LONDON, Feb 3 (Reuters) - UK and European pension funds and activist shareholder ACCR are pushing BP to publish more information to prove its strategy of shifting spending from low-carbon to oil and
Pension Funds and ACCR Demand BP Justify Shift to Oil and Gas Strategy
Pressure on BP to Justify Oil and Gas Investments
LONDON, Feb 3 (Reuters) - UK and European pension funds and activist shareholder ACCR are pushing BP to publish more information to prove its strategy of shifting spending from low-carbon to oil and gas projects will boost shareholder value.
Details of the Shareholder Resolution
A year ago, BP under then CEO Murray Auchincloss announced the strategy reset back to hydrocarbons, saying this would improve profitability, after an ill-fated foray into renewables under his predecessor Bernard Looney.
Upcoming Leadership Change at BP
ACCR said on Tuesday that it filed a resolution, co-filed by a group managing 191 billion pounds ($262 billion) in assets, calling on BP to provide more details on why it thinks shifting more spending into oil and gas will deliver better value for shareholders.
It wants BP to publish the relative cost-competitiveness of each project, how the company accounts for cost overruns and delays and how continued spending on oil and gas exploration pays off.
The resolution will be tabled at BP's annual general meeting expected in April or May.
BP declined to comment.
NEW BP CEO STARTS IN APRIL
The British oil major is striving to improve its profitability and share performance, which for years has lagged competitors like Exxon.
Auchincloss abruptly exited the top job in December and will be replaced in April by Meg O'Neill, an Exxon veteran and most recently CEO of Australia's Woodside Energy.
The co-filers of the resolution represent 0.42% of BP's share capital, with Greater Manchester Pension Fund making up the largest proportion at 0.23%, a spokesperson for ACCR said. Other co-filers included London CIV, PUBLICA, Merseyside Pension Fund, Nest and Wales Pension Partnership.
Last year, a resolution by ACCR questioning Shell's bullishness on liquefied natural gas markets drew around 21% support of shareholders.
($1 = 0.7300 pounds)
(Reporting by Shadia Nasralla; Editing by Susan Fenton)
