PROSPECTOR METALS CORP.
2024
ANNUAL GENERAL MEETING
Place:
Time:
Date:
Notice of Annual General Meeting of Shareholders
Information Circular
Offices of Prospector Metals Corp., Suite
1012-1030 West Georgia St., Vancouver,
BC V6E 2Y3
11:00 a.m. PST
Thursday, May 23, 2024
PROSPECTOR METALS CORP.
CORPORATE DATA
Head Office
Suite 1020-800 West Pender Street Vancouver, BC V6C 2V6
Directors and Officers
Robert Carpenter, President, CEO, Director,
Co-Chairman
Alex Heath, CFO, Director
Craig Roberts, Director, Co-Chairman
Andrew Rockandel, Director
Ian Parkinson, Director
Danica Topolewski, Corporate Secretary
Joanne Price, VP Exploration
Registrar & Transfer Agent
TSX Trust Company
Suite 2310, 733 Seymour Street
Vancouver, BC V6B 0S6
Solicitors
Farris LLP
700 West Georgia St., 25th Floor
Vancouver, BC V7Y 1B3
Auditors
Davidson & Company LLP
1200-609 Granville Street
Vancouver, BC V7Y 1G6
Listing
TSX Venture Exchange
Tier 2: PPP
OTCQB: PMCOF
FRANKFURT: 1ET0.F
PROSPECTOR METALS CORP.
SUITE 1020, 800 WEST PENDER STREET
VANCOUVER, BC V6C 2V6
INFORMATION CIRCULAR
(as at April 12, 2024, unless indicated otherwise)
SOLICITATION OF PROXIES
This Information Circular and the accompanying documents (the "Meeting Materials") are furnished in connection with the solicitation of proxies by the management of Prospector Metals Corp. (the "Company") for use at the Annual General Meeting of Shareholders of the Company to be held on Thursday, May 23, 2024 (the "Meeting") and any adjournment thereof at the time and place and for the purposes set forth in the accompanying Notice of Meeting. While it is expected that the solicitation will be primarily by mail, proxies may be solicited personally or by telephone by the directors and regular employees of the Company. All costs of solicitation will be borne by the Company.
APPOINTMENT AND REVOCATION OF PROXIES
The individuals named in the accompanying form of proxy are directors and/or officers of the Company. A
SHAREHOLDER WISHING TO APPOINT SOME OTHER PERSON (WHO NEED NOT BE A SHAREHOLDER) TO REPRESENT HIM OR HER AT THE MEETING HAS THE RIGHT TO DO SO, EITHER BY INSERTING SUCH PERSON'S NAME IN THE BLANK SPACE PROVIDED IN THE FORM OF PROXY AND STRIKING OUT THE TWO PRINTED NAMES OR BY COMPLETING ANOTHER FORM OF PROXY. To be valid, a proxy must be in writing and executed by the shareholder or its attorney authorized in writing, unless the shareholder chooses to complete the proxy by the internet as described in the enclosed proxy form. Completed proxies must be received by TSX Trust Company, Proxy Department, 100 Adelaide Street West, Suite 301, Toronto, ON M5H 4H1 (fax: 416.595.9593), before Tuesday, May 21, 2024 at 11:00 a.m. PST, or, at the discretion of the Chairman of the Meeting, delivered to the Chairman of the Meeting prior to the commencement of the Meeting or prior to any re-commencementof the Meeting after an adjournment.
A shareholder who has given a proxy may revoke it by an instrument in writing executed by the shareholder or by his or her attorney authorized in writing or, where the shareholder is a corporation, by a duly authorized officer or attorney of the corporation, and delivered either to the Company or the registered office of the Company, 700 West Georgia St., 25th Floor, Vancouver, BC, V7Y 1B3, at any time up to and including the last business day preceding the day of the Meeting, or if adjourned, any reconvening thereof, or to the Chairman of the Meeting on the day of the Meeting or, if adjourned, any reconvening thereof or in any other manner provided by law. A revocation of a proxy does not affect any matter on which a vote has been taken prior to the revocation.
