Former director Murphy is set to sue Cove Energy as €1.5bn buyout looms
John Craven's Cove Energy -- which has been at the centre of a €1.5bn ding-dong takeover battle between Thai firm PTT and Shell -- is being sued by former company director Ivan Murphy.
"A claim has been made to the company by a former director in relation to his lapsed share options. The claim has been rejected by the company," according to Cove documents seen by the Sunday Independent.
Cove Energy owns an 8.5 per cent stake in one of the world's biggest gas discoveries off the coast of Mozambique. Thai firm PTT and Shell traded blows in a lengthy takeover battle which saw Cove's share price more than double in recent months.
Last week, Shell pulled out of the auction. The oil firm is now reported to be in talks with Anadarko, which owns an even larger stake in the Mozambique oil field.
Cork man Murphy used to run Aberdeen Asset Management Ireland before moving into the resources sector. He was director and backer of Cove until his resignation in 2009.
The London-based financier is a partner in the Murphy Richards Capital investment house and also has interests in a number of other exploration firms including Q Resources PLC and Tantalus Rare Earths AG.
Sunday Indo Business