IOG.L Regulatory News (IOG)

20 October 2022

IOG plc

Board and Executive changes

IOG plc ("IOG", or "the Company"), (AIM: IOG.L), the Net Zero UK gas and infrastructure operator focused on high return projects, announces the following Board and executive changes.

After nearly five years in the role, Andrew Hockey has informed the Board of his intention to retire as CEO and step down from the Board with immediate effect. The Board of IOG recognises the significant contribution that Andrew has made over his tenure at the Company. Andrew has agreed to remain with IOG as an advisor to the Board in order to leverage his deep Southern North Sea (SNS) geological, commercial and regulatory expertise in particular to support IOG's participation in the recently announced 33rd UK Offshore Licensing Round.

The Board is pleased to confirm that Rupert Newall will step up to become the new CEO. Having led its restructuring and farm-out to CalEnergy Resources (UK) Limited (CER) in 2019, and then joined as CFO, Rupert has played an instrumental role in IOG's progress to becoming a UK gas producer.

In addition, David Gibson will step down as Chief Operating Officer (COO) with immediate effect. The Board is pleased to announce the appointment of Dougie Scott as the Company's new COO. It is intended that Dougie will be appointed to the IOG Board following satisfactory completion of regulatory due diligence.

Dougie has 30 years of upstream operational experience, predominantly in the Southern North Sea where he led teams delivering safe and reliable production, drilling, offshore hydraulic stimulation, green and brown field projects. He has worked amongst others for Shell, RWE Dea UK and most recently INEOS Oil and Gas where over seven years he held the leadership positions of CEO, Operations Director and Well Delivery and Decommissioning Director.

The Board is also pleased to announce the appointment of John Arthur as CFO with immediate effect. This will not be a Board position. John is already a trusted member of the IOG team, having been Head of Finance since joining in early 2022, and was previously CFO at Aminex plc.

Fiona MacAulay, Chair of IOG, commented:

"Under Andrew's leadership since early 2018, IOG has been transformed against considerable odds from an unfunded vehicle with disparate assets into a fully funded UK gas producer. I would like to personally thank Andrew on behalf of the Board for all his exceptional hard work and tenacity over the years and am very pleased that he has agreed to stay on to provide his invaluable advice on our 33rd licensing round ambitions. I would also like to thank David Gibson for his tireless efforts in his time as COO, tackling several complex issues to help IOG become the UK's newest gas producer earlier this year.

As IOG navigates a challenging initial phase of production and works up further development phases, this is an appropriate time to give the executive team fresh impetus. I am delighted to announce the appointments of Rupert Newall as CEO and Dougie Scott as COO. Given their respective track records, I firmly believe that we have an exceptionally strong management team with the right skills and experience to overcome operational hurdles and grow IOG into a leading UK gas production business."

Andrew Hockey, outgoing CEO of IOG, commented:

"It has been a real privilege to serve as IOG's CEO since 2018. We have made great progress in that time and with IOG now established as a gas producer, it is the right time to pass on the baton. Having worked extensively with Rupert over my career, I can vouch for his deep industry knowledge, strategic acumen, financial expertise and drive to succeed. He has been an outstanding asset to IOG since I brought him in as CFO in 2019 and I believe he is the right leader to drive the Company forward on its next stage of growth."

Rupert Newall, incoming CEO of IOG, commented:

"It is a real honour to be entrusted with the role of CEO of IOG. I would like firstly to pay tribute to the outstanding job Andrew has done in taking IOG from an unfunded micro-cap to an established, cash-generative UK gas production company. I can assure our shareholders that I will fulfil my new role with passion, drive and decisiveness, not just in addressing near-term operational challenges but also the significant growth opportunities ahead.

I believe IOG has a compelling and competitive strategy focused on developing a portfolio of discovered gas resources through owned and operated infrastructure with a low carbon footprint. My priority is to ensure that strategy really delivers significant returns for the benefit of all our shareholders, whilst also playing our part in both energy security and energy transition. My clear focus will be on leveraging IOG's core strengths, including our key infrastructure ownership in the Saturn Banks catchment area, deep SNS expertise, environmental differentiation and robust partnership with CER.

In looking forward to the exciting opportunities ahead, both within our existing portfolio and via complementary further additions, I am also mindful that we learn the lessons of previous setbacks to improve our future performance. Through proactive risk management, a refreshed operational approach and further additions to a talented core team, we can be better prepared to maximise the value of our established infrastructure and production position in the years ahead."

Dougie Scott, incoming COO of IOG, commented:

"I am extremely excited to be joining IOG at this pivotal time in the company's growth path. Andrew and the team have worked incredibly hard to put the business in a cash generative position. The next stage of the journey is to: establish safe, reliable, cost-effective production; deliver the high value organic project portfolio and to continue the net zero journey. I very much look forward to working closely with Rupert, the IOG team and key contractors in overcoming the challenges and delivering on the business objectives to maximise value for our shareholders."

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the company's obligations under Article 17 of MAR.

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About IOG:

IOG is a Net Zero UK gas and infrastructure operator focused on high-return projects. The Company's operations are currently concentrated around its offshore and onshore Saturn Banks infrastructure in the UK Southern North Sea. Phase 1 of its Saturn Banks Project, which started production in March 2022, entails the commercialisation of the Blythe, Elgood and Southwark gas fields through this infrastructure. Phase 2 of the Saturn Banks Project entails the Nailsworth, Goddard and Elland gas discoveries, which are subject to future investment decisions and expected to be commercialised through the same export infrastructure. The Company also holds further licences with additional resources including the Abbeydale, Panther and Grafton gas discoveries, the Kelham North, Kelham Central, Thornbridge and Thornbridge Deep prospects, and part of the Orrell gas discovery. Currently, all IOG's licences are held 50:50 with its joint venture partner CalEnergy Resources (UK) Limited and operated by IOG. In addition, the Company continually evaluates further opportunities for accretive portfolio additions to help generate additional shareholder returns. Further details are available at www.iog.co.uk.