By Ron Bousso
LONDON (Reuters) -BP said on Thursday its head of natural gas and low carbon energy Anja-Isabel Dotzenrath will step down after just over two years as CEO Murray Auchincloss seeks to simplify its management structure in a cost-cutting drive.
Dotzenrath, who joined BP in March 2022 from RWE Renewables to lead its efforts to rapidly expand in renewables and low-carbon energy, said in an internal message to staff that she decided to leave in order to devote more time to her family.
BP said in a statement it would reduce the size of its executive leadership team to 10 members from 12, with its head of innovation and technology Leigh-Ann Russell also leaving to take up an external job opportunity.
Auchincloss, who became CEO in January after Bernard Looney’s abrupt exit last year, is seeking to improve BP’s performance amid investor doubts over its energy transition.
Auchincloss said that BP’s strategy has not changed.
“We need to deliver as a simpler, more focused and higher value company. These changes will help us do just that.”
RBC Capital Markets analyst Biraj Borkhataria said BP could emulate rival Shell by outlining the cost savings of this organisational restructuring for investors at upcoming results.
“The super-majors are inherently complex businesses, further complicated by the uncertainty of the energy transition, and the wave of deal-making in the low carbon space in recent years,” Borkhataria said.
Dotzenrath, who will leave in the third quarter, will be replaced by BP veteran William Lin, whose current regions, corporates and solutions division will be folded into others.
Meanwhile, Auchincloss’ current chief of staff Emeka Emembolu will replace Russell.
“We could see more changes around the strategy for low carbon businesses as the company seeks a more “pragmatic approach” to the energy transition,” Jefferies analyst Giacomo Romeo said.
(Editing by xxxxxx)
