In the aftermath of the disastrous BP (NYSE:BP) oil spill, many have been waiting to see what new CEO Bob Dudley would do at the top concerning removing executives and putting new ones in place.
So far there has been somewhat of a modest response from Dudley, who has, for the most part, kept people in place, other than Exploration and Production head Andy Inglis.
Of course Dudley replaced former CEO Tony Hayward, but that wasn't his decision.
Many were hoping for a big shakeup at the top, but only time will tell if Dudley's strategy is the best one.
It appears he believes changing the company culture to being more safety focused is more important than simply getting rid of people.
Also it seems he is changing things incrementally rather than respond to the media uproar and emotion stirred from the oil spill coverage. That could be a smart move on his part, as keeping people in place that know the industry and who will respond to change is as good as getting rid of them and replacing them with people who they don't know and could be unresponsive as well.
In other words, Dudley seems to be trying to keep the company from entering into complete chaos, and permeating them with a culture of safety for the existing people at the company.
One thing he did do was to tie in safety to employee compensation for this quarter as the company revamps its overall pay structure for the long term.
The bottom line is it'll be considered a success only if BP's safety record improves. Period! If it doesn't, not only will other heads fall, but quite possibly Dudley's as well.
Showing posts with label Tony Hayward. Show all posts
Showing posts with label Tony Hayward. Show all posts
Tuesday, October 19, 2010
Friday, October 1, 2010
BP's (NYSE:BP) Dudley Doesn't See "Gross Negligence" Over Oil Spill
Newly crowned BP (NYSE:BP) chief executive officer Bob Dudley said he doesn't believe the US Justice Department will end up accusing the company of being grossly negligent in the Gulf of Mexico oil spill.
That decision will be among the largest factors in financial liability relating to the spill.
If they were to be found in gross negligence, it would cost them billions of dollars more, not only in direct fines, but in civil liabilities as well.
It would probably end up with criminal charges against those responsible if that was the ruling.
Dudley said to the Houston Chronicle, "We don't believe we have been grossly negligent in anything we've seen in any of the investigations."
Tony Hayward stepped down yesterday as BP CEO and is a board member of the joint venture TNK-BP.
That decision will be among the largest factors in financial liability relating to the spill.
If they were to be found in gross negligence, it would cost them billions of dollars more, not only in direct fines, but in civil liabilities as well.
It would probably end up with criminal charges against those responsible if that was the ruling.
Dudley said to the Houston Chronicle, "We don't believe we have been grossly negligent in anything we've seen in any of the investigations."
Tony Hayward stepped down yesterday as BP CEO and is a board member of the joint venture TNK-BP.
Wednesday, September 29, 2010
BP's (NYSE:BP) Incoming CEO Fires Deep Water Well Executive
Andy Inglis, who was the executive in charge of deep water wells at BP (NYSE:BP), was fired by incoming CEO Bob Dudley. Inglis was over exploration and production for the oil giant.
Outgoing CEO Tony Hayward replaced Inglis on the board of TNK-BP in the early part of September, although he'll remain until October 31, according to Dudley.
The divisions Inglis oversaw will be broken up into three units.
After the firing of Inglis, Dudley announced there will be a new unit to oversee safety practices throughout the company.
Heading up the new safety unit will be Mark Bly, who was responsible for the team which did an internal investigation as to the causes of the failed Macondo well.
Dubbed the Safety & Operation Risk unit, it will be authorized to intervene in any technical activity performed by BP and its workers.
An announcement said, "It will have its own expert staff embedded in BP's operating units, including exploration projects and refineries. It will be responsible for ensuring that all operations are carried out to common standards, and for auditing compliance with those standards."
Outgoing CEO Tony Hayward replaced Inglis on the board of TNK-BP in the early part of September, although he'll remain until October 31, according to Dudley.
The divisions Inglis oversaw will be broken up into three units.
After the firing of Inglis, Dudley announced there will be a new unit to oversee safety practices throughout the company.
Heading up the new safety unit will be Mark Bly, who was responsible for the team which did an internal investigation as to the causes of the failed Macondo well.
Dubbed the Safety & Operation Risk unit, it will be authorized to intervene in any technical activity performed by BP and its workers.
