Bill Colvin resigns as Baron Oil chairman

The AIM-traded firm said Dr Malcolm Butler would assume the duties of chairman in addition to his role as chief executive.

Geoff Barnes, finance director, had agreed to defer his impending retirement and remain in his position until the board was “more fully constituted”, and a suitably qualified finance professional was able to assume the role of finance director.

The board added it was currently in advanced discussions with “an experienced individual” having an oil & gas and corporate finance background, who would join the company as a non-executive director to strengthen the board.

“It is with great regret that the board has accepted the resignation of Bill Colvin as chairman and director of che Company, which he has served for over five years,” commented Dr Malcolm Butler.

“Bill shepherded the company through the very difficult times following the sudden and unexpected death of our former chief executive.

“In addition, he had to deal with a partner that continually refused to honour its full farm-in obligations on Block Z-34, offshore Peru.”

Bill Colvin himself said both him and Malcolm had worked hard over the last two years, carrying out the studies necessary to understand the true potential of the company’s deep-water Z-34 Block, in spite of its partner's refusal to cooperate.

“Following our decision to relinquish without drilling, we achieved the unusual success of securing the release of the full $3.6m held as guarantee of our drilling obligations by the Peruvian authorities.

“Now that the company has funds in place to enable it to change from concentrating on a single, very expensive, long lead time, remote play to a new strategy of looking for near-term drilling opportunities closer to home, with attractive economics, I feel the time is right for me to move on.

“I wish Malcolm and his team every success in their future endeavours.”