Shoal Point Energy will work on rapport, new CEO says
'Professional working relationship' with others will be a priority
The incoming CEO of Shoal Point Energy says the company will focus on relationships with its partners and regulatory authorities in Newfoundland and Labrador.
"My mandate is to instill fiscal discipline, enhance corporate governance and ensure transparent disclosure by the company," new CEO Mark Jarvis said in a press release issued Tuesday.
"I will make it a priority to have a professional working relationship with the relevant regulatory authorities in Newfoundland and with our farm-in partner, Black Spruce Energy. We are very excited about the opportunity presented by the Green Point Shale resource in western Newfoundland."
Jarvis’s comments come after Shoal Point Energy recently attracted the ire of Newfoundland and Labrador regulators when it incorrectly stated that permission had been granted for a drilling program on Newfoundland’s west coast.
Shoal Point’s farm-in partners for controversial planned fracking work recently declined to comment on that incident, or Shoal Point in general.
"We have no opinion on another company," Black Spruce CEO David Murray told reporters at last month's Noia industry conference in St. John’s.
"They’re our business partner. If they make mistakes, they’re responsible for a response, and answer to their shareholders and to their board, not to us."
Black Spruce can earn up to a 60-per-cent interest on Shoal Point’s west coast exploration licences if certain drilling targets are met.
Jarvis’s appointment as CEO was part of a bigger shakeup in the ranks of Shoal Point, which held its annual general meeting in Toronto on Friday.
A new chief financial officer was also appointed, and a new chairman of the board of directors.
The previous board chairman, Norman Davidson Kelly, resigned.
A recent CBC News investigation found that Davidson Kelly has a controversial past, for his role with a different company in the Middle East a decade ago.
According to the findings of a 2006 Australian royal commission, a company controlled by Davidson Kelly or his family received millions that should have been used for humanitarian purposes in Iraq.
Two days before last week’s meeting, Shoal Point announced that Davidson Kelly would depart from his role as chairman.
At the time, Shoal Point said the move is "a consequence of its transition from operator to the role of a non-operating company."