BP (BP)

[Adamski]

It makes me sick to hear Labour MPs with their cushy index linked defined benefit pensions calling for windfall taxes on BP and Shell. I am losing on the capital value of both, having held for some years. and my dividend income was drastically reduced during Covid and many holdings still not recovered nor paying dividends.

Their plan is to end oil companies as part of the "green new deal", so that we are carbon neutral by 2050, or earlier. Forget that these are the few remaining UK companies. Where will the taxes and jobs come from? Thing is they don't care about the private sector, as if can get everyone onto the state payroll or state benefits, then most people will vote for them. Where I live very few people have private sector jobs, most seem either public sector or appear to be not working. It's a miracle we have a functioning economy at all, when you think about it. BP & Shell's recovery should be celebrated as a success story... but our media seems to be brainwashed in far left ideas.

[Bouleversee]

There may be a lot of people working in the public sector but it isn't working, that's for sure. But then that applies to plenty of other organisations, too. I think WFH has set back everything one touches and automation creates problems which waste hours of everyone's time rather than saving labour. Nothing seems to work anymore.

[scrumpyjack]

I was surprised to see that BP's s.p. has barely moved and Shell's is down nearly 1%. Not much windfall there!

I am not at all surprised. What moves SPs on results is actual compared to expectation, not compared to previous.

The results were entirely expected and also one of the old stock market aphorisms is 'Buy on the rumour, Sell on the news'

[idpickering]

Share Repurchases

BP p.l.c. (the "Company") announces that it is to commence a share buyback programme to repurchase ordinary shares in the capital of the Company (the "Programme").

The purpose of the Programme is to reduce the issued share capital of the Company towards distributing 60% of surplus cash flow [1] generated in 2021 after having reached its net debt target of $35 billion as announced by the Company on 27th April 2021, 3rd August 2021, 2nd November 2021 and 8th February 2022.

The maximum amount allocated to the Programme is around $1.5 billion for a period up to and including 29 April 2022.

The Programme will be carried out on the London Stock Exchange and/or Cboe (UK) and will be effected within certain pre-set parameters.

Any purchases of ordinary shares by the Company in relation to this announcement will be conducted in accordance with the Company's general authority to repurchase shares granted by its shareholders at the Company's 2021 Annual General Meeting, the Market Abuse Regulation 596/2014 as it forms part of domestic law by virtue of section 3 of the European Union (Withdrawal) Act 2018 (as amended) and Chapter 12 of the Listing Rules.

https://www.investegate.co.uk/bp-plc--b ... 40220097B/

[OLTB]

Afternoon all - news that BP will be offloading their share in Rosneft. https://www.google.co.uk/amp/s/www.stan ... html%3famp

Cheers, OLTB.

[idpickering]

BP. to exit Rosneft shareholding

· bp will exit its 19.75% shareholding in Rosneft.

· Both bp-nominated directors to resign from Rosneft board with immediate effect.

· bp will no longer report reserves, production or profit for Rosneft.

· Changes in accounting treatment of Rosneft shareholding expected to lead to a material non-cash charge.

· bp's financial frame and distribution guidance remains unchanged.


The BP board today announced that bp will exit its shareholding in Rosneft. bp has held a 19.75% shareholding in Rosneft since 2013.

Additionally, bp chief executive officer Bernard Looney is resigning from the board of Rosneft with immediate effect. The other Rosneft director nominated by bp, former bp group chief executive Bob Dudley, is similarly resigning from the board.

The resignations will require bp to change its accounting treatment of its Rosneft shareholding and, as a result, it expects to report a material non-cash charge with its first quarter 2022 results, to be reported in May.

BP chair Helge Lund said: "Russia's attack on Ukraine is an act of aggression which is having tragic consequences across the region. bp has operated
in Russia for over 30 years, working with brilliant Russian colleagues. However, this military action represents a fundamental change. It has led the
bp board to conclude, after a thorough process, that our involvement with Rosneft, a state-owned enterprise, simply cannot continue. We can no longer support bp representatives holding a role on the Rosneft board. The Rosneft holding is no longer aligned with bp's business and strategy and it is now the board's decision to exit bp's shareholding in Rosneft. The bp board believes these decisions are in the best long-term interests of all our shareholders."

https://www.investegate.co.uk/bp-plc--b ... 00079429C/

[Arborbridge]

BP. to exit Rosneft shareholding

· bp will exit its 19.75% shareholding in Rosneft.

