Central Energy Fund (CEF) chairman Luvo Makasi has told the board of troubled state-owned oil company PetroSA to resign with immediate effect. Leadership and management instability have plagued CEF subsidiary PetroSA, which has suffered huge financial losses over the past three years. The shake-up comes two months after Makasi’s appointment as CEF chairman. In a letter sent to the board at the end of March, Makasi said the CEF had been concerned for some time about the strategic direction, financial standing and management of PetroSA. He said board members who did not want to go had to provide written reasons why they should be spared and had to make representations to PetroSA’s annual general meeting. The board had scheduled the annual meeting for June 2, but in a second letter to them in April, Makasi insisted it be held on May 10 instead.In the first letter, Makasi accused the board of underestimating PetroSA’s losses in 2016-17 and said they had failed to provide reasons for thi...
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