Meg O'Neill, who arrived from Australia's Woodside Petroleum, took the helm at BP yesterday in a historic move. Her appointment has been met with market enthusiasm, with BP's shares up by nearly half since it was announced. Under new leadership, BP is targeting a reduction in net debt to $14bn-$18bn by the end of 2027, a goal that may be within reach a year early, partly driven by asset sales.
O'Neill has a formidable reputation for rapid, hard-nosed corporate decision-making, contrasting with her predecessor Murray Auchincloss, who was resistant to big strategic decisions that would shift BP away from being a diversified energy group back towards a more focused oil and gas exploration and production company. Albert Manifold, BP's new chairman and former CRH boss, has repeatedly told investors he wants to drive radical change at BP to improve its performance. Separately, Heathrow Airport warned last week that the cost of a third runway could spiral out of control without independent oversight.
Right now, we're operating in an environment of significant complexity: geopolitical tension, conflict, rapid technological change and shifting global energy demand.
Airlines have been arguing that the potential bill for Heathrow's new runway was likely to far exceed the £48bn expansion budgeted for by Heathrow, or £33bn excluding the additional cost of terminal redevelopment. Heathrow Reimagined, an industry-funded pressure group whose members include B, is among those applying pressure.
There's always more to do and I believe we can safely accelerate performance and drive innovation, sustainability and growth.
That's how we make bp simpler, stronger and more valuable.
I'm committed to providing clear direction and consistency so we can move forward together with confidence.