INFORMATION FOR BENEFICIAL HOLDERS OF SHARES
The shares owned by many shareholders of the Company are not registered on the records of the Company in the shareholders' own names, but in the name of a securities dealer, bank or other intermediary, or in the name of a clearing agency (referred to in this Information Circular as an "intermediary" or "intermediaries"). Shareholders who do not hold their shares in their own names (referred to in this Information Circular as "beneficial holders") should note that only registered shareholders may vote at the Meeting. A beneficial holder cannot be recognized at the Meeting for the purpose of voting his or her shares unless he is appointed by the intermediary as a proxyholder.
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Applicable regulatory policy requires intermediaries to seek voting instructions from beneficial shareholders. Every intermediary has its own procedures to seek those instructions. Beneficial shareholders should follow those procedures carefully to ensure that their shares are voted at the Meeting.
The majority of brokers in Canada have delegated authority for obtaining instructions from clients to Broadridge Investor Communication Solutions, Canada ("Broadridge"). Broadridge typically applies a special sticker to the proxy forms, or alternatively, prepares a separate "voting instruction" form, mails those forms to beneficial holders, and asks beneficial holders to return the proxy or voting instruction forms to Broadridge. Broadridge then tabulates the results of all instructions received and provides appropriate instructions for voting at the Meeting. A beneficial holder who receives a proxy bearing a Broadridge sticker or a voting instruction form cannot deposit that proxy or form on the Meeting date to vote common shares at the Meeting. The proxy or form must be returned to Broadridge in advance of the Meeting in order to allow the shares to be voted by the named proxyholder at the Meeting.
In addition to those procedures, National Instrument 54-101 - Communication with Beneficial Owners of Securities of a Reporting Issuer ("NI 54-101") allows a non-objecting beneficial holder ("NOBO") to submit to the Company or an applicable intermediary any document in writing that requests that such NOBO or its nominee be appointed as the NOBO's proxyholder. If such a request is received, the Company or the intermediary, as applicable, must arrange, without expense to the NOBO, to appoint such NOBO or its nominee as a proxyholder and to deposit that proxy within the time specified in this Information Circular, provided that the Company or the intermediary receives such written instructions at least one business day prior to the time at which proxies are to be submitted for use at the Meeting; accordingly, any such request must be received by 11:00 a.m. PST on Tuesday, May 21, 2024.
An objecting beneficial owner ("OBO") is a beneficial holder who has provided instructions to an intermediary holding common shares in an account on behalf of the OBO that the OBO objects to the intermediary disclosing the OBO's name, address and share ownership information to the Company to allow the Company to send shareholder materials to the OBO. The Company does not intend to pay for intermediaries to forward to OBOs under NI 54-101 the proxy-related materials and Form 54-101F7 - Request for Voting Instructions Made by Intermediary, and an OBO will not receive those materials unless the OBO's intermediary assumes the cost of delivery.
IF YOU ARE A BENEFICIAL SHAREHOLDER AND WISH TO VOTE IN PERSON AT THE MEETING, PLEASE CONTACT YOUR BROKER OR AGENT WELL IN ADVANCE OF THE MEETING TO DETERMINE HOW YOU CAN DO SO.
EXERCISE OF DISCRETION
Shares represented by proxy are entitled to be voted on a show of hands or any poll and, where a choice with respect to any matter to be acted upon has been specified in the form of proxy, the shares will be voted or withheld from voting in accordance with the specification so made.
SUCH SHARES WILL BE VOTED FOR EACH MATTER FOR WHICH NO CHOICE HAS BEEN SPECIFIED BY THE SHAREHOLDER.
