BHP shakes up board as two directors head for exit door

THE world’s largest mining company is to shake up its board after two directors announced they would be stepping down – one after just six months.

BHP Billiton said Grant King, the former chief executive of Australian firm Origin Energy, would not be seeking re-election at its annual general meetings later this year, “owing to concerns expressed by some investors”.

Mr King, who had been considered a frontrunner to replace outgoing chairman Jac Nasser, led Origin for 16 years until 2016. At the time of his appointment in February, Mr Nasser said the move “reflected the board’s commitment to a structured and rigorous approach to board succession and planning”.

However, Mr King was considered a controversial choice after Origin reported a series of writedowns on an illtimed bet to build a $20bn (£16bn) liquid natural gas plant he commissioned in 2015. The BHP chairman role ultimately went to former Amcor boss Ken Mackenzie, who starts on Sept 1.

The FTSE 100 group also announced that former Shell executive Malcolm Brinded would be stepping down after three years on the board as a non-executive. Mr Brinded would not be seeking re-election “given his involvement in ongoing legal proceedings in Italy relating to his prior employment with Shell”, Mr Nasser said. Shell, where Mr Brinded was a director for 10 years until 2012, is facing an investigation over alleged corrupt payments to acquire an oilfield off the shore of Nigeria in 2011.

BHP announced the appointment of two new non-executives, Terry Bowen and John Mogford. Mr Bowen has been finance director of Wesfarmers for eight years. Mr Mogford has 40 years’ experience in the oil and gas sector.