BP chair Helge Lund bows out as oil giant ditches renewable strategy to focus on fossil fuels

BP on Friday said chairman Helge Lund will step down after a major reset at the British energy giant that saw it recently shelve carbon-reduction targets to focus on fossil fuel output.

"Having fundamentally reset our strategy, BP's focus now is on delivering the strategy at pace, improving performance and growing shareholder value," Lund, who is "most likely" to step down next year, said in a statement.

The Norwegian, who assumed the role at the start of 2019, added that up until his departure he remains "committed to supporting" chief executive Murray Auchincloss as the latter delivers the group's "strategic and financial objectives".

BP in February launched a major pivot back to its more profitable oil and gas business, shelving its once industry-leading targets on reducing carbon emissions and slashing clean energy investment.

The strategy overhaul followed a difficult trading year for BP, which is under pressure from investors to boost its share price as countries look to slash emissions.

To the dismay of environmentalists, the group will also cut cleaner energy investment by more than $5 billion annually.

BP plans additionally to offload assets worth a total of $20 billion by 2027.

The group suffered a 97-percent slump in net profit last year, while it recently axed 4,700 staff jobs, or around five percent of its global workforce.

Lund has worked with three CEOs at BP, which included helping to guide the company through the turbulent Covid years when demand for energy collapsed.

The industry went on to make huge profits as oil and gas prices soared following the invasion of Ukraine by major fossil-fuel producer Russia. Oil prices have fallen in more recent years.

Under Lund, BP CEO Bob Dudley departed in early 2020, replaced by Bernard Looney, who was sacked over his failure to disclose past relationships with colleagues.

This story was originally featured on Fortune.com