· Both bp-nominated directors to resign from Rosneft board with immediate effect.

· bp will no longer report reserves, production or profit for Rosneft.

· Changes in accounting treatment of Rosneft shareholding expected to lead to a material non-cash charge.

· bp's financial frame and distribution guidance remains unchanged.


The BP board today announced that bp will exit its shareholding in Rosneft. bp has held a 19.75% shareholding in Rosneft since 2013.

Additionally, bp chief executive officer Bernard Looney is resigning from the board of Rosneft with immediate effect. The other Rosneft director nominated by bp, former bp group chief executive Bob Dudley, is similarly resigning from the board.

The resignations will require bp to change its accounting treatment of its Rosneft shareholding and, as a result, it expects to report a material non-cash charge with its first quarter 2022 results, to be reported in May.

BP chair Helge Lund said: "Russia's attack on Ukraine is an act of aggression which is having tragic consequences across the region. bp has operated
in Russia for over 30 years, working with brilliant Russian colleagues. However, this military action represents a fundamental change. It has led the
bp board to conclude, after a thorough process, that our involvement with Rosneft, a state-owned enterprise, simply cannot continue. We can no longer support bp representatives holding a role on the Rosneft board. The Rosneft holding is no longer aligned with bp's business and strategy and it is now the board's decision to exit bp's shareholding in Rosneft. The bp board believes these decisions are in the best long-term interests of all our shareholders."

https://www.investegate.co.uk/bp-plc--b ... 00079429C/

I've no idea how this event will play out, but it looks like the value of the Russian investments will be effectively written off. It may have a "non-cash" effect, but presumably there will be an effect on the dividend BP can pay.

In my view, whatever pain flows from this is but a small contribution to the effort to stop Putin and is minimal compared with the sacrifice of Ukrainians.

Arb.

[88V8]

....effect on the divi...
In my view, whatever pain flows from this is but a small contribution to the effort to stop Putin and is minimal compared with the sacrifice of Ukrainians.

Hearhear.

I sold 40% of my holding last week, anent Rosneft, and bought more Shell.
Down 6% as I write. Mind you, Shell is down 3% so it was slightly frying pan/fire, and at best I was only 40% right.
Now, as you say, the BP divi...

Turbulent times.

V8

[Arborbridge]

....effect on the divi...
In my view, whatever pain flows from this is but a small contribution to the effort to stop Putin and is minimal compared with the sacrifice of Ukrainians.

Hearhear.

I sold 40% of my holding last week, anent Rosneft, and bought more Shell.
Down 6% as I write. Mind you, Shell is down 3% so it was slightly frying pan/fire, and at best I was only 40% right.
Now, as you say, the BP divi...

Turbulent times.

V8

For me, one of those great hindsight "should haves" i.e should have sold BP as the crisis became clear.

[Bouleversee]

....effect on the divi...
In my view, whatever pain flows from this is but a small contribution to the effort to stop Putin and is minimal compared with the sacrifice of Ukrainians.

Hearhear.

I sold 40% of my holding last week, anent Rosneft, and bought more Shell.
Down 6% as I write. Mind you, Shell is down 3% so it was slightly frying pan/fire, and at best I was only 40% right.
Now, as you say, the BP divi...

Turbulent times.

V8

For me, one of those great hindsight "should haves" i.e should have sold BP as the crisis became clear.

Me,too. Now losing nearly 21% on BP, 9.16% on Shell and 72.73% on Polymetal on which I was making over 100% profit at one point IIRC.

[TUK020]

....effect on the divi...
In my view, whatever pain flows from this is but a small contribution to the effort to stop Putin and is minimal compared with the sacrifice of Ukrainians.

Hearhear.

I sold 40% of my holding last week, anent Rosneft, and bought more Shell.
Down 6% as I write. Mind you, Shell is down 3% so it was slightly frying pan/fire, and at best I was only 40% right.
Now, as you say, the BP divi...

Turbulent times.

V8

For me, one of those great hindsight "should haves" i.e should have sold BP as the crisis became clear.

