The Beach Energy Ltd (ASX: BPT) share price is sliding today amid the company's hosting of its annual general meeting (AGM).
At the time of writing, the Beach Energy share price is $1.29, 1.53% lower than its previous close.
Here's what might have sparked the market's negative sentiment today.
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Is Seven Group looking to sell?
Today is the second day in a row the Beach Energy share price has declined.
It dropped 1.8% yesterday after rumours that its major shareholder, Seven Group Holdings Ltd (ASX: SVW) was looking to sell its stake in the company hit headlines.
At today's AGM, Beach Energy chair Glenn Davis announced Ryan Stokes was stepping down as a member of Beach's board. Stokes is the CEO and managing director of Seven Group.
While the board exit might have fanned the rumours of an imminent sell-off, Beach Energy chair Glenn Davis refuted them. Davis asserted:
I can tell you Seven Group Holdings have confirmed that that article is baseless. I also note that Seven Group did acquire another 1.5% of the register last financial year.
What else happened at Beach Energy's AGM?
Beach Energy acting CEO Morné Engelbrecht announced the company had a strong start to financial year 2022.
Beach Energy had a net cash position of $43 million as of 30 September.
The company is on track to deliver on its planned 2025 production of 28 million barrels of oil equivalent. That target excludes potentially successful explorations and pre-final investment decision projects – though, it does include the company's Enterprise Project.
By the end of 2023, Beach Energy expects to have 8 gas plants producing from 5 basins. The plants will deliver gas to 4 markets including the East Coast gas market and the global LNG market.
From financial year 2024, it expects to be in a position of material free cash flow.
Finally, by 2050 Beach Energy plans to be a net zero emissions producer.
Beach Energy share price snapshot
The Beach Energy share price has been struggling lately.
It has fallen 12% over the last month. It is also currently 30% lower than it was this time last year.
