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?

RBC Capital Markets Top pick 589.55 600.00 675.00 Upgrades

BP to buy world-class oil and gas assets from BHP

BP transforms its US onshore oil and gas business, acquiring
world-class unconventional assets from BHP

Acquisition accretive to earnings and cash flow,
delivered within existing financial frame

Company increases dividend for first time in 15 quarters

· Upgrades and repositions BP's US onshore business

- Brings advantaged oil and gas assets in world-class basins

- Adds 190,000 boe/d production and 4.6 billion boe discovered resources

- Boosts liquids share of BP's US onshore production and resources

- Offers growth into the next decade

· Creates significant value

- Accretive to earnings and cash flow on a per share basis

- Increases Upstream free cash flow target by $1 billion to $14-15 billion in 2021

- Generates estimated pre-tax synergies of over $350 million a year

· Fully accommodated within existing financial frame

- Total cash consideration of $10.5 billion - 50% on completion, 50% deferred

over six months

- Up to $5-6 billion of additional divestments planned to fund share buybacks

of up to $5-6 billion over time

- Unchanged financial frame of $15-17 billion annual organic capital expenditure to 2021,

and gearing of 20-30%

· Strong free cashflow outlook supports dividend rise for second quarter 2018

- 2.5% rise to 10.25c per ordinary share is first dividend increase since third quarter 2014

In a move that will upgrade and materially reposition its US onshore oil and gas business, BP has agreed to acquire a portfolio of world-class unconventional oil and gas assets from BHP. The acquisition will bring BP extensive oil and gas production and resources in the liquids-rich regions of the Permian and Eagle Ford basins in Texas and in the Haynesville gas basin in Texas and Louisiana.

Under the terms of the agreement, BP America Production Company will acquire from BHP Billiton Petroleum (North America) Inc. 100% of the issued share capital of Petrohawk Energy Corporation - the wholly-owned subsidiary of BHP which holds the assets - for a total consideration of $10.5 billion, subject to customary adjustments.

On completion, $5.25 billion, as adjusted, will be paid in cash from existing resources. $5.25 billion will be deferred and payable in cash in six equal instalments over six months from the date of completion. BP intends to finance this deferred consideration through equity issued over the duration of the instalments. Subject to regulatory approvals, the transaction is anticipated to complete by the end of October 2018.

more.....

UBS Buy 563.55 610.00 - Unchanged

BP 2Q18 Part 1 of 1

Highlights

Strong earnings, strategic momentum, increased dividend

• Underlying replacement cost profit* for the second quarter of 2018 was $2.8 billion - four times that reported for the same period in 2017 - including significantly higher earnings from the Upstream and Rosneft.

• Operating cash flow excluding Gulf of Mexico oil spill payments* was $7.0 billion in the second quarter - which included a $1.3 billion working capital* release (after adjusting for inventory holding gains*) - and $12.4 billion in the first half, including a $0.4 billion working capital build.

• Dividend was increased 2.5% to 10.25 cents a share, the first rise since the third quarter of 2014.

• Upstream reported the strongest quarter since the third quarter of 2014 on both a replacement cost and underlying basis.

• Oil and gas production: reported production in the quarter was 3.6 million barrels of oil equivalent a day. Upstream production, excluding Rosneft, was 1.4% higher than a year earlier and up 9.6% when adjusted for portfolio changes and pricing effects, driven by rising output from new major projects* and strong plant reliability*.

• Major projects: with start-ups in Azerbaijan, Russia and Egypt, three of the six new projects expected to start in 2018 are now online.

• Strategic portfolio management: agreed to buy world-class US onshore oil and gas assets from BHP, a $10.5 billion acquisition that will transform BP's US Lower 48 business. BP also agreed to increase its stake in the Clair oilfield in the UK while exiting the Greater Kuparuk Area in Alaska.