The enclosed form of proxy when properly completed and delivered and not revoked confers discretionary authority upon the person appointed proxy thereunder to vote with respect to amendments or variations of matters identified in the Notice of Meeting, and with respect to other matters which may properly come before the Meeting. In the event that amendments or variations to matters identified in the Notice of Meeting are properly brought before the Meeting or any further or other business is properly brought before the Meeting, it is the intention of the persons designated in the enclosed form of proxy to vote in accordance with their best judgment on such matters or business. At the time of the printing of this Information Circular, the management of the Company knows of no such amendment, variation or other matter which may be presented to the Meeting.
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INTEREST OF CERTAIN PERSONS OR COMPANIES IN MATTERS TO BE ACTED UPON
Other than as set forth herein, management of the Company is not aware of any material interest, direct or indirect, by way of beneficial ownership of securities or otherwise, of any person who has been a director or executive officer of the Company since the commencement of the Company's last completed financial year, or of any proposed nominee for election as a director of the Company, or of any associate or affiliate of any of such persons, in any manner to be acted upon at the Meeting other than the election of directors or the appointment of auditors.
VOTING SECURITIES AND PRINCIPAL HOLDERS THEREOF
As at April 12, 2024, the Company has issued and outstanding 47,133,887 fully paid and non-assessable common shares, each share carrying the right to one vote. THE COMPANY HAS NO OTHER CLASSES
OF VOTING SECURITIES.
Any shareholder of record at the close of business on April 12, 2024 who either personally attends the Meeting or who has completed and delivered a form of proxy in the manner and subject to the provisions described above shall be entitled to vote or to have his or her shares voted at the Meeting.
To the knowledge of the directors and executive officers of the Company, only the following persons or companies beneficially own, or control or direct, directly or indirectly, shares carrying 10% or more of the voting rights attached to all outstanding shares of the Company:
Number of Common | Percentage of Issued | |
Shareholder Name(*) | Shares Held(*) | Common Shares |
Troilus Gold Corp.. | 9,222,164 | 19.56% |
Note:
- The above information has been furnished by the Company and from early warning reports available onwww.sedarplus.ca.
ELECTION OF DIRECTORS
The board of directors of the Company (the "Board") presently consists of five directors and it is intended to elect four directors for the ensuing year. The term of office of each of the present directors expires at the Meeting. At the Meeting, management intends to nominate for re-election incumbent directors Robert Carpenter, Craig Roberts, Andrew Rockandel and Ian Parkinson.
The persons named below will be presented for election at the Meeting as management's nominees and the persons named in the accompanying form of proxy intend to vote for the election of these nominees. Management does not contemplate that any of these nominees will be unable to serve as a director. Each director elected will hold office until the next annual general meeting of the Company or until his successor is elected or appointed, unless his office is earlier vacated in accordance with the Articles of the Company (the "Articles"), or with the provisions of the Business Corporations Act (British Columbia) (the "Act").
The members of the Audit Committee of the Company will be Robert Carpenter (Chair), Andrew Rockandel and Ian Parkinson, the members of the Compensation Committee of the Company will be Craig Roberts (Chair), Ian Parkinson and Andrew Rockandel, the members of the Corporate Governance Committee of the Company will be Craig Roberts (Chair), Ian Parkinson and Robert Carpenter and the members of the Disclosure Committee will be Robert Carpenter (Chair), Andrew Rockandel and Craig Roberts.
The following table sets out the names of the nominees for election as directors, the province or state and the country in which each is ordinarily resident, all offices of the Company now held by each of them, their principal occupations, the period of time for which each has been a director of the Company, and the
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number of common shares of the Company beneficially owned by each, or controlled or directed, directly or indirectly, as at the date hereof.
