BP faces mounting pressure from investors as it prepares to publish full-year results expected to show weaker profits. Analysts forecast earnings of about $7.5bn, down from nearly $9bn last year, after oil prices fell for a third consecutive year. Crude prices dropped below $60 a barrel in the final quarter, dragging down profits across the sector.
Incoming chief executive Meg O’Neill will face demands to outline a clear long-term strategy. Activist investors want BP to explain how it will manage spending on oil and gas as global demand slows. Shareholders including Nest and the Australasian Centre for Corporate Responsibility have filed resolutions calling for tighter controls on fossil fuel investment. Dutch group Follow This has also urged BP to show how it will create value in a declining fossil fuel market.
BP restarted its focus on oil and gas last year, launching seven new projects after scaling back renewable ambitions. Critics argue these investments risk becoming stranded assets as electric vehicles and clean energy reduce demand. The International Energy Agency expects oil demand to begin falling around 2030.
While analysts note BP’s shares have recently outperformed European rivals, campaigners say the company’s shifting strategy has created uncertainty. Investors now want BP to prove it can deliver stable returns with a credible plan for a lower-carbon future.
