ConocoPhillips, the largest independent oil exploration and production company in the U.S., has announced a succession plan with Andy O’Brien set to succeed Ryan Lance as CEO next month. Lance will step down after 14 years as CEO to become executive chairman.

Challenges Ahead

O’Brien, currently chief financial officer and a nearly 30-year company veteran, will take over on September 1. He will inherit a major Alaska oil project to complete, costs to control, and a share price that has recently lagged peers, analysts and investors said.

The company is partway through a multiyear plan to add $7 billion in free cash flow by 2029, with the pricey Willow oil project in Alaska underpinning nearly 75% of this growth plan. O’Brien’s priority is achieving the company’s outlined goals, including delivering major projects and a cost reduction program.

ConocoPhillips has also been cutting costs, with a plan to lay off up to 25% of global staff announced last year. The company is targeting production to start in 2029 and has been working to control costs, which had crept up $2 per barrel over three years.

Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.