Bp Share Discussion Threads

[k mon] 03/11/2021 12:24

"By 2023, they will have to set out detailed public plans for how they will move to a low-carbon future - in line with the UK's 2050 net-zero target."

............................................

I could do that in two minutes ... let alone 2 years ..
--- and it's surprisingly Simple....

...... Delist from the FTSE & move somewhere else..

[hyper al] 03/11/2021 12:05

How will BP do this

"COP26: UK firms forced to show how they will hit net zero"



"By 2023, they will have to set out detailed public plans for how they will move to a low-carbon future - in line with the UK's 2050 net-zero target."

They had better start working on it.

Why would anyone invest in a hydrocarbon business now?

[spacecake] 03/11/2021 11:47

Any idea where I might find BP's stranded assets, oil and gas reserves that will never be produced due to climate change limiting global warming by 1.5 deg C.
Are BP publishing write off's ?

I ask this after watching an interview between Mark Carney and the BBC today.

[gwatson56] 03/11/2021 11:37

See a few questions re BP from posters.

The spreadsheet says $900 mil in Q3… with the overlap between qtr end and reporting there will be a lag… so by my reckoning between end qtr 3 and early feb BP will buy back 1.75Billion…

More interesting was with the large slug being passed to cap ex then the surplus assigned to buyback was well under 1B… this was upped to 1.25B due to exceptional performance early Q4 and outlook for the remaining qtr, I suspect trading made a packet looking at the graph of price of gas from 1/10….

The Q&A just posted on BP site … is a good read….

[hyper al] 03/11/2021 11:37

Spacecake

It's great news, many of the large financial firms are already moving in that direction. It's great that Europe and China are also involved.

But some financial institutions GreenWash like RBS Bank on there 'Climate Change Hub' they state

"Helping to end the most harmful activity -
We plan to stop lending to and underwriting companies with more than 15% of activities related to coal"



For a start they use the word 'Plan' so it's not implemented. And investing in Coal should just stop.

RBS are obviously clueless! Well I'm closing my account! Bloody annoyed with them.

[spacecake] 03/11/2021 11:27

Greener financial system - Sunak goes on to say that the entire global finance system will be rewired for net zero. This will involve better climate data, sovereign green bonds and mandatory sustainability disclosures. He says the UK is playing its part and says the UK will become the first ever net-zero aligned financial centre. He says it will become mandatory for firms to set out how they plan to decarbonise and transition to net zero with and independent taskforce to monitor this.

[hyper al] 03/11/2021 11:08

Rishi Sunak just announced 40% of worlds financial assets to be aligned with climate goals in Paris agreement. This includes the Bank of China

That's a major move from hydrocarbons by big financial institutions.

Yet another reason to keep clear of oil/gas stocks

[marktime1231] 03/11/2021 10:37

Disquieted by the language in the trading report and in these quotes, new ways of describing trading divisions, in lower case, every sentence has an asterisk, and now describing customers as "they".

Doesn't he mean "us"?

Exploiting a business which requires drivers to find something to do while EV charging oh-so-slowly feels dirty when he describes it with that langugage. An EV charging business based on that approach is inviting someone else to come along and do it better.

And what on earth does "the disciplined execution of its financial frame" mean?

And planit, tell me again whether the Q3 buyback was $900M or $1.4B based on this report statement ...

"With second quarter results, bp announced an intention to execute a buyback of $1.4 billion from first half 2021 surplus cash flow* of $2.4 billion. This programme was completed on 1 November 2021 with $0.9 billion executed during the third quarter."

So they bought back $500M in October? Did I miss an acceleration?

Whatever the reality it is fair to say BP executive are not speaking the same language as me.

The elephant in the room is that without warning, and with no way of tracking and anticipating what is going on, BP managed to report a book loss of $6B in a single quarter from the part of the business which hedges forward gas contracts. The leak of the $500M boost from gas marketing was just talking about the trading of BPs own gas production, it does many times more business buying and selling other people's gas and has been exposed by the soaring futures market. Hoping gas prices fall to ease the book loss sounds daft, BP you are in the gas business. The idea that these are not real losses does not help either.

Finding little items to try and make me feel happier today is not working. You are not supposed to invest in a business which you can't predict and cannot understand how it is performing ... right?