An announcement said, "It will have its own expert staff embedded in BP's operating units, including exploration projects and refineries. It will be responsible for ensuring that all operations are carried out to common standards, and for auditing compliance with those standards."
Thursday, September 16, 2010
BP (NYSE:BP) Sets Aside $19 Billion for North Sea Investment
In a hearing with British lawmakers, among other things, outgoing BP (NYSE:BP) Chief Executive Officer Tony Hayward said over the next five years the oil giant will invest up to $19 billion in the North Sea off the coast of Britain.
The drilling of a deepwater well off the Shetland Islands is scheduled for 2011.
Questions rose to BP's commitment to the region in response to the oil spill in the Gulf of Mexico. Hayward said no investment plans by the company for the North Sea have been altered.
Hayward also estimated oil and gas production from deepwater drilling will be close to 10 million barrels a day by 2020, twice what it is today.
The drilling of a deepwater well off the Shetland Islands is scheduled for 2011.
Questions rose to BP's commitment to the region in response to the oil spill in the Gulf of Mexico. Hayward said no investment plans by the company for the North Sea have been altered.
Hayward also estimated oil and gas production from deepwater drilling will be close to 10 million barrels a day by 2020, twice what it is today.
Friday, September 10, 2010
TNK-BP to Look at BP (NYSE:BP) Assets in Venezuela, Vietnam
BP (NYSE:BP) has been shopping around their Venezuela and Vietnam assets as part of the $30 billion they are trying to raise to pay for the Gulf oil spill.
TNK-BP, which is a joint venture between BP and Russian billionaires, is interested in expanding into the two markets, and in the September 30 board meeting are going to discuss the idea.
Board members of TNK-BP include four BP directors, four Russians, and three independent directors.
In an interview in Moscow, billionaire shareholder, Viktor Vekselberg, said the possibility of acquiring the BP assets will be on the agenda of the next meeting.
The strongest of the two options from TNK-BP's point of view are the Venezuelan assets.
Those assets produce about 110,000 barrels of oil a day.
While Tony Hayward won't be at this next meeting of TNK-BP, he is taking a seat on the board of the company in October, after he steps down as CEO of BP.
TNK-BP, which is a joint venture between BP and Russian billionaires, is interested in expanding into the two markets, and in the September 30 board meeting are going to discuss the idea.
Board members of TNK-BP include four BP directors, four Russians, and three independent directors.
In an interview in Moscow, billionaire shareholder, Viktor Vekselberg, said the possibility of acquiring the BP assets will be on the agenda of the next meeting.
The strongest of the two options from TNK-BP's point of view are the Venezuelan assets.
Those assets produce about 110,000 barrels of oil a day.
While Tony Hayward won't be at this next meeting of TNK-BP, he is taking a seat on the board of the company in October, after he steps down as CEO of BP.
BP’s (NYSE:BP) CEO Tony Hayward Joining TNK-BP (OTC:TNKBF) Board
Tony Hayward, who will be stepping down as CEO of BP (NYSE:BP) in October, will reportedly be replacing Andy Inglis on the board of TNK-BP (OTC:TNKBF), which is a joint venture with a group of wealthy Russians.
Inglis is the head of exploration and production for BP.
The board of directors of TNK-BP includes four Russians, four members from BP, and three independent directors.
Hayward was assigned to the region when he agreed to leave his role as CEO in the company after a series of public relation mistakes which made the problem worse for the oil giant.
Inglis is the head of exploration and production for BP.
The board of directors of TNK-BP includes four Russians, four members from BP, and three independent directors.
Hayward was assigned to the region when he agreed to leave his role as CEO in the company after a series of public relation mistakes which made the problem worse for the oil giant.
Thursday, September 9, 2010
BP's (NYSE:BP) Tony Hayward to Appear before UK Committee
Tony Hayward, who will soon be stepping down as CEO of BP (NYSE:BP), has been asked to testify before the Energy and Climate Change Select Committee next Wednesday.
The purpose of the meeting will be to get a better grasp of the risks involved in deepwater drilling off the UK coast, and what the implications oil spill in the Gulf of Mexico are to UK deepwater drilling. They'll also look at the role deepwater drilling will continue to play in the UK.
Also asked to appear are Bernard Looney, who is managing director of BP North Sea, and Mark Bly, head of safety and operations.
Hayward will be leaving his post in October.
