Voluntary administrators have been appointed to to Gascoyne Resources Ltd.
An expected cash flow shortfall over the next six months, caused by lower-than-expected ore grades at its flagship Dalgaranga gold project in Western Australia, forced the miner's directors to appoint Michael Ryan, Kathryn Warwick and Ian Francis of FTI Consulting as administrators.
The administrators intend to operate Gascoyne on a business-as-usual basis while recapitalization options are explored. The first meeting with the miner's creditors is expected to take place June 13.
Meanwhile, Nonexecutive Chairman Sally-Anne Layman and nonexecutive director Mark Le Messurier both vacated their seats on Gascoyne's board. CEO Richard Hay and CFO Mike Ball both resigned.