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BP has scaled back earlier targets for reducing its oil-and-gas production. Photo: ANDREW KELLY/REUTERSBritish oil major BP beat expectations in the first quarter on strong results from trading oil and gas, and said Tuesday it will buy back another $1.75 billion in shares. BP’s first-quarter underlying replacement-cost profit—a metric similar to net income that U.S. oil companies report—of $4.96 billion—exceeded the $4.27 billion average forecast by 25 analysts in a survey compiled by the company. It compared with $6.25 billion a year prior.
BP shares slide as first-quarter profit dips
  + stars: | 2023-05-02 | by ( Hanna Ziady | ) edition.cnn.com   time to read: +2 min
London CNN —Shares of BP fell more than 5% Tuesday after the energy giant said it would return less cash to investors following a drop in first-quarter profit. BP (BP) reported underlying profit of $5 billion for the first three months of the year. BP (BP), Chevron (CVX), ExxonMobil, Shell and TotalEnergies (TOT) handed more than $100 billion to their investors in 2022 via share buybacks and dividend payments. Looking ahead, BP said it expects oil prices to “remain elevated,” following supply cuts by OPEC+ and strengthening demand from China. Gas prices in Europe and Asia would be supported by recovering Chinese demand, restocking of European storage capacity and coal-to-gas switching, it added.
BP’s strategy risks pleasing no one
  + stars: | 2023-05-02 | by ( ) www.reuters.com   time to read: +2 min
Investors had cheered its February decision to walk back previously targeted 2030 oil and gas production cuts: BP’s shares rose 12% from Feb. 6 to Friday, compared with Shell’s (SHEL.L) 2%. BP’s shares subsequently fell 5% on Tuesday morning, wiping $6 billion off its market value, despite otherwise rosy earnings. Chief Financial Officer Murray Auchincloss pointed out that the decision was consistent with BP’s commitment to allocate 60% of 2023 surplus cash flow to share buybacks. CEO Bernard Looney is getting heat from both sides, with some investors pushing for faster decarbonisation and others willing him to pump more oil. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.
Oil AGMs presage awkward investor decoupling
  + stars: | 2023-04-28 | by ( Yawen Chen | ) www.reuters.com   time to read: +3 min
Chair Helge Lund defended a sudden reversal in February to now cut less oil and gas production by 2030. Big Oil had more than doubled its profits in 2022 as energy prices spiked after Western sanctions on Russian energy. Pension investors like the Universities Superannuation Scheme, for example, are strengthening their climate investment policies and targeting board members to drive change. The traditional oil investor base may soon start to question why companies aren’t doing much more in oil and gas, if that’s what drives profitability and market performance. The oil world’s own awkward decoupling is happening fast.
BP’s Fuel Station Deal Meets Inconvenient Bid
  + stars: | 2023-04-06 | by ( Jinjoo Lee | ) www.wsj.com   time to read: +1 min
Travel Center of America shareholders will vote on the matter on May 10. TravelCenters, though, wants to stick with BP’s lower bid. Depending on whom you ask, it is either playing it safe or catering to one conflicted shareholder, shortchanging the majority. About a month later, fuel station operator ARKO emerged with an unsolicited rival bid of $92 a share. Investors will get to vote on the matter on May 10, according to TravelCenters’ proxy filed on Monday.
LONDON, March 13 (Reuters) - BP's (BP.L) board recommended on Monday that shareholders vote against a climate activist resolution asking for more emissions cuts by 2030 at its April 27 shareholder meeting. BP called the Follow This resolution "unclear", "simplistic" and "disruptive" and said it encroached on the board's responsibility to set the firm's strategy. As a result, BP reduced its ambitions to cut emissions from fuels sold to customers to 20%-30% by 2030, from 35%-40%. Last year, shareholder support for Follow This' resolution fell to around 15% of BP shareholders from around 21% the previous year. BP said its board did not consider the activist resolution to be in the company's or its shareholders' best interests.
