Oil giant BP has reported that its earnings fell by 66% in the first three months of this year, as the industry grapples with coronavirus’s impact on energy markets.
Underlying cost replacement profits – the company’s definition of income – came to $800m, down from $2.4bn during the same period last year.
BP blamed the losses on tumbling energy prices, a drop in demand for fuels and refined products, and weak earnings from its oil trading arm and its stake in Russian state-owned energy firm Rosneft.
“Our industry has been hit by supply and demand shocks on a scale never seen before,” said Bernard Looney, who has been chief executive since February.
Oil prices remain depressed. The international benchmark Brent crude currently costs about $19 a barrel, down from around $70 in early January. US oil is trading at just $11 a barrel.
