BP p.l.c.
In the oil production and operations segment, the company anticipates realizations to have a favorable impact of $0.1 billion-$0.3 billion versus the first quarter, factoring in the effects of price lags on production in the Gulf of Mexico and the UAE.
The British oil giant expects Upstream production in the quarter to remain flat compared to the prior quarter, with stable oil production and a slight decrease in gas and low-carbon energy output.
In the gas and low-carbon energy segment, the company projects realizations to have an adverse impact of about $0.1 billion vs the prior quarter, including declines in non-Henry Hub natural gas prices.
Also, the gas marketing and trading result is expected to be average in the second quarter following a strong first quarter.
BP projects lower refining margins to negatively impact to have a negative impact of $0.5 billion-$0.7 billion owing to weaker middle distillate margins and narrower North American heavy crude oil differentials, along with increased turnaround activity.
Apart from this, the company disclosed that second-quarter results are expected to include post-tax adverse adjustments of $1.0 billion-$2.0 billion on asset impairments and onerous contract provisions, including charges related to the Gelsenkirchen refinery review.
Last month, BP agreed to purchase Bunge Global SA's
Investors can gain exposure to the stock via Direxion Hydrogen ETF
Price Action: BP shares are down 3.99% at $35.08 premarket at the last check Tuesday.
