BP surpasses Q4 2023 expectations

BP has posted higher-than-forecasted profits of USD 3 billion in Q4 2023 reflecting strong gas prices and higher oil realisations, the British energy giant announced on Tuesday.

The company’s profits for 2023 stood at USD 13.8 billion, its second highest recorded annual earnings since 2012.

However, annual returns slowed significantly by around 50% from last year’s record profits of USD 27.7 billion.

BP has committed to a USD 1.75-billion share buy back for Q4 2023 and an additional buy back of USD 3.5-billion for H1 2024.

Recent highlights in oil and gas include the commissioning of the Seagull project in the UK’s North Sea located 300 kilometres from Aberdeen.

The field is expected to produce around 15,000 boepd by 2025.

BP holds a 50% stake in the Seagull development alongside partners Neptune Energy with a 35% stake and Japan Petroleum Exploration Company with the remaining 15% interest.

Additionally, BP recently sanctioned the Argos Southwest expansion project at the Argos field that began producing in April 2023 and the Great White expansion project, both in the Gulf or Mexico.

In December 2023, the company was awarded production rights at the offshore Tupinambá block in Brazil’s Santos basin.

“Looking back, 2023 was a year of strong operational performance with real momentum in delivery right across the business,” said Murray Auchincloss, CEO of BP.

“And as we look ahead, our destination remains unchanged – from IOC [international oil company] to IEC [integrated energy company] – focused on growing the value of BP.”