(Alliance News) - Premier Oil PLC said Wednesday it is on track to meet its 2020 production guidance, as its all-share merger with Chrysaor Holdings Ltd continues to make progress towards completion.
For the first 11 months of 2020, Premier's output averaged 61,200 barrels of oil per day, and remains on track to meet its full year guidance of 61,000 to 64,000 barrels per day.
Looking further ahead, the group anticipates production for 2021 to be between 61,000 and 66,0000 barrels per day, reflecting new output from Premier's operated Tolmount gas field, offset by natural decline and deferred maintenance shutdowns from 2020.
Also on Wednesday, the oil & gas firm confirmed the departure of Chief Executive Officer Tony Durrant from the board of directors with immediate effect. He will remain in the CEO role until the end of 2020, after six years since 2014.
Finance Director Richard Rose will take on the additional role of interim chief executive at the start of 2021 until the Chrysaor merger is completed. In addition, Stuart Wheaton will become interim deputy chief executive for the same duration of time.
"On behalf of the board and all stakeholders, I would like to thank Tony for his personal commitment, dedication and significant contribution during his tenure as chief executive. We are extremely grateful for his steadfast leadership and guidance through what has been a challenging chapter in Premier's history and we wish him all the best for the future," said Chair Roy Franklin.
In October, Premier Oil agreed to merge with Harbour Energy's UK operating firm Chrysaor through a reverse takeover, retaining its London listing.
The deal is subject to regulatory, creditor and shareholder approval. Premier Oil will hold a general meeting on January 12 to gain shareholder approval for the merger.
After that, there will be series of court hearings and creditor meetings for the sanctioning of the restructuring plan from January to March. Should the court give the green light, the merger is expected to become effective on March 29.
Once complete, Premier Oil will change its name to Harbour Energy PLC, and will have a combined board of 11 directors, including Linda Cook, the current Harbour chief executive, who will be CEO of the combined group. Chrysaor's CEO, Phil Kirk, will be president of the combined group and CEO of Europe.
Shares in Premier Oil were up 0.1% at 21.92 pence on Wednesday in London.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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