REUTERS/Sergei Karpukhin/File PhotoHOUSTON, Feb 16 (Reuters) - Russia's decision to cut crude oil production by 500,000 barrels per day reflects its inability to sell all of its oil, Ben Harris, a U.S. Treasury Department Assistant Secretary, said on Thursday. Russia's Deputy Prime Minister Alexander Novak last week said it would voluntarily cut production beginning next month following the start of Western price caps on Russian oil and oil products on Feb. 5. Poland, Latvia, Lithuania and Estonia have pushed for lowering the crude oil cap. There have been no American companies involved in trading Russian oil above the price cap, he said. Phillips 66's (PSX.N) Chief Executive Mark Lashier said the company's base assumption is that Russia's crude and oil products will find their way into the marketplace.
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Structural changes in the labor market: The US economy added an astonishing 517,000 jobs in January, blowing economists’ expectations out of the water. “The labor market is extraordinarily strong,” he said. Core services inflation: Powell noted that he’s seeing disinflation in the goods sector and expects to soon see declining inflation in housing. Service-sector inflation, which is more sensitive to a strong labor market, is up 7.5% from the year prior through the end of 2022, and has not abated, he said. Tech layoffs, Big Oil and soft landings: What investors are watching▸ The labor market is strong, but tech layoffs keep coming.
LONDON— BP PLC said it would slow its transition to lower-carbon energy, as oil-and-gas production helped push the company to a record profit last year. BP’s results showed it joining its peers on both sides of the Atlantic in capitalizing on soaring energy prices. And its strategic shift highlighted how fossil fuels continue to be the profit drivers for the industry’s biggest players.
BP strategy is still caught between two stools
  + stars: | 2023-02-07 | by ( ) www.reuters.com   time to read: +2 min
LONDON, Feb 7 (Reuters Breakingviews) - BP (BP.L) is trying to stop the rot. The $108 billion UK oil group’s bumper 2022 results on Tuesday recorded a stellar 30.5% return on average capital employed. But fresh investment in oil and gas means he only plans to cut oil production by 25% by 2030, rather than 40%. The reason that probably won’t happen any time soon is that BP is still planning to cut oil production and hike non-fossil fuel investment more than American rivals. Otherwise, BP may remain too dirty for sustainable investors, and too clean for the rest.
BP’s annual profit more than doubles to $28 billion
  + stars: | 2023-02-07 | by ( Michelle Toh | ) edition.cnn.com   time to read: +1 min
Hong Kong CNN —BP’s annual profit more than doubled last year to nearly $28 billion, extending a record run of earnings for the world’s oil majors that is adding to calls for higher taxes on the windfall gains. The British energy giant said in a statement that underlying replacement cost profit rose to $27.7 billion for 2022, compared with $12.8 billion the previous year. The metric is a key indicator of oil companies’ profitability. The earnings are the latest in a series of record-setting results by the world’s biggest energy companies, which have enjoyed bumper profits off the back of soaring oil and gas prices. Last week, Shell (RDSA) reported a record profit of almost $40 billion for 2022, more than double what it raked in the previous year after oil and gas prices soared following Russia’s invasion of Ukraine.
Big Oil mega-deals would put investors on the spot
  + stars: | 2023-02-02 | by ( George Hay | ) www.reuters.com   time to read: +5 min
So are Shell (SHEL.L), BP (BP.L) and TotalEnergies (TTEF.PA), but investors value U.S. oil majors way higher than European ones. $473 billion Exxon and $331 billion Chevron trade at 6 times expected EBITDA for 2023, twice the average of $210 billion Shell, $154 billion Total and $109 billion BP. One reason why is that as oil prices have soared, American drillers look more attractive than European ones that are also pressing into potentially lower-return renewable energy. Imagine Chevron or Exxon acquired BP for $170 billion, factoring in a 30% premium to its market capitalisation, plus debt. Any cross-border deal would see Chevron’s Mike Wirth or Exxon’s Darren Woods take a big bet on continuing high oil prices, and also attract political heat.
