BP dissapointed private investors as the share price slid even though a
Massive 136 percent jump in profits were recorded for the last quarter.
This was already expected and comments from Lord Browne saying falls in oil expected have brought also helped the stock down.
He says can stand oil price even below $16 pb
The hostage situation in Nigeria getting bad maybe BP putting on some weight today?
Locals want enviroment cleaned up and profits shared.
Any chance?

Exane BNP Paribas Outperform 441.95 550.00 550.00 Reiterates

Bank of America Merrill Lynch Buy 441.95 530.00 530.00 Reiterates

QTR 3 results Tuesday 29th October

3rd Quarter Results

· BP's third-quarter replacement cost (RC) profit was $3,178 million, compared with $4,534 million a year ago. After adjusting for a net charge for non-operating items of $522 million and net favourable fair value accounting effects of $8 million (both on a post-tax basis), underlying RC profit for the third quarter was $3,692 million, compared with $5,017 million for the same period in 2012. For the nine months, RC profit was $22,174 million, compared with $9,419 million a year ago. After adjusting for a net gain for non-operating items of $11,536 million and net favourable fair value accounting effects of $19 million (both on a post-tax basis), underlying RC profit for the nine months was $10,619 million, compared with $13,219 million for the same period last year. RC profit or loss for the group, underlying RC profit or loss and fair value accounting effects are non-GAAP measures and further information is provided on pages 3, 19 and 21.

· All amounts relating to the Gulf of Mexico oil spill have been treated as non-operating items, with a net adverse impact on a pre-tax basis of $39 million for the quarter and $280 million for the nine months. For further information on the Gulf of Mexico oil spill and its consequences, including information on utilization of the Deepwater Horizon Oil Spill Trust fund, see page 12 and Note 2 on pages 25 - 30. Information on the Gulf of Mexico oil spill is also included in Legal proceedings on pages 35 - 37.

· Including the impact of the Gulf of Mexico oil spill, net cash provided by operating activities for the quarter and nine months was $6.3 billion and $15.7 billion respectively, compared with $6.2 billion and $14.1 billion in the same periods of 2012. Excluding amounts related to the Gulf of Mexico oil spill, net cash provided by operating activities for the third quarter and nine months was $6.3 billion and $15.9 billion respectively, compared with $6.4 billion and $17.1 billion in the same periods last year.

· Net debt at the end of the quarter was $20.1 billion, compared with $31.3 billion a year ago. The ratio of net debt to net debt plus equity at the end of the quarter was 13.3% compared with 20.9% a year ago. Net debt and the ratio of net debt to net debt plus equity are non-GAAP measures. See page 4 for more information.

· Total capital expenditure for the third quarter was $5.9 billion, all of which was organic(d). For the nine months, total capital expenditure was $29.4 billion (including the Rosneft transaction), of which organic capital expenditure was $17.5 billion. Organic capital expenditure for the full year 2013 is expected to be $24 - $25 billion with a similar level of expenditure expected in 2014. Organic capital expenditure through 2020 is expected to be $24 - $27 billion per annum. Disposal proceeds received in cash were $0.4 billion for the quarter and $21.6 billion for the nine months. BP intends to continue to focus its global business portfolio around key assets and strategic strengths, and, as a result, expects to divest a further $10 billion of assets before the end of 2015. Post-tax proceeds from these divestments are expected to be used predominantly for additional distributions to shareholders, with a bias for share buybacks.

· BP today announced a quarterly dividend of 9.5 cents per ordinary share ($0.57 per ADS), which is expected to be paid on 20 December 2013. The corresponding amount in sterling will be announced on 9 December 2013. See page 4 for further information. Moving forward, BP's board intends to review the level of dividend with the first and the third quarter results each year.

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Looking for another assault on 480p.