Name, Position, | |||
Province/State and | Principal Occupation or | Period as a Director | No. of |
Country of Residence(1)(2) | Employment(1) | of the Company | Shares(1) |
ROBERT CARPENTER | CEO, President, Director and | March 2, 2022(3) to | 2,366,497 |
Director, Co-Chairman | co-chairman of the Company. | date | |
Resident of Ontario, Canada | Self employed professional | ||
geologist. | |||
CRAIG ROBERTS | Director and co-chairman of the | May 12, 2016(4) to | 1,561,956(5) |
Director, Co-Chairman | Company. President and | date | |
Resident of BC, Canada | beneficial owner of Flotsam | ||
Cove Holdings Ltd., a corporate | |||
finance consulting firm. | |||
ANDREW ROCKANDEL | Director of the Company. | January 2, 2024(6) to | 68,318 |
Director | Businessperson. | date | |
Resident of BC, Canada | |||
IAN PARKINSON | Director of the Company. CEO | March 11, 2024(7) to | 157,575 |
Director | of Halcones Precious Metals | date | |
Resident of Ontario, Canada | and Executive Vice President | ||
Corporate Development for | |||
Emerita Resources. |
Notes:
- The information as to province/state and country of residence, principal occupation and shares beneficially owned is not within the knowledge of the management of the Company and has been furnished by the respective nominees.
- None of the proposed nominees for election as a director is to be elected under any arrangement or understanding between the proposed director and any other person or company, except the directors and executive officers of the company acting solely in such capacity.
- Mr. Carpenter was appointed as a director on March 2, 2022 and President & CEO on September 14, 2023.
- Mr. Roberts was appointed a director on May 12, 2016, President and Chief Executive Officer on February 13, 2018 and resigned as President on November 5, 2020 and resigned as CEO on May 20, 2021.
- 196,611 of these shares are owned by Flotsam Cove Holdings Ltd., a private company wholly owned and controlled by Mr. Roberts.
- Mr. Rockandel was appointed as a director on January 2, 2024.
- Mr. Parkinson was appointed as a director on March 11, 2024.
Orders and Bankruptcies
None of the proposed nominees for election as a director of the Company:
- is, as at the date of this Information Circular, or has been, within ten years before the date of this Information Circular, a director, chief executive officer or chief financial officer of any company (including the Company) that:
- was subject to a cease trade order or similar order or an order that denied the relevant company access to any exemption under securities legislation, which order was in effect for a period of more than 30 consecutive days (an "Order") that was issued while the proposed director was acting in the capacity as director, chief executive officer or chief financial officer; or
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- was subject to an Order that was issued after the proposed director ceased to be a director, chief executive officer or chief financial officer and which resulted from an event that occurred while that person was acting in the capacity as director, chief executive officer or chief financial officer,
- is, as at the date of this Information Circular, or has been, within ten years before the date of this Information Circular, a director or executive officer of any company (including the Company) that, while that person was acting in that capacity, or within a year of that person ceasing to act in that capacity, became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver manager or trustee appointed to hold its assets; or
- has, within the ten years before the date of this Information Circular, become bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency, or become subject to or instituted any proceedings, arrangement or compromise with creditors, or had a receiver, receiver manager or trustee appointed to hold the assets of the proposed director.
Penalties and Sanctions
None of the proposed nominees for election as a director of the Company have been subject to: any penalties or sanctions imposed by a court relating to securities legislation or by a securities regulatory authority or has entered into a settlement agreement with a securities regulatory authority; or any other penalties or sanctions imposed by a court or regulatory body that would likely be considered important to a reasonable securityholder in deciding whether to vote for a proposed director.
STATEMENT OF CORPORATE GOVERNANCE PRACTICES
Corporate governance relates to the activities of the Board, the members of which are elected by and are accountable to the Company's shareholders and takes into account the role of the individual members of management who are appointed by the Board and who are charged with the day-to-day management of the Company. The Company believes that its corporate governance practices ensure that the business and affairs of the Company are effectively managed so as to enhance shareholder value.
The Company has reviewed its own corporate governance practices in light of the guidelines contained in National Policy 58-201 - Corporate Governance Guidelines. The Company's practices comply generally with the guidelines; however, the Board considers that some of the guidelines are not suitable for the Company at its current stage of development and therefore those guidelines have not been adopted. Set out below is a description of the Company's corporate governance practices as required by National Instrument 58-101 - Disclosure of Corporate Governance Practices.
