video Finance Videos
Black week for BP
Friday, December 12, 2014 - 02:03
It's been a challenging seven days for BP. After losing a legal challenge to a compensation deal over the 2010 Gulf of Mexico spill, it's also cutting thousands of jobs across its business. Ciara Lee asks: what next for the oil giant?
▲ Hide Transcript
▶ View Transcript
REFEEDING SCRIPT WITH SPELLING CORRECTION ON 'LOUISIANA 2010' GRAPHIC It's one of the world's biggest oil companies and it's not had a great week. First came the rejection from the US Supreme Court of BP's legal challenge to a compensation claim of the 2010 Gulf of Mexico oil spill. The company had argued it would be vulnerable to false or inflated claims and wanted to limit payments over the environmental disaster. BP has sold over 43 billion dollars worth of assets to cover the expense of the disaster as well as the industry's rising costs. Justin Urquhart Stewart is from Seven Investment Management. (SOUNDBITE) (English) JUSTIN URQUHART STEWART, HEAD OF CORPORATE DEVELOPMENT AT SEVEN INVESTMENT MANAGEMENT, SAYING: "How bad can it get for a company like BP? What a history it has had over the past decade or so. And when you see whether it is the court case in the States, or the oil price and of course that's not going to change any time soon. So therefore it does get difficult. Therefore I think you have to be really rather wary indeed of dividends potentially being cut." BP is also cutting thousands of jobs across its global oil and gas business by the end of next year in a one billion dollar restructuring programme A reported eighty-seven thousand people are expected to lose their jobs. Pressure is being piled on BP and its peers as crude prices remain close to a five year low - and it's set to last. (SOUNDBITE) (English) JUSTIN URQUHART STEWART, HEAD OF CORPORATE DEVELOPMENT AT SEVEN INVESTMENT MANAGEMENT, SAYING: "The previous arrangements you had amongst the big oil producers and the big producers in terms of the countries not just the companies is relatively stable for a while. All of that has changed. OPEC is considerably weaker. The cartel has broken down. Alternative fuels and the big majors don't have the power that they had before." Global oil and gas exploration projects worth more than a hundred and fifty billion dollars are likely to be put on hold because of plunging prices. And deeper cuts to BP's 2015 budget are also being considered. But facing up to tougher times with a "shrink to survive philosophy" could keep BP in favour with its shareholders. It's hoping it's still relatively strong balance sheet will buy it time to adjust to the changing energy environment, and its radical downsizing.
Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code
Black week for BP
Friday, December 12, 2014 - 02:03
Top News »
Tue, 19 Feb, 2019 - (0:55)
Tue, 19 Feb, 2019 - (1:29)
Tue, 19 Feb, 2019 - (0:21)
Tue, 19 Feb, 2019 - (1:49)
Tue, 19 Feb, 2019 - (1:50)
Mon, 18 Feb, 2019 - (2:15)
Mon, 18 Feb, 2019 - (1:19)
Mon, 18 Feb, 2019 - (1:28)
Mon, 18 Feb, 2019 - (0:21)
Mon, 18 Feb, 2019 - (2:16)
Mon, 18 Feb, 2019 - (1:09)
Sun, 17 Feb, 2019 - (2:04)
Editors' Picks »
Tue, 19 Feb, 2019 - (1:31)
Mon, 18 Feb, 2019 - (1:52)
Fri, 15 Feb, 2019 - (1:55)
Thu, 14 Feb, 2019 - (2:50)
Thu, 14 Feb, 2019 - (2:00)
Thu, 14 Feb, 2019 - (1:24)
Thu, 14 Feb, 2019 - (1:58)
Thu, 14 Feb, 2019 - (1:15)
Wed, 13 Feb, 2019 - (1:40)
Wed, 13 Feb, 2019 - (1:40)
Business »
Tue, 19 Feb, 2019 - (2:03)
Tue, 19 Feb, 2019 - (1:10)
Tue, 19 Feb, 2019 - (1:44)
Tue, 19 Feb, 2019 - (5:06)
Tue, 19 Feb, 2019 - (5:05)
Tue, 19 Feb, 2019 - (1:28)
Tue, 19 Feb, 2019 - (1:32)
Tue, 19 Feb, 2019 - (1:05)
Tue, 19 Feb, 2019 - (1:39)
Tue, 19 Feb, 2019 - (1:40)
Tue, 19 Feb, 2019 - (1:37)
Tue, 19 Feb, 2019 - (1:58)
Featured Videos
Design-your-own 3D virtual Lamborghini
Cloud-based technology from British company ZeroLight lets Lamborghini fans create a 3D virtual model from a limitless number of combinations
Spectacular World Cup of Snowkiting gets going in Italy
Snowkiters race across a frozen lake in Italy on either skis or snowboards to compete in the Snowkite World Cup
Living dangerously, one foot at a time, in 'Free Solo'
Climber Alex Honnold's death-defying ascent of El Capitan in California's Yosemite National Park is taking him to the Oscars, where a film about his feat will compete for the movie world's highest honour
The elusive black panther is spotted in Kenya
Images of a rare African black leopard - known as panthers - have been captured in Kenya, the first verifiable record of the animal for nearly 100 years
Meghan being harassed just like Diana - George Clooney
The media are harassing Meghan Markle just as they did Princess Diana, who was killed in a car crash while being pursued by paparazzi, her friend George Clooney says
Technology »
Tue, 19 Feb, 2019 - (1:53)
Mon, 18 Feb, 2019 - (1:34)
Mon, 18 Feb, 2019 - (1:22)
Fri, 15 Feb, 2019 - (1:20)
Fri, 15 Feb, 2019 - (1:13)
Tue, 12 Feb, 2019 - (1:22)
Tue, 12 Feb, 2019 - (1:39)
Mon, 11 Feb, 2019 - (1:32)
Fri, 08 Feb, 2019 - (2:05)
Thu, 07 Feb, 2019 - (1:38)
Entertainment »
Tue, 19 Feb, 2019 - (1:45)
Tue, 19 Feb, 2019 - (2:21)
Mon, 18 Feb, 2019 - (2:19)
Mon, 18 Feb, 2019 - (1:50)
Mon, 18 Feb, 2019 - (1:49)
Mon, 18 Feb, 2019 - (2:23)
Sun, 17 Feb, 2019 - (2:08)
Sun, 17 Feb, 2019 - (2:09)
Sun, 17 Feb, 2019 - (1:05)
Sun, 17 Feb, 2019 - (1:02)
Sun, 17 Feb, 2019 - (1:45)
Sun, 17 Feb, 2019 - (0:45)
Sports And Leisure »
Tue, 19 Feb, 2019 - (1:07)
Mon, 18 Feb, 2019 - (1:50)
Mon, 18 Feb, 2019 - (1:40)
Mon, 18 Feb, 2019 - (1:29)
Mon, 18 Feb, 2019 - (0:54)
Thu, 14 Feb, 2019 - (1:27)
Thu, 14 Feb, 2019 - (0:45)
Thu, 14 Feb, 2019 - (1:01)
Wed, 13 Feb, 2019 - (1:32)
Wed, 13 Feb, 2019 - (1:00)
Oddly Enough »
Sun, 17 Feb, 2019 - (0:50)
Fri, 15 Feb, 2019 - (0:42)
Fri, 15 Feb, 2019 - (1:36)
Thu, 14 Feb, 2019 - (1:01)
Thu, 14 Feb, 2019 - (0:59)
Thu, 14 Feb, 2019 - (1:34)
Thu, 14 Feb, 2019 - (1:26)
Wed, 13 Feb, 2019 - (0:49)
Tue, 12 Feb, 2019 - (0:40)