• Downstream reported strong first half refining performance, with record levels of crude processed at Whiting refinery in US; further expansion in fuels marketing, with more than 1,200 convenience partnership sites now across our retail network.

• Advancing the energy transition: acquisition of UK's largest electric vehicle charging company Chargemaster and investment in innovative battery technology firm StoreDot move forward BP's approach to advanced mobility.

• Gulf of Mexico oil spill payments in the quarter were $0.7 billion on a post-tax basis.

• Net debt* reduced in the quarter by $0.7 billion to $39.3 billion.

• BP's share buyback programme continued with 29 million ordinary shares bought back in the first half at a cost of $200 million.

more.....

Deutsche Bank Buy 566.45 - - Reiterates

Looking positive - possible re-rate?

RBC Capital Markets Top pick 569.85 675.00 - Reiterates

UBS Buy 564.15 610.00 - Unchanged

Barclays Capital Overweight 564.15 705.00 - Reiterates

12 Sep 18 HSBC Buy 552.75 675.00 690.00 Reiterates

8 year high @597.30p.

A number of 'experts' on Bloomberg speculating that circa $100 pb for Brent is a definite possibilty (depending on Venezuela, Libya, the Saudis, Nigeria etc etc.....) but interestingly they stated that it takes about 2 months for the increased earnings to filter through to the majors (BP, Shell etc) so they are suggesting that these kind of investments should be profitable over the next couple of quarters......(Not so good for Airlines, autos, transport.......)

BP’s £300m North Sea deal unlocked by US sanctions waiver

20Oct2018- Today, I heard on R4 that BP would be tapping into large N.Sea reserves by 2020 - a large one near Shetland Isles -( was it?).... yet no mention in RNS today and sp is down a tad.
+The only BP-News I could find was a middle-East investment can go through with profits in Escrow, until US embargos are lifted. ( Skinny's link to Telegraph).

Group results Third quarter and nine months 2018

Highlights

Strong earnings driven by high reliability and major project delivery

• Strong earnings and cash flow:

- Underlying replacement cost profit for the third quarter of 2018 was $3.8 billion, more than double a year earlier and the highest quarterly result in more than five years, including significant earnings growth from the Upstream and Rosneft.

- Operating cash flow excluding Gulf of Mexico oil spill payments for the quarter was $6.6 billion, including a $0.7 billion working capital build (after adjusting for inventory holding gains).

- Gulf of Mexico oil spill payments in the quarter were $0.5 billion on a post-tax basis.

- Dividend of 10.25 cents a share for the third quarter, 2.5% higher than a year earlier.

• Strong operating performance:

- Very good reliability, with the highest quarterly refining availability for 15 years and BP-operated Upstream plant reliability of 95%.

- Reported oil and gas production was 3.6 million barrels of oil equivalent a day. Upstream underlying production, which excludes Rosneft and is adjusted for portfolio changes and pricing effects, was 6.8% higher than a year earlier, driven by ramp-up of new projects. Rosneft production of 1.2 million barrels of oil equivalent a day was 2.8% higher than last year.

• Strategic delivery:

- The Thunder Horse Northwest expansion project in the Gulf of Mexico and the Western Flank B project in Australia began production in October, both ahead of schedule. They are BP's fourth and fifth Upstream major projects to start up in 2018.

- Further expansion in fuels marketing, with now around 1,300 convenience partnership sites worldwide and network growth in Mexico.

• BHP transaction:

- The acquisition from BHP is expected to complete on 31 October.

- Reflecting confidence in cash generation and continued capital discipline, and assuming oil prices remain firm in the recent trading range, BP now expects to fund the entire transaction from available cash, rather than using equity for the deferred consideration. In this case, proceeds from the associated $5-6 billion of divestments will be used to reduce net debt.

more.....

RBC Capital Markets Top pick 554.80 700.00 Reiterates

Barclays Capital Overweight 565.20 705.00 Reiterates

Deutsche Bank Buy 565.20 620.00 Reiterates