Eden Roc reorganizes

Now in the hands of former Royal Oak executives Margaret Kent (formerly Witte) and Ross Burns, Eden Roc Minerals (EDN-T) has completed a reorganization and a consolidation of shares on the basis of one share for each 10 pre-consolidated shares.

On a consolidated basis, the company has 8.9 million shares outstanding and 12.3 million fully diluted. Under the terms of the reorganization, NM Rothschild & Sons, Eden Roc’s major lender, agreed to convert US$3 million of debt into 3.2 million consolidated shares, or about 36.5% of the company. A further US$1 million is still owed but is convertible into shares. Another creditor, Caterpillar Financial Services, converted US$424,148 of debt into 387,506 shares. These debts were related to Eden Roc’s mining activities at the Afema open-pit gold project in Ivory Coast, West Africa. The mine was short-lived and unprofitable. A South African major had optioned the Afema property in an attempt to explore for deeper sulphide reserves, but it dropped its option after limited work. Eden Roc intends to acquire an advanced project. It is evaluating several opportunities.