After a turbulent two years, LEKOIL (LEK) is working diligently to get its shares unsuspended so it can list again and shareholders can trade.
Interim executive chairman Anthony Hawkins says, “That’s been very high on our list for a long time and we’re working very diligently to tick off the things that are needed to get the shares unsuspended.”
While Hawkins can’t say what that checklist is for the Nigeria and West Africa focused oil and gas exploration and production company, at the heart lies a corporate restructuring which has been a priority since the company had a ‘Fake Sheikh’ fraud perpetrated against it.
That was in 2020 and since then LEKOIL has dismissed its founder and former CEO, experienced shareholder activism and a takeover attempt. Hawkins says litigation will continue to rumble on in the background, but this shouldn’t be defining narrative of the company.
As Hawkins reminds investors LEKOIL, “has a good asset base, a producing field in Otakikpo that is producing roughly 2000 barrels of oil to the day net to the company, a number of exploration appraisal assets, and we think with the right corporate governance and the right controls that can be a very profitable business and one that can grow as well.”
The board is being supported by cornerstone investor Savannah Energy (SAVE), which according to Hawkins, “have an option agreement to purchase the OPL 310 loan for us which will give us more liquidity and they can help us unlock value in Nigeria through their restructuring expertise. They have a very impressive track record in Nigeria, a very material business in Nigeria and are an ideal partner for us.”