BP announced on Wednesday that it would appoint Meg O’Neill as its chief executive officer from 1 April next year, after an abrupt exit by Murray Auchincloss.
O’Neill will become BP’s first chief executive appointed from outside the company, and the first woman to head any of the world’s top five oil companies.
Her surprise appointment is a sign that the British oil firm is seeking a renewed push to improve its business, with its shares and earnings lagging behind competitors like ExxonMobil and Shell for years.
The company embarked on a major strategy shift earlier this year, slashing billions in planned renewable energy initiatives and shifting its focus back to traditional oil and gas.
BP’s executive vice-president, Carol Howle, will serve as interim CEO until O’Neill assumes the position. O’Neill currently serves as the chief executive of Woodside Energy.
“With an extraordinary portfolio of assets, BP has significant potential to re-establish market leadership and grow shareholder value,” said O’Neill.
The BP chair, Albert Manifold, said: “Progress has been made in recent years, but increased rigour and diligence are required to make the necessary transformative changes to maximise value for our shareholders.”
O’Neill, who has headed Woodside since 2021, previously spent 23 years at ExxonMobil.
Under her leadership, Woodside merged with BHP Group’s petroleum arm to create a top 10 global independent oil and gas producer valued at $40bn (£30bn) and doubled Woodside’s oil and gas production.
Auchincloss will depart the company on Thursday. BP had not publicly announced a search process for his successor before it flagged his departure late on Wednesday evening.
“This is clearly a high-profile hire, and probably some of the change that BP shareholders have been looking for,” said Dan Pickering, chief investment officer at Pickering Energy Partners.
