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Full-Year Profit Dries Up For Oil Giant BP

February 3, 2014

It said operating profit for the 12 months to the end of December was 8.2bn, compared to 10.5bn the previous year. Profit in the last three months of 2013 fell by 28%, to 1.7bn. The Q4 profit in 2012 was 2.4bn. The company said the figures were affected by its "major divestment programme" of asset selling, along with weaker refining margins. It added that exploration write-offs added to the drop. BP , the world's fourth biggest oil firm, said key regions continue to be the North Sea , Angola and the Gulf of Mexico . Its results are in keeping with the wider industry malaise, where slow profit growth and rising costs have impact bottom lines. Exxon Mobil , t he world's largest publicly traded oil company by value, reported below-expected quarterly profit last week, while Chevron and Shell issued January profit warnings. BP has also been forced to deal with the environmental, political and economic impact after the Gulf of Mexico oil spill, which killed 11 men. It said the provision to cover the spill's clean-up, fines, compensation and legal costs had risen to $42.7bn (26.2bn) from $42.5bn (26bn) the previous year. The company added that the Rosneft deal, which BP put its Russian business into the state-controlled firm in exchange for a 19.75% stake, injected 675m into the overall profit. :: Watch Sky News live on television, on Sky channel 501, Virgin Media channel 602, Freeview channel 82 and Freesat channel 202.

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Source: Sky News (UK)

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