The dispute continues between Petroceltic and its largest single shareholder, who is looking to take over the exploration company at a knock-down price. Petroceltic has today advised shareholders to take no action regarding the bid, on the advice of Dublin-based broker Davy.

Angelo Moskov, who heads up the hedge fund Worldview, owns a 29% stake in the firm and launched the takeover bid after several public disputes between the two parties. The cut-price figure proposed is €8.1 million.

Moskov most recently claimed to have seen documents which stated that the beleaguered company's debts of over $200 million were up for sale for a 70% discount. Their debts are secured against their assets, which means their Algerian gas field is essentially up for sale.

Petroceltic has now issued an official statement.

Petroceltic has been getting by on bank waivers, with the latest running out on Friday, and says that the offer from Worldview subsidiary Sunny Hill undervalues the company “on the assumption of its having appropriate long term funding in place".

The board believes that the terms and conditions of the offer combined with their troubled financial circumstances creates significant uncertainty regarding its ability to be completed.