Bp Share Discussion Threads

[gwatson56] 27/5/2022 21:01

It is reported that tax exposure was “relatively small and manageable” for companies such as Shell and BP for whom UK oil and gas production accounts for about 1.3pc of earnings and 4.3pc of earnings, respectively.

The tax is not being applied retrospectively, meaning that the bumper international profits made by Shell and BP over the current quarter are not included. The UK profits from oil and gas will only be impacted from 26/5 ( the final third of Q2 ). I am sure the BP accountants will use the 91% tax break in the most effective way to support the business (and shareholders).

POO / Nat Gas / Aviation fuel rocketing. Traders should be doing good business. Buybacks at 10% annual of the shares in issue will provide an anchor. No reason imo that we should not see £5 by Qtr3.

Oh almost forgot a nice divi increase promised some time this year. Not a bad share to be into at the moment.

[ball deap] 27/5/2022 16:20

I've been saying that since the start.

[optomistic] 27/5/2022 15:44

Perhaps they will Bracke, but I think I will decline the invitation to any party :-)))

[bracke] 27/5/2022 13:30

They will be greatly disappointed optomistic. Perhaps if/when you rejoin the fold they will have a party.

[nk104] 27/5/2022 13:25

Not sure it will. The British public has become used to the Government doing everything for them. Whatever the problem, the answer is always 'more spending'.

Now the public thinks it's the Government's job to pay its electricity and gas bill.

[janhar] 27/5/2022 12:36

Agree - let's hope someone fills the void before the next election

[optomistic] 27/5/2022 11:53

Good morning Bracke...he and princes nut nuts will just have to cope without me L-))

[bracke] 27/5/2022 11:49

Good day optomistic

OH!! How could you abandon Boris in his hour of need!!

[wolansm] 27/5/2022 10:27

Your ex girlfriend and her uncles says you are an ar@ehole

[zztop] 27/5/2022 10:02

My mate Tommy said he knows your uncles mate eddy

[skinny] 27/5/2022 09:37

Brent at its highest since March.

[scemer] 27/5/2022 09:29

George I think UK plc will go before BP with all this borrowing!

[optomistic] 27/5/2022 08:53

A lot of interesting posts this morning re the windfall tax. All relating to the governments (Sunaks) folly in this anti conservative business move.
How can he now expect foreign investment to flood into the UK when they are capable
of introducing this kind of anti business measure.
Now we have to learn to live with it as a nation and as individuals what are we going to do as likely lower cash into our pensions (I hope Sunak realises that much of the pension funds come from such as BP)
Myself as a lifelong conservative a decision has been made...they have lost my support and I feel many others will take the same path, however the path in my case will not lead to the uneducated rabble at the other side on the house!
G'day folks
opto

[the white house] 27/5/2022 07:57

He made his bedLooney Levy

[pierre oreilly] 27/5/2022 07:47

Is the windfall tax tax deductable?Well bang goes any more foreign investment in UK plc, bang goes much of the growth in private pensions, and I suspect up goes petrol prices to recover the the 3 year windfall tax. And what do you know, Boris is a liar - at least he's consistent.

[sarkasm] 27/5/2022 07:05

BP Reviews North Sea Investments In Wake Of UK’s Windfall Tax
By Julianne Geiger - May 26, 2022, 2:00 PM CDT

BP will review its oil and gas investments in the UK, the company said on Thursday, after UK Chancellor Rishi Sunak presented a plan earlier in the day that would assess a 25% windfall tax on North Sea energy companies.

The windfall tax is set to stick around until oil and gas prices return to normal levels, or by December 25.

BP said earlier this month that it was planning on investing £18 billion in the United Kingdom by the end of 2030 to help “the country to deliver on its bold ambitions to boost energy security and reach net zero.”

But rumors of the UK’s windfall tax threatened to deter BP’s additional investments beyond that £18 billion. On May 12th, BP stated that its pledged investment would not be affected by any windfall tax—but anything additional could be stymied with such a penalization.

But that was before the details of the new windfall tax were announced.

“Today’s announcement is not for a one-off tax – it’s a multi-year proposal. Naturally, we will now need to look at the impact of both the new levy and the tax relief on our North Sea investment plans,” BP said on Thursday after the London market closed.

