Weak energy demand and low fuel consumption due to tight travel restrictions have led to BP's profits plunging in the fourth quarter of 2020 to $ 115 million. < / p>
According to Arabiya Net, the company slid throughout the year to a loss of $ 5.69 billion, the first in ten years, compared to a profit of $ 10 billion in 2019, after The company reduced the value of its oil and gas assets by $ 6.5 billion in the second quarter.
BP said today, Tuesday, that its quarterly results were significantly affected by the decline in fuel and gas sales and weak profits for refining and trade activities, as well as by a reduction of $ 154 million in the value of Origins for exploration.
For his part, CFO Murray Okincloss said in his statement that those results are a really difficult quarter.
But the company said that demand is expected to recover in 2021, as the exacerbation of the scarcity of supplies in global natural gas markets will support price profitability, adding that the restrictions associated with the Corona virus are putting pressure on Demand for refined products in the first quarter.
fourth-quarter net profit of $ 115 million is less than analysts' forecast of $ 360 million provided by the company itself.
In comparison, it was $ 86 million in the third quarter and $ 2.6 billion a year ago.
BP's total debt of $ 39 billion is expected to rise in the first half of this year as it is still facing difficulties in a weak environment, but the company said it It remains on track to reduce it to $ 35 billion in early 2021.
