BP’s profit doubles to $8.2bn in Q3 2022 amid high oil prices

BP, a British oil and gas multinational company, has announced an $8.2 billion profit in the third quarter of 2022.

According to a report released on Tuesday by the oil giant, the figure is 144.6 percent higher than the $3.3 billion profit in the corresponding period of 2021.

BP’s profit surge was as a result of higher gas profit; robust gas marketing and trading, as well as higher oil prices.

The figure is also significantly higher than the $6.1 billion expected by market analysts.

However, BP said profits were weaker than the previous quarter (Q2 2022), due to weaker refining margins, an average oil trading result, and lower liquids realisation.

The oil firm said its net debt fell for the tenth successive quarter to reach $22.0 billion at the end of the third quarter.

Details of the report showed that capital expenditure in the quarter was $3.2 billion.

Consequently, BP said it now expects capital expenditure of around $15.5 billion in 2022, if the acquisition of Archaea Energy completes before year-end.

Meanwhile, the oil giant expects to pay $800 million in UK windfall taxes this year.

The windfall tax was introduced by Rishi Sunak in May when he was chancellor.

Commenting on the Q3 result, Bernard Looney, BP chief executive officer, said the quarter’s results reflect the oil giant’s continuation to perform while transforming.

“We remain focused on helping to solve the energy trilemma – secure, affordable and lower carbon energy,” Looney said.

“We are providing the oil and gas the world needs today – while at the same time — investing to accelerate the energy transition. 

“Our agreement on Archaea Energy is the most recent step in our strategic transformation of BP.”