VANCOUVER, Sept. 5, 2012 /CNW/ - MAG Silver Corp. (TSX:MAG) (NYSE-MKT:MVG) ("MAG" or the "Company") and Mining Investors for Shareholder Value ("MISV"), a group of MAG shareholders collectively holding approximately 9.76% of
MAG's outstanding shares and organized by Jeffrey E. Eberwein and
Charles M. Gillman, announced today an agreement to nominate Richard
Clark and Peter Barnes for election at the upcoming annual and special
meeting of shareholders (the "Annual Meeting") to be held on October 5, 2012.
Jonathan Rubenstein, Chairman of MAG, said today: "We recently engaged
in a dialogue with Jeff Eberwein and Chuck Gillman of MISV and are
pleased that this collaborative effort has yielded the inclusion of two
strong candidates for MAG's board in our forthcoming proxy circular.
Rick and Peter have excellent track records of creating value for
shareholders and we are pleased to add their expertise at this crucial
time in MAG's development."
Under the terms of the agreement with MISV, MAG will present a slate of
nine directors to shareholders at the Annual Meeting, comprised of Mr.
Clark and Mr. Barnes along with seven existing members of MAG's board.
To facilitate this agreement, R. Michael Jones, a founder and director
of MAG since March 2003, will not stand for re-election at the Annual
Meeting. Said Mr. Rubenstein: "The inclusion of two strong candidates
like Rick and Peter will be critical to replace Mike's significant
contribution to MAG over the years. As a founder of the Company, Mike has been instrumental in MAG's successes to date. It was Mike who
recognized the potential value of property positions assembled at
Juanicipio and elsewhere by Dr. Peter Megaw. Working with several
associates Mike formed MAG, acquired the properties, helped raise
initial funding and then guided the early growth of the Company. The
board thanks Mike for his dedicated years of service, and wishes him
continued success in his future endeavours. Mike will focus his
efforts on Platinum Group Metals Ltd. where he is also a co-founder and
is the CEO."
Mr. Clark and Mr. Barnes bring extensive experience in the metals and
mining industry to MAG's board. For the past ten years, Mr. Clark has
been a senior executive with the Lundin Group of Companies. Mr. Clark
has been a director of Sirocco Mining Inc. since 1994, and was
appointed CEO in October 2011. Previously, Mr. Clark was president and
CEO of Red Back Mining Inc., and guided the company from a junior
development company to multi-mine producer until it was acquired by
Kinross Gold Corporation for C$9.0 billion in late 2010. Mr. Clark is
a lawyer who practiced mining and securities law in British Columbia
from 1987 to 1993.
Mr. Barnes, a Chartered Accountant with over twenty-five years of senior
management experience, has been instrumental in building two of the
world's premier precious metals companies. From 2006 until April 2011,
Mr. Barnes was CEO of Silver Wheaton, a company he co-founded in 2004.
Under his leadership, Silver Wheaton, with its unique silver streaming
model, provided shareholders with a 50% annualized rate of return and
grew into one of the largest silver companies in the world, with a
market capitalization of approximately US$15 billion. Prior to his
appointment as CEO of Silver Wheaton, Mr. Barnes was the CFO of Wheaton
River Minerals, and subsequently Goldcorp Inc. after the companies
merged in 2005. During this time, Wheaton River/Goldcorp's market
capitalization increased more than 25-fold to C$13 billion and the
company was transformed from a junior gold producer to one of the
world's leading low-cost emerging senior gold producers.
The agreement with MISV also provides that the Company will nominate Mr.
Clark and Mr. Barnes as part of its recommended slate of directors
presented to shareholders at the 2013 annual meeting.
Mr. Rubenstein concluded: "We are pleased to have reached this
constructive resolution and look forward to working with MISV to
increase value for all of MAG's shareholders."
The full text of the agreement with MISV is available via SEDAR at www.sedar.com or upon request by contacting the Secretary of the Company at
604-630-1399 or by email at JHarris@magsilver.com.
About MAG Silver Corp. (www.magsilver.com)
MAG is focused on district scale projects located within the Mexican
Silver Belt. Our mission is to become one of the premier companies in
the silver mining industry. MAG is conducting ongoing exploration of
its portfolio of 100% owned properties in Mexico including a silver,
lead and zinc discovery and a moly-gold discovery at its 100% owned
Cinco de Mayo property in Chihuahua State. MAG and Fresnillo plc are
also jointly developing the Valdecañas Vein and delineating the
Desprendido and Juanicipio vein discoveries on the Juanicipio Joint
Venture in Zacatecas State. MAG is based in Vancouver, British
Columbia, Canada. Its common shares trade on the TSX under the symbol
MAG and on the NYSE MKT under the symbol MVG.
On behalf of the Board of
MAG SILVER CORP.
CEO & Director
Neither the Toronto Stock Exchange nor the NYSE MKT has reviewed or
accepted responsibility for the accuracy or adequacy of this news
release, which has been prepared by management.
This release includes certain statements that may be deemed to be
"forward-looking statements" within the meaning of the US Private
Securities Litigation Reform Act of 1995. All statements in this
release, other than statements of historical facts are forward looking
statements. Forward-looking statements are often, but not always,
identified by the use of words such as "seek", "anticipate", "plan",
"continue", "estimate", "expect", "may", "will", "project", "predict",
"potential", "targeting", "intend", "could", "might", "should",
"believe" and similar expressions. These statements involve known and
unknown risks, uncertainties and other factors that may cause actual
results or events to differ materially from those anticipated in such
forward-looking statements. Although MAG believes the expectations
expressed in such forward-looking statements are based on reasonable
assumptions, such statements are not guarantees of future performance
and actual results or developments may differ materially from those in
the forward-looking statements. Factors that could cause actual results
to differ materially from those in forward-looking statements include,
but are not limited to, changes in commodities prices, changes in
mineral production performance, exploitation and exploration successes,
continued availability of capital and financing, and general economic,
market or business conditions, political risk, currency risk and
capital cost inflation. In addition, forward-looking statements are
subject to various risks, including that data is incomplete and
considerable additional work will be required to complete further
evaluation, including but not limited to drilling, engineering and
socio-economic studies and investment. The reader is referred to the
Company's filings with the SEC and Canadian securities regulators for
disclosure regarding these and other risk factors. There is no
certainty that any forward looking statement will come to pass and
investors should not place undue reliance upon forward-looking
Please Note: Investors are urged to consider closely the disclosures in
MAG's annual and quarterly reports and other public filings, accessible
through the Internet at www.sedar.com and www.sec.gov.
SOURCE: MAG Silver Corp.
For further information:
on behalf of MAG Silver Corp.
Contact Gordon Neal, VP Corp. Development
Phone: (604) 630-1399
Toll free: (866) 630-1399
Fax: (604) 681-0894