Trowbridge in Somerset, England, on March 15, 2025.
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Shares in the British energy major BP fell sharply on Tuesday after the board announced it had removed Chairman Albert Manifold in a surprise move.
The decision to fire Manifold immediately followed “serious concerns” related to management standards, oversight and ethics, the company said in a statement, without elaborating.
“Albert has helped bring a welcome focus and speed to BP’s transformation,” said Amanda Blanc, senior independent director at BP. “However, the board was surprised and disappointed to discover issues of governance and conduct that it considers unacceptable and has taken serious action.”
London-listed BP shares fell as much as 9% on the news, before paring losses. The stock was last seen trading up about 4%.
BP said it had appointed Ian Tyler as interim chairman with immediate effect, noting that a succession plan for the permanent chairman would begin.
“The board and leadership team strongly believe in the strategic direction we have set out, and the company is on pace to deliver on that,” Tyler said.
“bp is building a track record of strong fundamental performance and a strong focus on financial performance – all in the pursuit of shareholder value growth and returns,” he added.
CNBC has reached out to the UK’s Serious Fraud Office and is awaiting a response. The Metropolitan Police Service declined to comment.
Manifold, who has only held the position as chairman since October, received less support than usual at BP’s annual meeting last month following an investor revolt.
A majority of 81.8% of shareholders voted to elect the former boss of Irish construction materials giant CRH as chairman of BP. Board members need 50% of the vote to be elected, and often receive close to 100% support.
Some activist investors argued that even a 5% vote against Manifold would have meant a heavy censure, especially after the historic 24% vote against outgoing chairman Helge Lund last year.
Changing employees
Manifold’s dismissal comes as the energy giant pivots back to its core oil and gas business and away from renewables – and as former Woodside Energy boss Meg O’Neill takes over as CEO.
O’Neill took up the role of CEO on April 1, replacing Murray Auchincloss after less than two years in the role.
“The announcement of Albert Manifold’s departure is quite surprising, although BP has had more than its fair share of senior staff who have left the company abruptly over the past 20 years, including former CEOs Lord Browne, Tony Hayward, Bernard Looney and Murray Auchinchloss, although all with very different circumstances leading to their departure,” said Maurizi Energy Carulter Maurizi.
“While the news is clearly not good in the short term, it is important to remember that BP has made significant operational improvements and strategic refocusing over the past year, and this is the result of the successful efforts of the entire organization and its management, not just one individual,” he added.
Albert Manifold, CEO of CRH Plc, speaks during a Bloomberg Television interview in London, UK, Tuesday, Aug. 19, 2014.
Bloomberg | Bloomberg | Getty Images
Lindsey Stewart, director of institutional investor content at Morningstar, described Manifold’s dismissal as evidence that BP has a “very volatile dining room” for oil majors.
“The company’s decision not to include a shareholder proposal that appears to have ticked all the boxes for a shareholder vote unnecessarily antagonized many investors and raised questions about the company’s governance and oversight,” Stewart said, referring to BP’s controversial decision to block a proposal put forward by a Dutch activist group. Follow This at its AGM.
“With the share price rebounding so far this year, BP should credit itself with the rewards of strategic restructuring,” continued Stewart. “Instead, the company is on its third CEO and now its third chairman in less than three years. It is clear that involvement in the company’s business and strategy must be a priority for the interim chairman and his successor.”
Climate group ACCR called on BP’s board to provide a “full and transparent account” of exactly what led to Manifold’s sacking, while Follow This said the new chairman should bring “real expertise” to governance, climate risk and reform risk.