Not so sure, I'm going to sit tight.
Swings and roundabouts; what BP loses on Rosneft, it will probably make up on oil >100$.

[Lanark]

Shell announces it's exiting all its joint-ventures with Gazprom, including its 27.5% stake in the Sakhalin-2 LNG facility
https://www.spglobal.com/platts/en/mark ... eline-role

[idpickering]

Sterling dividends payable in cash will be converted from US dollars at an average of the market exchange rate over the three dealing days between 9 and 11 March 2022 (£1 = US$1.31266). Accordingly, the amount of sterling dividend payable in cash on 25 March 2022 will be:

4.1595 pence per share.

https://www.investegate.co.uk/bp-plc--b ... 30018141E/

[daveh]

1st Qtr Results

https://www.investegate.co.uk/bp-plc--b ... 00149845J/

Highlights


Reported loss of $20.4 billion, underlying replacement cost profit of $6.2 billion


• Reported loss for the quarter was $20.4 billion, compared with a profit of $2.3 billion for the fourth quarter 2021. The reported result includes adjusting items* before tax of $30.8 billion.

• Adjusting items include pre-tax charges of $24.0 billion and $1.5 billion as a result of the loss of significant influence and bp's decision to exit its 19.75% shareholding in Rosneft and its other businesses with Rosneft in Russia respectively. As a result, in the first quarter the post-tax charge is $24.4 billion and the total reduction in equity is $14.7 billion. Adjusting items also include fair value accounting effects of $5.8 billion. See page 3 for further details.

• Underlying replacement cost profit* was $6.2 billion, compared with $4.1 billion for the previous quarter. This was driven by exceptional oil and gas trading, higher oil realizations and a stronger refining result, partly offset by the absence of Rosneft from the first quarter underlying result.

• For the first quarter bp has announced a dividend of 5.46 cents per ordinary share payable in June 2022.


Net debt* reduced to $27.5 billion; further $2.5 billion share buyback announced



• Operating cash flow* of $8.2 billion includes a working capital* build of $4.1 billion (after adjusting for inventory holding gains* and fair value accounting effects*).

• Capital expenditure* in the quarter was $2.9 billion. bp continues to expect capital expenditure of $14-15 billion in 2022.

• bp received divestment and other proceeds of $1.2 billion in the first quarter and continues to expect to receive total proceeds of $2-3 billion during 2022.

• Net debt fell to $27.5 billion at the end of the first quarter.

• During the first quarter bp executed share buybacks of $1.6 billion - $0.5 billion during January to offset the expected full-year dilution of the 2022 vesting of awards under employee share schemes and a further $1.1 billion representing progress against the $1.5 billion programme announced with the fourth quarter 2021 results on 8 February. This programme was completed on 27 April.

• During the first quarter bp generated surplus cash flow* of $4.1 billion and intends to execute a $2.5 billion share buyback prior to announcing its second quarter results.


Progressing transformation to an Integrated Energy Company



• In resilient hydrocarbons since the start of 2022 bp announced the start-up of the Herschel Expansion major project* in the Gulf of Mexico; signed a final agreement with Eni to create Azule Energy a new independent joint venture in Angola; and advanced its strategy in biofuels producing sustainable aviation fuel at bp's Lingen refinery and entering into a long-term strategic offtake and market development agreement for low-carbon biofuels feedstock with Nuseed.

• In convenience and mobility since the start of 2022 bp has continued to progress its EV charging strategy - launching a strategic partnership with Volkswagen Group and announcing plans to invest £1 billion in the UK over the next decade; signed a global strategic convenience partnership with Uber, aiming to make more than 3,000 retail locations available on Uber Eats by 2025; and signed a strategic collaboration agreement with DHL Express to supply sustainable aviation fuel.

• In low carbon energy since the start of 2022 bp has increased its position in offshore wind with the ScotWind lease option award of 1.45GW net; agreed to form an offshore wind partnership with Marubeni; and advanced its hydrogen strategy, announcing plans to develop H2-Fifty, a 250MW gross green hydrogen plant in Rotterdam and signing an agreement to form a joint venture with Aberdeen City Council to develop a hydrogen hub.



bp continues to build a track-record of delivery against its disciplined financial frame. Net debt fell for the eighth consecutive quarter; we are investing with discipline to advance our strategy - making significant progress year-to-date; and we are delivering on our commitment to shareholder distributions.