The Energy Profits Levy will apply to profits arising on or after May 26, 2022. The new tax will be charged on oil and gas company profits at a rate of 25% and is expected to raise around $6.3 billion (£5 billion) in its first 12 months, which will go towards easing the burden on families.

Before the announcement of the windfall tax, the main industry body, Offshore Energies UK, warned that such a levy would risk reduced energy security, higher prices for consumers, and long-term damage to the UK’s offshore energy industry.

By Julianne Geiger for Oilprice.com

[johnwise] 27/5/2022 05:14

BP Reviews North Sea Investments In Wake Of UK’s Windfall Tax


BP will review its oil and gas investments in the UK, the company said on Thursday, after UK Chancellor Rishi Sunak presented a plan earlier in the day that would assess a 25% windfall tax on North Sea energy companies.

The windfall tax is set to stick around until oil and gas prices return to normal levels, or by December 25.

BP said earlier this month that it was planning on investing £18 billion in the United Kingdom by the end of 2030 to help “the country to deliver on its bold ambitions to boost energy security and reach net zero.”

But rumors of the UK’s windfall tax threatened to deter BP’s additional investments beyond that £18 billion. On May 12th, BP stated that its pledged investment would not be affected by any windfall tax—but anything additional could be stymied with such a penalization.

But that was before the details of the new windfall tax were announced.

“Today’s announcement is not for a one-off tax – it’s a multi-year proposal. Naturally, we will now need to look at the impact of both the new levy and the tax relief on our North Sea investment plans,” BP said on Thursday after the London market closed.

[nk104] 27/5/2022 00:27

Welcome sign of Looney having some balls and not meekly accepting the announcement.

[richvandam] 26/5/2022 21:09

BP are going to be better off, they already invest more than they profit in the uk North Sea Oil and gas.

It’s the other smaller companies that are going to take the hit.

It just shows you how much our government and the media manipulate the truth.

Share price represents the above, will keep rising now.

[hellscream] 26/5/2022 17:31

BP has already said weeks ago 100% of uk profits are getting re-invested. some people think the tax is on world-wide profits.

[txi] 26/5/2022 17:30

Anyone know what % of Bp's profit is related to UK and north sea? I am assuming that
is the only part that is subjected to the so called windfall tax

[coxsmn] 26/5/2022 17:29

BP said: "Today's announcement is not for a one-off tax – it is a multi-year proposal. Naturally we will now need to look at the impact of both the new levy and the tax relief on our North Sea investment plans."

[hellscream] 26/5/2022 17:28

we just need some of our dividend back now smurfy2001.

[marktime1231] 26/5/2022 17:28

Relax the share price has responded positively whatever the rights and wrongs of taxing a windfall. A direct £67 per month rebate on domestic bills through next Winter, for every household not just A-D. A further £50 per month rebate for all state pensioners, not just poor ones, and extra help for the disabled. Not repayable. Generous.

Wonder exactly who this 25% levy applies to ... imports of oil and gas from the likes of Equinor or just domestic producers? And refiners? The traders?

The 25% extra levy is on current year, and maybe up to two future year profits, not retrospective. Limited to just oil and gas and just to UK activity. With a quid-pro-quo, a super tax rebate on investment in (all?) UK energy ... does that just apply to the current and maybe up to two future years? In which case the tax accounting team will be working furiously to turn this in to a positive outcome.

Maybe a £500M or so hit on BP current year profits, so a modest reduction in the future buyback programme, in exchange for a ?? tax rebate on immediate investment (or future commitments?) in UK clean energy schemes. Will it encourage BP to accelerate its investment schedule, to pay forward some of the big commitments to offshore wind or to bring forward pipeline projects. Well I hope so, but what are the qualifying investments, on what terms?

Could this make buying in to operational clean energy schemes more attractive than long-lead time development?

What chance a statement from BP to let us know their thinking, let's hear something from the new girl Dotzenrath.

[coxsmn] 26/5/2022 17:24

BP said: "Today's announcement is not for a one-off tax – it is a multi-year proposal. Naturally we will now need to look at the impact of both the new levy and the tax relief on our North Sea investment plans."