BP plc
Company History
BP History: Founding, Growth & Key Milestones
Founded 1909 in London, United Kingdom
When was BP founded?
BP was founded in 1909 in London, United Kingdom by William Knox D'Arcy and Charles Greenway, making it 117 years old.
- Founded
- 1909
- Founding place
- London, United Kingdom
- Founders
- William Knox D'Arcy and Charles Greenway
- Headquarters today
- London, United Kingdom
- Milestones documented
- 15 (1901–2026)
- Current CEO
- Meg O'Neill
- Acquisitions
- 6
| Year | Event |
|---|---|
| 1901 | D'Arcy Persian Concession |
| 1908 | Discovery of Oil at Masjid-i-Suleiman |
| 1909 | Anglo-Persian Oil Company Incorporated |
| 1914 | British Government Acquires 51% Stake |
| 1954 | Renamed British Petroleum |
| 1970 | North Sea Forties Field Discovery |
| 1987 | UK Government Privatization Complete |
| 1998 | Merger with Amoco Corporation |
| 2000 | Beyond Petroleum Rebrand |
| 2010 | Deepwater Horizon Disaster |
| 2020 | Net-Zero Commitment and Dividend Cut |
| 2024 | Auchincloss Confirmed as CEO |
| 2025 | Strategy Reset and Bumerangue Discovery |
| 2025 | CEO Change and Castrol Sale Agreed |
| 2026 | O'Neill Takes Over and Simplifies BP |
- Where was BP founded?
- BP was founded in London, United Kingdom in 1909.
- Who founded BP?
- BP was founded by William Knox D'Arcy and Charles Greenway.
- When did BP start?
- BP was founded in 1909.
- How old is BP?
- BP is 117 years old as of 2026.
Founding Story
In 1901 William Knox D'Arcy, an English-born lawyer who had grown rich from Australia's Mount Morgan gold mine, won a 60-year oil concession from the Shah of Persia covering about three-quarters of the country. Years of fruitless drilling drained his money, and in 1905 the Burmah Oil Company took on most of the cost. On May 26, 1908, engineer George Reynolds struck oil at Masjid-i-Suleiman, the first commercial oil find in the Middle East. Burmah and D'Arcy formed the Anglo-Persian Oil Company in April 1909 to develop it, and in 1914 the British government bought a controlling stake to secure fuel oil for the Royal Navy.
Founders
William Knox D'Arcy
William Knox D'Arcy (1849-1917) financed the search that created BP. In 1901 he obtained a 60-year concession from the Shah of Persia to explore for and produce oil across about three-quarters of the country, paying £20,000 in cash, £20,000 in shares and 16% of annual profits. He hired engineer George Reynolds to lead drilling in the hot, remote south-west of Persia, but years of dry or disappointing wells drained his fortune. In 1905 the Burmah Oil Company joined through the Concessions Syndicate and took on most of the cost. By 1908 the backers were ready to give up; Reynolds kept drilling, and on May 26, 1908 his well at Masjid-i-Suleiman struck oil, the first commercial discovery in the Middle East. In April 1909 Burmah and D'Arcy formed the Anglo-Persian Oil Company to develop the field, with D'Arcy as a director. In 1914 the British government bought a 51% stake to secure fuel oil for the Royal Navy, which set the company's course for the next seven decades. D'Arcy died in 1917. Education: Westminster School. William Knox D'Arcy was born in 1849.
Charles Greenway
Charles Greenway (1857-1934) was not among the 1909 incorporators but became the executive who turned Anglo-Persian into a working oil company. A partner in Shaw Wallace & Co, the Indian trading house that acted as Burmah Oil's agent, he joined Anglo-Persian's board in 1910, became managing director and served as chairman from 1914 to 1927. He negotiated the 1914 agreement under which the British government, with Winston Churchill at the Admiralty, paid ~$2.9 million (£2.2 million) for a controlling stake and signed a long-term fuel-oil contract for the Royal Navy. That deal gave the company the money to expand the Abadan refinery and build tanker, distribution and marketing businesses, laying the foundations of the BP brand. He was made Baron Greenway in 1927. (Exact birth year remains publicly undisclosed).
Key Milestones
D'Arcy Persian Concession
William Knox D'Arcy obtains a 60-year oil concession from the Shah of Persia covering about 480,000 square miles, roughly three-quarters of the country, in exchange for £20,000 in cash, £20,000 in shares and 16% of annual profits. The concession becomes the foundation of the company that will become BP.
Source: en.wikipedia.orgDiscovery of Oil at Masjid-i-Suleiman
After seven years of expensive and largely unsuccessful drilling, field manager George Reynolds strikes oil at Masjid-i-Suleiman in south-west Persia on May 26, 1908. It is the first commercial oil discovery in the Middle East.
Source: en.wikipedia.orgAnglo-Persian Oil Company Incorporated
The Anglo-Persian Oil Company is formally incorporated in April 1909, with William Knox D'Arcy and the Burmah Oil Company as principal backers. The company begins construction of the Abadan refinery on the Persian Gulf and a 140-mile pipeline from the Masjid-i-Suleiman field.