Prime Markets Buy 473.43 500.00 500.00 Reiterates

Investec Hold 473.43 440.00 440.00 Retains

Merrill Lynch note today:
"BP has reported a healthy set of 3Q13 results, with adjusted net income coming in 16% ahead of the consensus (US$3.7bn vs. consensus of US$3.2bn). At the operating level, adjusted operating profit of US$5.8bn was 10% ahead of the consensus (US$5.8bn vs consensus at U$5.3bn). BP also announced a 6% increase in its quarterly dividend, from US$0.09/share to US$0.095/share. Following this morning’s release, we expect consensus EPS estimates for 2013 to rise 2 to 3%.
Relative to the consensus and our expectations, BP’s results were strong across the board, with every reporting line coming ahead of expectations. IN particular, the Key sources of the beat were: (1) Rosenft, where stronger netbacks saw an 11% beat relative to consensus; (2) the corporate and other line, which benefitted from lower corporate costs and (3) a positive consolidation adjustment (a nonforecastable item to account for intercompany oil sales between the upstream and downstream). The core upstream and downstream divisions were in line with expectations, coming in 1% & 2% ahead of the consensus respectively
BP indicated that 4Q production will be in line 3Q; a touch disappointing relative to our expectations. Further, 4Q costs are expected to increase relative to 3Q owing to one off tax benefits enjoyed in 3Q.
BP’s provisions for the Macondo incident were US$42.5bn, a US$0.4bn decrease relative to 2Q13 (relating to the favourable ruling gained relating to the PSC). We find it encouraging that further material provisions were not incurred during the quarter.
Whilst BP’s dividend hike to US$0.095/share represented a minor shortfall relative to our US$0.1/share forecast (significantly above consensus, which was not expecting an increase), BP has indicated it will now be reviewing the dividend Bi annually (in 1Q and 3Q), giving scope for further increases in the coming quarters.
Despite uncertainties regarding the ultimate cost of the Macondo incident, BP remains our preferred name amongst the European majors (i.e. vs. RD Shell and Total), a view underpinned by: (1)The company’s underappreciated cash flow growth outlook driven by a compelling margin expansion strategy and capital discipline, (2)Sector leading dividend growth (3) An underappreciated growth/value creation story in Russia; (4)Our expectation that the long running Macondo saga will affect cash generation less acutely than the market thinks, and (5) A valuation gap (21% discount to peers on ’14E P/E) which we believe is increasingly unjustified."

Full list of today's broker recs.

Societe Generale Buy 488.25 490.00 530.00 Upgrades

Investec Hold 488.25 440.00 460.00 Retains

RBC Capital Markets Sector Performer 488.25 530.00 530.00 Reiterates

Exane BNP Paribas Outperform 488.25 550.00 550.00 Reiterates

Goldman Sachs Neutral 488.25 450.00 440.00 Reiterates

Macquarie Outperform 488.25 - 550.00 Retains

JP Morgan Cazenove Overweight 488.25 515.00 540.00 Reiterates

Barclays Capital Underweight 488.25 485.00 485.00 Reiterates


Bank of America Merrill Lynch Buy 488.25 530.00 530.00 Reiterates

Deutsche Bank Buy 488.25 500.00 520.00 Reiterates

StockMarketWire.com
BP has confirmed a significant oil discovery at its Gila prospect, which it co-owns with ConocoPhillips, in the deepwater US Gulf of Mexico.

This is BP's third discovery in recent years in the emerging Paleogene trend in the Gulf of Mexico and reflects the company's ongoing commitment to the US offshore region. BP has previously announced two other Paleogene discoveries in the Gulf of Mexico - Kaskida in 2006 and Tiber in 2009.

The Gila discovery was made by an exploration well on Keathley Canyon Block 93, about 300 miles southwest of New Orleans, in approximately 4,900 feet of water. The well, which penetrated multiple Paleogene-aged reservoir sands, was drilled to a total depth of 29,221 feet.

Appraisal drilling, including completion of drilling through the Paleocene section, will be required to determine the size and potential commerciality of the discovery. Regional president of BP's Gulf of Mexico business, Richard Morrison, said: "The Gila discovery is a further sign that momentum is returning to BP's drilling operations and well execution in the Gulf of Mexico."

RBC note today:
"BP has issued an exploration update, containing a mixed bag of good and not good news, with confirmation of a significant discovery in US Gulf of Mexico offset by a $1080m write off.

