THE TELEGRAPH: Tony Hayward has resigned as chief executive of BP, after the energy giant announced a record $17bn loss this year on the Gulf of Mexico oil spill.
The oil company also said that Bob Dudley, the American in charge of BP’s oil spill response unit, will now take over on October 1 and lead the company through an accelerated programme of $30bn in asset sales. BP made “clean” profits of $5bn, stripping out the effect of inventory changes and exceptionals, but took a $32.2bn pre-tax charge on the oil spill.
This is made up of a $20bn compensation fund for victims, clean-up charges and provisions for funding costs. The “clean” profits are a 74pc rise in last year’s figure of $2.9bn, as a result of higher oil prices and more efficient operations. BP will now press ahead with becoming smaller and more profitable, selling $30bn of exploration and production assets in the next 18 months.
Mr Dudley will also have to navigate a criminal investigation into the spill, a slew of litigation and ward off rivals seeking to pounce on the company's trophy assets. Dudley, who ran BP's troubled Russian joint venture, TNK-BP, said last month that for BP to "remain strong and viable in the US, it has a great deal of work to do." >>> Rowena Mason | Tuesday, July 27, 2010
DAILY EXPRESS: BP Boss Tony Hayward Sent to Siberia in £12m Exit Deal: BP boss Tony Hayward is to be sent to Siberia in a £12million exit deal designed to quell outrage in the United States, it emerged last night. >>> Padraic Flanagan | Tuesday, July 27, 2010
