01.02.2011, 17:11 4882

BP reports annual loss for the first time in 20 years

British Petroleum has reported a loss of $4.9bn (3.1bn pound) for 2010, for the first time in 20 years since 1992, the agency reports.

Almaty. February 1. Kazakhstan Today - British Petroleum has reported a loss of $4.9bn (3.1bn pound) for 2010, for the first time in 20 years since 1992, the agency reports.

The replacement cost loss comes after taking into account $40.9bn set aside for costs relating to the giant oil spill in the Gulf of Mexico, BBC reports.

The loss compares with a profit of $13.9bn that BP had recorded in 2009.

The company's chief executive, Robert Dudley, said BP would restore its dividend payment to shareholders, paying 7 cents a share.

The dividend payouts had been suspended in the wake of the Gulf of Mexico oil spill.

BP's profits during the fourth quarter of 2010 were $4.6bn, a third higher than in the same quarter a year previously.

Some of the increase in profits during the fourth quarter was thanks to the rising oil price, which had climbed to $90 a barrel by the end of last year.

BP also said in its results statement that it would sell its Texas City oil refinery, where 15 workers were killed in an explosion at the plant in 2005.

The company is restructuring its business and has already sold interests in Argentina, North America, Venezuela, Vietnam, Colombia and Egypt.

From an investors' perspective, the company has started the year relatively well.

The market gave a warm welcome earlier this month to BP's 10 billion pound deal with Russian oil giant Rosneft to form an Arctic exploration alliance, Daily Mail reported.

The deal gave shares a boost, which after falling from a high of 655p in April to a low of 303p in June have steadily climbed back to 483.7p.

Analysts expect the Russian deal will help the company recoup some of the losses incurred from asset disposals.

This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.

Found an error in the text?

Select the error and press Ctrl + Enter at the same time.

relevant news

Most viewed