BP has announced a "significant discovery" at Gila prospect (80% BP) in the Gulf of Mexico (ultra deepwater). This is the third Paleogene discovery BP has made in the Gulf of Mexico, following Kaskida in 2006 and Tiber in 2009 (Gila is around 25m west of Tiber). The news is positive but BP has previously highlighted the potential of Gila. As yet no reserves indication is available, but industry convention tends to assign a scale of around 200mb+ for the description "significant", and this would be around 1% of BP's total global reserves (16804mboe at end 2012). However, this is also an expensive well - the rig has been drilling since March 2013 and was drilled to a total depth of 29,221 feet (around 8,900m). The next step will be to do further appraisal on Gila, and in our view BP will be looking at options for potential sell down of its high stakes in these Paleogene discoveries.
BP has also announced that the BP-operated Pitanga exploration well, offshore Brazil, did not encounter commercial quantities of oil or gas, which has resulted in BP relinquishing the BM-CAL-13 block. The unsuccessful Pitanga well will trigger a write-off of around $230m in exploration costs, as well as a further $850m write-off associated with the value of the block as part of the Devon deal (which BP will treat as a non-operating item). As a reminder, BP acquired the Brazilian oil assets from Devon for $7bn in 2010, meaning the write off is over 10% of its acquisition value.
BP also confirmed the Pitu discovery in the deepwater Potiguar basin (BP 40%) already announced by Petrobras, reminded investors of its 30% stake in Block 20 in the Angola pre-salt on which Cobalt announced its Lontra discovery, and re-emphasised the message of its recent exploration review (18th October) of a return of exploration momentum, with 15 wells completed so far in 2013 (there are nine further wells presently operational, the October update presentation noted up to 18 well completions), and 7 potentially commercial discoveries in India, Egypt, Angola, Brazil and US Gulf of Mexico."

Anyone for a fiver.

Now that the price is approaching £5 I am quite pleased that I opted for the BP DRIP plan and have reinvested dividends from 451p.
Maybe this company will come out of the doldrums at last post Macondo though I am not sure how many more claims will be made against them in the next few years.
Still, looking healthy for a change.

BP lose appeal in US court case.

Analysis - BP back in favour despite spill legacy, Russia doubts

(Reuters) - If you had spent 10 pounds on BP (BP.L) shares on April 19, 2010, you would have just nine pounds now, including dividends. A poor investment, however you cut it, but also a remarkable recovery.

A day later an explosion at the Deepwater Horizon oil rig in the Gulf of Mexico would deal the United States its worst offshore oil spill, and BP would face the wrath of President Barack Obama himself for the death and destruction it caused.

Over the next two months, BP shares lost nearly two thirds of their value as the scale of the disaster threatened to sink the company.

Now some investors are sensing a better future than they had dared to hope.

The shares are flirting with post-spill highs, and are the second-best performer in the industry's top five behind Exxon Mobil (XOM.N) since the start of the fourth quarter.

Final Results

· BP's fourth-quarter replacement cost (RC) profit was $1,507 million, compared with $2,009 million for the same period in 2012. After adjusting for a net charge for non-operating items of $1,003 million and net unfavourable fair value accounting effects of $299 million (both on a post-tax basis), underlying RC profit for the fourth quarter was $2,809 million, compared with $3,852 million for the same period in 2012 with the reduction mainly arising due to lower profits in Upstream and Downstream which were partially offset by higher earnings from Rosneft compared with the earnings we reported for TNK-BP in the equivalent quarter of 2012(d). For the full year, RC profit was $23,681 million, compared with $11,428 million in 2012. After adjusting for a net gain for non-operating items of $10,533 million and net unfavourable fair value accounting effects of $280 million (both on a post-tax basis), underlying RC profit for the full year was $13,428 million, compared with $17,071 million for 2012. RC profit or loss for the group, underlying RC profit or loss and fair value accounting effects are non-GAAP measures and further information is provided on pages 3, 19 and 21.

· All amounts relating to the Gulf of Mexico oil spill have been treated as non-operating items, with a net adverse impact on a pre-tax basis of $189 million for the quarter and $469 million for the full year. For further information on the Gulf of Mexico oil spill and its consequences, including information on utilization of the Deepwater Horizon Oil Spill Trust fund, see page 12 and Note 2 on pages 25 - 31. Information on the Gulf of Mexico oil spill is also included in Legal proceedings on pages 35 - 37.

· Including the impact of the Gulf of Mexico oil spill, net cash provided by operating activities for the quarter and full year was $5.4 billion and $21.1 billion respectively, compared with $6.4 billion and $20.5 billion in the same periods of 2012. Excluding amounts related to the Gulf of Mexico oil spill, net cash provided by operating activities for the fourth quarter and full year was $5.3 billion and $21.2 billion respectively, compared with $5.8 billion and $22.9 billion in the same periods of 2012. We expect to see net cash provided by operating activities of between $30 billion and $31 billion in 2014(e), consistent with the cash flow objectives we set in 2011 as part of our 10-point plan.

· Net debt at the end of the quarter was $25.2 billion, compared with $27.5 billion at the end of 2012. The ratio of net debt to net debt plus equity at the end of the quarter was 16.2% compared with 18.7% at the end of 2012. We will continue to target a net debt ratio in the 10-20% range, while uncertainties remain. Net debt and the ratio of net debt to net debt plus equity are non-GAAP measures. See page 4 for more information.

