BP has announced plans to restructure its operations into two main business segments, Upstream and Downstream, from 1 July 2026.
The company said the move aims to simplify the organization’s structure, improve operations and focus on growing shareholder value.
The announcement comes shortly after the ouster of Albert Manifold as BP’s chairman and director.
Last month, the company said Manifold was removed immediately following “serious concerns” related to governance standards, oversight and ethics, a decision taken unanimously by the board. Manifold had been in the role for less than a year.
Gordon Birrell will take over as vice president of Upstream, and Richard Harding will serve as interim vice president of Downstream.
A recruitment process is underway to select a CEO for the Downstream segment.
Both Birrell and Harding have extensive experience in operational leadership, according to bp.
The new two-part framework will replace the current three-part structure, namely production and operations, gas and low-carbon energy, and customers and products.
The Upstream segment will cover bp’s oil and gas regions, overseeing exploration, development and production activities.
It will also manage the company’s upstream joint ventures and its renewable natural gas and carbon capture and storage businesses.
The river will include aviation, biofuels, Castrol brand, hydrogen, transportation and logistics, pipelines, refining and terminals. This division will coordinate bp’s activities related to the production, transportation and sale of its products.
BP’s Supply, Trading & Shipping operations will continue to operate in both segments.
The company said the project connects the portfolio, improves flow and supports value creation across the system.
BP CEO Meg O’Neill said: “Over the past two months, I have spent time with our teams, partners and investors around the world, and I am encouraged by the strong support for our strategic approach.
“Focusing bp into two separate divisions is a key step in speeding up delivery. It will reduce complexity and strengthen operations.”
“BP has an incredibly talented team, with deep expertise across the oil and gas value chain. We are taking advantage of opportunities across our portfolios, strengthening the balance sheet and enabling sustainable growth. We are firmly committed to a simpler, stronger and more valuable bp.”
External financial reporting will continue under the existing three-part model until 31 December 2026.
