Aberdeen oil and gas operator Dana Petroleum is about to lose its second chief executive in five months, it emerged last night.
Current CEO Stuart Paton revealed at a business dinner that he was leaving Dana at the end of March.
His predecessor, Tom Cross, quit in November in the wake of Dana’s £1.67billion buyout by South Korea’s national oil company.
Mr Paton was appointed to Dana’s board as technical and commercial director in 2006, having joined its senior executive team in 2003 to lead business development and commercial activities.
He worked previously for Shell in the Netherlands and then the UK, where he had senior technical and commercial roles and was part of the oil giant’s commercial leadership team.
The news of him leaving Dana emerged during a dinner celebrating the north-east company’s takeover by Korea National Oil Corporation (KNOC).
KNOC chief executive Kang Young-Won was among the guests at the black-tie event in the Mercure Ardoe House Hotel and Spa, at Blairs.
Mr Paton, a member of the Institute of Directors and Petroleum Exploration Society of Great Britain, told the Press and Journal that he had no career plans for after March.
He would not immediately say why he was leaving Dana, adding that he would explain it at a later stage.
His departure will leave only two members of Dana’s pre-takeover management team, company secretary/ group legal manager John Arnton and finance director David MacFarlane.
Mr Paton said funding from KNOC, banking facilities and cash generation would fuel significant investment at Dana during 2011.
He revealed Dana had a capital budget of £590million this year, including £100million set aside for the previously announced acquisition of North Sea assets from Petro-Canada UK.
Dana spent £231million on capital investments last year, excluding acquisitions.
Mr Paton said KNOC was strongly committed to growing Dana’s business in core areas, including through possible further acquisitions.
He added that Dana’s bosses were keen to retain the firm’s 22.63% stake in Aberdeen-based oil and gas company Faroe Petroleum.
He did not rule out Dana increasing its shareholding in Faroe at some point, adding: “We are considering all options.”
Dana employs about 200 people directly in four locations, 300 more through a joint-venture in Egypt and 70 long-term contractors in the Netherlands.
Mr Paton said the firm had good prospects amid growing confidence in the industry globally as oil prices rose.