BP is bracing for a turbulent annual general meeting today, as plummeting oil prices and internal shareholder tensions threaten to dominate proceedings.
Brent crude, the global oil benchmark, has slumped more than 11% since Donald Trump announced his “liberation day” tariffs. The move has triggered fears of a global economic slowdown, dragging down energy demand and putting pressure on oil company profits.
Already under scrutiny for its controversial retreat from green energy goals, BP’s leadership now faces mounting pressure from opposing shareholder factions. US hedge fund Elliott, which owns a 5% stake in the oil giant, is leading a push for BP to prioritise oil and gas production, efficiency, and profitability.
This pressure has already led to a strategic pivot earlier this year, with chief executive Murray Auchincloss admitting the company had moved “too far, too fast” on renewables. BP’s renewed focus on fossil fuels marked a sharp reversal of its 2020 pledge to boost low-carbon investment tenfold and cut oil and gas output by 40% by 2030.
But not all investors support the shift. Legal & General (L&G), a major stakeholder and staunch advocate of net zero goals, is demanding immediate leadership change. The FTSE 100 fund manager has announced it will vote against the re-election of BP chairman Helge Lund at today’s AGM, held at BP’s Sunbury campus in west London.
Although Lund has already stated his intention to step down within the next year, L&G is calling for his immediate removal. The firm said it “strongly opposes” the company’s revised climate strategy, warning it poses a “financially material and systemic long-term risk” to client portfolios.
L&G also criticised BP’s decision to reverse its climate targets without giving shareholders a vote until the 2025 AGM. “We are deeply concerned by the recent substantive revisions to the company’s strategy,” the group said, adding that delaying leadership change until 2026 was unacceptable.
Meanwhile, BP shares remain under pressure, having significantly underperformed over the past five years—leaving the company increasingly vulnerable to foreign takeover bids.
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