• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 6 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 5 days The United States produced more crude oil than any nation, at any time.
  • 10 days e-truck insanity
  • 9 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 5 days How Far Have We Really Gotten With Alternative Energy
  • 8 days James Corbett Interviews Irina Slav of OILPRICE.COM - "Burn, Hollywood, Burn!" - The Corbett Report
  • 8 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 10 days Biden's $2 trillion Plan for Insfrastructure and Jobs
  • 10 days "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)

Breaking News:

Traders Place Bets On $250 Oil

The AI Revolution Has a Problem: Energy

The AI Revolution Has a Problem: Energy

On the one hand, artificial…

BP Wins Small Victory Over Disgruntled Shareholders

The US Supreme Court on Monday denied a request for appeal made by angry BP shareholders who filed a class action lawsuit against UK oil major BP.

The original class action suit was filed by shareholders who had purchased BP shares before the disastrous Gulf of Mexico oil spill in 2010. According to shareholders, BP misrepresented its safety procedures before the spill.

In 2015, the 5th U.S. Circuit Court of Appeals refused to certify the lawsuit on the grounds that some shareholders may have decided to purchase the stock even with full disclosure regarding safety. This is the decision that shareholders were hoping to revive on appeal as part of a class action suit—but today’s ruling came down in favor of the oil major.

Related: The Merger That Could Create a New Oil Major

The door still remains open, however, for shareholders to file suit individually, apart from the class action.

BP’s share price had plummeted in 2010 after the spill, taking on $55 billion in losses as a direct result, which includes $18.7 billion to settle various federal, state, and local claims. In BP’s latest quarterly filing, spill expenses made up the majority of the $896-million charge they booked in the report, compared with a similar charge of just $341 million for the same period last year.

Although BP’s spill-related costs will continue to accumulate, the denial of this appeal may lessen the blow somewhat, but BP is still taking actions to weather hostile price environment.

Related: Why China Is Really Dictating the Oil Supply Glut

To staunch the bleeding, BP said it will cut its capex for the year for $17 billion and possibly to $15 billion in 2017 if the price depression persists. And what BP has reported in profits is mainly thanks to its positive performance of its downstream business, which offsets the losing E&P segment.

BP’s share price is unchanged on the London Stock Exchange, which is closed today, but is currently trading + $.01 on the NYSE.

ADVERTISEMENT

By James Burgess of Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News