courtesy First Calgary

In a bid to show shareholders the importance of cross-Atlantic relationships, the board of First Calgary Petroleums on Monday published a letter from the Algerian Minister of Energy and Mines saying he was “deeply concerned” the company’s chief executive would be ousted in a vote Tuesday called by “dissident” minority owners.

Dr. Chakib Khelil said the fate of First and Sonatrach’s giant MLE gas-field development in his country was at stake over an attempt to vote chief executive and president Richard Anderson out of the company.

“I value the work done by the Sonatrach and FCP management teams and would look negatively at any changes at this critical time,” Dr. Khelil said. Khelil added that any delays to the development of the project would be harmful.

The board of the Frist has told its shareholders not to be persuaded to vote out the company’s chief exec by “obscure” minority owners who appeared to be after control but offered no alternative plans.

“It is entirely uncertain who controls (the minority shareholder bloc) Waterford Finance & Investment Limited and Midocean Holdings Limited,” a message from First’s board said of the dissident shareholders who called tomorrow’s meet to oust Anderson.

The board said it believed Waterford was hoping to exploit the company’s current low share price in London and Toronto to leverage a small interest in the Company into a controlling bloc.

Under Anderson’s leadership, First Calgary has moved from pure exploration to the verge of vast gas production, and the role of its strong board became key to success to date in Algeria. Only the choice of a builder remains before Algerian gas and oil production.

"The experience of this ... slate of directors is second to none," First Calgary chairman, Gar Emerson said.

First Calgary is 30 months from producing at its base in Algeria and the small staff sits on 14 percent of the world’s gas reserves. Anderson worked through the debt-free financing that helped prove 600 million barrels of oil equivalent..

ws@scandoil.net

Tags: First Calgary Petroleums, Sonatrach