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The chief architect of BP’s green energy strategy has been forced out and will not be replaced as the oil giant turns its attention back to fossil fuels.
Giulia Chierchia, who heads up BP’s sustainability division, will leave on June 1, the company said on Tuesday, just days after it emerged that the activist hedge fund Elliott Management was pushing for her replacement.
It came as BP said profits halved in the first three months of 2025 compared with a year ago. BP’s shares fell by more than 4pc in early trading after it posted a 49pc fall in profits to $1.38bn (£1.03bn), falling short of analysts’ expectations of $1.53bn.
BP is scrambling to shift its focus away from the climate-friendly agenda set by Bernard Looney, its former chief executive who was sacked in 2023 after misleading the board over relationships with colleagues.
Ms Chierchia was hired under Mr Looney in 2020 with a role that also included “embedding the group’s ethics and compliance within the organisation”. Last week it was reported that Elliott, which owns more than 5pc of BP’s shares, was pushing for her to be removed.
A spokesman for BP said on Tuesday: “Giulia Chierchia ... is stepping back from her role from 1 June 2025 and is leaving BP to pursue other opportunities, and she will not be replaced.”
This month the company faced a shareholder revolt at its AGM when 24pc of investors voted to sack chairman Helge Lund with immediate effect, even though he had already announced that he will step down in a year’s time.
Mr Lund, along with Mr Looney, had led the company’s ill-fated 2020 attempts to shift to green energy and then oversaw the reversal of that policy in February.
BP’s latest results will pile pressure on its chief executive, Murray Auchincloss, who has agreed to cut back on investment in green energy and refocus on oil and gas.
Mr Auchincloss said: “In February, we announced a fundamental reset of our strategy – to grow the upstream, focus the downstream and invest with discipline in the transition – and we have already made significant progress.
“So far this year we have started up three major projects, made six exploration discoveries and have progressed our divestment programme – all while delivering strong operational performance.
“I’m confident that our plans to strengthen the balance sheet, reduce costs and improve cash flow and returns will grow long-term shareholder value.”
Ashley Kelty, an analyst at Panmure Liberum, said there was little sign of BP being able to reverse its profits slump.
He told BBC Radio 4’s Today programme: “The concern is the big rise in net debt that jumped by over a third since the end of 2023 along with lower free cash generation from lower oil prices.