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BP Removes Chairman as Board Cites 'Serious Concerns'

The unexplained removal raises urgent questions over BP's governance, disclosure, oversight, investor confidence.

Overview

  • BP's board unanimously removed chairman Albert Manifold on Tuesday and named director Ian Tyler as interim chair while the company said it had serious concerns about governance, oversight and behaviour.
  • The board gave no public details of the alleged failings, a gap that has left investors and markets seeking clarity and pushed BP's share price sharply lower.
  • Manifold disputes the board's account, saying he was removed without warning or explanation and rejecting the portrayal of his conduct in a public statement.
  • The sudden change follows recent leadership shifts at BP, including the appointment of CEO Meg O'Neill and a strategic return to oil and gas, and comes after Manifold won only 82 percent support at the April annual meeting.
  • The episode could prompt further investor pressure or regulatory scrutiny because the board's lack of specifics increases uncertainty about governance at a major oil company that recently reported strong Q1 profits driven by higher energy prices.