Source: en.wikipedia.orgBritish Government Acquires 51% Stake
At the urging of Winston Churchill, First Lord of the Admiralty, the British government pays ~$2.9 million (£2.2 million) for a 51% stake in Anglo-Persian and signs a long-term fuel-oil supply contract for the Royal Navy, which is converting its fleet from coal to oil.
Source: en.wikipedia.orgRenamed British Petroleum
Following the 1953 resolution of the Iranian nationalization crisis and the Shah's restoration to power, the company renames itself British Petroleum Company. A new oil consortium replaces the exclusive Anglo-Iranian concession, giving American, Dutch, and French oil companies their first equity stakes in Iranian production while British Petroleum retains a 40% share.
Source: en.wikipedia.orgNorth Sea Forties Field Discovery
BP discovers the Forties field in the UK North Sea, one of the largest oil fields ever found in British waters. Together with Alaska's Prudhoe Bay, it gives BP politically secure production just as Middle Eastern governments take control of their oil.
Source: en.wikipedia.orgUK Government Privatization Complete
The Thatcher government completes the privatization of its remaining 31.5% stake in BP through a global share offering timed for October 1987 weeks before the global stock market crash known as Black Monday disrupted the sale and left underwriters with unsold shares. The privatization is eventually completed and marks BP's transformation from a state-controlled strategic asset to a fully commercial publicly traded company.
Source: en.wikipedia.orgMerger with Amoco Corporation
BP merges with Chicago-based Amoco Corporation in a deal valued at approximately $48.2 billion the largest industrial merger in history at the time. The combined company becomes BP Amoco, with operations in 100 countries and production of approximately 2.5 million barrels per day. The merger gives BP a commanding US retail fuel presence through Amoco's 9,000+ service stations and significant Gulf of Mexico and North American upstream assets.
Source: en.wikipedia.orgBeyond Petroleum Rebrand
Under then-CEO Sir John Browne, BP launches the 'Beyond Petroleum' rebranding campaign, introducing the sunflower logo still in use today and publicly positioning the company as an energy company committed to addressing climate change. BP invests in solar energy through its BP Solar subsidiary and becomes the first major oil company to acknowledge the scientific consensus on climate change a positioning that earns significant media attention but whose financial substance remains limited at this stage.
Source: en.wikipedia.orgDeepwater Horizon Disaster
The Deepwater Horizon drilling rig, operating on the Macondo well in the Gulf of Mexico under contract to BP, suffers a catastrophic blowout on April 20, 2010, killing 11 workers and triggering the largest marine oil spill in US history approximately 4.9 million barrels of crude oil released over 87 days. BP ultimately pays more than $65 billion in total costs including cleanup, compensation, fines, and legal settlements.
Source: en.wikipedia.orgNet-Zero Commitment and Dividend Cut
Under new CEO Bernard Looney, BP sets a net-zero ambition for 2050 and, in August 2020, pledges to cut oil and gas production by 40% by 2030 and raise low-carbon investment to about $5 billion a year. It also halves its dividend, the first cut since the payout was suspended after Deepwater Horizon in 2010, as COVID-19 hits fuel demand.
Source: en.wikipedia.orgAuchincloss Confirmed as CEO
Murray Auchincloss, BP's CFO since 2020 and interim chief since Bernard Looney's September 2023 exit, is confirmed as permanent CEO in January 2024. During the year BP slows low-carbon spending, completes its takeover of solar developer Lightsource bp in October, and agrees in December to combine its offshore wind business with Japan's JERA in a 50:50 joint venture, JERA Nex bp.
Source: en.wikipedia.orgStrategy Reset and Bumerangue Discovery
In February 2025 BP cuts planned transition investment to $1.5-2 billion a year, raises upstream spending to about $10 billion a year and targets $20 billion of divestments and $14-18 billion of net debt by 2027. In August it announces the Bumerangue discovery offshore Brazil, its largest in 25 years. Full-year revenue is $189.3 billion and underlying replacement-cost profit $7.5 billion.
Source: bp.comCEO Change and Castrol Sale Agreed
On December 17, 2025 BP says Murray Auchincloss will step down and names Woodside Energy CEO Meg O'Neill as his successor from April 2026, with Carol Howle as interim CEO. A week later BP agrees to sell 65% of Castrol to Stonepeak at an enterprise value of $10.1 billion, keeping a 35% stake.
Source: bp.comO'Neill Takes Over and Simplifies BP
Meg O'Neill becomes CEO on April 1, 2026. The board removes chair Albert Manifold on May 26 over governance and conduct concerns and names Ian Tyler interim chair, confirming him as permanent chair on September 2. On July 1 BP switches to two segments, Upstream and Downstream, and in August it completes the sale of the Gelsenkirchen refinery in Germany to Klesch Group.