BP’s CEO Plays Down Renewables Push
  + stars: | 2023-02-01 | by ( Jenny Strasburg | ) www.wsj.com   time to read: 1 min
LONDON— BP PLC Chief Executive Bernard Looney plans to dial back elements of the oil giant’s high-profile push into renewable energy, he has said in recent discussions with people close to the company. Mr. Looney has said he is disappointed in the returns from some of the oil giant’s renewable investments and plans to pursue a narrower green-energy strategy, according to people familiar with the discussions. He has told some of the people that BP needs to do more to convince shareholders of its strategy to maximize profit in areas where it has a competitive advantage, including its legacy oil-and-gas operations.
BP’s CEO Plays Down Renewables Push as Returns Lag
  + stars: | 2023-02-01 | by ( Jenny Strasburg | ) www.wsj.com   time to read: 1 min
LONDON— BP PLC Chief Executive Bernard Looney plans to dial back elements of the oil giant’s high-profile push into renewable energy, according to people familiar with recent discussions. Mr. Looney has said he is disappointed in the returns from some of the oil giant’s renewable investments and plans to pursue a narrower green-energy strategy, the people said. He has told some people close to the company that BP needs to do more to convince shareholders of its strategy to maximize profits in areas where it has a competitive advantage, including its legacy oil-and-gas operations.
Big oil can be lean and not mean
  + stars: | 2023-01-31 | by ( Robert Cyran | ) www.reuters.com   time to read: +3 min
The $460 billion firm said on Tuesday that it earned $13 billion in the fourth quarter, while Chevron said last week it earned over $6 billion. Oil demand growth has peaked, and may start to decline soon, according to BP’s 2023 Energy Outlook released on Monday. It’s conceivable both could have more cash than debt at the end of the year if the price of oil rises. Big oil can be lean, but not mean. The oil company retired $7.2 billion of debt in 2022.
WASHINGTON — A surge in Cuban and Nicaraguan arrivals at the U.S. border with Mexico in December led to the highest number of illegal border crossings recorded during any month of Joe Biden’s presidency, authorities said Friday. The extraordinary influx came shortly before Biden introduced measures on Jan. 5 to deter Cubans, Haitians, Nicaraguans and Venezuelans. U.S. authorities stopped migrants 251,487 times along the Mexican border in December, up 7% from 234,896 times in November and up 40% from 179,253 times in December 2021, Customs and Border Protection said. Cubans were stopped nearly 43,000 times in December, up 23% from November and more than quintuple the same period a year earlier. Nicaraguans were stopped more than 35,000 times, up 3% from November and more than double from December 2021.
The Davos party returns, with the shakes
  + stars: | 2023-01-16 | by ( Lauren Silva Laughlin | ) www.reuters.com   time to read: +4 min
DAVOS, Switzerland, Jan 16 (Reuters Breakingviews) - There’s a hangover happening in Davos even though the party hasn’t yet started. The World Economic Forum’s annual winter shindig in the Swiss mountain resort, which kicks off on Monday, marks a return for glitzy parties and high-minded debates following a three-year hiatus. A record number of business leaders are set to make the trip, and the passage of commercial, private and government aircraft through Zurich’s airport suggests overall attendees are at pre-Covid-19 levels. The global pandemic and Russia’s invasion of Ukraine have added more friction to the already creaking globalised world that Davos epitomised. Follow @thereallsl on TwitterloadingCONTEXT NEWSThe World Economic Forum will take place in Davos, Switzerland from Jan. 16 through Jan. 20.
Data from the World Bank shows that global trade of goods and services as a percentage of total economic output peaked that year. A wooden sign on the waterfront of Lake Davos in Davos, Switzerland, on Jan. 8, 2023. Just look to Italy’s new prime minister, Giorgia Meloni, who was installed in October. Those skipping the gathering this year include US President Joe Biden, China’s Xi Jinping, Indian Prime Minister Narendra Modi, French President Emmanuel Macron and UK Prime Minister Rishi Sunak. That raises questions about whether Davos can hang on to its reputation an essential event for the rich and powerful.
