Letter to the Editor Reader seeks Maybrun information

The Northern Miner has enjoyed a long-established reputation as a perceptive and informative publication, reporting activities within the Canadian mining industry. There is, however, an investigative side of good journalism which has been overlooked by your editorial staff concerning Maybrun Mines.

In recent years, many readers have written, concerned with the status of the company. Your replies presented only a skeletal accounting of company assets, and a meagre review of corporate developments spanning the last few years. Research provides only a vague history of the company, although it may resemble the following:

* In the early 1970s the company was listed on the TSE but was voluntarily delisted due to a dispute between the OSC and J. P. Sheridan, who had taken over control. On the cover of an annual report during this period may have been depicted a caricature of a militant Mr Sheridan pitted against the bureaucratic establishment (incidentally, this may well have been the last annual report received by shareholders from their missing hero).

* Maybrun’s major asset was the barely profitable copper-nickel-gold deposit near Kenora, Ont. Transport and energy costs were high. A road was needed to the property and energy costs reduced. With falling metals prices on the horizon, the operation was discontinued and the mine mothballed (circa 1976).

* There is no further report from the company until the early 1980s when it emerges in a takeover battle of then little-known (or appreciated) Zenmac Mines. Anyox and Maybrun Mines (companies in the Sheridan stable and controlled by him) gain control of Zenmac from A. J. Lewis. Zenmac’s main asset is the prized Winston Lake discovery of which it maintains a 20% net working interest with Corporation Falconbridge Copper.

* Later, both Anyox and Maybrun accumulate a larger holding of Zenmac to approximately 130,000 shares each. At this time Maybrun reportedly changes its name to Consolidated Maybrun Mines and consolidates its shares on a 1-for-10 basis (to my knowledge, this is not approved or reported to shareholders). It has now been eight years (approximately) since the last annual report.

* Maybrun and Anyox acquire an interest in Dubenski Mines (Alberta Stock Exchange) with holdings in a gold prospect next to the Canadian Arrow deposit near Kenora, Ont. Also, an interest is taken in Chibougamau Copper Mines (approximately 37%) with its main asset a copper-gold prospect adjacent to Falco Copper’s Opemiska mine in Levy Twp., Que. Anyox is listed on the ASE. A staking rush in the Kenora area leaves Maybrun with additional claims adjacent to its original mine.

* Zenmac changes its name to Zenmac Zinc and a stock split is approved on a 3-for-1 basis. The Winston Lake mine is now being brought into production.

* Anyox and Zenmac take over Madeleine Mines. Madeleine (what kind of a name is this?) controls the promising Lac des Isles platinum deposit north of Thunder Bay. It is listed on the TSE. It is now almost 11 years since shareholders of Maybrun Mines (or Cons. Maybrun) have received an annual report.

* Shareholders of Maybrun Mines have been held in complete disregard by Mr Sheridan. A few questions should be answered and accounted for.

What are the assets of Maybrun Mines? What is the financial position of the company? How many shares are outstanding? Why was a cease trading order issued against Maybrun in late 1986? Why did not Maybrun and only Anyox and Zenmac acquire interest in Madeleine Mines?

When will Mr Sheridan reveal the now mysterious annual report and shed the veil of intrigue?

Why doesn’t the Ontario Securities Commission do something with this situation?

It is the right of a shareholder to assess his/her investment in the mining sector and the obligation of the company and its management to supply one and all.

It could be your responsibility as a journalist, Mr Editor, to represent the information-starved shareholders in their cause. Something must be done. K. Kriese Lisle, Ont.