BP cuts renewable investment and boosts oil and gas in strategy shift
LONDON – BP slashed planned investment in renewable energy and said on Feb 26 that it would increase annual oil and gas spending to US$10 billion (S$13.4 billion), in a major strategy shift aimed at boosting earnings and investor confidence.
The oil major, which has underperformed peers such as Shell and Exxon, has come under increasing pressure to change strategy after news US activist investor Elliott Investment Management has built a 5 per cent stake in the company.
BP cut planned annual investment in renewable energy businesses by more than US$5 billion, from its previous forecast, to between US$1.5 billion and US$2 billion a year. It now aims to grow oil and gas production to between 2.3 million and 2.5 million barrels of oil…
