The fall of major London-listed independent explorers continued today after First Calgary Petroleums agreed to a £490million takeover.

The offer from Italian giant Eni marks the Italians' second raid on London stocks this summer, having earlier bagged Congo and Turkmenistan producer Burren Energy.

It also follows the recent fall of Russian producer Imperial Energy to ONGC of India.
First Calgary does its business in Algeria, a market well-known to Eni.

First has spent much of the past two years attempting to raise the finance to develop assets in the North African country, where it has enjoyed the support of State oil company Sonatrach and Algerian finance minister Chakib Khelil, a senior figure in the Saudi-led Opec cartel of leading oil producers.

However, First Calgary has not been without its troubles, notably the shareholder revolt in the spring that saw the Russo-British investor Michael Kroupeev oust chief executive Richard Anderson.

Today's offer — agreed to by Kroupeev, who controls 18% of the shares — puts a value on First Calgary of C$923 million or C$3.60 a share, a 52% premium to the last month's average price.

In London First Calgary's shares were 14 1/2p better at 179p, against a recent low of 841/2p in late August.