In a rather surprising turn of events, BP announced on Tuesday that Chairman Albert Manifold has been dismissed immediately. This decision comes just months after he took the position and only weeks after the company reported impressive underlying quarterly profits of $3.2 billion. The board expressed “serious concerns” regarding “significant governance standards, oversight, and conduct” which they found unacceptable. The stock dropped nearly 10%, reflecting the market’s discontent with yet another leadership shake-up at one of the largest energy firms globally.
This situation arises as BP seeks to enhance its value in a turbulent energy market. Manifold, who previously led CRH plc and lacked experience in oil and gas, was brought on board in October 2025 as part of an initiative to reset the company’s strategy after years of investing in unprofitable “green” projects. He was expected to push for a quicker return to traditional hydrocarbons, enforce cost-cutting measures, and facilitate asset sales—goals pressed by activist investors like Elliott Management.
Despite a solid start, with BP reporting a significant increase in profits from oil trading and refining margins amid geopolitical tensions, the board has now opted to replace Manifold. Senior independent director Amanda Brann stated, “Albert has brought welcome focus and pace to BP’s transformation. However, the board was surprised and disappointed by the governance and conduct issues that emerged.” Interim chairperson Ian Tyler added that the board is committed to the strategy they have set and praised CEO Meg O’Neill’s grasp of the industry’s direction.
However, questions linger about the specific “problem behaviors” that led to Manifold’s dismissal. BP has not provided details, and Manifold has not publicly responded, leaving an air of uncertainty that raises concerns about accountability.
Leadership changes like this at BP seem more like a pattern than an isolated event. For instance, former CEO Bernard Rooney was expelled in 2023 for misleading the board about personal relationships, and his successor, Murray Auchincloss, left suddenly in December. With O’Neill now as the company’s fifth CEO since 2020, the disruptions threaten to undermine BP’s efforts to compete with rivals such as ExxonMobil, Chevron, and Shell.
While some environmental advocates may wish to see Big Oil struggle, the real impact is felt by shareholders and investors. BP’s Strategic Reset initiative aims to respond to the realities of the global energy landscape, and recent geopolitical events underscore how these factors influence profits, rather than demonstrating the benefits of ESG initiatives. The push for rapid ‘net zero’ transitions may be draining capital and hindering profits at BP and others.
The market’s negative reaction to the management change highlights a desire for stability over drama. BP, like many companies, cannot afford continuous turmoil, especially with rising energy demands and risks from unstable supply regions. Shareholders expect BP to navigate hydrocarbons safely while also exploring low-carbon innovations.
Ultimately, this latest shift in management adds to a pattern of instability for BP, which has faced turbulence since the post-war period marked by events like the Deepwater Horizon disaster. The board now needs to find a permanent successor who can bring stability to the company, a task that requires careful consideration.
The fast-paced energy market demands a cohesive strategy, particularly in companies where board and management alignment is shaky.
