re: Ann: SRE: Monarch creditors accept Stirli... status of the...

re: Ann: SRE: Monarch creditors accept Stirli... status of the restructuring
and recapitalisation of
Monarch
The proposed Recapitalisation Deed
with Stirling Resources Limited (ACN
009 659 054) and Stirling Gold Pty Ltd
(ACN 134 037 513) (collectively “Stirling”)
was approved by the creditors of each
of the companies in the Monarch
Group at meetings held on 30 June
2009.
The Recapitalisation Deed will see a
cash injection of approximately $15M
invested into the Monarch Group if
shareholders approve the transaction.
Stirling expects to be in a position to
recommence operations at both the Mt
Ida and Davyhurst operations within
12 months. Stirling has commissioned
independent expert advice which
indicates these operations will be
profitable and cash flow positive at
current gold prices.
Deed Administrator’s Update to Shareholders
Shareholder Approval
It is anticipated a shareholders’
meeting will be convened in early to
mid September 2009 to consider the
proposed share restructure under the
Recapitalisation Deed. Approval from
shareholders is a pre-requisite to the
completion of the deal. If the requisite
approval is gained, it is anticipated
settlement will occur in September
2009 and the Company will be
re-listed on the ASX as soon as possible
thereafter.
Full information about the transaction
will be forwarded to shareholders with
a notice of meeting. Shareholders
should expect to receive this
information and the notice of meeting
within the next 6 weeks