Ever since the Gulf of Mexico crisis and after the resumptions of pay-outs a year ago, it is the first time that BP has increased its dividend. Its CEO said that the company is preparing to settle thousands of lawsuits due to the disaster, on reasonable terms. However, it is ready for a trial if need be. A civil trial is due to start later this month. 

 

The fourth-quarter replacement cost profit of the company was $7.6 billion, up from $4.61 a year earlier, after stripping out the value of oil and gas inventory. The underlying replacement cost profit for the full year was $21.7 billion, against $20.5 billion for 2010.

 

BP’s operating cash flow was $22.2 billion, up 63 percent compared to 2010. The company expects that net cash flow in 2014 would be 50 percent higher than in 2011, in a $100 oil price background. Its production over the past year was 3.45 million barrels of oil equivalent per day against a target of 3.4m boe/d for the year. It was 10 percent lower than in 2010. In early morning trading in London, BP shares were down 0.6 percent to 486.62.