In accordance with ASX Listing Rule 3.16.4, Aguia Resources Limited advises that the remuneration of its Executive Chairman and Managing Director, Mr Justin Reid has been reviewed with immediate effect.
The material terms of the contract for Mr Reid are as follows:
Salary: A$350,000 per annum.
Options: Subject to shareholder approval, the granting of 1,500,000 3-year options priced at 40% above share price on date of approval.
Bonus: Up to A$250,000 cash bonus subject to achievement of following KPIs:
- Material increase in market cap and top quartile performance of share price relative to peer group.
- Complete drilling and resource estimate on Joca Tavares deposit.
- Expand institutional share ownership and establish new analyst coverage.
- Maintain budget control on the program – key deliverables on time and within budget (within 15% variance normalised to budgeted exchange rate).
- Maintain strong balance sheet to ensure no delay to approved development program, including timely fund raising if required.
- Further metallurgical testing and submission of Environmental Impact Assessment.
Term: No end date.
Termination: 3 months’ notice by Managing Director and six months’ notice by Company.
In addition, and in accordance with the previously announced contract, the Board has awarded Mr Reid a bonus of A$200,000, payable immediately. In determining the quantum of the bonus, the Board gave consideration to both Mr Reid’s outstanding performance in his role as Managing Director since his appointment, and also the significant discount that his previous salary of A$175,200 represented against the market for similar positions.
Non-Executive Director Brian Moller commented, “Since taking over the leadership of Aguia earlier this year, Justin has delivered significant value to shareholders including a 475% increase in share price, a robust PEA on the flagship Tres Estradas deposit, and completed a successful A$9.5 million private placement which attracted new long-term institutional investors and provides the necessary funding the company needs for the next two years.
“When Justin took on the role of Executive Chairman & Managing Director, he agreed to do so at significant discount to his remuneration, and given his achievements since then the Board feels it is appropriate to now align his compensation in line with industry peers. We are confident Justin will continue to achieve excellent results for our shareholders.”
For further information, please contact:
T: +61 7 3024 0336
T: +1 416 861 5902