Eurus backs out of Trimin bid

Both Eurus Resource (VSE) and Adrian Resources (VSE) have backed out of plans to acquire shares of Trimin Resources (TSE), a Vancouver- based junior which recently sold its stake in the Hanson Lake polymetallic project for $17.5 million. Eurus’ proposed bid for up to two million common shares of Trimin will not proceed, nor will Adrian continue with its previously announced plans to acquire 400,000 Trimin shares.

However Prime Equities, which manages and holds interests in both Adrian and Eurus, is continuing discussions with Trimin management relating to a possible business relationship.

Trimin is looking to become involved in new ventures now that it has closed the sale of its former key asset to Billiton Resources Canada. Prime Equities has been seeking more outside investment in its exploration projects, particularly now that the group has severed its relationship with former backer, Corona (TSE).

“We are having discussions with Prime Equities although at this point nothing has materialized,” said Terry Holland, chief executive officer of Trimin.

From Toronto, Birkenshaw & Company announced it recently acquired 208,408 shares of Trimin through the facilities of the TSE and VSE, boosting its ownership to 641,308 shares, representing a 12.9% interest in Trimin.

On another front, Trimin’s new management team has come under scrutiny because more representatives are on board from its largest shareholder, the Equity group of companies. These directors were recently reported to be collecting large management fees for their services which will be paid out of Trimin’s treasury.

“Those reports are not true,” said Holland, who is also chief executive officer of the Equity companies. “There is a management contract for office space, staffing, and all related things for Trimin which will be provided for $20,000 per month. That includes everyone except Randy Turner and Brian Fraser.”

Turner and Fraser, as president and chairman respectively, constituted the former management team of Trimin which has since been expanded to include additional representatives from the Equity group.

Trimin recently announced plans to buy back two million of its issued and outstanding shares (T.N.M., Nov. 12/90). This was done in response to shareholders who urged the company to distribute the proceeds of the sale of the 32.9% interest in the Saskatchewan mineral project. The Equity group, which holds an approximate 25% interest, will not tender its shares to the offer.