BP company man Auchincloss named permanent chief
BP has confirmed the appointment of interim boss Murray Auchincloss to permanent chief executive.
Following a report from Sky’s Mark Kleinman yesterday evening that the process was being finalised, the company announced the decision this morning.
The former chief financial officer, who stepped into the top job on a wait-and-see basis last year after boss Bernard Looney was sacked, keeps the BP tradition of never having picked a chief exec from outside the business alive.
He has held senior roles in finance and management across the company’s tax, business development, mergers and acquisitions and performance management and prior to holding the chief financial officer position, he was chief of staff to the bp CEO from 2010 to 2013.
Murray Auchincloss said: “It’s an honour to lead bp – this is a great company with great people. Our strategy – from international oil company to integrated energy company, or IOC to IEC – does not change. I’m convinced about the significant value we can create.
“Now, more than ever, our focus must remain on delivery – operating safely and efficiently, executing with discipline, and always focusing on returns. This is how we will deliver real benefits for our customers and other stakeholders and continue to grow long-term value for bp’s shareholders.”
Auchincloss is said to have enjoyed support from institutional shareholders, with whispers that BAE System boss Charles Woodburn could be tapped up apparently coming to nothing.
Former boss Looney stepped down after misleading the board over relationships with colleagues, with the company formally dismissing him – and denying him more than £30m-worth of remuneration in share awards and long-term incentives – after an investigation.
Auchincloss’ first job will be to decide if the company’s current ‘and not or’ strategy – in which it invests heavily in renewable energy and green investment whilst also remaining a major oil and gas player – is the right one.
Some had lauded Looney’s efforts to commit to renewable energy investment, but an equal number of market observers and investors were unconvinced about the strategic shift as the company’s share price suffered in comparison to the other major Western oil powers.
Auchincloss himself said in October the company’s renewable strategy and net zero ambition remain unchanged following Looney’s departure, with low carbon technologies set to remain one of BP’s core activities.