BP restructures into upstream and downstream units

The British multinational oil and gas company BP announced a major reorganization on Tuesday, June 9, consolidating its operations into two core business segments effective July 1. The move, under new Chief Executive Meg O’Neill, is designed to simplify the corporate structure, accelerate decision-making, and improve performance.

The company will shift from its current three-segment model to an upstream division, focused on resource development and production, and a downstream division, focused on customers and markets. Gordon Birrell, a company veteran with decades of experience, has been appointed Executive Vice President of Upstream. Richard Harding, who came out of retirement in April, will serve as interim Executive Vice President of Downstream while a permanent executive is recruited.

In a statement, O’Neill said the restructuring is a critical step in accelerating the company's strategic delivery. She stated that focusing BP around two distinct segments will reduce complexity and strengthen execution. O’Neill, who took over as CEO earlier this year, has emphasized streamlining operations, reducing costs, and strengthening the balance sheet to increase shareholder returns.