United Oil & Gas PLC shares plummeted on Thursday after it said a potential partner pulled out of discussions regarding the Walton Morant licence in Jamaica.
The stock was down 23% at 0.75 pence in London on Thursday.
United Oil also announced the appointment of Simon Brett as interim chief financial officer. Brett most recently spent ten years as CFO of Barryroe Offshore Energy PLC, after four years in a senior executive position.
United Oil said it has commenced its search for a permanent CFO, and will make the appointment ‘in due course’. Outgoing finance chief Peter Dunne will step down on December 15 and leave United on December 31, to become CFO at daa PLC.
Also on Thursday, United Oil said its potential partner in the Walton Morat licence no longer wishes to pursue further discussions as a counterparty. The offshore exploration licence is located to the south of Jamaica.
However, it said other parties have recently shown positive interest in joining ‘this high impact exploration opportunity’.
Unfortunately for United, the current licence period expires at the end of January, although the company continues to engage with the Jamaican authorities to secure an extension.
‘Although the potential partner that we had been in discussions with for a number of months has taken the decision to withdraw from the process at this time, we remain committed to delivering value from this potentially high impact exploration opportunity,’ said Chief Executive Officer Brian Larkin.
‘Our efforts are now firmly focussed on the other parties that we have engaged positively with through our process with a view to securing a partner for United to take this project forward, in parallel to securing an extension to the current phase the licence.’
The appointment of Brett, Larkin added, ‘provides the company with the expertise and knowledge over the coming months whilst we carry out a rigorous selection process for this critical executive position.’
Copyright 2023 Alliance News Ltd. All Rights Reserved.