BP faces growing shareholder pressure as it prepares to publish full-year results this week. Analysts expect weaker profits after oil prices fell for a third consecutive year in 2025. City forecasts suggest profits of about $7.5bn, down from nearly $9bn last year. Fourth-quarter earnings likely suffered as crude prices dropped below $60 a barrel.
Incoming chief executive Meg O’Neill will face demands for a clearer long-term strategy. Investors want BP to address declining fossil fuel demand and recent climate policy reversals. Activist shareholders, led by Follow This, have filed a resolution calling for tighter control of oil and gas spending.
BP restarted its focus on fossil fuels last year, launching seven new oil and gas projects. The move followed a retreat from renewable energy investments. Some analysts see improving sentiment, with Citi noting BP’s shares have recently outperformed European rivals. However, comparisons with Shell highlight stronger growth elsewhere.
Campaigners warn new fossil fuel projects may prove financially unsustainable. They point to electric vehicles and clean energy reducing oil demand. The International Energy Agency expects global oil demand to decline from about 2030. Shareholders now want BP to show it can adapt before market conditions worsen.
