Shares in oil explorer Tangiers Petroleum (TPET) fell 21 per cent before being suspended from trading on Aim, following the resignations of executive chairman Eve Howell and non-executive director Max de Vietri. They have left the company with immediate effect, citing "the loss of support of several major shareholders" following a collapse in Tangier's share price this past year and the recently proposed takeover of Australian peer Jacka Resources (ASX: JKA). Tangiers' shares are expected to resume trading upon the announcement of new board appointments.
The executive changes are likely to threaten the planned A$37m (£20.2m) all-share takeover of Jacka, which would be dilutive to existing shareholders, but give Tangiers access to potentially valuable exploration and development plays in Somaliland, Tanzania, Tunisia and Nigeria. As of 31 December, Tangiers had A$6.1m (£3.3m) in net cash. It also expects to receive a further $7.5m (£4.6m) from partner Galp Energia shortly, under the terms of a farm-out agreement for the Tarfaya licence offshore Morocco.
