Longtime Hurricane Energy (HUR) boss Robert Trice has left the oil and gas developer’s top job “by mutual agreement” after a run of well disappointments and a guidance cut last month. Dr Trice ran the company for 16 years.
Hurricane has struggled in recent months, cutting full-year guidance in May after not being able to maintain forecast rates at its Lancaster licence area in the North Sea. The company said last month results from the 20,000 barrels of oil per day (bopd) test at one of its Lancaster wells were “disappointing”.
The company’s share price has tumbled both from the weak oil price and the operational struggles. Last month, the company said it would shut one well of the Lancaster wells because of interference and far greater than expected water content from the reservoir.
Dr Trice, also a Hurricane co-founder, is a specialist in fractured basement plays, which the company has focused on. Last year was its first year of revenue, through the Lancaster early production system.
He has been replaced by director Beverley Smith on an interim basis, and the company said he would be available to “assist” for six months. Ms Smith has only served on the board since December. Her most recent operational work was as exploration chief for BG Group, which was taken over by Royal Dutch Shell (RDSB) in 2016. The board has also set up a new technical committee that will “re-examine the full range of possible geological models” in an effort to get production higher.
Hurricane’s largest shareholder, Kerogen Capital, has swapped its nominee director Roy Kelly for former Shell head of exploration Alan Parsley. Panmure Gordon analyst Colin Smith said Kerogen and the board had strengthened their control of the company in this move. Hurricane’s shares were down 8 per cent on the news of Dr Trice’s departure.
