BG Group confirms Helge Lund as new CEO

UK’s BG Group has revealed Statoil’s Helge Lund as Chief Executive and as an Executive Director with effect from 2 March 2015.

Lund is currently the Chief Executive Officer of Statoil, a $77 billion international energy company, operating in 36 countries. Over the past 10 years, Lund has led the transformation of the business into one of the world’s leading oil and gas companies. His decision to step down from Statoil to join BG Group has been announced today.

Prior to his 10 years as CEO of Statoil, Lund served as the CEO of Aker Kvaerner, an industrial conglomerate with operations in oil and gas and shipbuilding. He previously also served in the roles of Deputy CEO and Chief Financial Officer at the pharmaceutical division of Hafslund Nycomed, an industrial conglomerate.

Andrew Gould, Chairman of BG Group, said: “Helge’s track record speaks for itself. He has built a world-class exploration and production portfolio at Statoil, and the company is now widely admired for its technical expertise, financial performance and strong, values-based culture. Helge is ideally suited to lead BG Group in the next phase of its growth, and to accelerate the creation and delivery of value for our shareholders, while delivering the Group’s business plans. The Board and I are delighted to have secured his appointment.”

Helge Lund, incoming Chief Executive of BG Group said: “BG Group is a Company with a strong set of assets and opportunities. I look forward to joining this organisation and working with BG’s people to develop the Company’s full potential.”

@BGGroup appoints Helge Lund as Chief Executive and Executive Director pic.twitter.com/vUFhtNbyxq

— BG Group (@BGGroup) October 15, 2014

Ahead of this appointment, the BG Group Board undertook an extensive global search, led by Andrew Gould.

In light of that process, the Board has concluded that it is in the best interests of the Company and its shareholders to secure the appointment of Helge as Chief Executive given his strong track record, skills and experience, BG has said in a statement.

The Board has approved a remuneration package that is competitive in the international oil and gas industry. The package includes a conditional allocation of shares, along with salary, bonus, pension and long-term incentive awards.

The conditional allocation of shares is outside the Company’s remuneration policy approved by shareholders at its Annual General Meeting in 2014. As such, it requires separate approval by shareholders. A specially convened general meeting will take place before the end of the year.

Andrew Gould commented further: “BG Group has excellent prospects. We will have strong production growth and cash generation over the coming years from our projects in Brazil and Australia. To make the most of this potential, we need to build on our strengths in exploration and LNG and also become a world-class operator. The Company needs a proven leader from the oil and gas industry to deliver the exceptional opportunities available to it. We will be consulting with our shareholders and we are confident that they will be supportive.”