GR ENGINEERING SERVICES LIMITED — Board/Management Information 2013

Jun 25, 2013

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ASX RELEASE

26 June 2013

For immediate release to the market

BOARD AND SENIOR MANAGEMENT RESTRUCTURE

• Company co-founder and current Managing Director Mr Joe Ricciardo to be appointed Executive Chairman

• Chief Operating Officer Mr Geoff Jones to succeed Mr Ricciardo as Managing Director

• Current Non-Executive Chairman Mr Barry Patterson remaining on board as a NonExecutive Director

GR Engineering Services Limited (ASX:GNG) ( GR Engineering or Company ) today announced that Company co-founder and Managing Director, Mr Joe Ricciardo, would be assuming the new role of Executive Chairman effective 1 July 2013, with current Chief Operating Officer, Mr Geoff Jones, to succeed him as Managing Director.

The Company’s current Non-Executive Chairman, Mr Barry Patterson, will remain on the board as a Non-Executive Director.

Geoff Jones is a civil engineer with over 28 years experience in engineering, minerals processing, construction and project development in Australia and overseas with both global engineering and mining companies. He was formerly the General Manager of Sedgman Limited’s metals engineering business for two years, where he was responsible for the strategic development of the metals engineering division internationally. He also spent 6 years as Group Project Engineer for Resolute Mining Limited where he was responsible for the development of Resolute’s mining projects in Australia, Ghana and Tanzania.

Commenting on the appointment of Mr Geoff Jones as Managing Director, Mr Ricciardo said:

“Geoff has established a track record of successful project delivery throughout his career. After joining us over two years ago as Chief Operating Officer of GR Engineering, we are pleased to announce his appointment as Managing Director. Geoff has demonstrated his strong credentials in a time of transition for the Company and we have every confidence in his ability to successfully lead GR Engineering. Geoff has also been responsible for the Company’s strategic global expansion of our engineering services, particularly in West Africa.”

After co-founding GR Engineering in 2006 as its inaugural Managing Director, Mr Ricciardo will continue to have an important role as Executive Chairman, where he will be heavily involved in the Company’s strategic direction and performance whilst maintaining and building upon relationships with GR Engineering’s clients.

Commenting on the appointment of Mr Joe Ricciardo as Executive Chairman, the Company’s current Chairman, Mr Barry Patterson said:

“We would like to acknowledge the tremendous contribution Joe has made to our Company since its inception in 2006 by rapidly and successfully leading it to hold the strong market position it has today, with a reputation as a high quality provider of engineering design and construction services to the

GR ENGINEERING SERVICES LIMITED ABN 12 121 542 738 Tel: +61 8 6272 6000 Fax: +61 8 6272 6001 Email: gres@gres.com.au Website: www.gres.com.au PO Box 258, Belmont WA 6984 179 Great Eastern Highway, Belmont WA 6104

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mineral processing industry. We thank Joe for his hard work and dedication to GR Engineering and look forward to his ongoing contribution to the Company in his role as Executive Chairman.”

Incoming Managing Director, Mr Geoff Jones, said he was looking forward to taking on the challenges in his new role.

“Whilst the overall sector is experiencing challenges from which we are not immune, the opportunities for companies like ours with a strong strategic focus and an ability to adapt quickly to changing industry conditions are clearly evident,” he said.

Mr Jones’ biography and key terms and conditions of his employment as Managing Director follow.

Ends.

For further information:

Joe Ricciardo	Media Enquiries
Managing Director	Sara Clafton
	Clafton Counsel
(08) 6272 6000	+61 414 300 095
 joe.ricciardo@gres.com.au	 sclafton@claftoncounsel.com.au

GR Engineering Services Limited (ASX:GNG) is an engineering, consulting and contracting company specialising in fixed price engineering design and construction services to the resources and mineral processing industry.

Founded in Perth, Western Australia in 2006, GR Engineering has rapidly grown through the completion of design and construction projects for a diverse range of clients, including global mining houses, mid-tier miners and junior developers undertaking their first project.

GR Engineering has undertaken feasibility studies for projects in over 20 countries. These studies play a key role in delivering organic growth opportunities through their conversion into design and construction projects.

GR Engineering directly employs approximately 230 professional and support staff at its offices in Perth, Kalgoorlie and Brisbane in addition to its direct construction workforce and subcontractors.

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Annexure A – Biography

Mr Geoffrey Michael Jones

Qualifications

Bachelor of Civil Engineering - The WA Institute of Technology (1983)

Professional Profile

Geoff is a Civil Engineer with over 28 years experience in construction, engineering, mineral processing and project development in Australia and overseas.

Geoff previously worked for Baulderstone Hornibrook, John Holland, Minproc Engineers and Signet Engineering before serving over six years as Group Project Engineer for Resolute Mining Limited, where he was responsible for the development of its mining projects in Australia, Ghana and Tanzania. He also founded a project management and engineering consultancy concentrating on the management of projects for ASX listed companies in the resources sector.

Geoff was General Manager of Sedgman Limited's metals engineering business and also responsible for the strategic development of the metals engineering division internationally prior to joining GR Engineering as Chief Operating Officer in 2011.

Geoff is currently non-Executive Chairman of Brumby Resources Limited and a non-executive director of Energy Metals Limited and Azumah Resources Limited.

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Appendix B – Summary of Employment Terms – Mr Geoff Jones

1) Commencement Date

1 July 2013

2) Term

5 years

3) Remuneration

a) Fixed Remuneration

Base salary of $434,783 per annum plus statutory superannuation.

b) Equity Based Incentives

Eligibility to participate in the GR Engineering Services Limited Equity Incentive Plan ( Plan ) through the issue of securities (subject to compliance with the Corporations Act 2001 (Cth) and ASX Listing rules, including by obtaining shareholder approval) in the form of performance rights and / or share appreciation rights in accordance with the Plan rules.

c) Other Remuneration

Vehicle lease costs to be novated as part of remuneration package, with the principal value of the lease not to exceed $120,000 and subject to terms and conditions customary under a commercial novated lease agreement.

4) Notice Periods

( Without Notice ) Termination without notice in certain circumstances (gross misconduct, failure to follow reasonable directions, bankruptcy, incapacitation, removal as a director etc).

( With Notice by Managing Director ) The Managing Director may resign by giving 3 months written notice without providing any reason for the termination.

( With Notice by Company ) The Company may terminate by providing 6 months written notice without providing any reason for the termination.

5) Termination Rights

( Termination by Managing Director or Company ) The Company may make a payment to the Managing Director in lieu of notice and must pay all entitlements due to the Managing Director.

6) Restrictive Covenants Post Termination

( Non Solicitation ) The Managing Director must not solicit, canvass or approach any person who was at any time during the Executive’s last 12 months of employment with the Company or a client of the Company with a view to obtaining the custom of that person in a business that is similar to that of the Company’s.

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