BP profits soar to $6.2bn amid calls for energy windfall tax

theguardian.com:

BP’s profits more than doubled to $6.2bn (£5bn) in the first three months of the year, boosted by soaring oil and gas prices.

It was well ahead of the $4.5bn of expected by analysts and is likely to revive calls for a windfall tax on oil and gas companies from Labour and the Liberal Democrats, who argue the money raised could be used to ease the burden for those hardest hit by the cost of living costs.

BP announced a $2.5bn share buyback programme on the back of the bumper profits.

The UK oil group made an underlying replacement cost profit of $6.2bn between January and March, compared with $2.6bn in the same quarter last year. This was driven by “exceptional oil and gas trading”, higher oil prices and better refining results.

However, including a $24bn pretax charge related to its exit from its investment in the Russian state-owned oil and gas group Rosneft, BP reported a headline loss of $20.4bn.

Bernard Looney, the BP chief executive, said: “In a quarter dominated by the tragic events in Ukraine and volatility in energy markets, bp’s focus has been on supplying the reliable energy our customers need. Our decision in February to exit our shareholding in Rosneft resulted in the material non-cash charges and headline loss we reported today.”