LONDON, April 2, 2026, 12:15 BST
BP PLC’s new boss, Meg O’Neill, wasted no time laying out her message to staff: “clear direction and consistency.” She steps in as the company redoubles its focus on oil and gas, trying to move past a stretch of expensive U-turns. O’Neill, who officially took over Wednesday, is BP’s first outside hire for CEO in more than 100 years—and the first woman to run any of the five biggest oil players. Reuters
Timing’s a factor here. BP has hit pause on its share buybacks to conserve cash for cutting debt, and it’s pushing through asset sales to hit a $20 billion divestment goal by 2027. Leadership is also getting a shake-up as the company works to repair returns and win back investor confidence. All of this is playing out while oil markets whip around thanks to the Middle East conflict.
O’Neill, in her debut message to BP staff, said the company can “safely accelerate performance” and push forward with confidence. She steps in for Murray Auchincloss, who exited in December but will remain as an adviser until the end of 2026. Reuters
Chairman Albert Manifold trimmed the board down to 10 directors, describing the smaller team as “a more agile board” he says should speed up decision-making. BP has slashed billions from its renewables budget, struck a deal to offload its Gelsenkirchen refinery in Germany, and raised its 2027 target for structural cost cuts to between $6.5 billion and $7.5 billion. According to Reuters, the company’s divestments had already topped $11 billion as of March. Reuters
BP paused its buyback program back in February, diverging from Shell and Exxon, both of which left theirs intact. The company trimmed net debt to $22 billion but maintained its $14 billion-$18 billion target for 2027. Reuters noted BP’s shares picked up 10% in 2025—still behind Exxon’s 12% gain and Shell’s 11%. Another Reuters story pointed out BP has consistently underperformed its rivals, despite clawing back some losses since last year’s overhaul.
Saul Kavonic, who leads energy research at MST Marquee, pointed out that O’Neill took “really bold moves” at Woodside, steering the company’s future toward North America. During her leadership, Woodside pulled off a merger with BHP’s petroleum unit, doubled output, and significantly expanded its natural gas footprint in the U.S. BP, meanwhile, allocated over 40% of its $16.2 billion investment budget to the United States this year and is targeting more production there by decade’s end. Reuters
There’s been a cost to the shift. BP logged roughly $4 billion in impairments back in February—those are accounting writedowns tied to declining asset values, mainly in renewables and biogas. Finance chief Kate Thomson described the charges as “the accounting consequences of the discipline” BP has adopted, with capital moving toward higher-return projects. Reuters
O’Neill steps in as the market remains volatile on war headlines. Brent wrapped up Wednesday at $101.16 a barrel, slipping as traders pinned hopes on a faster resolution. By Thursday, prices surged over 7% to roughly $108.70 after President Donald Trump threatened tougher strikes against Iran, a move that sent European energy shares higher even as most stocks lost ground.
Even with oil trading higher, the risks stick around. Should crude prices slip, or if asset sales drag and costs end up higher than planned, BP might struggle to reach its debt target—let alone convince shareholders that pausing buybacks made sense. Some activist investors aren’t waiting quietly: they’re demanding BP prove its renewed focus on oil and gas will actually pay off. Follow This, for its part, has threatened legal action after BP excluded its climate proposal from the April 23 AGM lineup.
BP isn’t wasting time. The annual meeting lands April 23, followed by first-quarter 2026 results early on April 28 at 07:00 BST. Investors will get their first real sense if O’Neill’s opening stretch amounts to more than just smoother messaging.
