an exploration company, based solely on these sporadic, one-off sales is ill-advised.”

The Founder’s Group also disagrees with the Special Committee’s approach over the last 7 months, which it believes could only have one possible objective: to drive down the stock price while seeking a partner or a fire sale. The Founder’s Group has deep concerns as to why the Special Committee is still using Sprott Capital Partners as its financial advisor. Sprott is a unique shareholder, which doesn’t have the same interests as the majority of shareholders, and all shareholders should question the advice the Special Committee is receiving from Sprott Capital.

Further, Mr. Owens strongly disagrees with the implication that the substantial, accretive financing he raised while CEO would have resulted in a greater dilution than the Special Committee’s efforts to sell the Company. To be clear – this is false and misleading information.

Mr. Owens’ plans have included both strategic financing and non-core asset sales, which would have preserved much greater value, while better positioning the company to deliver shareholders greater value.

Mr. Owens’ vision and plan for Alexandria is the best one for growing shareholder value. The current board and Special Committee have frittered away time and resources, while pursuing short-sighted objectives.

By Alexandria’s own admission, again from their recent news release: “The Company’s asset base, in addition to the Orenada deposits, consists of a very large continuous land base along the Cadillac Break in the Val D’or area and adjacent to and contiguous with the Sigma-Lamaque-Triangle assets of Eldorado (Formerly Integra Gold). The Cadillac Break is one of Canada’s most prolific and well-known gold producing areas. There are a number of active targets on the Company’s land adjacent to areas on which other gold companies, specifically, Eldorado Gold Corporation and Agnico Eagle Mines Limited are working systematically on.”

Given this reality, it’s time the Special Committee stop its time-wasting games and resource-depleting distractions and embrace Mr. Owens’ and the Founders’ Groups’ plan to get Alexandria back on track.


Eric Owens has not sought or obtained consent from any third party to the use herein of previously published information. Any such information should not be viewed as indicating the support of such third party for the views expressed herein.

Except for the historical information contained herein, the matters addressed in these materials are forward-looking statements that involve certain risks and uncertainties. You should be aware that actual results could differ materially from those contained in the forward-looking statements. Eric Owens does not assume any obligation to update the forward-looking information.

Information in Support of Public Broadcast Solicitation

Eric Owens is relying on the exemption under section 9.2(4) of National Instrument 51-102 – Continuous Disclosure Obligations and section 150(1.2) of the Canada Business Corporations Act to make this public broadcast solicitation. The following information is provided in accordance with securities and corporate laws applicable to public broadcast solicitations.

This solicitation is being made by Eric Owens, and not by or on behalf of the management of Alexandria Minerals Corporation (“Alexandria”). The registered and mailing address of Alexandria is 1 Toronto Street, Suite 201 Toronto, Ontario M5C 3B2.

Eric Owens has filed an information circular containing the information required by Form 51-102F5 – Information Circular in respect of the Founder’s Nominees, which is available under Alexandria’s profile on SEDAR at

Mr. Owens is not requesting that Alexandria shareholders submit a proxy at this time. Once Mr. Owens has commenced a formal solicitation of proxies, a registered holder of shares of Alexandria that gives a proxy may revoke it: (a) by completing and signing a valid proxy bearing a later date and returning it in accordance with the instructions contained in the form of proxy to be provided or as otherwise provided in the proxy circular accompanying such proxy; (b) by depositing an instrument in writing executed by the shareholder or by the shareholder's attorney authorized in writing, as the case may be: (i) at the registered office of Alexandria at any time up to and including the last business day preceding the day the Meeting or any adjournment or postponement of the Meeting is to be held, or (ii) with the chairman of the Meeting prior to its commencement on the day of the Meeting or any adjournment or postponement of the Meeting; or (c) in any other manner permitted by law. A non-registered holder of shares of Alexandria will be entitled to revoke a form of proxy or voting instruction form given to an intermediary at any time by written notice to the intermediary in accordance with the instructions given to the non-registered holder by its intermediary.

Proxies for the Special Meeting may be solicited by mail, telephone, email or other electronic means as well as by newspaper or other media advertising, and in person by associates, agents, representatives and employees of Eric Owens, who will not be specifically remunerated therefor. In addition, Mr. Owens may solicit proxies in reliance upon the public broadcast exemption to the solicitation requirements under applicable Canadian securities laws, conveyed by way of public broadcast, including through press releases, speeches or publications, and by any other manner permitted under applicable Canadian laws. Mr. Owens may engage the services of one or more agents and authorize other persons to assist him in soliciting proxies should he commence a formal solicitation of proxies. In this regard, Mr. Owens has entered into an agreement with Navigator Ltd., which has agreed to act, in addition to other capacities, in a capacity to assist Mr. Owens in the oversight and solicitation of proxies in connection with the Meeting. Pursuant to this agreement, Navigator Ltd. will be paid a fee of $15,000 for this activity. All costs incurred for the solicitation will be borne by Mr. Owens.  Dan Palikrousis has contributed funds to Mr. Owens to defray the costs of such solicitation; as a result he may also be deemed to be a “solicitor” within the meaning of applicable securities laws.

To the knowledge of Mr. Owens, neither he nor any of his associates or representatives, nor any of the Founder’s Nominees, or their respective associates or affiliates, has: (i) any material interest, direct or indirect, in any transaction since the beginning of Alexandria' most recently completed financial year or in any proposed transaction that has materially affected or would materially affect Alexandria or any of its subsidiaries; or (ii) any material interest, direct or indirect, by way of beneficial ownership of securities or otherwise, in any matter currently known to be acted upon at the Meeting, other than the election of directors of Alexandria.

For more information:
Mike Van Soelen
Navigator Ltd.
[email protected]
(416) 307-3039

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