Support The Moscow Times!

Russian Investment Fim Proxima Walks Away From JKX Oil and Gas

Russian investment firm Proxima Capital Group said on Thursday it did not plan to make an offer for JKX Oil & Gas plc, two weeks after announcing its intention to consider an offer.

Shares of JKX fell as much as 34 percent, making them the top percentage loser on the London Stock Exchange.

JKX said it had never been approached by the Russian firm. Proxima was not immediately available for comment.

JKX, which makes 85 percent of its revenue from Ukraine, said in January it would suspend its investment in the country due to government-imposed restrictions on selling gas to industrial clients and an increase in gas production tax.

The company said on Monday it had commenced arbitration proceedings against Ukraine for the repayment of $180 million related to the production of oil and gas.

JKX, which has a market value of 58.6 million pounds ($90.3 million), also operates in Russia, Hungary and Slovakia.

The company's shares were down 25.3 percent at 25.50 pence at 15:18 GMT. The stock had fallen 73 percent in the 12 months to Feb. 4, a day before Proxima said it was considering the offer.

… we have a small favor to ask. As you may have heard, The Moscow Times, an independent news source for over 30 years, has been unjustly branded as a "foreign agent" by the Russian government. This blatant attempt to silence our voice is a direct assault on the integrity of journalism and the values we hold dear.

We, the journalists of The Moscow Times, refuse to be silenced. Our commitment to providing accurate and unbiased reporting on Russia remains unshaken. But we need your help to continue our critical mission.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and you can be confident that you're making a significant impact every month by supporting open, independent journalism. Thank you.

paiment methods
Not ready to support today?
Remind me later.

Read more