BP sees 2024 reported, underlying upstream production higher compared to 2023

The company said, “bp expects both reported and underlying upstream production to be slightly higher compared with 2023. Within this, bp expects underlying production from oil production & operations to be higher and production from gas & low carbon energy to be lower. In its customers business, bp expects continued growth from convenience, including a full year contribution from TravelCenters of America; a stronger contribution from Castrol underpinned by volume growth in focus markets; and continued margin growth from bp pulse driven by higher energy sold. In addition, bp expects fuels margins to remain sensitive to the cost of supply. In products, bp expects a lower level of industry refining margins, with realized margins impacted by narrower North American heavy crude oil differentials. bp expects refinery turnaround activity to have a similar impact on both throughput and financial performance compared to 2023, with phasing of activity in 2024 heavily weighted towards the second half. bp expects the other businesses & corporate underlying annual charge to be around $1.0 billion for 2024. The charge may vary from quarter to quarter. bp expects the depreciation, depletion and amortization to be slightly higher than 2023. bp expects the underlying ETR for 2024 to be around 40% but it is sensitive to the impact that volatility in the current price environment may have on the geographical mix of the group’s profits and losses. bp expects capital expenditure of around $16 billion, weighted to the first half. bp expects divestment and other proceeds of $2-3 billion in 2024, weighted towards the second half. Having realized $17.8 billion of divestment and other proceeds since the second quarter of 2020, bp continues to expect to reach $25 billion of divestment and other proceeds between the second half of 2020 and 2025. bp expects Gulf of Mexico oil spill payments for the year to be around $1.2 billion pre-tax including $1.1 billion pre-tax to be paid during the second quarter.”