BDO is to take over from PwC as external auditor at JKX Oil & Gas, an exploration and production company which specialises in developing assets in the Ukraine and Russia and is listed on the London Stock Exchange
In a statement, the company said BDO are proposed to be appointed as auditors with effect from 18 October 2018 and will undertake the audit for the financial year ending 31 December 2018. This follows a competitive tender process for its statutory audit contract, overseen by the audit committee. The appointment of BDO will be subject to approval by the shareholders of JKX at the 2019 annual general meeting.
PwC was first appointed as JKX auditor in 2006 and then re-appointed in 2011 following a competitive tender process.
Adrian Coates, chairman of JKX's audit committee, said: ‘We would like to thank PwC for its contribution to JKX and the work it has carried out during its time as auditor. We have conducted a thorough audit tender process to ensure that our requirements in terms of sector knowledge and experience, coupled with geographical reach, continue to be met. We look forward to working with BDO.’
According to the 2017 annual report, JKX paid PwC $628,000 (£477,000) in total during the year, made up of $288,000 for audit of the parent company, $198,000 for the audit of subsidiaries, $101,000 in audit-related assurance and $41,000 for other non-audit services.
Report by Pat Sweet
