BP is set to revise its current strategy on February 26, with CEO Murray Auchincloss promising a “new direction” for the company. The move comes as investors and analysts question the effectiveness of BP’s transition plan, which has seen increased borrowing levels and a vow to reduce fossil fuel production by 25% by 2030. Instead, Auchincloss is likely to unveil a revised strategy that boosts budgets for oil and gas operations while making renewables more “capital light.”
Shareholders have lost confidence in the company’s ability to execute its vision, with some predicting a takeover by activist hedge fund Elliott. However, a change in leadership could provide clarity and signal a fresh start for BP. As the current chair, Helge Lund has been criticized for his inability to provide direction and stability during times of crisis, including the pandemic and Russia’s invasion of Ukraine.
Auchincloss’ appointment as CEO in 2020 was seen as a step towards reviving the company’s fortunes, but his strategy has yet to deliver. With no obvious successor in the boardroom, a switch in leadership could bring new energy and direction to BP. As the company navigates its changing landscape, investors are hoping for increased confidence in Auchincloss’ leadership and a clearer vision for the company’s future.
Source: https://www.theguardian.com/business/nils-pratley-on-finance/2025/feb/11/time-for-bps-chair-to-head-for-the-exit