BP made some huge announcements for the future after its big second-quarter earnings loss report went public.
Q2 Earnings. Previously BP $800 million in profit in the first quarter; now, they’re reporting $6.7 billion of losses in Q2.
BP’s reaction. As part of their overhaul, they’re cutting oil production by 40% by 2030 and investing more into green energy.
- BP is planning to increase its annual spending for low carbon investments to increase to $5 billion by 2030 as part of its plan for net-zero emissions by 2050.
- Going green. The pivot to green energy includes more investing in bioenergy, hydrogen, and carbon capture & storage. They also plan on investing in 70,000 electric vehicle charging points.
How does it affect my wallet?
Investors take a pay cut. As a result of the rough quarter, they cut their dividends from $0.105 to $0.0525 per share.
Fossil Fuels future. BP is predicting fossil fuel demand to fall by 75% over the next 30 years.
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