What is bp's New CEO Meg O'Neill's Strategy for the Firm?

​​​​​​​Following her appointment as bp CEO, Meg O’Neill has set out plans to streamline the company’s structure and sharpen its energy priorities, despite ongoing volatility across global markets.

Newly appointed bp CEO Meg O’Neill has confirmed proposals to reorganise the business into two core divisions aligned with its energy operations.

The move signals a shift back towards a more traditional energy company model, reversing bp's earlier ambition to position itself primarily as a solar and wind-led renewable energy player in 2020.

During an internal call on 14 April, Meg told employees bp would adopt a dual structure consisting of an upstream division focused on oil and gas production and a downstream arm covering refining, fuel distribution and retail energy activities.

Leadership appointments for the two units have yet to be announced.

Meg assumed the CEO role on 1 April with a clear mandate to strengthen oil and gas output while divesting lower-return clean energy assets.

She succeeds Murray Auchincloss, who was removed in 2025 by bp Chairman Albert Manifold amid concerns that strategic transformation was progressing too slowly.

What are bp’s priorities?

The company's latest restructuring marks a decisive step away from the strategy set by previous CEO Bernard Looney, who had repositioned the company in 2020 to prioritise gas and low-carbon energy as part of a broader transition towards renewables.

Pressure from investors, including Elliott Management, to refocus on core fossil fuel operations and simplify the company’s structure played a key role in that shift. Bernard was removed in September 2023, with Meg confirmed as his successor in December.

In a message to staff, Meg said she would provide the company with “clear direction and consistency” as it navigates “an environment of significant complexity”, referencing geopolitical instability in the Middle East.

Energy markets under pressure

Recent US-Israeli strikes on Iran have contributed to one of the most significant energy supply disruptions in recent history, tightening global oil markets and increasing volatility.

Despite these pressures, bp expects strong trading performance. In a 14 April statement, the company reported improved refining margins and noted that its “oil trading result is expected to be exceptional” in the first quarter.

Industry analysts have responded by revising forecasts. Citi, for example, has increased its estimate of the company's adjusted net income by 20% to US$2.6bn for the January to March period.

At the same time, the IEA has lowered its outlook for global oil demand.

In its April 2026 oil market report, the IEA highlighted escalating supply chain risks, with continued attacks on energy infrastructure in the Middle East contributing to a drop of more than 10 million barrels per day in global supply during March.

A process of simplification

bp currently operates across three main segments, including its gas and low-carbon unit, its oil production and operations business and its US onshore and refining activities.

Following the recent appointment of Carol Howle as Deputy CEO, Meg confirmed that she will play a central role in shaping bp's longer-term strategy beyond its 2027 targets, although further details have not yet been disclosed.

The day after taking office, Meg reiterated that she was “committed to providing clear direction and consistency” to help the company “move forward with confidence”.

“I’m looking forward to working closely with [Howle] to deliver a simpler, stronger, more valuable bp to maximise value for our shareholders,” Meg added.