Dive Brief:
- Phoenix Copper Limited fired its executive chairman, Marcus Edwards-Jones, and CFO, Richard Wilkins, over misconduct involving financial transactions, the London-based mining company said Monday.
- An internal investigation confirmed that about $1.8 million in payments were made between 2016 and 2025 to Lloyd Edwards-Jones S.A.S., a corporate finance advisory firm owned by Edwards-Jones, without the knowledge or approval of Phoenix’s board, the company said in a public notice, adding that Wilkins shared in the proceeds.
- Following the probe, the board decided to terminate Edwards-Jones and Wilkins “with immediate effect,” according to the notice. The company previously said it was suspending the two executives and putting “interim financial oversight arrangements” in place while investigating the matter.
Dive Insight:
Phoenix is focused on exploring and producing base and precious metals in the U.S., with its flagship asset being the Empire Mine in Idaho, where it holds an 80% stake. The company is listed on London’s Alternative Investment Market, a stock exchange for smaller or growth-stage companies.
The alleged payments to Lloyd Edwards-Jones constituted “related party transactions” under AIM Rule 13 and, therefore, should have been previously disclosed to the other board directors, according to Phoenix.
The company’s probe also uncovered unauthorized payments, totaling about £0.61 million (about $818,000 USD) — some of which were made without board knowledge or approval to “an intermediary in connection with bond financing,” the notice said. Other payments were made “expressly against the direction of the board,” it said.
Phoenix said it is seeking to recoup the unauthorized payments, with the cooperation of Edwards-Jones and Wilkins.
Following the investigation, Phoenix’s board appointed Catherine Evans, independent non-executive director and chair of the audit committee, to serve as interim non-executive chair.
The company said further updates will be made regarding the appointment of a permanent chair “in due course.”
In the meantime, Evans is working closely with CEO Ryan McDermott, advisory board members and external advisers “to mitigate any impact to the company, strengthen governance procedures and financial controls and ensure relationships with investors, brokers, suppliers and all other counterparties and stakeholders suffer no disruption,” the notice said.
A previously announced interim CFO will help “ensure financial continuity and manage the completion of the audit process for the year ended 31 December 2025,” Phoenix said. The company did not immediately respond to a request for further details.
Edwards-Jones and Wilkins could not immediately be reached for comment.
