PetroNeft Resources has reached an agreement with activist investor Natlata Partners to appoint its chosen non-executive directors to the board, including controlling shareholder Maxim Korobov.
Korobov’s Natlata owns 29.5% of PetroNeft and had sought to have him appointed as chief executive.
Instead, Korobov is appointed as as a non-executive director. Anthony Sacca and David Sturt will become independent non-executive directors.
Natlata has agreed to withdraw all of its resolutions due to be considered at the reconvened EGM due to take place today.
As part of the shake up, PetroNeft’s chief financial officer Paul Dowling and executive director David Sanders will leave the board as well as non-executive director Gerry Fagan. Dowling will remain as CFO.
Chairman David Golder and chief executive Dennis Francis will remain, despite Natalata attempting to oust them.
“We are very pleased to come to a workable compromise with our largest shareholder Natlata. We feel this is the best way forward for all of the shareholders in the company,” said Golder.
“The agreement allows the company to implement our recently announced Licence 61 work programme with our partner Oil India along with a new emphasis on business development,” he added.
Korobov said: “Natlata has agreed to conclude an agreement with the board of PetroNeft in the best interests of all shareholders. We look forward to working with the board to develop the business and to bringing our experience in the Russian market to grow the company and increase shareholder value.”
PetroNeft operates in the Tomsk Oblast, in Russia where it is 50% owner and operator of Licences 61 and 67.
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