British Gas to Invest in Oil & Gas Before CEO Change | Energy News

BP announced plans to increase investment in oil and gas exploration ahead of incoming CEO Meg O’Neill’s arrival on April 1, a move signaling a continued emphasis on fossil fuels despite recent leadership changes and investor scrutiny. The decision comes as the company navigates a period of strategic reassessment following the abrupt departure of Murray Auchincloss. Auchincloss, who stepped down immediately but will remain in an advisory capacity through 2026, had initiated a “hard reset” focused on cost-cutting and a renewed commitment to oil and gas, reversing some of the ambitious renewable energy targets set by his predecessor, Bernard Looney. Looney was forced to resign in late 2023 due to undisclosed relationships with colleagues, leading to Auchincloss’s unexpected ascension from chief financial officer. The appointment of O’Neill, currently the leader of Woodside Energy, marks the first time a woman will lead a major oil company. She is a veteran of the energy industry, having spent 30 years in the sector, including a significant period at Exxon Mobil, and is credited with expanding Woodside’s global presence in natural gas. According to her LinkedIn profile, O’Neill is “passionate about our industry.” BP’s shift towards increased fossil fuel investment coincides with pressure from activist investor Elliott Investment Management, which acquired a nearly 5% stake in the company earlier this year amid speculation of a potential takeover by Shell. The takeover bid ultimately did not materialize, but the investor’s presence underscored the need for a clear strategic direction. The change in leadership was further solidified by the appointment of Albert Manifold, former leader of CRH building materials, as chairman in October. Auchincloss acknowledged that his departure was contingent on finding a suitable successor, stating, “When Albert became chair, I expressed my openness to step down were an appropriate leader identified who could accelerate delivery of BP’s strategy.” In the interim, Carol Howle, currently executive vice president of supply, trading, and shipping, will serve as CEO until O’Neill officially assumes the role. The company has not disclosed specific details regarding the scale of the increased investment in oil and gas, nor has it outlined any immediate changes to its existing renewable energy projects.