BP launches North Sea oil project as part of fossil fuel push

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BP (NYSE:BP [https://seekingalpha.com/symbol/BP]) has brought its Murlach project in the U.K. North Sea online, marking the company’s sixth major energy startup of 2025. The move underscores BP’s renewed emphasis on oil and gas production after years of weaker performance and a tilt toward low-carbon ventures.

The six new developments, two oil projects and four gas projects, are expected to deliver a combined 150,000 barrels of oil equivalent per day at peak. Murlach, a redevelopment project that taps into existing offshore infrastructure, will contribute about 15,000 barrels a day, the company said [https://www.bp.com/content/dam/bp/business-sites/en/global/corporate/pdfs/news-and-insights/press-releases/bp-delivers-on-six-start-ups-in-2025.pdf] Thursday.

The rollout comes as BP leadership presses for faster execution of its turnaround plan. Chairman Albert Manifold, who took up his role this month, has urged employees to accelerate delivery on Chief Executive Murray Auchincloss’s strategy. That plan includes lifting annual investment in oil and gas by roughly 20% to $10 billion.

Murlach “marks another important milestone in our plan to deliver 10 major upstream oil and gas projects by the end of 2027,” Ewan Drummond, BP’s (NYSE:BP [https://seekingalpha.com/symbol/BP]) senior vice president for projects, said in a statement. He said the new assets are coming online ahead of schedule and at or under budget.

In addition to Murlach, BP’s (BP [https://seekingalpha.com/symbol/BP]) 2025 lineup includes projects in Egypt, the U.S. Gulf of Mexico, Trinidad and Tobago and West Africa. Together, they advance the company’s target of adding 250,000 barrels of oil equivalent per day by 2027, and ultimately reaching between 2.3 million and 2.5 million barrels a day by 2030.

Rivals are charting their own growth paths. ExxonMobil (XOM [https://seekingalpha.com/symbol/XOM]) expects output of 5.4 million barrels per day by 2030, while TotalEnergies (TE [https://seekingalpha.com/symbol/TE]) is aiming for 3% annual hydrocarbon growth. Chevron (CVX [https://seekingalpha.com/symbol/CVX]) currently produces 3.2 million barrels a day and has projected 6% growth through 2026, with updated long-term targets (factoring in its Hess acquisition) due later this year.

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