Eastern Goldfields Limited announced that it has successfully agreed a recapitalisation package with relevant stakeholders including institutional investors, participants in the upcoming placement, the Company's secured debt financier, Adaman Resources and trade creditors (the Recapitalisation), which will facilitate the future long-term growth of the Company. The Company proposed to restructure the board such that the board will be governed by a majority of independent, non-executive directors. It is proposed that the Company will make the following board and management changes following completion of the Placement: the appointment of Mr. Craig Bradshaw as the Managing Director of the Company; the continuation of Mr. Peter Mansell as the Chairman of the Company; the appointment of Mr. David Quinlivan, Mr. Keith Jones and Mr. Tony Patrizi as non-executive directors of the Company with the board actively looking for a sixth independent non-executive director; the resignation of Mr. Campbell Baird and Mr. Craig Readhead as directors of the Company; and the resignation of Mr. Victor Rajasooriar as Chief Executive Officer.

It is anticipated that the appointments of Mr. Bradshaw, Mr. Quinlivan and Mr. Jones, as well as the resignations of Mr. Baird and Mr. Readhead, will take effect from the date on which the Placement is completed. The appointment of Mr. Patrizi is expected to occur following the satisfaction of all the respective obligations of all parties under the settlement agreement between the Company and GR Engineering Services Limited.