Petroleum giant BP continues to stumble with two full years of losses in part due to the Deepwater Horizon disaster for which the company was responsible. However, CEO Bob Dudley states the company is getting back on track for gains with a combination of additional retail sites, investments in low-cost, long term oil contracts, and a general uptick in gas interests.
Key Takeaways:
- BP’s full year financials for 2016 have revealed a second consecutive year of loss, partly offset by the success of the downstream business.
- The downstream fuels business reported an underlying replacement cost profit before interest and tax of $417 million for the fourth quarter and $3.7 billion for the full year, compared with $888 million and $5.9 billion for the same periods in 2015.
- The London head office report said results reflected a significantly weaker refining environment, with adverse impacts partly offset by increased fuels marketing performance driven by retail growth, higher refining margin capture in operations, and lower costs from simplification and efficiency programmes.
“The full year report said adverse impacts were partly offset by increased fuels marketing performance driven by retail growth, higher refining margin capture in operations, and lower costs from simplification and efficiency programmes.”
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