Woodside Energy slumps after O'Neill's resignation drives negative market sentiment
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More news: Woodside Energy shares slumped 1.84% to $22.99 at 10:43am AEDT after the announcement of CEO Meg O'Neill's resignation.
RBC Capital Markets analyst Gordon Ramsay said he has a negative view on the news, despite maintaining an “outperform” rating on the company with a price target of $33.50.
Ramsay said he acknowledged Liz Westcott’s temporary appointment as acting CEO, noting her strong operating focus as executive vice president and chief operating officer of Australia, as well as her "continued strong asset performance and new project execution", which he described as critical delivery factors for Woodside.
What they said: "The Woodside Board has highlighted the company has a number of highly qualified internal candidates, and we note seven EVP’s report directly to the CEO who have capability to possibly fill Meg’s role," Ramsay said.
Woodside Energy CEO Meg O'Neill resigns for BP top job
The news: Woodside CEO and managing director Meg O'Neill has resigned from the company and accepted the role of chief executive of rival oil and gas giant BP.
Woodside has appointed its executive vice president and chief operating officer Liz Westcott as acting CEO, effective immediately.
The context: O'Neill, who was appointed Woodside CEO in 2021, will continue to receive benefits in accordance with her contract until the end of her gardening leave period on 30 March 2026.
She will not be eligible for any incentive payments for FY25 and all unvested performance rights and restricted shares for prior years will lapse.
Westcott was previously COO at Energy Australia, following a 25-year career at ExxonMobil. She will receive an annualised salary of $1.8 million, including a higher duties allowance of $600,000 gross per year.
What they said: "The board's ongoing focus on CEO succession planning means Woodside is fortunate to have a number of highly qualified internal candidates as we also assess external talent options to ensure the best possible CEO appointment," said Woodside chair Richard Goyder.
"We are well positioned to conclude this process efficiently with the intention of announcing a permanent appointment in the first quarter of 2026."
The source: ASX
