Genel Energy to name chief executive Tony Hayward as chairman

Former BP boss Tony Hayward is expected to take up the role of chairman at Genel Energy, where he is currently chief executive, in a move that could fly in the face of corporate governance issues.

Hayward, who left BP in the wake of the Gulf of Mexico oil spill, has led Kurdistan-focused Genel since 2011.

He founded the company with British financier Nat Rothschild.

While there is no explicit rule against a chief executive being appointed as chairman of the same company, the UK Corporate Governance Code encourages against it and operates a “comply or explain” policy around such hires.

Hayward is expected to be replaced as chief executive by Murat Ozgul, who head up the firm’s operations in Kurdistan, according to a report in the Sunday Times.

A spokesman for Genel said yesterday: “Discussions on management succession are ongoing, and when a decision is made it will be announced to the market.”

He added: “We have previously signalled the likelihood that Tony Hayward may become chairman of Genel, a move key stakeholders have told us they would welcome.”

Genel’s revenues jumped by 49 per cent year on year in 2014, but it swung to a pre-tax loss of $312.8m (£204.7m) after depreciation charges and write offs from exploration wells.


By Caitlin Morrison

Source: CITYA.M.

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