BP Plc, Europe’s third-largest oil company, reported a 19% decline in quarterly profit. The company increased its dividend to 10 cents a share.
Net income adjusted for one-time items and inventory changes fell to $3billion in the third-quarter ended Sept. 30 from $3.7billion a year earlier, the London-based company said today in a statement. That beat the $2.93billion average of 14 analyst estimates compiled by Bloomberg.
BP, found grossly negligent by a US judge last month for the 2010 Gulf of Mexico oil spill, plans to sell more assets as its liabilities for the incident may surge to $50billion. It also warned in July of risks to profit and output because of US and European Union sanctions on Russia over the nation’s involvement in the conflict in Ukraine. BP has an almost 20% stake in OAO Rosneft, Russia’s largest oil producer.
BP’s underlying oil and gas production, which excludes Russia, rose 4.1%, the company said. Reported production fell as a concession in Abu Dhabi ended.
BP and its partners made two discoveries this month in the central North Sea and Gulf of Mexico and will begin output from a UK reservoir holding 45 million barrels of oil equivalent.
Royal Dutch Shell Plc, Europe’s largest oil company by market value, reports earnings on Oct. 30. Total SA, the region’s second-largest, posts its results tomorrow.