• 2 minutes U.S. Presidential Elections Status - Electoral Votes
  • 5 minutes “Cushing Oil Inventories Are Soaring Again” By Tsvetana Paraskova
  • 7 minutes United States LNG Exports Reach Third Place
  • 3 mins China sends warplanes thru Taiwan airspace. Joe's reponse . . . .
  • 5 hours Joe Biden's Presidency
  • 30 mins Biden suspends oil and gas drilling on Federal Lands for 60 days for review.
  • 6 hours Navalny Poisoning Weakens Russo German Relations
  • 5 hours The World Economic Forum & Davos - Setting the agenda on fossil fuels, global regulations, etc.
  • 8 hours Will Empire be brazen about stealing OIL from Venezuela?
  • 1 day So Is COVID a Media Hoax or Not?
  • 5 hours Here it is, the actual Complaint filed by Dominion Voting Machines against Sydney Powell
  • 11 hours Minerals, Mining and Industrial Ecology
  • 1 day a In 2020, we produced and delivered half a million cars.
  • 1 day JACK MA versus Xi Jinping
Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

Low Oil Prices Force BP To Slash Dividends

For the first time since the Deepwater Horizon disaster in 2010, BP (NYSE: BP) slashed its dividend, halving the payout to shareholders after reporting a US$16.8-billion loss for the second quarter on the back of low oil prices and billions of US dollars in impairments.  

BP will pay a dividend of 5.25 cents per share for the quarter, compared to 10.5 cents per share for the previous quarter, the UK-based company said on Tuesday in an announcement of a dividend cut that was expected by analysts, after similar dividend cuts from Shell and Equinor.

During the second quarter, BP’s net debt was cut by US$10.5 billion to US$40.9 billion, mostly due to the issue of US$11.9 billion in hybrid bonds.

“These headline results have been driven by another very challenging quarter, but also by the deliberate steps we have taken as we continue to reimagine energy and reinvent bp. In particular, our reset of long-term price assumptions and the related impairment and exploration write-off charges had a major impact. Beneath these, however, our performance remained resilient, with good cash flow and – most importantly – safe and reliable operations,” chief executive officer Bernard Looney said in a statement.

BP wraps up a particularly dismal earnings reporting season for the oil majors, many of which reported heavy losses, including the worst losses at Exxon and Chevron in decades.

While BP’s losses and dividend cut were widely expected, the UK supermajor also announced today that it is speeding up efforts to reinvent itself over the next ten years through its energy transition, focusing its oil and gas business on value, reducing production by 40 percent, with no exploration in new countries.

“We believe this new strategy provides a comprehensive and coherent approach to turn our net zero ambition into action,” Looney said.

Following the results and the new strategy announcement, shares in BP were rallying by 7 percent in the early afternoon in London and were up 6.5 percent in New York in pre-market trade.  

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News