bp has released its fourth quarter guidance for 2024 expecting a decline in profit from the previous three months due to lower production, weak refining margins and sluggish trading.
The company anticipates that a drop in refining margins and increased impact from turnaround and maintenance activities will result in a quarter-on-quarter profit decline of up to $300 million.
bp also expects a drop in upstream production from the previous quarter.
For oil production & operations, bp expects the financial outcome to be worse by $200 – $400 million, mainly due to price delays in the Gulf of Mexico and UAE.
In addition, exploration write-offs are expected to be $100 – $200 million lower compared to the prior quarter.
Meanwhile, gas & low carbon energy BP reported that financial outcome is expected to be better by $100 – $200 million, due to changes in natural gas prices.
According to Reuters, Global demand for gasoline and diesel has fallen short of expectations, and the launch of new oil refineries in Asia and Africa has resulted in an oversupply.
Last week, Shell warned of weakness across multiple divisions, while ExxonMobil signaled a $1.75 billion drop in fourth-quarter earnings, as Reuters reported.