Johannesburg — FIRST Uranium has announced the departure of CE Gordon Miller, who will be replaced by Simmer & Jack CE Deon van der Mescht as part of steps being taken by Simmers to rescue its troubled associate company.

Simmers, which owns 37,24% of First Uranium, said yesterday that its former business development executive, Nico Schoeman, would take the reins at Simmers.

The management changes are part of the changes being driven by the new Simmers board and signal its intention to consolidate its interest in First Uranium. This also dispels recent rumours that Simmers was considering selling its stake.

The changes follow Simmers's announcement last week that it would participate in the recapitalisation of First Uranium.

Gold Wheaton is among the other investors taking part in the programme aimed at providing First Uranium with C125m-C150m, to be used primarily to complete outstanding capital projects at Mine Waste Solutions (MWS).

The fundraising could raise Simmers's stake in First Uranium to 48%. Simmers said yesterday that Schoeman had been instrumental in defining its role in the refinancing of First Uranium.

Schoeman said the next step in First Uranium's rescue would be the reconstitution of its board. Simmers, previously not represented, will have three seats of seven.

"From a Simmers point of view, we believe it is a good and worthwhile investment. Having resolved our internal dispute and now having an independent board, we will focus on operational growth and unlocking the synergies between Simmers and First Uranium," he said.

The reshuffle also completes the removal of Miller from the boards of both companies, and implements some of the changes empowerment shareholder Vulisango called for during its spat with the previous board under former chairman Nigel Brunette and Miller.

Until early this year, Miller was CEO of both Simmers and First Uranium. Brunette will step down from the Simmers board once First Uranium's capital raising is complete.

Vulisango CEO Valence Watson, one of those who clashed with the previous board, said yesterday the changes were part of the process to revitalise both companies.

"The Simmers board is working with First Uranium in ensuring the financing required is in place and the restructuring takes place.

"These are the changes we have been calling for all along and we are happy they are happening. We believe First Uranium is an important element of Simmers," he said. Watson said the changes were being driven by the new Simmers board.

Earlier this year First Uranium reported a 14,4m loss for the December quarter as it scrambled to raise capital. Its financial troubles worsened after the government withdrew environmental approval for a new tailings dam for MWS.