MR Jim Stanley, who resurrected Bula Resources in 1987 has resigned as chairman and chief executive. A curt seven-line statement from the company said Mr Stanley, "who has been anxious to pursue his other mining interests for some time", had "tendered his resignation".

In an unprecedented move, the surprise statement announced three appointments on an interim basis. This statement indicates that the move by Mr Stanley was very sudden. Reliable industry sources last night said it took the Bula, board by surprise.

Mr Tom Fitzpatrick, senior partner of chartered accountant, Fitzpatrick Morris Barret, a non-executive of Bula, has taken over as interim chairman".

Asked about compensation, Mr Fitzpatrick said this did not arise as compensation only arises when the resignation is involuntary. Mr Stanley was not available for comment yesterday.

Bula had been looking at ways to strengthen the management but had not come up with firm proposals. Yesterday's statement said "it is anticipated that new appointments will be made shortly".

As executive chairman of Bula, Mr Stanley has spent considerable time travelling and this in conjunction with the long-drawn out conflict with Russian investors, has been very stressful, according to reliable sources. This prompted the sudden resignation and not the small group of shareholders who had been calling for his removal, the sources said.

However, with the poor performance of the company and the shares locked in the narrow range of 2p to 3p over the past two years, the company has, and will continue, to be vulnerable to shareholder dissent.

Mr Stanley is chairman of Ovoca Resources. It is understood that his attention will be focused on this company in the future.

Ovoca last month reached a joint venture agreement with the Canadian group Paramount Ventures which will see around £2 million spent on exploration of Ovoca's Keel, Co Longford, lead-zinc and Garrycam barite prospect over the next five years. It has also secured an option in respect of a 50 per cent interest in four oilfields in western Siberia in Russia.

Mr Stanley owns 900,000 Ovoca shares with a market value of £126,000. He also owns 10.4 million Bula shares with a market value of £210,0O0. Asked if Mr Stanley was going to sell these shares, Mr Fitzpatrick said this was "not up for discussion"