Green surge is circuit breaker on nuclear revival
  + stars: | 2023-01-04 | by ( Robert Cyran | ) www.reuters.com   time to read: +3 min
NEW YORK, Jan 4 (Reuters Breakingviews) - Nuclear power received what seem like two plum gifts for 2023. Nuclear plants are expensive to build, and their complexity often causes projects to go way over budget. The cost of a new nuclear power station is around $168 per megawatt hour according to Lazard. China has 22 nuclear reactors under construction, but built renewables about twice as fast. CONTEXT NEWSVogtle 3 and 4 will be the first new nuclear reactors built in the United States in more than three decades.
REUTERS/Ranu Abhelakh/File PhotoCompanies Bp Plc FollowShell PLC FollowPORT OF SPAIN, Dec 28 (Reuters) - Trinidad and Tobago is preparing to reject four offshore exploration bids by BP Plc (BP.L) and Shell Plc (SHEL.L), according to people familiar with the matter, because they failed to meet the government’s minimum requirements. If not, the blocks will not be awarded, officials at the Ministry of Energy and the Cabinet told Reuters. The Caribbean country urgently needs new gas supplies to boost its liquefied natural gas (LNG) production. The Energy Ministry objected to the offers' conditional commitment to drill new wells and what it described as a meager signing bonus. BP’s president for Trinidad and Tobago operations, David Campbell, had urged movement on the bids saying BP needs to access deepwater fields for future output.
CNN —Big Oil companies have engaged in a “long-running greenwashing campaign” while raking in “record profits at the expense of American consumers,” the Democratic-led House Oversight Committee has found after a year-long investigation into climate disinformation from the fossil fuel industry. The committee found the fossil fuel industry is “posturing on climate issues while avoiding real commitments” to reducing greenhouse gas emissions. Lawmakers said it has sought to portray itself as part of the climate solution, even as internal industry documents reveal how companies have avoided making real commitments. Many of their requests for internal documents were heavily redacted by the companies, which did not specify reasons for withholding the information. “These companies know their climate pledges are inadequate but are prioritizing Big Oil’s record profits over the human costs of climate change,” Maloney said.
CNN —A traveler at New York City’s John F. Kennedy International Airport was arrested after $450,000 worth of cocaine was discovered hidden in the wheels of her wheelchair. The traveler arrived in New York City from the Dominican Republic on November 10, according to a news release from US Customs and Border Protection. Officers noticed the wheels on her wheelchair were not turning and X-rayed the wheelchair. They discovered a white powder, which later tested positive for cocaine in all four wheels, the news release stated. It amounted to a total of 28 pounds of cocaine with an estimated street value of around $450,000.
A U.S. Customs and Border Protection agent and a suspected smuggler were dead Friday after a shootout off Puerto Rico’s coast, authorities said. Two other CBP agents were also injured in the gunfire, they said. A CBP agent was fatally shot, while one of at least two suspected smugglers also died, CBP spokesman Jeffrey Quiñones said, addressing reporters Thursday. The CBP Air and Marine Operations agency said in a tweet it was a marine interdiction agent who had died. “These are brave members of our Air and Marine Operations within @CBP," Homeland Security Secretary Alejandro Mayorkas said in a statement shared on Twitter by a DHS spokesperson.
At issue is the settlement claims process, funded by Godiva and executed by Kroll Notice Media Solutions. According to class counsel, Godiva recently directed Kroll “to conduct several additional rounds of review” of class claims that had already been validated. Adding to the intrigue: In September, class counsel told Preska that Godiva had informed them that the company did not have enough money to pay class members. It's also rare, Frank said, for class counsel to ask a judge to get involved in the post-settlement claims administration process. Read more:State AGs, objectors hoist red flags in proposed Godiva class actionOur Standards: The Thomson Reuters Trust Principles.
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