Trowbridge in Somerset, England on March 15, 2025.
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Shares of the British energy major P.A. fell sharply on Tuesday after the board announced it had removed chairman Albert Manifold in a surprise move.
The decision to oust Manifold with immediate effect follows “serious concerns” related to governance, oversight and conduct standards, the company said in a statement, without elaborating.
“Albert has helped guide and accelerate BP’s transformation,” said Amanda Blanc, BP’s senior independent director. “However, the Board was surprised and disappointed to learn of governance and conduct issues that it considers unacceptable and has taken decisive action.”
London-listed BP shares fell as much as 9% following the news, before paring their losses. The stock was last seen down about 4%.
BP announced that it has appointed Ian Tyler as interim chairman with immediate effect, noting that a succession process for a permanent chairman is about to begin.
“The board and management team feel strongly about the strategic direction we have set, and the company is moving quickly to implement it,” Tyler said.
“bp is building a track record of strong underlying operational performance and focusing closely on financial discipline – all in pursuit of increasing shareholder value and returns,” he added.
The UK’s Serious Fraud Office declined to comment. The Metropolitan Police declined to comment.
Manifold, who had only served as chairman since October, received below-average support at BP’s annual general meeting last month, following a investor rebellion.
A majority of 81.8% of shareholders voted in favor of the election of the former boss of Irish construction materials giant CRH as chairman of BP. Board members need 50% of the vote to be elected and typically receive close to 100% support.
Some activist investors had said that even a 5% vote against Manifold would have been a harsh rebuke, especially after a historic 24% vote against incumbent Helge Lund last year.
Personnel changeManifold’s dismissal comes as the energy major returns to its core business, oil and gas and away from renewable energy – and like former Woodside Energy boss Meg O’Neill takes the reins as CEO.
O’Neill assumed the role of CEO on April 1, replacing Murray Auchincloss after less than two years in the role.
“The news of Albert Manifold’s departure certainly comes as a surprise, even though BP has seen more than its fair share of senior executives abruptly leave the company over the past 20 years, including former CEOs. Lord Browne, Tony Hayward, Bernard Looney And Murray Auchinchlossalthough very different individual circumstances led to their departure,” said Maurizio Carulli, global energy analyst at Quilter Cheviot.
“While the news is obviously negative in the short term, it is important to remember that BP has made significant operational improvements and strategic focus over the past year, and this is the result of the successful efforts of the entire organization and its leadership, not just one individual,” he added.
Albert Manifold, CEO of CRH Plc, speaks during an interview with Bloomberg Television in London, United Kingdom, Tuesday, August 19, 2014.
Bloomberg | Bloomberg | Getty Images
Lindsey Stewart, director of institutional investor content at Morningstar, described Manifold’s firing as proof that BP has “the most volatile boardroom” of the oil supermajors.
“The company’s decision to exclude a shareholder proposal that appeared to have ticked all the boxes to be voted on by shareholders unnecessarily upset a wide range of investors and again raised questions about the company’s governance and oversight,” Stewart said, referring to BP’s controversial decision to block a proposal put forward by Dutch activist group Follow This at its general meeting.
“With the share price rally so far this year, BP should take credit for the rewards of its strategic reset,” Stewart continued. “Instead, the company is on its third CEO and now its third president in less than three years. It is clear that mastering the company’s governance and corporate strategy must be a priority of the interim president and his eventual successor.”
Climate group ACCR called on BP’s board to provide “a full and transparent account” of what exactly led to Manifold’s dismissal, while Follow This said the new chairman must bring “real expertise” on governance, climate risk and transition risk.