Fortescue CEO Nev Power leaves

  • Push-out Score suggests push-out forces
  • After almost seven years on the job
  • Accolades and praise for Power
  • No successor named

(exechange) — East Perth, Western Australia, September 15, 2017 — Nev Power, chief executive of Fortescue, leaves. His departure is made public at an early stage. As announced by Fortescue Chairman Andrew Forrest on Friday, September 15, 2017, Neville (Nev) Power leaves the post as Chief Executive Officer at Fortescue Metals Group Limited, an Australian iron ore company, after almost seven years on the job, effective February 16, 2018.

Fortescue did not name a replacement for the position of Chief Executive Officer.

“It is time for the next chapter of Fortescue to begin”

The management change is explained as follows. Fortescue Chairman Andrew Forrest said: “We could not be more pleased with [Nev Power’s] stewardship and respect his decision that it is time for the next chapter of Fortescue to begin.”

The phrase “it is time for the next chapter of Fortescue to begin” opens the door to speculation.

Precise information about the future plans of Power was not immediately available.

“Will complete his term”

Fortescue Chairman Andrew Forrest said: “It is with excitement for Fortescue, elation for Nev and my own personal sadness, that I announce Nev will complete his term as CEO on 16 February 2018.”

Share price rise since January 2016

The change follows a rise in the share price of Fortescue Metals Group Limited since January 2016.

Chaired by Andrew Forrest

Fortescue Metals Group Limited is chaired by Andrew Forrest.

Forrest is Fortescue’s Founder and Chairman.

On the job as CEO since 2011

Neville Power has been the Chief Executive Officer of Fortescue Metals Group Limited since July 18, 2011.

Power has more than 30 years’ experience in the mining, steel and construction industries and a proven track record in the delivery of major infrastructure projects, mining and steel manufacturing and distribution.

Prior to joining Fortescue, Power held Chief Executive positions at Thiess and the Smorgon Steel Group adding to his extensive background in the mining, steel and construction industries.

Power also has a long history in agribusiness and aviation holding both fixed wing and helicopter commercial pilot licenses.

Power sits on the Fortescue Board as Managing Director; is a Fellow of both Engineers Australia and The Australasian Institute of Mining and Metallurgy; a member of the Australian Institute of Company Directors and the International Advisory Board for Lingnan (University) College, Sun Yat’sen University, China.

He is an INSEAD graduate and holds a Bachelor of Engineering and Master of Business Administration.

Unplanned

Generally speaking, when a top leader announces to step aside with no successor in place, it’s a sign that the move was unplanned and too early.

Push-out Score suggests push-out forces

It is not completely certain what forces eventually triggered Nev Power’s move.

The Push-out Score™ determined by exechange suggests that push-out forces may have contributed to the management change.

Read the full story in the exechange report 38.2017 ($).