BP lists launch of new platform in Azerbaijan among year’s strategic successes

BP reduced its net profit in the first quarter by 45% compared to January-March last year to $2.723 billion, Report informs referring to the company’s quarterly report published on May 7.

Compared to the fourth quarter of 2023, BP’s profit in January-March 2024 decreased by 9%. This was the result of lower oil and gas sales volumes, downtime of the Whiting refinery and significantly lower fuel margins, the report noted.

The daily volume of hydrocarbon production during the reporting period amounted to 914,000 barrels of oil equivalent (a decline of 5.2% from January-March 2023). The average selling price dropped to $36.64 per boe ($46.95 per boe in Q1 2023).

At the same time, the report notes that in the first quarter of this year, compared to December 2023, oil production increased by 1.7%, including due to the launch of the new Azeri Central East (ACE) platform on the Azeri-Chirag-Gunashli field block.

The company notes that the commissioning of ACE, which is the first remotely operated offshore platform in the Caspian Sea, was one of BP’s strategic achievements this year.

BP’s capital expenditure in the first quarter was $4.278 billion. For 2024-2025, the company plans capex of about $16 billion per year.

“bp has a target to deliver at least $2 billion of cash cost savings by the end of 2026 relative to 2023. The reduction is expected to result from cost-saving measures across bp’s business underpinned by high-grading the portfolio, digital transformation, supply chain efficiencies and global capability hubs. Some of these cost savings may have associated restructuring charges,” reads the report.