BP : First quarter 2020 results

Contacts

BP press office, London: [phone], [e-mail]

Cautionary statement

In order to utilize the 'safe harbor' provisions of the United States Private Securities Litigation Reform Act of 1995 (the 'PSLRA') and the general doctrine of cautionary statements, BP is providing the following cautionary statement: The discussion in this results announcement contains certain forecasts, projections and forward-looking statements - that is, statements related to future, not past events and circumstances - with respect to the financial condition, results of operations and businesses of BP and certain of the plans and objectives of BP with respect to these items. These statements may generally, but not always, be identified by the use of words such as 'will', 'expects', 'is expected to', 'aims', 'should', 'may', 'objective', 'is likely to', 'intends', 'believes', 'anticipates', 'plans', 'we see' or similar expressions. In particular, the following, among other statements, are all forward looking in nature: the COVID-19 pandemic including its risks, impacts, consequences and challenges and BP's response; plans and expectations relating to BP's net zero ambition; plans and expectations relating to the financial framework and the investor proposition, focus on safety, the operational impact of COVID-19, commitment regarding employee job security, the divestment programme including expectations with respect to completion of transactions and the timing and amount of proceeds of agreed disposals (including the announced sale of our Alaskan business to Hilcorp), reductions in organic capital expenditure and reductions in production due to capital expenditure interventions and cash cost savings; expectations regarding quarterly dividends; expectations regarding demand for BP's products in the Upstream and Downstream; expectations regarding the Downstream refining margins, utilization and light-heavy crude spreads; plans to invest around $500 million in low-carbon activities in 2020; expectations regarding BP's future financial performance and cash flows; plans and expectations with respect to the implementation and impact of cost-saving measures, including to achieve $2.5 billion in cost savings by the end of 2021 relative to 2019 and associated restructuring charges; expectations regarding the underlying effective tax rate in 2020; plans and expectations to build liquidity, strengthen the balance sheet drive the cash balance point below $35 per barrel in 2021;expectations for net debt and for gearing to remain above the 20-30% range into 2021 and for gearing to trend down over time; plans to deliver 900mboe/d from new major projects by 2021; plans and expectations to extend the convenience partnership with Albert Heijn; plans and expectations with respect to the planned hydrogen network in Germany, the investment in Santos' Moomba project in South Australia and the Lightsource BP project in Texas; expectations regarding the Rosneft results; plans and expectations regarding Upstream projects, including the timing of the GTA project and the Tangguh expansion project; expectations regarding Upstream full year and second-quarter 2020 reported and underlying production; expectations regarding the timing of implementation of new accounting policies; expectations regarding price assumptions used in accounting estimates; expectations regarding the Other businesses and corporate average quarterly charges; and expectations with respect to the timing and amount of future payments relating to the Gulf of Mexico oil spill. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will or may occur in the future and are outside the control of BP. Actual results may differ materially from those expressed in such statements, depending on a variety of factors, including: the extent and duration of the impact of current market conditions including the significant drop in the oil price, the impact of COVID-19, overall global economic and business conditions impacting our business and demand for our products as well as the specific factors identified in the discussions accompanying such forward-looking statements; the receipt of relevant third party and/or regulatory approvals; the timing and level of maintenance and/or turnaround activity; the timing and volume of refinery additions and outages; the timing of bringing new fields onstream; the timing, quantum and nature of certain acquisitions and divestments; future levels of industry product supply, demand and pricing, including supply growth in North America; OPEC quota restrictions; PSA and TSC effects; operational and safety problems; potential lapses in product quality; economic and financial market conditions generally or in various countries and regions; political stability and economic growth in relevant areas of the world; changes in laws and governmental regulations; regulatory or legal actions including the types of enforcement action pursued and the nature of remedies sought or imposed; the actions of prosecutors, regulatory authorities and courts; delays in the processes for resolving claims; amounts ultimately payable and timing of payments relating to the Gulf of Mexico oil spill; exchange rate fluctuations; development and use of new technology; recruitment and retention of a skilled workforce; the success or otherwise of partnering; the actions of competitors, trading partners, contractors, subcontractors, creditors, rating agencies and others; our access to future credit resources; business disruption and crisis management; the impact on our reputation of ethical misconduct and non-compliance with regulatory obligations; trading losses; major uninsured losses; decisions by Rosneft's management and board of directors; the actions of contractors; natural disasters and adverse weather conditions; changes in public expectations and other changes to business conditions; wars and acts of terrorism; cyber-attacks or sabotage; and other factors discussed elsewhere in this report, and under 'Risk factors' in BP Annual Report and Form 20-F 2019 as filed with the US Securities and Exchange Commission.