28th Apr 2014 14:25
(An item published at 0805 BST misspelled the name of the BG Group's outgoing Chief Executive. The error was repeated in items published at 0835 BST, 1053 BST, 1121 BST, 1148 BST, and 1235 BST. The correct version follows.)
LONDON (Alliance News) - BG Group PLC Monday said Chief Executive Chris Finlayson has resigned with immediate effect for personal reasons. Non-executive Chairman Andrew Gould has appointed as interim Executive Chairman until a replacement has been found.
The natural gas company said the recruitment process to find an external successor to Finlayson is underway. Gould will revert to the role of non-executive Chairman once the new Chief Executive has been found, it said.
Finlayson will not receive any payment beyond his contractual entitlement, BG Group said.
In a separate note, ahead of its first quarter results on Thursday, the FTSE 100 oil and gas firm said it is making good progress in Australia, with the start-up of the Ruby Jo central processing plant.
However, it said Egypt remains challenging with volumes in the first quarter declining 35% from from the fourth quarter of 2013 to 66 thousand barrels of oil equivalent per day (kboed).
"This is a result of deteriorating reservoir performance and the high level of diversions to the domestic market, where the group is entitled to a lower share of production," BG Group said.
The firm said its 2014 production guidance remains unchanged at 590 to 630 kboed, although production is now expected to be at the lower end of that range given the issues in Egypt. BG Group warned that the deterioration in Egypt will similarly impact 2015 production.
The group said it is reviewing its operational, investment and portfolio management plans and will not provide 2015 guidance until its full-year results in February 2015.
BG Group shares were trading 0.8% lower at 1,135.90 pence Monday afternoon.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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