· The reserves replacement ratio on a combined basis of subsidiaries and equity-accounted entities, was 129%(f) for the year, excluding the impact of acquisitions and disposals. Including the net growth in our Russian portfolio as a result of the change in our holdings, the reserves replacement ratio on a combined basis was 199%.

· BP today announced a quarterly dividend of 9.5 cents per ordinary share ($0.57 per ADS), which is expected to be paid on 28 March 2014. The corresponding amount in sterling will be announced on 17 March 2014. See page 4 for further information.

£5 for the 1st time in 2 years.

BP loses bid to block seafood fund payments

(Reuters) - A U.S. federal judge on Wednesday denied BP Plc's (BP.L) request to halt payments from the $2.3 billion fund it created to compensate commercial fishermen for financial losses after the British company's 2010 offshore oil spill, according to court records.

BP had sought to block the payments after alleging that some individuals supposedly injured by the spill, clients of attorney Mikal Watts, did not exist. The company said it has already paid out more than $1 billion from the so-called Seafood Compensation Fund.

more...

No real surprise...

U.S. court rejects BP appeal over Gulf spill losses

(Reuters) - A divided U.S. appeals court on Monday rejected BP Plc's bid to block businesses from recovering money over the 2010 Gulf of Mexico oil spill, even if they could not trace their economic losses to the disaster.

By a 2-1 vote, the 5th U.S. Circuit Court of Appeals in New Orleans upheld a December 24 ruling by U.S. District Judge Carl Barbier in New Orleans, authorizing the payments on so-called business economic loss claims. It also said an injunction preventing payments should be lifted.

BP PLC BP's response to Fifth Circuit decision of March 3


BP PLC BP's response to Fifth Circuit decision of March 3
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RNS Number : 4551B

BP PLC

04 March 2014


press release

March 4, 2014

BP's response to Fifth Circuit decision of March 3, 2014

BP disagrees with the decision by the U.S. Court of Appeals for the Fifth Circuit denying the company's request for a permanent injunction preventing certain payments under the Economic and Property Damages Settlement (the "settlement") it reached in 2012. BP had asked the Court to prevent payments to business economic loss (BEL) claimants whose alleged injuries are not traceable to the Deepwater Horizon accident and oil spill. BP believes that such BEL claimants are not proper class members under the terms of the settlementand is considering its appellate options.

The Judges on the panel split three ways, with two Judges voting to affirm the District Court and deny permanent injunctive relief but without agreeing in all respects on a rationale. By denying the relief BP requested, however, BP believes that today's decision will improperly allow for the payment of losses with no connection to the spill. BP further believes that unless this problem is fully corrected, the settlement cannot be upheld under the law. BP has accordingly already sought en banc rehearing of the January 2014 decision by a separate panel of the Fifth Circuit upholding the validity of the settlement. The full Court has not yet reached a decision on BP's en banc rehearing petition.

BP has already secured a favourable ruling in the courts regarding the matching of revenues and expenses in calculating BEL claims. In December 2013, after ten months of litigation, including two appeals to the Fifth Circuit, the District Court reversed its prior rulings and held that the Court Supervised Settlement Program (CSSP) must ensure that claimants' reported revenues and expenses are correctly matched for the purposes of determining awards under the settlement.

Under the terms of today's decision, the injunction temporarily suspending issuance of final determination notices and payments of all BEL claims, including claims currently in the appeal process, will be vacated. The lifting of the injunction will not take place until the case is transferred back to the District Court, the timing of which may be affected by a potential filing by BP of a petition requesting en banc rehearing of the March 3 decision.

As of December 31, 2013, BP held no provision for BEL claims payable under the settlement because no reliable estimate could be made. A provision for BEL claims will be established when the uncertainties referred to in BP's fourth quarter and full year 2013 results announcement dated February 4, 2014 are resolved and a reliable estimate can be made of the liability.

BP creates new US onshore oil and gas business

BP is creating a new business to manage its US onshore oil and gas assets, in an effort to compete more effectively with the smaller independent companies that dominate America’s shale industry.

Analysts said BP could ultimately sell the new unit if its performance did not improve. Last year, the oil group said it planned to divest $10bn of assets by the end of next year – on top of the $38bn disposal programme implemented in the wake of the 2010 Deepwater Horizon disaster.