BP shake-up is ‘resonating’ with investors, insists boss Murray Auchinclos

By JESSICA CLARK

Updated: 22:01 GMT, 10 March 2025

The boss of BP has insisted that his shake-up of the company is ‘resonating’ with investors as he and his chairman fight for their jobs.

Pressure is building on chief executive Murray Auchincloss following reports that activist investor Elliott was disappointed with his strategy.

A fortnight ago, Auchincloss unveiled plans to spend less on renewable energy and invest more in gas and oil. 

But Elliott, which has built a nearly £4billion stake in BP to become its third-largest shareholder, was unimpressed.

City analysts said the activist investor is likely to try to oust chairman Helge Lund – who was appointed in 2019 and also leads the board of Ozempic maker Novo Nordisk. 

The Norwegian businessman, who oversaw BP’s failed pivot to green energy, is up for re-election at the company’s annual general meeting next month.

Under fire: BP boss Murray Auchincloss has unveiled plans to spend less on renewable energy and invest more in gas and oil

‘BP will be sitting uneasily in case it gets an aggressive letter from Elliott in the post ahead of the AGM in mid-April,’ said AJ Bell investment director Russ Mould.

‘Elliott is likely to push for the replacement of Lund – who looks as green-fingered as the keenest gardener in Elliott’s eyes – having signed off on the ill-fated energy transition plan under Auchincloss’s predecessor Bernard Looney.’

The activist is yet to make its demands public, but it is understood that the New York hedge fund felt BP’s new strategy was lacking in urgency and ambition.

But writing in The Times yesterday, Auchincloss said: ‘From the many conversations I have been having, our new direction is resonating with shareholders. Most of the questions to me are about how quickly we can deliver.’

He said the company has already ‘received a lot of interest in some world-class assets we no longer see as core to BP’.

Saudi Aramco is weighing up a bid for lubricants business Castrol, which BP has put up for sale.

The firm is aiming to raise nearly £16billion by 2027 by offloading parts of the business. 

But The Mail on Sunday revealed last week that Elliott wants BP to go further and sell its petrol stations, which could raise £31billion.

DIY INVESTING PLATFORMS

AJ Bell

AJ Bell

Easy investing and ready-made portfolios

Hargreaves Lansdown

Hargreaves Lansdown

Free fund dealing and investment ideas

interactive investor

interactive investor

Flat-fee investing from £4.99 per month

Saxo

Saxo

Get £200 back in trading fees

Trading 212

Trading 212

Free dealing and no account fee

Affiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.

Compare the best investing account for you

:
BP shake-up is ‘resonating’ with investors, insists boss Murray Auchinclos

***
Read more at DailyMail.co.uk