The trading of Pembridge Resources’ shares (LON: PERE) came to a halt on Thursday after the embattled miner said the board had decided to place the firm into creditors’ voluntary liquidation.
The company, whose shares free fell this week on the ceasing of operations at its Minto mine in Canada’s Yukon Territory, said it had engaged insolvency advisers and will call a meeting as soon as possible to formally resolve the company’s voluntary wind up.
The suspension of the Minto copper-gold-silver mine, left Minto Metals (TSX-V: MNTO), in which Pembridge has a 11.2% stake, unable to repay Pembridge about C$2 million ($1.5m) it had borrowed to double water treatment capacity at the operations’ two plants.
The Yukon Government has assumed care and control of the mine site, located within the Selkirk First Nation’s Territory.
Minto Metals also requested for the trading of its shares in Canada to be suspended on Monday. The board’s six members along with two vice-presidents resigned the next day.
The Minto mine had been in operation since 2007 and employed about 180 people.
Pembridge shares closed at 0.23 pence each on Wednesday, prior to their suspension on Thursday morning, and had lost almost 89% of their value year to date.
