JKX hits back at shareholder Proxima in battle for control

London-listed oil explorer JKX Oil & Gas has fired both barrels at one of its biggest shareholders, accusing it of trying to win control of the business without paying a premium.

Russian fund Proxima — which owns 20% of the company — broke cover last month with proposals to remove seven of the current nine board members of JKX, replacing them with five of its own nominees.

Proxima accuses JKX, whose assets are based mostly in Ukraine and Russia, of years of under-performance and has called for a “thorough review of operations”.

It has called an extraordinary meeting for January 28.

JKX hit back saying Proxima was attempting to “seize control” and warned wholesale changes “would eliminate at a stroke” extensive experience.

It also accused Proxima of disguising its real intentions, lacking experience of running an oil and gas firm, and said a Russian-led fund could face difficulties in Ukraine after recent conflict.

JKX said its strategy was “robust” amid weak oil and gas prices.

Sources close to Proxima said its chief executive, Vladimir Tatarchuk, had extensive experience at Russia’s Alfa Bank and ran its Ukrainian business.