The proposal is expected to be submitted for shareholder approval at an extraordinary general meeting on October 24, 2024. and requires 75 percent of the vote to support delisting.

An ASX statement said: “The EP1 board concluded that the benefits of listing on the ASX were significantly less than the potential benefits of delivering the next phase of growth in an unlisted environment.”

It highlighted, in particular, “a continued negative impact on EP1’s share price as a result of regulatory proceedings and class action litigation. Regardless of the resolution of these issues, the lack of support for the equity market remains”.

It was announced last week that Dixon Advisory, which collapsed in 2022, will be the subject of a public inquiry by the Senate Economics References Committee.

The poor liquidity of share trading also makes it difficult for new investors to join the register and for existing shareholders to realize value.

There are numerous numbers that the company claims it is seeking to delist:

- The trading price of EP1 does not reflect the fundamental value of the company

- Limited trading volumes and liquidity

- Cost savings

- There are no significant current capital requirements at ordinary course, while any future capital raising would be highly dilutive

- Strategic and corporate opportunities

- Employees

If the decision is approved, the last day for trading in E&P shares is expected to be December 9.