Board of Directors
Pursuant to National Instrument 52-110 - Audit Committees ("NI 52-110"), a director is independent if the director has no direct or indirect relationship with the issuer which could, in the view of the issuer's board of directors, be reasonably expected to interfere with the exercise of a member's independent judgment. Certain directors are deemed to have a material relationship with the Company by virtue of their position or relationship with the Company. The Board will be comprised of four members, the following two of whom are independent under NI 52-110: Andrew Rockandel and Ian Parkinson.
The Company is relying on the exemption which provides that the Company, as a venture issuer, is not required to comply with Part 3 (Composition of the Audit Committee) and Part 5 (Reporting Obligations) of NI 52-110.
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Directorships
The following table sets out details of directorships held by each of the proposed directors of the Company in other public issuers:
Name of Director | Name of Issuer |
Craig Roberts | Global Battery Metals Ltd. - TSXV |
CopperCorp Resources Inc. - TSXV | |
Nevada King Gold Corp. - TSXV | |
Ian Parkinson | Halcones Precious Metals Corp. - TSXV |
Orientation and Continuing Education
The Company does not have a formal orientation and continuing education program. When a new director is added, he or she will be given the opportunity to become familiar with the Company by meeting with the other directors and with the officers and representatives of the Company. It is the personal responsibility and duty of each director to become familiar with the operations and policies of the Company and to monitor the same as they may change over time.
Ethical Business Conduct
The Board has found that the fiduciary duties placed on the individual directors by the governing corporate legislation and the common law and the restrictions placed by applicable corporate legislation on an individual director's participation in decisions of the Board in which the director has an interest have been sufficient to ensure that the Board operates independently of management and in the best interests of the Company.
Nomination of Directors
The directors of the Company have not appointed a nominating committee. Rather, the directors of the Company as a whole are responsible for identifying and recommending new candidates, having regard to the appropriate number of directors of the Company and the necessary competencies and skills of the directors as a whole and of each director individually. New nominees should have a track record in general business management, special expertise in areas of strategic interest to the Company and the ability to devote the time required.
Compensation
A Compensation Committee has been established by the directors of the Company, the members of which will be Craig Roberts (Chair), Andrew Rockandel and Ian Parkinson. The Compensation Committee of the Board operates under a written charter that sets out its responsibilities. The charter for the Compensation Committee of the Board was filed on SEDAR+ June 8, 2022 as Appendix 1 under the 2022 Annual General and Special Meeting Information Circular.
Other Board Committees
The Board has established a Corporate Governance Committee, the members of which will be Craig Roberts (Chair), Robert Carpenter and Ian Parkinson.
The Corporate Governance Committee was formed to oversee the development and regularly assess the Company's approach to corporate governance issues and to ensure that such approach supports the effective functioning of the Company with the shareholders' best interests in mind, as well as to foresee the effective communication between the Board and Company management. The Corporate Governance Committee may also recommend to the Board candidates for appointment to the Board.
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The Company also has a Disclosure Committee to oversee the Company's public disclosure, the members of which will be Robert Carpenter (Chair), Craig Roberts and Andrew Rockandel.
Assessments
The Board does not conduct any formal evaluation of the performance and effectiveness of individual directors, the Board as a whole or any committee of the Board. However, from time to time, the members of the Board may meet to review the effectiveness of the Board as a whole, as well as the effectiveness of its committees and may discuss if it would be in the best interests of the Company and its shareholders to have any reorganization take place.
AUDIT COMMITTEE
Audit Committee's Charter
The text of the Company's Audit Committee Charter is attached as Appendix 1 to this Information Circular.
