Andrew Simon is stepping down as chairman of Gulf Keystone Petroleum Limited (LON:GKP) with immediate effect, following the Kurdistan oil firm’s US$500mln debt conversion proposal.
Non-executive director Keith Lough will now take up role of chairman.
In a statement, the outgoing chairman said: “Having overseen a renewal of both the board and the senior management team during the last 15 months, and together with the restructuring announced today, it is now an appropriate time to hand over the chairmanship to Keith, who has spent a lifetime in the oil industry.
“His deep industry knowledge at a time of low oil prices and geopolitical challenges has already proved invaluable whilst he chaired the finance committee and I am delighted that he has agreed to take on the chairmanship."
MORE: GKP plummets on US$500mln debt to equity swap
BACKGROUND: What does the future hold for GKP?
Gulf Keystone shares were down around 45% in Thursday’s early deals after it announced plans to restructure its balance sheet, by converting US$500mln of debt into equity.
The move will reduce indebtedness to US$100mln and leave existing shareholders with just 5% of the company although, along with a US$25mln open offer, it also unlocks capital that can be invested to maintain production at the Shaikan oil field at 40,000 barrels per day.