Mining Journal reported that SRM Global Master Fund, which has launched a proxy battle to oust the board of directors at Canada's HudBay Minerals Inc, urged shareholders again on last Thursday to vote in favor of the slate of directors it has proposed. A win for the SRM slate would result in former Mr Peter Jones CEO of HudBay returning to take the company's reins.

SRM said in last Thursday's statement to shareholders that its nominees have articulated a clear strategy to restore market confidence in HudBay and to return the base metals miner to growth.

Advisory firm RiskMetrics Group has recommended that shareholders vote in favor of the SRM slate. But another proxy advisory firm, Glass Lewis & Company has recommended that shareholders reject the SRM slate, as it considers the removal of the entire board a drastic step and one that could potentially disturb the company's operations and hurt shareholder value.

HudBay said last month that its lenders refused to renew CAD 80 million credit facility citing uncertainty regarding the future of HudBay after SRM's move. The results of the shareholder vote will be announced on March 25th 2009. The cut off for voting is 10 AM on March 23rd 2009.

Mr Jones stepped down in January 2008, making way for Mr Allen Palmiere who left the job earlier this month after HudBay's attempt to take over rival Lundin Mining failed. The Lundin takeover bid deemed too pricey and dilutive by some shareholders, prompted SRM to launch the proxy fight. The takeover failed after the Ontario Securities Commission ruled that HudBay would have to get approval from its shareholders to issue the stock it was using to buy Lundin.

SRM holds 11% of HudBay, while Goodman & Company Investment Counsel, which also supports the SRM slate, holds just over 10%.

(Sourced from Mining Journal)