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Oil company BP makes almost three billion euros in profit

2021-11-02T12:04:28.671Z


The British industry giant BP is also benefiting from the increasing demand for oil. The group, on the other hand, is in the red with gas.


Enlarge image

BP petrol station at London Heathrow Airport

Photo: TOBY MELVILLE / REUTERS

The demand for oil has been increasing again in many countries since the corona restrictions fell.

This was also noticeable at the British oil company BP in the past quarter.

Now the company wants to invest another billion in a share buyback.

However, as a result of the rapidly rising gas price, gas contracts tore the balance sheet deep into the red due to a valuation effect.

Adjusted for one-off effects such as changes in the valuation of oil stocks, BP earned 3.32 billion US dollars (2.9 billion euros) in the months from July to September, as the company announced in London on Tuesday.

A year ago, adjusted profit was only $ 86 million due to lower oil prices.

The interim dividend for the quarter remains constant at 5.46 US cents per share, but the company plans to spend another 1.25 billion dollars (about 1.08 billion euros) on a share buyback.

From operations, the group flowed funds of 6.0 billion dollars into the coffers in the third quarter.

BP boss Bernard Looney spoke of another good quarter for the group.

The bottom line, however, was that the sudden rise in gas prices for later delivery at the end of the quarter had an impact on the consolidated accounts.

In particular, hedging transactions with a pre-tax charge of 6.1 billion dollars fell to the company's feet - the net loss attributable to shareholders was therefore 2.5 billion dollars.

A year ago the shortfall was only $ 450 million.

From BP it was said that the disproportion should then settle again when prices fall again and the quantities are actually delivered.

Increased demand for oil

Oil prices rose slightly again in early trading on Tuesday.

In the morning, a barrel (159 liters) of North Sea Brent for delivery in January cost US $ 84.94.

That was 23 cents more than the day before.

The price of a barrel of the American West Texas Intermediate (WTI) for December delivery rose by seven cents to $ 84.12.

Oil prices are driven by high demand, which has noticeably recovered from the severe Corona slump.

In this environment, the supply remains too scarce, although the crude oil network Opec-plus has been gradually expanding its production since the summer.

On Thursday the 23 producing countries will decide on their short-term course.

Experts do not expect a course correction.

atb / dpa

Source: spiegel

All business articles on 2021-11-02

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