Blow as director quits Regal Petroleum

THE crisis engulfing Regal Petroleum deepened today after the troubled oil and gas company revealed a director promoted just last week to run the rule over its exploration arm has decided to quit.

The shock announcement is a huge blow to Regal chief executive Frank Timis as he battles to restore the company's fast-shrinking credibility in the City.

Regal's shares, were hammered last week after Timis revealed his 'blockbuster' find in Greece was little more than a dry hole and uncommercial, and dropped a further 61½p, or 8%, to 78p today. One analyst said: 'It's an absolute joke.'

Professor Christopher Green was promoted in the wake of the disappointment over Regal's Greek discovery last Thursday to look at the exploration potential of other assets.

He will now leave the group, having joined as a non-executive only in April. Insiders said the decision was 'purely down to personal reasons' and the lack of time Green was able to commit but this is unlikely to convince a growing army of sceptics in the City.

It is also certain to turn up the pressure at Evolution, the stockbroker that raised £45m for Regal in a rights issue at 390p at the end of April.