Volt Resources Ltd (ASX:VRC) has restructured its board and taken steps to conserve cash as it moves towards securing the funding for Stage 1 development of the Bunyu Graphite Project in Tanzania.
The company’s current chief executive officer Trevor Matthews has been appointed as managing director commencing today.
Chairman Asimwe Kabunga said: “The board is pleased that Trevor has accepted the Managing Director role and we look forward to the continuation of our development funding efforts.
“The company structure will continue to be reviewed taking into account our development funding status and the broader macro-economic factors as a result of the global pandemic.”
Non-executive director resigns
In another board change, non-executive director Stephen Hunt has resigned.
Kabunga added: “Stephen has been a significant contributor to Volt’s success in his earlier role as Executive Chairman and later as a Non-executive Director.
“His marketing experience and commitment to the Bunyu graphite project were instrumental in the company now advancing with its project development funding process.
“On behalf of the Volt board we wish Stephen success with his future endeavours.”
Director fees reduced
Combined with the board changes, director fees will be reduced effective May 1 2020 with the chairman fee reduced to $3,000 per month and the non-executive director fee reduced to $2,000 per month.
The managing director will be engaged under a consultancy agreement and will be paid a fixed monthly fee of $3,000 per month with incremental services charged at an hourly rate of $200 per hour.
Expenditure reduction
Over the past 12 months Volt has implemented a number of changes to reduce its cost structure including:
- Moving from a commercial office lease to a serviced office combined with remote working
- capability including the use of video conferencing since April 2019;
- The retrenchment of most Perth staff with services outsourced and a reduction in Tanzanian personnel during January and early February 2020;
- Reduced use of consultants for various corporate and administration activities.