The purpose of the meeting will be to get a better grasp of the risks involved in deepwater drilling off the UK coast, and what the implications oil spill in the Gulf of Mexico are to UK deepwater drilling. They'll also look at the role deepwater drilling will continue to play in the UK.
Also asked to appear are Bernard Looney, who is managing director of BP North Sea, and Mark Bly, head of safety and operations.
Hayward will be leaving his post in October.
Monday, August 9, 2010
BP (NYSE:BP) Getting $308 Million Government Grant Money
As unbelievable as it may sound, BP (NYSE:BP) is getting a $308 million grant from the federal government. The money is to be used to build a power plant on cotton and alfalfa fields in California's farmland. Part of the money is coming from federal programs while the other part is coming from stimulus funds.
The part coming from the stimulus funds alone is the second largest amount given to a corporation, and the largest in the country benefiting private interests. The grant was announced last year by The U.S. Department of Energy to Hydrogen Energy California, a joint partnership with BP.
Tom Frantz, a local environmental advocate said, "If you're trying to get money out of them, why are you giving them money? If I was the government right now, I would not give BP $300 million to do anything."
When questioned, BP declined comment, but CEO Tony Hayward in 2007 said during the announcement of this venture that, "projects such as these have the potential to help deliver the carbon emission reductions which companies and countries around the world are now seeking."
The part coming from the stimulus funds alone is the second largest amount given to a corporation, and the largest in the country benefiting private interests. The grant was announced last year by The U.S. Department of Energy to Hydrogen Energy California, a joint partnership with BP.
Tom Frantz, a local environmental advocate said, "If you're trying to get money out of them, why are you giving them money? If I was the government right now, I would not give BP $300 million to do anything."
When questioned, BP declined comment, but CEO Tony Hayward in 2007 said during the announcement of this venture that, "projects such as these have the potential to help deliver the carbon emission reductions which companies and countries around the world are now seeking."
Tuesday, August 3, 2010
BP's (NYSE:BP) Hayward Denies Oil Plumes Exist
BP (NYSE:BP) has said many things, Tony Hayward is now saying that the oil plumes don't exist, but scientist are saying they do. This seems to just be another attempt by BP to try and not take responsibility for their actions.
Scientist say there are several deadly oil plumes that have been spotted in the Gulf of Mexico. According to the scientists, they were created by the combination of the oil, gas, and chemical dispersants unleashed into the Gulf. The plumes create what's called dead zones where there is no oxygen and nothing can survive in or around them.
There is one oil plume only 35 miles from Florida's shore in the Panhandle. There is another plume 22 miles long and 6 feet wide that reaches to a depth of 3,300 lingering in the Gulf. As well as also the first plume to be discovered that is 10 miles long, 3 miles wide, and 300 feet deep. Other plumes remain in deeper waters.
What BP is trying to prove by continuing to lie isn't for certain. Considering there is proof of the existence of the oil plumes caused by the worst oil spill in U.S. history.
Scientist say there are several deadly oil plumes that have been spotted in the Gulf of Mexico. According to the scientists, they were created by the combination of the oil, gas, and chemical dispersants unleashed into the Gulf. The plumes create what's called dead zones where there is no oxygen and nothing can survive in or around them.
There is one oil plume only 35 miles from Florida's shore in the Panhandle. There is another plume 22 miles long and 6 feet wide that reaches to a depth of 3,300 lingering in the Gulf. As well as also the first plume to be discovered that is 10 miles long, 3 miles wide, and 300 feet deep. Other plumes remain in deeper waters.
What BP is trying to prove by continuing to lie isn't for certain. Considering there is proof of the existence of the oil plumes caused by the worst oil spill in U.S. history.
Wednesday, July 28, 2010
BP (NYSE:BP) Oil Claiming $9.9 Billion Tax Credit
The fact that BP (NYSE:BP) oil says their plan is to claim $9.9 billion in tax credits is infuriating many. The BP oil spill may end up falling on tax payers shoulders after all ! Analysts are saying this was most likely part of the company's plan all along, and the almost $10 billion will keep the cash flowing for BP.
The credit is being based on the $32.3 billion the company reported for costs relating to the oil spill. Despite the fact that President Obama assured and insisted to the public that BP would take full financial responsibility for the entire oil cleanup, as well as effected businesses and wildlife. This will cut down their spill costs by a third.
