Key Takeaways
The BP board unanimously decided on Tuesday to dismiss Chairman Albert Manifold, causing the company's stock price to plummet nearly 10% in early trading. This sharp sell-off led to a temporary halt in BP's stock trading, although the shares partially recovered later, closing down about 4%.
In a public statement, the board cited "serious concerns related to governance standards, oversight, and conduct" as the reason for Manifold's dismissal. While BP did not provide detailed explanations in its official communications, four insiders told Reuters that Manifold had exhibited aggressive behavior towards employees within the company.
One insider indicated that the board received a formal complaint that provided sufficient evidence of a pattern of inappropriate workplace behavior by Manifold.
Manifold had served as chairman since October 2025 and strongly opposed the board's decision. In a statement sent via email to Bloomberg, he claimed he was "dismissed without warning or explanation" and vowed to defend himself, calling it a "false narrative."
His tenure lasted only eight months. Prior to joining BP, he had no background in the energy sector and served as CEO of construction materials company CRH, where he successfully boosted the company's stock price and relocated its primary listing to the U.S.
Ongoing Executive Turmoil
This executive shake-up further exacerbates BP's leadership instability. Since 2020, the oil giant has seen five changes in its CEO position. Former CEO Bernard Looney was dismissed in 2023 for concealing personal relationships with employees from the board, while his successor, Murray Auchincloss, unexpectedly resigned in December 2025.
Ian Tyler, who joined the BP board last year and previously served as CEO of Balfour Beatty, is currently acting as interim chairman.
Amidst the company's turmoil, the BP board expressed "deep confidence" in its current strategy, noting that the company is "moving forward rapidly."
Activist investor Elliott Investment Management holds about 5% of BP's shares and had supported several strategic initiatives advocated by Manifold, but has not commented on his dismissal.
Market Analysts' Perspectives
Barclays analyst Lydia Rainforth stated that the decision-making ability of the entire board is now facing "serious scrutiny."
TD Cowen analyst Jason Gabelman noted that Manifold was seen as a catalyst for accelerating reforms, including increased capital investment in oil and gas projects and streamlining the company's organization. He warned that ongoing leadership instability could slow the progress of these initiatives.
Morningstar analyst Lindsey Stewart also expressed similar concerns.