Rockhopper has appointed the former chief executive of fellow oil and gas company Capricorn Energy to assist with an ongoing dispute with the Italian government.
The Wiltshire-based firm, which is developing a major oil field off the coast of the Falkland Islands known as Sea Lion, said Simon Thomson will join its board as non-executive chair, with the firm citing his “significant experience” in complex international arbitrations.
The Aim-listed company, which has its headquarters in Salisbury, was awarded €190m (£162m) in damages last year from Italy after the country cancelled an oil rig project in 2015, amid concerns from environmental campaigners.
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The Italian government is now seeking to annul the compensation award, which concerns Rockhopper’s Ombrina Mare field in the Adriatic Sea, off the coast of the southern region of Abruzzo.
In an update to investors posted on the London Stock Exchange, Rockhopper highlighted Mr Thomson’s previous involvement in a billion-dollar tax row between Capricorn’s predecessor Cairn Energy and the government of India.
The company has also announced the appointment of Cairn Energy’s former chief operating officer Paul Mayland as an independent non-executive director. Mr Mayland left the Scottish firm in April after 10 years in the role.
The pair will take up their new roles from October, replacing Keith Lough and John Summers, who have served on Rockhopper’s board for more than nine years.
Alison Baker, senior independent director of Rockhopper, said: "On behalf of the board, I would like to welcome Simon and Paul to Rockhopper, both of whom bring a wealth of extremely relevant experience to the team. We are looking forward to leveraging Simon's experience in respect of our ongoing arbitration regarding Ombrina Mare, and Paul's expertise in securing final investment decisions for offshore energy projects.
"We would also like to thank Keith and John for their significant contributions to Rockhopper and the board. Their input and guidance has been invaluable through some challenging times for the group and we wish them every success with their future endeavours."
Mr Thomson added: "I am delighted to be joining the team at Rockhopper, at an exciting time for the group. I am looking forward to working with the team and our partner, Navitas, to further progress the Sea Lion project, and to achieving a successful outcome in the Ombrina Mare arbitration."
Mr Thomson was one of seven Capricorn directors to leave the firm at the start of the year in prompted by a shareholder revolt over a with Israeli natural gas group NewMed Energy, which was
Rockhopper reported a return to profit i n May, with the firm making £28.7m before tax during 2022, compared to a £6.3m loss after tax in 2021.
