BP executive promises 'reset' after profits fell in 2024

Feb. 11 (UPI) -- BP Chief Executive Murray Auchincloss promised a "reset" for the company, including dialing back climate commitments, on Tuesday after a dip in annual profits and a threat from an influential activist investor.

Profits from the petroleum giant tumbled from $14 billion in 2023 to $8.9 billion last year, leaving New York-based activist hedge fund Elliott Investment Management to call for a wholesale leadership change.

Auchincloss said that despite the drop, it has "laid the foundations for growth" and is prepared to "fundamentally reset our strategy and drive further improvements in performance."

"It will be a new direction for BP, and not business as usual," he said. "I am excited about it and look forward to updating the marketing and seeing many of you then."

The new direction is expected to include a cut in renewable energy projects in favor of boosting oil and gas production to keep up with other petroleum giants Shell and Equinor, who have already made such moves.

On Feb. 26, BP is expected to announce its cutback on its $10 billion renewables commitment by 2030. It had already pulled back on its wind projects last year.

Environmentalists said BP's announcement is a step back from fighting global warming.

"As the world battles extreme weather disasters supercharged by fossil fuels, it is wrong that polluters such as BP can double down on oil and gas that is driving the climate breakdown," said Lela Stanley, of the human rights nonprofit Global Witness.