TORONTO, April 17, 2014 /PRNewswire/ - Augusta
Resource Corporation (TSX and NYSE MKT: AZC) ("Augusta" or the
"Company") announced that Glass, Lewis & Co., a leading
independent proxy advisory firm, has recommended that shareholders
of Augusta vote for the continuation of Augusta's shareholder
rights plan in the face of the unsolicited offer for Augusta common
shares by HudBay Minerals Inc. at the shareholders meeting
scheduled for May 2, 2014.
"We are pleased that Glass, Lewis & Co. supports our
position that the shareholder rights plan should continue,"
commented Gil Clausen, Augusta's
President and CEO. "Our intention is to put the power of this
important decision in the hands of Augusta shareholders by giving
them the opportunity to vote on the rights plan on May 2, three days before the expiry of HudBay's
bid."
In its report, Glass Lewis & Co. states, "…we believe that
in a matter as important as a shareholder rights plan, shareholders
ought to have a say as to whether or not they support such a plan's
implementation…. Its potential impact on and relation to
shareholders is direct and substantial."
Glass, Lewis & Co. is a leading investment research and
global proxy advisory and voting services firm, serving
institutions that collectively manage more than $15 trillion. Glass Lewis helps institutional
investors make more informed proxy voting decisions by identifying
business, legal, governance and financial statement risk.
Founded in 2003, Glass Lewis is headquartered in San Francisco with offices in New York, Washington
D.C., Ireland and
Australia.
Vote For Continuation of Shareholder Rights
Plan
Shareholders are reminded to vote their proxy FOR the
continuation of the shareholder rights plan prior to the proxy
voting deadline of 10:30 a.m.
(Vancouver time) on April 30, 2014. For assistance in voting,
shareholders can contact Laurel Hill Advisory Group toll-free at
1-877-452-7184 or by email at assistance@laurelhill.com.
Shareholders are encouraged to review Augusta's management
information circular dated April 7,
2014, which provides a detailed discussion of the
continuation of the shareholder rights plan, a copy of which is
available on SEDAR at www.sedar.com and on Augusta's website at
www.augustaresource.com.
Reject HudBay's Offer – No Action Required
To REJECT
HudBay's offer no action is required on the part of shareholders.
The Board of Directors' recommendation that Augusta shareholders
REJECT HudBay's unsolicited offer and NOT TENDER their Augusta
shares thereto, as well as a more detailed discussion of the
reasons for rejecting HudBay's offer is set forth in the Directors'
Circular issued by the Board of Directors that was mailed to
Augusta's shareholders and filed with securities regulatory
authorities. Shareholders are advised to read the Directors'
Circular carefully and in its entirety, as it contains important
information regarding Augusta, HudBay and HudBay's offer. The
Directors' Circular is available on SEDAR at www.sedar.com and on
Augusta's website at www.augustaresource.com.
How to Withdraw
If you have already tendered your
Augusta shares to HudBay's offer, you can withdraw your shares by
contacting your broker or Laurel Hill Advisory Group, the
Information Agent retained by Augusta. Laurel Hill can be reached at 1-877-452-7184
(Toll Free within North America),
or by bank and brokers and collect calls outside North America at 416-304-0211 or via email at
assistance@laurelhill.com.
About Augusta
Augusta is a base metals company focused
on advancing the Rosemont Copper deposit near Tucson, Arizona. Rosemont hosts a large copper/molybdenum
reserve that would account for about 10% of U.S. copper output once
in production (for details refer to www.augustaresource.com).
The exceptional experience and strength of Augusta's management
team, combined with the developed infrastructure and robust
economics of the Rosemont project,
propels Augusta to becoming a solid mid-tier copper producer.
Augusta's shares are listed and posted for trading on the Toronto
Stock Exchange and the NYSE MKT under the symbol AZC.
Cautionary Statements Regarding Forward Looking
Information
Certain of the statements made and the
information contained in this news release constitutes
"forward-looking statements" under United
States federal securities laws or "forward-looking
information" under Canadian securities laws. These statements
and information relate to future events and Augusta's future
performance, business prospects or opportunities, including
information concerning the unsolicited offer of HudBay and the
strategic review process of Augusta, which are subject to certain
risks, uncertainties and assumptions. Such forward-looking
statements and forward-looking information include, but are not
limited to statements concerning Augusta's plans at the
Rosemont project, including the
timing for obtaining final permits, construction and estimated
production, expectations surrounding future financings and
refinancings, capital and operating cash flow estimates, changes in
market conditions, changes or disruptions in the securities markets
and market fluctuations in the prices for Augusta's securities, the
lack of any alternative transactions or the terms and conditions of
any alternative transactions not being acceptable.
Forward-looking statements or information is frequently, but not
always, characterized by words such as "will", "plan", "expect",
"project", "intend", "believe", "anticipate", "budget", "forecast",
"schedule", "estimate" and similar expressions, or statements that
certain events or conditions "may", "should", "could", "might" or
"will" occur. The forward-looking statements or information
contained in this news release is based on the reasonable
expectations and beliefs of management and involves numerous
assumptions, known and unknown risks and uncertainties, both
general and specific to Augusta and the industry in which the
Company operates. Such assumptions, risks and uncertainties
include, but are not limited to Augusta's history of losses,
requirements for additional capital, dilution, loss of material
properties, interest rate increases, global economy, no history of
production, speculative nature of exploration activities, periodic
interruptions to exploration, development and mining activities,
environmental hazards and liability, industrial accidents, failure
of processing and mining equipment, labour disputes, supply
problems, commodity price fluctuations, uncertainty of production
and cost estimates, the interpretation of drill results and the
estimation of mineral resources and reserves, legal and regulatory
proceedings and community actions, title and tenure matters,
regulatory restrictions, permitting and licensing, volatility of
the market price of the Company's common shares, insurance,
competition, hedging activities, currency fluctuations, loss of key
employees, as well as those factors disclosed in Augusta's
documents filed from time to time with the securities regulators in
the provinces of British Columbia,
Alberta, Saskatchewan, Manitoba, Ontario, New
Brunswick and Newfoundland
and Labrador. Should one or more of these risks and
uncertainties materialize, or should underlying assumptions prove
incorrect, actual results, performance or achievements of the
Company, or industry results, may vary materially from those
described in this presentation. For further details,
reference is made to the risk factors discussed or referred to in
Augusta's annual and interim management's discussion and analyses
and Annual Information Form on file with the Canadian securities
regulatory authorities and available under Augusta's issuer profile
on SEDAR at www.sedar.com.
Although Augusta has attempted to identify important factors
that could cause actual actions, events, results, performance or
achievements to differ materially from those described in the
forward-looking statements or information contained in this news
release, there may be other factors that cause actions, events,
results, performance or achievements not to be as anticipated,
estimated or intended. There can be no assurance that
forward-looking statements or information will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such statements. Such
forward-looking statements and information are made or given as at
the date of this news release and Augusta disclaims any intention
or obligation to update or revise any forward-looking statements or
information, whether as a result of new information, future events
or otherwise, except as required under applicable securities
law. The reader is cautioned not to place undue reliance on
forward-looking statements or information.
SOURCE Augusta Resource Corporation