Profits at the energy company BP halved last year to nearly $14bn (£11bn), but were better than expected after weaker oil and gas market prices caused revenues to slump across the industry.
BP said it would return more cash to investors with $3.5bn of share buybacks over the first half of this year, and at least $14bn over the next two years. The move prompted criticism from campaigners who said the money would be better spent on investing in the green transition.
“Shareholders should want to protect their long-term positions. That means demanding a rapid clean energy transition for companies like BP. These reckless shareholder payouts do the opposite,” said Jonathan Noronha-Gant, a senior campaigner at Global Witness.
It is shareholders who want to protect their long term positions.
Drilling for oil and gas may well last longer than many think and some hope. But it’s also clearly, over the next century, a dying business.
So, how do shareholders maintain their position? They take money out of an oil and gas business and go put it into some other line of work.
Paying out today’s profits to be redeployed into something elose is protecting the shareholder position.
Global Witness are ignroant, ignorant, twats.
said Jonathan Noronha-Gant
Can we eat foolish, double-barrelled twats from London?
They must be useful somehow.
Off topic but as we are talking about twats, over in Spudland, the Great Potato opines on the announcement of King Charles cancer diagnosis…he wishes him well…
“I would do the same for anyone with a cancer diagnosis. I know what it feels like to be with someone getting one, and to live through their treatment. It was, at least in my closest experience, no fun at all.”
He has been with someone who has been diagnosed with cancer and what matters is how HE felt and that it was no fun for HIM.
This is – the one perhaps – something I’m willing to give him space on. His wife was diagnosed and, according to his telling of the story, went quite literally mad – as in properly – as a result of the treatment. So I’m told this can indeed be a thankfully rare side effect. I doubt trying to raise two teenage boys in such circumstances was easy.
We’ve quite enough to snarl at him about so let’s leave him be on this one.
That’s an order for around here by the way – my gaff.
“Shareholders should want to protect their long-term positions. That means demanding a rapid clean energy transition for companies like BP. These reckless shareholder payouts do the opposite,” said Jonathan Noronha-Gant, a senior campaigner at Global Witness.
I’d argue that’s exactly what BP was doing: protecting the long term positions of shareholders.
If BP really wanted to protect long term shareholder value, they would be out exploring for new sources of oil.
Investing in green stuff is not it.
But at least they know how to use spell checker.
If I had a pound for every minute I’ve spent explaining share buy-backs to well-meaning lefties, well, I’d be a lot poorer than I am now, but far from broke.
Jonathan Noronha-Gant is on record as saying buying Russian gas helps fund the war in Ukraine. Dear God no. It means that talented Russian oil engineers don’t switch to the military sector.
Western governments who benefit from the gas then have more resources to send to Ukraine I suppose, maybe he means that’s what’s funding the war in Ukraine.
Green campaigner says firms should spend money on what the Green campaigner wants, overthrowing capitalism.
Which oil derivatives are we going to phase out in the next 100 years?
https://energyneresources.com/blog/list-of-products-made-from-petroleum
DocBud: But that’s the whole point, how *DARE* the plebs have access to toothpase, tables, chairs, floor polish, soap, washing machines, tea, coffee, milk, bread, medicine, water, electricity – just think of all that disgusting plastic stopping electricity leaking out of all those wires!
Andrew C said:
“over in Spudland, the Great Potato opines on the announcement of King Charles cancer diagnosis…he wishes him well…”
Oh dear; given Murphy’s track record of predictions, does this mean HM is doomed? Best alert the Earl Marshal to get ready for the next coronation.
Oil derivatives being so useful, we should stop burning the stuff.
God save the King
I mean it, man.
Fair enough Steve.
I wish Charlie luck myself. Even though I preferred his mum.
But of course she’d been Queen for most of my life. Perhaps you’ve noticed this reactionary tendency in my comments.
@tim “This is – the one perhaps – something I’m willing to give him space on” well said Tim