Bralorne Gold Mines allegedly breached mining rules: BCSC

The BCSC said that the company, CEO Wilhelmus Kocken and president and COO Matthew Ball disclosed the result of an economic analysis that was based on targets for future exploration.

The notice states that:

• on October 17, 2012, Bralorne announced the results of a Preliminary Economic Assessment. In a news release, which was signed by Kocken and approved by Ball, the company presented the results of a Speculative Economic Assessment;
• on the same day, the company was instructed by the Investment Industry Regulatory Organization to issue a news release retracting the Speculative Economic Assessment, because it was not based on current resource estimates;
• later that day, Kocken signed a news release containing the retraction;
• on October 18, 2012, the company filed a technical report on SEDAR (the online database that provides access to documents and information filed by public companies) that, despite the retraction, included the Speculative Economic Assessment; and
• on or before November 1, 2012, Bralorne posted a copy of the technical report and a corporate presentation and fact sheet that referenced the Speculative Economic Assessment.

The BCSC said that “by disclosing the results of an economic analysis that included or was based on a target for further exploration, Kocken, Ball and Bralorne breached Canadian mining rules.”

These allegations have not been proven. A hearing is tentatively scheduled for May 28.

By Emma Crawford