By: Creamer media

The company said Tuesday that the shift was part of a broader restructuring aimed at reducing costs and repositioning the business. Evolution would leverage the in-country network of ARCH’s parent company, African Rainbow Capital (ARC), which managed $2.7-billion in assets across more than 40 companies on the continent.

“This represents a significant change to the company’s future direction,” said executive director Craig Moulton. “With a clear forward strategy and the reaffirmed support of our major shareholders, the company is in an excellent position to deliver material capital growth to our shareholders as these new goals are achieved.”

Key elements of the revised corporate strategy include the completion of a cost-cutting programme, the pursuit of new gold opportunities in Africa, and the long-term development of the Chilalo graphite project in Tanzania. ARCH, which holds a 25% stake in Evolution, has endorsed the changes.

As part of the transition, Moulton will assume an executive leadership role to oversee project development and evaluate new acquisition opportunities. The company has significantly downsized its board, management, and staff, and will close its Perth office, shifting its focus entirely to Africa.

Evolution said further cost reductions were expected as existing contracts wound down.

Chairperson Paul Atherley, recently appointed as ARCH’s representative on the board, will guide the company’s strategic execution alongside Moulton.