Source: bp.comMajor Acquisitions
Amoco Corporation
1998BP's acquisition of Chicago-based Amoco Corporation was driven by the strategic logic of combining BP's European and global upstream assets with Amoco's extensive North American portfolio particularly Amoco's significant positions in the Gulf of Mexico deepwater, the Permian Basin, and Rocky Mountain natural gas. The merger also gave BP a commanding US retail fuel presence through Amoco's approximately 9,000 service stations, predominantly in the Midwest and Southeast. At $48.2 billion it was the largest industrial merger in history at the time of its announcement in August 1998.
ARCO (Atlantic Richfield Company)
2000The $27 billion acquisition of ARCO followed the Amoco deal and was motivated primarily by ARCO's Alaska North Slope production assets including a 22% stake in the Prudhoe Bay field (the largest oil field in North America) and associated infrastructure and its significant deepwater Gulf of Mexico portfolio. ARCO's ARCO-branded retail fuel stations on the US West Coast (primarily California and the Pacific Northwest) also provided BP with a major retail fuel presence in the western United States.
Castrol Limited
2000BP acquired Castrol the world's leading premium lubricant brand for approximately $4.7 billion as part of its strategy to build a high-margin, branded consumer products business that would be less cyclically sensitive than its upstream and downstream commodity operations. Castrol's global brand strength, particularly in Asian automotive markets, and its technology leadership in synthetic lubricant formulation made it a compelling acquisition target that no other oil major had managed to secure.
Lightsource Renewable Energy (43% stake, later 100%)
2017In December 2017 BP agreed to invest $200 million for a 43% stake in Lightsource, one of Europe's largest solar developers, giving it a utility-scale solar platform without building one from scratch. The business was renamed Lightsource BP and later became a 50:50 joint venture.
Archaea Energy
2022BP bought Archaea Energy, a US producer of renewable natural gas from landfill methane, for $4.1 billion in cash ($26 per share) plus about $800 million of net debt, to build a bioenergy business that earns premium prices under US renewable fuel programmes.
TravelCenters of America
2023BP acquired TravelCenters of America for about $1.3 billion ($86 per share) to add a nationwide network of roughly 280 highway travel centers serving trucks and motorists in the US.
Keep researching BP
BP Company History FAQ
What are the major historical eras in the evolution of BP plc?
BP's history spans its 1908 Persian oil discovery, 1914 British government backing, North Sea and Alaska discoveries (1960s, 1970s), Thatcher's 1987 privatization, mega-mergers with Amoco and ARCO (1998 to 2000), surviving the 2010 Deepwater Horizon spill, and the modern integrated energy transition.
What role did BP play in the Trans-Alaska Pipeline System (TAPS)?
After BP and its partners found oil at Prudhoe Bay in 1968-1969, BP became one of the main owners of Alyeska Pipeline Service Company, which built the 800-mile Trans-Alaska Pipeline. It opened in 1977 and has carried more than 18 billion barrels of North Slope crude.
What occurred during the April 20, 2010 Deepwater Horizon disaster in the Gulf of Mexico?
A sudden high-pressure methane gas blowout ignited the Deepwater Horizon drilling rig 41 miles off the coast of Louisiana, killing 11 crew members, sinking the rig, and discharging approximately 4.9 million barrels of crude oil over 87 days before being capped on July 15, 2010.
How did BP restructure after the 2010 Deepwater Horizon disaster?
Under CEO Bob Dudley, BP set aside a $20 billion claims fund, sold assets worth more than its $38 billion target by 2013, including the Texas City refinery, and agreed an $18.7 billion settlement with the US government and Gulf states in 2015.
What changed at BP in 2025 and 2026?
BP reset its strategy in February 2025 around oil and gas, agreed to sell 65% of Castrol in December 2025, suspended buybacks in February 2026, appointed Meg O'Neill as CEO from April 1, 2026, replaced its chair in May 2026, and reorganised into Upstream and Downstream segments from July 1, 2026.
How did BP handle the immediate outbreak of the war in Ukraine in 2022?
On February 27, 2022, BP became the first global energy major to announce a complete exit from Russia, writing off its $24.4 billion equity stake in Rosneft and resigning its two board seats on the company.
When did BP inaugurate the large Argos deepwater offshore platform in the Gulf of Mexico?
In April 2023, BP brought the Argos floating production unit online in the deepwater Gulf of Mexico (Mad Dog 2 project), a 27-story semi-submersible platform capable of pumping 140,000 barrels of oil per day.
What is BP's strategic vision for the future of global energy?
BP's vision is to deliver secure, affordable, and lower-carbon energy to the world by operating resilient, high-margin hydrocarbons while scaling low-carbon biofuels, EV charging networks, and renewable power infrastructure toward net zero by 2050.
Was BP originally the Anglo-Persian Oil Company?
Yes, BP was originally founded as the Anglo-Persian Oil Company in 1909 to extract oil from a massive concession in Iran, later rebranding to British Petroleum in 1954.
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