NEMI receives support from Riskmetrics for incumbent board
Vancouver, BC, March 23, 2009 –NEMI Northern Energy & Mining Inc. (TSX: NNE-A) announced today that Riskmetrics Group, an independent proxy advisor, has recommended to its institutional clients that they support the incumbent NEMI board rather than a dissident slate.
Riskmetrics, in its report, concluded, “The dissident has failed to provide sufficient justification to warrant the wholesale removal of the current board. The dissident has also failed to provide a detailed business plan in support of such removal. Furthermore, election of the dissident slate has the potential to cause the sale of the company’s major asset. Therefore support for the incumbent board is warranted.”
Among other things, Riskmetrics said it disagrees with the dissident’s claim that the board is controlled by Cambrian Mining plc, which indirectly owns 20.67% of NEMI. Riskmetrics determined that only one of the five incumbent candidates, John Byrne, is related to Cambrian. Riskmetrics added, “We believe NEMI shareholders’ interests are adequately protected.”
Riskmetrics also commented that in the event the dissidents win, the potential consequence of a forced sale of the company’s major asset “could be detrimental to the company and have a substantially negative impact on shareholder value.”
As part of its report, Riskmetrics recommended withholding votes for one incumbent director, David Austin. The withhold recommendation for Mr. Austin is on the basis that he is a former chief executive officer of NEMI and a member of the compensation committee. NEMI is committed to improved standards of corporate governance and will address this matter at the earliest opportunity after the Annual and Special Meeting.
Voting your White Proxy
NEMI shareholders are asked to complete and return the WHITE proxy to re-elect the incumbent board and protect their investment in NEMI. Your vote is important, no matter how many or few shares you own. Please vote the WHITE proxy today. Proxies should be completed in accordance with the instructions provided.
Your WHITE proxy should be returned prior to 10:00 am Vancouver time (being 1:00 pm Toronto time) on Thursday, March 26, 2009 in order to be deposited with the Company in time to be used at the Annual and Special General Meeting on March 30, 2009.
Cautionary Statement Regarding Forward-Looking Information.
All statements, trend analysis and other information contained in this press release relative to markets about anticipated future events or results constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as “seek”, “anticipate”, “believe”, “plan”, “estimate”, “expect” and “intend” and statements that an event or result “may”, “will”, “should”, “could” or “might” occur or be achieved and other similar expressions. Forward-looking statements are subject to business and economic risks and uncertainties and other factors that could cause actual results of operations to differ materially from those contained in the forward-looking statements. Forward-looking statements are based on estimates and opinions of management at the date the statements are made. The Company does not undertake any obligation to update forward-looking statements even if circumstances or management’s estimates or opinions should change. Investors should not place undue reliance on forward-looking statements.
For more information please contact:
Patrick Devlin
President and Chief Executive Officer
Tel: (604) 616-1954
Or:
Laurel Hill Advisory Group
North American toll-free 1-888-812-9184