Business · Companies · 3 hrs ago
BP debt falls as new chief plans strategy announcement in December
BP expects its net debt to fall sharply to $13.5 billion-$14.5 billion by the end of September, down from $22.3 billion at the end of June.
The British oil company says that would put debt below its previous target range of $14 billion-$18 billion by the end of 2027.
Higher oil and gas prices are boosting BP’s business, including its trading and oil processing operations, amid the Iran war and disruption to the Strait of Hormuz.
Chief executive Meg O’Neill will present a new strategy in New York on December 15, her first chance to set out detailed plans for the company.
BP faces pressure from activist investor Elliott Management to strengthen its finances and cut costs.
O’Neill has also begun selling assets, including plans to sell BP’s US biogas business, Archaea.
BP expects to write down the value of its clean-energy businesses by $3 billion-$4.5 billion in the third quarter, and its results are due on October 30.
BP said net debt is expected to fall to between 13.5 billion and 14.5 billion US dollars by the end of September, down from 22.3 billion dollars at the end of June.
The company said its new chief executive, Meg O’Neill, will present a strategy plan in New York on December 15.
BP attributed strong trading and lower debt to support from high oil and gas prices amid the Iran war.
The company had previously targeted net debt of 14 billion to 18 billion dollars by the end of next year.
BP also expects to write down the value of its clean energy businesses by 3 billion to 4.5 billion dollars in the third quarter.
- Who
- BP and its chief executive, Meg O’Neill.
- What
- BP expects its net debt to fall sharply and plans to announce a new strategy.
- When
- The debt figure is expected by the end of September. The strategy announcement is scheduled for December 15.
- Where
- The strategy plan will be announced in New York.
- Why
- BP said high oil and gas prices and strong trading helped reduce debt.
This story does not have two clearly opposing sides.
Meg O’Neill took over as BP chief executive, replacing Murray Auchincloss.
BP reported net debt of 22.3 billion US dollars.
BP expects net debt to be between 13.5 billion and 14.5 billion US dollars.
BP plans to outline its new strategy in New York.
- Expected net debt by end of September
- 13.5 billion to 14.5 billion US dollars
- Net debt at end of June
- 22.3 billion US dollars
- Strategy announcement
- December 15, New York
- Underlying profit, second quarter 2026
- 5.7 billion US dollars
- Expected clean energy write-down
- 3 billion to 4.5 billion US dollars
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