Composition of the Audit Committee
The members of the Audit Committee will be Robert Carpenter (Chair), Andrew Rockandel and Ian Parkinson. Each of the current and proposed members of the Audit Committee is independent with the exception of Robert Carpenter who is not considered independent as he is the President and Chief Executive Officer of the Company. Each member is financially literate within the meaning of Section 1.5 of NI 52-110 in that he has the ability to read and understand a set of financial statements that present a breadth and level of complexity of accounting issues that are generally comparable to the breadth and complexity of the issues that can reasonably be expected to be raised by the Company's financial statements.
Audit Committee Oversight
At no time since the commencement of the Company's two most recently completed financial years did the Board decline to adopt a recommendation of the audit committee to nominate or compensate an external auditor.
Relevant Education and Experience
All of the Audit Committee members are businesspersons with experience in financial matters and each has a broad understanding of accounting principles used to prepare financial statements and varied experience as to the general application of such accounting principles. In addition, each of the members of the Audit Committee has knowledge of the role of an audit committee in the realm of reporting companies from their respective years of experience as directors.
Robert Carpenter (Chair)
Mr. Carpenter is a self-employed professional geologist with over 30 years of corporate and technical mineral exploration experience for junior and major mining companies. Mr. Carpenter's experience has provided him with an understanding of financial reporting sufficient to enable him to act as a member of the Audit Committee. Mr. Carpenter holds a Ph.D. from Western University, London, Ontario.
Ian Parkinson
Mr. Parkinson spent 16-years as a sell-side mining analyst for a series of leading Bay Street brokerage firms. Previous to that, Mr. Parkinson spent 10 years with Falconbridge and Noranda (now Glencore) gaining broad experience across the mining business including geology, metals marketing and business
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development. Mr. Parkinson is currently the CEO of Halcones Precious Metals and Executive Vice President Corporate Development for Emerita Resources and is a graduate of Laurentian University in Sudbury, ON. Mr. Parkinson's experience provides him with an understanding of financial reporting sufficient to enable him to act as a member of the Audit Committee.
Andrew Rockandel
Mr. Rockandel is an accomplished entrepreneur whose four decades of business experience span mineral resources, renewable energy, forestry, and specialized chemicals. Involved in the junior mining market for over 25 years, he has helped found multiple junior companies, bringing together management teams, assets, and financing. Mr. Rockandel's experience provides him with an understanding of financial reporting sufficient to enable him to act as a member of the Audit Committee.
The Audit Committee intends to meet four times a year to review the quarterly and annual audited financial statements.
Reliance on Certain Exemptions
At no time since the commencement of the Company's two most recently completed financial years has the Company relied on an exemption under section 2.4, 6.1.1(4), (5) or (6), or granted under Part 8 of NI 52-110.
Pre-Approval Policies and Procedures
As at the date of this Information Circular, the Audit Committee has not adopted any specific policies or procedures for the engagement of non-audit services.
External Auditor Service Fees
Audit-Related Fees
The aggregate fees billed by the Company's external auditor in each of the last two fiscal years for additional services related to the performance of the audit or review of the Company's financial statements were $48,079.50 for the fiscal year ended December 31, 2022 and $49,161.75 for the fiscal year ended December 31, 2023.
Tax Fees
The aggregate fees billed in each of the last two fiscal years for professional services rendered by the Company's external auditor for tax compliance, tax advice and tax planning were $nil for the fiscal year ended December 31, 2022 and $nil for the fiscal year ended December 31, 2023. These professional services relate to the preparation of the Company's T-2 corporate income tax return and the General Index of Financial Information required by the CRA.
All Other Fees
During the fiscal years ended December 31, 2022 and December 31, 2023, there were no other fees billed by the external auditors.
Exemption for Venture Issuers
As a venture issuer, the Company is exempt from the provisions of NI 52-110 that would otherwise require its audit committee to be constituted in accordance with Part 3 of NI 52-110, and the Company to provide comprehensive disclosure about the members of its audit committee.
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Disclaimer
Prospector Metals Corp. published this content on 26 April 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 26 April 2024 22:33:29 UTC.