Cue appoints interim executive chairman, cut number of directors

By Ruli Setiawan

ASX-listed Cue Energy Resources Limited announced Tuesday as part of cost-cutting measures and strategy repositioning amid the current oil drop, it has reduced the number of directors and appoints an interim executive chairman.

?In light of the low oil price environment and the company?s US$70 million investment in exploration and production assets over the last three years, Cue's short-term objectives will be to reposition the company?s portfolio including focusing on producing assets, exploiting the successes from its recent exploration efforts and lowering overhead costs,? Cue said in a statement.

The company said that as an early indicator of its intent, the board has reduced the number of directors from five to four in conjunction with a reduction of fees paid to directors, resulting in an annualized circa 40 percent decrease in board costs.

After careful deliberations and consideration, Cue said the board has decided to appoint Grant Worner as Chairman and has agreed that Worner will perform the role of Executive Chairman which includes the role of Chief Executive Officer, on an interim basis, to lead the repositioning of the company?s businesses.

The interim position commenced March 23 for a six-month period, with remuneration of $35,000 per month, it added.

Cue said that its board now comprises of Grant Worner as Executive Chairman, Koh Ban Heng as Non-Executive Independent Director, Brian Smith as Non-Executive Independent Director, Andrew Knight as Non-Executive Director.

Editing by Reiner Simanjuntak