Building a world of
resilient communities.

MAIN LIST

 

Oil prices boosting BP's fortunes

Oil giant BP has reported buoyant trading in the three months to September, with production up by 11%, on the back of soaring crude prices.

BP's coffers have been boosted by oil's record breaking run as crude continues to flirt with the $50-a-barrel mark.

Meanwhile, the firm plans to continue its share buy-back programme.

Overall production in the third quarter rose to 3.88 million barrels of oil a day, while production for the year is expected to show a 10% increase.

Russia delivers

The UK's biggest company said output was driven largely by its Russian interests from its TNK-BP venture which has ramped up production.

Excluding TNK-BP, BP's production in the third quarter fell to 2.93 million barrels a day, down from 3.08 million in the second quarter due to planned maintenance in both the North Sea and Alaska.

The operational impact of Hurricane Ivan in the Gulf of Mexico and a blow-out at Temsah in Egypt was partially offset by oil from new fields in Algeria and Angola which started flowing during the quarter, BP said.

Buybacks

Refining margins rose on the year but were down from the record levels seen in the three months to June.

Gas marketing margins are expected to be down "significantly" compared with the previous quarter, the company added.

BP said its full-year profits would rise by about $570m (£318m) for every $1 rise in the Brent crude oil price.

However, increases in export duty rates in Russia, which took effect on 1 August, will cut pre-tax earnings by around $100m in the third quarter, BP said.

The company has promised that it will return cash to shareholders either through buybacks or higher dividends, providing oil prices stay above $20 a barrel.

What do you think? Leave a comment below.

Sign up for regular Resilience bulletins direct to your email.

Take action!  

Find out more about Community Resilience. See our COMMUNITIES page
Start your own projects. See our RESOURCES page.
Help build resilience. DONATE NOW.

 

This is a community site and the discussion is moderated. The rules in brief: no personal abuse and no climate denial. Complete Guidelines.


Hundreds Rally in Alaska to Tell Obama ‘Climate Leaders Don’t Drill the Arctic’

Climate groups rallied in Anchorage, Alaska to demand that the U.S. …

U.S. tight oil production decline

U.S. oil production has begun to drop in response to low oil prices, but not …

Europe Oil Consumption Peaked in 2005

Consumption peaked 7 years after the production peak and is falling now in …

Peak Oil Review - Aug 31

 A weekly roundup, including: -Oil and the global economy -The Middle …

Peak Oil Notes - Aug 27

A midweek update. Oil prices fell sharply on Monday in response to another …

Deflationary Collapse Ahead?

Both the stock market and oil prices have been plunging. Is this “just …

My Chicken of an EV

A little over two years ago, my wife and I entered a new phase of life in …