[dondee] 03/11/2021 10:33

Time to buy methinks.

[smurfy2001] 03/11/2021 09:55

I don’t get these share price moves can only assume buyback related.

[hellscream] 03/11/2021 08:41

cop makes $2.3 billion yet is worth more than bp. why?

[hellscream] 03/11/2021 08:36

manipulation... oil at $83 and gas at $5 what are we even doing in the £3?
bp got $40 billion in hard cash thats halve the companys worth, not including value and dividend from rosneft.

[spacecake] 03/11/2021 08:35

Brent Prices Could Fall in 1H 2022 Amid Expectations of Oil Oversupply

0310 GMT - Brent crude prices look set to fall in 1H 2022 amid expectations of slowing demand and an increase in oil supply next year, Fitch Solutions says. "From 2022, market conditions will become more challenging, as demand growth decelerates and OPEC+, the U.S. and potentially Iran ratchet up large production gains, tipping the market back into oversupply," it says. Fitch Solutions expects Brent prices to average $72/bbl in 2022 and $73/bbl in 2023. It thinks prices will enter the new year around $80/bbl, supported by short-term supply constraints and the broader energy shortage. Front-month Brent is 1.6% lower at $83.40/bbl. ([e-mail])

[veryniceperson] 03/11/2021 08:30

I wonder if there is manipulation going on. Vodafone are buying back aswell. Probably wrong!

[spacecake] 03/11/2021 08:21

Those buybacks are going to be cheaper again today.

[planit2] 02/11/2021 18:54

@mark
It was $1.4bn bought back in Q3 making $1.9bn year to date. The $1.25bn is on top of that.

What I was saying was the $500m in Q1 was less than 60% of FCF so they had some of Q1 FCF to add to the Q2 FCF to get to the $1.4bn figure. I hope I am explaining this correctly and I haven't made an error somewhere.

Gas contracts are long term normally so they go on for a few years, if you read the RNS from the 8th Octover you can see that BP is signing up to supply LPG for 10 years. I assume it is the length of these contracts that makes the values so high.

[boytjie] 02/11/2021 18:52

The rig count numbers tell a different story. Contrast the prepandemic 2019 figures with today and we're about 40% down across the board. https://rigcount.bakerhughes.com/static-files/220e6a99-3dc6-42c9-850f-fb3afecdf7d1

[marktime1231] 02/11/2021 18:31

Hmmm.

So the Q3 buyback was not $1.4B, it was $900M to build on the previous $500M. How can I have misunderstood what was clearly announced as a $1.4B programme? Maybe, just maybe, bp needs to be a darn sight clearer or I need to be a lot less stupid.

Q4, no quibbles, the buyback is a gross $1.25B between now and the next set of results in early Feb 2022, right? STOP PRESS it looks like the higher rate of buyback is underway, but hasn't stopped the share price sliding today.

As to the rest of it "adverse fair value accounting adjusting items" I think means the soaring gas market means bp has promised deliveries at prices below what it will cost to fulfill, and the damage on the books before hedging unravels was $6B. Wow. Even worse than Shell. Selling gas forward in a volatile market is a risky business.

The good news snippets were continuing reduction in net debt, maybe another $1B divestment proceeds to come in Q4, despite which declining production has been boosted by new projects coming online early, even stronger oil prices will further enhance Q4 earnings.

[geckotheglorious] 02/11/2021 17:13

smurfy2001
Post 96834
"Why don't they pay down more debt instead of a share buy back?"

because they want to boost their KPI's and thereby their remuneration/bonuses!!!
This "debt is chaper" bollux is just a smokescreen.
It may be cheaper currently but having too much debt over time leads to serious financial difficulty.

It's always about the board bonsuses.

[hellscream] 02/11/2021 16:59

when was the last time we've had a 13p up day?

[spacecake] 02/11/2021 15:56

No supply problem, it's in hand.

"On the supply side, OPEC+ reconfirmed its plans to boost output by 400 000 bpd until at least April 2022, to help stabilise the market and phase out 5.8 million bpd of existing production cuts."

[boytjie] 02/11/2021 15:43

Biden wouldn't be asking OPEC+ to pump more if supply was plentiful.

[hazl] 02/11/2021 15:06

So soon if you want it. 8--)