BP is preparing for a historic leadership change — and a major pay package — as veteran energy executive Meg O’Neill steps in to lead the global oil giant during one of the most turbulent periods in its history.
O’Neill, who will officially become BP’s chief executive in April, is set to earn at least £11.7 million this year, more than double what her predecessor received. The compensation reflects not only her new salary but also a series of share awards tied to incentives she earned while working at Australian energy company Woodside Energy.
Her appointment marks a milestone for the 117-year-old company. O’Neill will become BP’s first female CEO and the first person hired from outside the company to take the role in decades. The move signals a major shift in strategy for the London-based oil giant as it tries to recover from several years of leadership upheaval and financial challenges.
O’Neill’s base salary will be £1.6 million, slightly higher than the pay earned by former chief executive Murray Auchincloss. However, most of her compensation package comes from stock-based incentives designed to replace share awards she would have received if she had remained at Woodside.
Those awards include £8.3 million tied to shares scheduled to vest between 2027 and 2028, along with an additional £1.8 million representing shares expected to vest in later years through 2031. Altogether, the compensation package pushes her projected earnings for the year far beyond the £5.3 million earned by Auchincloss before he stepped down last year.
O’Neill steps into the role at a challenging moment for BP. The company has experienced three chief executives in less than five years, reflecting a period of instability at the top. Auchincloss served less than two years after taking over following the sudden departure of previous CEO Bernard Looney in 2023.
Investors have grown increasingly frustrated with BP’s recent performance, particularly after the company’s ambitious shift toward renewable energy struggled to deliver the expected financial returns. Competitors like Shell have outperformed BP in recent years, especially during the global energy crisis triggered by Russia’s invasion of Ukraine.
That pressure intensified earlier this year when BP suspended share buybacks after reporting a drop in annual profits. Underlying earnings fell to just under $7.5 billion for 2025, down from nearly $9 billion the previous year, as oil prices declined across global markets.
The company’s declining share price has also attracted attention from activist investors, fueling speculation that BP could become vulnerable to takeover attempts if its performance does not improve.
At the same time, the broader oil market remains volatile. Energy prices recently surged again after tensions in the Middle East disrupted shipments through the strategically critical Strait of Hormuz, sending crude prices climbing toward $89 per barrel.
With that backdrop, O’Neill’s leadership will be closely watched. Shareholders are hoping her experience — including years at ExxonMobil and her leadership at Woodside — will help stabilize BP and restore its competitiveness in an increasingly uncertain global energy landscape.
For BP, her appointment represents both a historic milestone and a high-stakes bet on a new direction.
