In the period from July to September BP recorded an underlying replacement cost gain, used as an indicator of net income, of $2.3 billion. This result exceeded analysts’ expectations of USD 2.1 billion, reports CNBC. British oil company reported net income of $2.8 billion in the second quarter of the year and $3.3 billion in the third quarter of 2023.
BP continues to focus on oil and gas
British oil company BP reported its weakest quarterly profit in almost four years on Tuesday, weighed down by lower oil prices and lower refining margins. “We have made significant progress since we outlined our six priorities earlier this year to make BP simpler, more focused and more valuable,” said Murray Auchincloss, CEO of BP.
“In the sector oil and gas we see growth potential over a decade by focusing on value rather than volume. We also deeply believe in the opportunities it offers energy transformation – we have established a number of leading positions and will continue to highly value our investments to ensure they remain competitive with the rest of our business.”
BP is not trying to achieve net zero emissions
Shares of London-listed BP have fallen by more than 14% since the beginning of the year, underperforming their European rivals. Investors continue to question the wisdom of the company’s investments. BP’s third-quarter results came shortly after reports emerged that the company had abandoned its commitment to reduce oil and gas production by 2030, abandoning its ambitions to achieve net zero emissions until the middle of the century.
The move, reported by Reuters, is seen as further evidence that BP’s chief executive plans to prioritize short-term returns from the company’s more profitable fossil fuel operations. The company also intends to make several new investments in the Middle East and the Gulf of Mexico in order to increase oil and gas production.
