For immediate release
21 December 2009
Serabi Mining plc
(“Serabi” or “the Company”)
Variation in Directors’ terms of employment
Cancellation of existing options and award of new options.
The Board of Serabi announces that the Directors’ employment terms and
conditions have been amended today with effect from 1 November 2009.
The Directors have, since the end of 2008, been paid reduced levels of salary.
The Directors have today agreed that their salaries and benefits should be
reduced to reflect the current nature and strategy of the Company. In the case
of the non-executive directors, this also reflects a reduction in the time
commitments they will be obliged to give to the affairs of the Company. Each of
the Directors has also agreed to reduce their contractual notice period.
The Company estimates that the effect of these changes will be to realise an
annual saving of over £200,000 by comparison to the previous arrangements.
The Company and the Directors have also agreed to cancel all the existing
6,149,582 options over ordinary shares that had been previously awarded to the
Directors.
The Company has agreed to award in aggregate 13,000,000 new options over
ordinary shares to the Directors (representing 3.97 per cent. of the current
issued share capital) exercisable at 1.5 pence per ordinary share, as follows:
Director Number of new options over Ordinary Shares
Mike Hodgson 5,000,000
Clive Line 5,000,000
Graham Roberts 2,000,000
Bill Clough 1,000,000
The options will vest in three equal tranches, with one-third vesting and being
exercisable immediately on award, one-third vesting on the first anniversary of
the award and the remainder vesting on the second anniversary of the award. The
options will lapse 10 years after the date of the award. Other standard
provisions consistent with the terms of the cancelled options apply in respect
of any corporate restructuring, re-organisation or other variation in the
ordinary shares of the Company.
The Board is also approaching other options holders who remain employees of or
consultants to the Company, with a view to cancelling existing options over
700,000 ordinary shares held by these individuals. The Company has set aside a
further 6,300,000 options at an exercise price of 1.5 pence per ordinary share
to be awarded subsequently as necessary to employees and consultants.
Enquiries:
Serabi Mining plc
Clive Line Tel: 020 7246 6830
Finance Director Mobile: 07710 151 692
Email:contact@serabimining.com
<mailto:contact@serabimining.com>
Website: www.serabimining.com
<
http://www.serabimining.com/>
Beaumont Cornish Limited
Nominated Adviser and Broker
Roland Cornish Tel: 020 7628 3396
Michael Cornish Tel: 020 7628 3396
Farm Street Communications
Simon Robinson 07593 340107
ENDS
[HUG#1365936]