BP’s top man in the north-east, Bernard Looney, has been promoted in a top-level shake-up at the company in the wake of the Gulf of Mexico disaster.
The changes include a new safety division with “sweeping powers”.
Mr Looney is leaving his job as North Sea managing director after less than two years to take up a new role leading the group’s global developments in a revamped upstream division.
BP said it was splitting its core upstream arm into three units: exploration, project development and production as it took the first steps in rebuilding confidence shattered by the Deepwater Horizon catastrophe.
Bob Dudley, who takes over from embattled chief executive Tony Hayward tomorrow, ousted the group’s exploration and production chief and promised a widespread overhaul of the company to boost safety.
The Deepwater Horizon oil rig blew up on April 20, killing 11 workers and causing the worst spill in US history.
Andy Inglis, head of BP exploration and production – under whose remit the Macondo well blowout came – is leaving the company.
BP is also to review how it manages third-party contractors and encourages “excellence in safety and risk management”, including a complete rethink of bonuses and rewards.
Mr Dudley said: “These are the first and most urgent steps in a programme I am putting in place to rebuild trust in BP – the trust of our customers, of governments, of our employees, and of the world at large.”
He added: “The changes are in areas where I believe we most clearly need to act, with safety and risk management our most urgent priority.”
Ireland-born Mr Looney, 40, replaced Dave Blackwood as North Sea managing director in January last year but has been with BP since 1991.
Speaking after his promotion to executive vice-president of developments, Mr Looney said: “I am delighted to take on this new, global role at what is a very important time for our company. At the same time I am, of course, very sad to leave BP’s North Sea business.
“I am confident that BP’s North Sea business will continue to go from strength to strength and I leave with many fond memories.”
The new job starts tomorrow, as does the start of BP’s search for a new North Sea boss. Trevor Garlick, vice-president resources, BP North Sea, has been named as acting managing director.
BP said changes at the company needed to go “beyond deepwater drilling”.
The new safety division will be headed by Mark Bly, currently head of BP’s safety and operations, and will have the authority to intervene in all aspects of the group’s activities.
Expert safety staff will be placed throughout the company, including in exploration projects and refineries.
Mr Dudley said in a message to staff: “This is a deeply challenging time for BP. The Macondo incident was a tragedy that claimed the lives of 11 people, caused injury to many others and had a widespread environmental impact.
“There are lessons for us relating to the way we operate, the way we organise our company and the way we manage risk.”
BP has faced scathing attacks for its handling of the crisis and investigations are continuing into the cause of the disaster.
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