The emphasis on returning cash came as Lord Browne and his management team outlined a strategy for the period to 2006 that would focus on organic growth rather than the acquisition and consolidation activities of the past few years.
104
BP Prepares for Big Payout
Company pledges over $33 billion in cash...
Europe's biggest energy group, British Petroleum, has pledged to return up to $33 billion of surplus cash to shareholders over the next three years if oil prices remain high. Lord Browne, chief executive, said yesterday: "There appears to be overwhelmingly more chance of the oil price being above Dollars 20 a barrel for the next few years than not."
He said that Dollars 20 a barrel - the benchmark price the company is using for spending decisions - would allow BP to meet its capital and dividend requirements while cash generated from higher oil prices would go towards share buy-backs. At Dollars 30 a barrel, the payout to shareholders would total about Dollars 33.3bn over three years, while at Dollars 25 it would be about Dollars 27bn, or Dollars 9bn a year, including dividends. Shares in BP rose 9 1/2p to 445p yesterday.
The emphasis on returning cash came as Lord Browne and his management team outlined a strategy for the period to 2006 that would focus on organic growth rather than the acquisition and consolidation activities of the past few years.
The emphasis on returning cash came as Lord Browne and his management team outlined a strategy for the period to 2006 that would focus on organic growth rather than the acquisition and consolidation activities of the past few years.
Подпишитесь
