BP’s CEO swop a shock to employees, but investors welcome move

No warning, just a late-night revelation: BP was ousting its chief executive and filling the role with an outsider, vetted during a top secret process that only a handful of people even knew was happening.

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The news came via a 10pm London time press release on Dec 17.

That was when many senior company leaders found out about the move.

Within minutes, there were chats and messages flying back and forth expressing surprise over Mr Murray Auchincloss' sudden departure.

Mr Auchincloss had been in the CEO role for less than two years and just this February had unveiled a strategic reset. His replacement will be Ms Meg O'Neill, the company's first external CEO hire in its 115-year history and a fossil-fuel enthusiast who underscores BP's hard pivot back to oil and gas.

Ms O'Neill has been given licence for a complete page-turn, along with a mandate to look at all aspects of the business afresh on their merits, according to a person familiar with the matter. A key focus will be the US, the person said.

It is the kind of bold move many investors have been waiting for.

BP has lagged behind rivals due to a combination of corporate disasters, war, lacklustre returns from its renewables efforts and some bad luck. That led to pressure from activist investor Elliott Investment Management, and a turnaround effort that has struggled to impress shareholders. So while staff inside BP were surprised by the sudden CEO change, outsiders see positive potential in the shakeup.