Dividends

Dividends payable

BP today announced an interim dividend of 5.46 cents per ordinary share which is expected to be paid on 24 June 2022 to ordinary shareholders and American Depositary Share (ADS) holders on the register on 13 May 2022. The ex-dividend date will be 12 May 2022. The corresponding amount in sterling is due to be announced on 10 June 2022, calculated based on the average of the market exchange rates over three dealing days between 6 June 2022 and 8 June 2022. Holders of ADSs are expected to receive $0.3276 per ADS (less applicable fees). The board has decided not to offer a scrip dividend alternative in respect of the first quarter 2022 dividend. Ordinary shareholders and ADS holders (subject to certain exceptions) will be able to participate in a dividend reinvestment programme. Details of the first quarter dividend and timetable are available at bp.com/dividends and further details of the dividend reinvestment programmes are available at bp.com/drip.

So a decent set of results if you look at the underlying profit. Ahead of expectations according to the BBC, https://www.bbc.co.uk/news/business-61304001 but also leading to more talk of windfall taxes on the oil companies.

[idpickering]

Share Repurchases.

BP p.l.c. (the "Company") announces that it is to commence a share buyback programme to repurchase ordinary shares in the capital of the Company (the "Programme").

The purpose of the Programme is to reduce the issued share capital of the Company towards distributing 60% of surplus cash flow [1] generated in 2022 as announced by the Company on 3 May 2022.

The maximum amount allocated to the Programme is around $2.5 billion for a period up to and including 1 August 2022.

The Programme will be carried out on the London Stock Exchange and/or Cboe (UK) and will be effected within certain pre-set parameters.

Any purchases of ordinary shares by the Company in relation to this announcement will be conducted in accordance with the Company's general authority to repurchase shares granted by its shareholders at the Company's 2021 Annual General Meeting and any further approvals to repurchase shares as may be granted by its shareholders from time to time , the Market Abuse Regulation 596/2014 as it forms part of domestic law by virtue of section 3 of the European Union (Withdrawal) Act 2018 (as amended) and Chapter 12 of the Listing Rules.

https://www.investegate.co.uk/bp-plc--b ... 47460658K/

[Bouleversee]

I don't know why they don't pay us a decent dividend when we all need extra cash instead of buying back shares which doesn't put money in our pockets unless we sell ours to them.

[Gersemi]

I don't know why they don't pay us a decent dividend when we all need extra cash instead of buying back shares which doesn't put money in our pockets unless we sell ours to them.

Because when they put it to a vote of the shareholders (it's part of the standard resolutions for most companies for most AGMs) they voted to allow it. I voted against as I always do because I don't like them. However I am in the minority.

[scrumpyjack]

Partly it is because they've had years of printing new shares to dole out in lieu of dividend for those who so elected (as BP didn't have the cash to pay them) and in employee/director share awards. The buy backs probably just make a start on reversing earlier dilutions. Also we are told fossil fuels are going to be in long term decline so it makes sense to shrink the equity in line with the shrinking of the business.

[Hallucigenia]

I don't know why they don't pay us a decent dividend when we all need extra cash instead of buying back shares which doesn't put money in our pockets unless we sell ours to them.

Because HYP types would be the first to complain about "inconsistent dividends" if they went up and down with the oil price. Buybacks are a flexible (and less-scrutinised) way to soak up spare cash when times are good. And they're nothing new - BP has been buying £10m's of shares every day this year under the previous authorisation.

[Bouleversee]

When the boss says they have made so much money they don't know what to do with it and when most pensioners will be finding it hard to pay their energy food and other bills and when there is a windfall tax threatened and rocketing inflation , I should have thought that these were exceptional circumstances and a somewhat more generous dividend would be appropriate. I am not a HYP or any other type; I adjust to the circumstances and since all the things I have been unable to buy and get fitted during Covid have now rocketed in price and installation costs I am very conscious that for those with fewer savings it must be a nightmare. My own fixed rate annuity is no longer a comfort and the rise in state pension is derisory. Of course, if you are still working and raking it in, your viewpoint will be somewhat different.