Tony Hayward said, "We have followed the IRS regulations as they're currently written." There are tax code provisions that do allow companies to claim losses through tax refunds. BP has yet to be fined for the worst oil spill in U.S. history, so this is being based on their losses not penalties.
The credit is being based on the $32.3 billion the company reported for costs relating to the oil spill. Despite the fact that President Obama assured and insisted to the public that BP would take full financial responsibility for the entire oil cleanup, as well as effected businesses and wildlife. This will cut down their spill costs by a third.
Tony Hayward said, "We have followed the IRS regulations as they're currently written." There are tax code provisions that do allow companies to claim losses through tax refunds. BP has yet to be fined for the worst oil spill in U.S. history, so this is being based on their losses not penalties.
Tuesday, July 27, 2010
BP (NYSE:BP): Hayward's Not Testifying, PERIOD !
According to BP (NYSE:BP), Chief Executive Tony Hayward will not be testifying at the U.S. Senate hearing. The purpose of this hearing is to examine the evidence to see if BP had any influence in the release of the Lockerbie bomber.
BP did say they were willing to send another representative to testify at the Senate Foreign Relations Committee hearing, chaired by Senator Robert Menendez on Thursday. Although the name of the representative was not given. Menendez said he is going to continue to put the pressure on to have Hayward testify.
"It is apparently more important to BP and Mr. Hayward to focus on his multi-million dollar golden parachute then to help answer serious lingering questions about whether the company advocated traded blood for oil," said Menendez.
Menendez continued, "Though it may be convenient for BP to move Mr. Hayward out of his position, it does not change the need for answers. The bottom line is we need to hear from BP officials at the highest levels who had significant contact with both the Libyan and British governments. Mr. Hayward best fits that bill."
BP did say they were willing to send another representative to testify at the Senate Foreign Relations Committee hearing, chaired by Senator Robert Menendez on Thursday. Although the name of the representative was not given. Menendez said he is going to continue to put the pressure on to have Hayward testify.
"It is apparently more important to BP and Mr. Hayward to focus on his multi-million dollar golden parachute then to help answer serious lingering questions about whether the company advocated traded blood for oil," said Menendez.
Menendez continued, "Though it may be convenient for BP to move Mr. Hayward out of his position, it does not change the need for answers. The bottom line is we need to hear from BP officials at the highest levels who had significant contact with both the Libyan and British governments. Mr. Hayward best fits that bill."
Monday, July 26, 2010
Tony Hayward Leaving BP (NYSE:BP) Oil October 1st
There has been much speculation and rumors surrounding Hayward's leaving BP (NYSE:BP) oil. A source spoke on the condition of anonymity due to the company not revealing their plans to the public yet. He said that Hayward is expected to leave October 1st and resign from the board by the end of the year.
The companys board of directors is meeting this evening, and whether he leaves or not is expected to be the center of their agenda. Hayward's whole career has been with BP. He has stated that he is ready to step down and has become "a liability going forward."
The board is also meeting prior to the Tuesday release of quarterly results. The directors will be discussing the best way to confront or diffuse criticism. While the company reveals its newest estimates of the losses and costs due to the worst oil spill in U.S. history.
Some analyst have said that Hayward's leaving would be a gesture that someone is taking full responsibility. According to another person who spoke under conditions of anonymity said, Hayward is not the only executive that will be leaving. It is expected that other top BP executives will be asked to leave.
The companys board of directors is meeting this evening, and whether he leaves or not is expected to be the center of their agenda. Hayward's whole career has been with BP. He has stated that he is ready to step down and has become "a liability going forward."
The board is also meeting prior to the Tuesday release of quarterly results. The directors will be discussing the best way to confront or diffuse criticism. While the company reveals its newest estimates of the losses and costs due to the worst oil spill in U.S. history.
Some analyst have said that Hayward's leaving would be a gesture that someone is taking full responsibility. According to another person who spoke under conditions of anonymity said, Hayward is not the only executive that will be leaving. It is expected that other top BP executives will be asked to leave.
BP (NYSE:BP) Deepwater Drilling in Libya and Half Year Results
Despite the environmental concerns after the massive oil spill in the Gulf, BP (NYSE:BP) says they're pushing forward and going to begin deepwater drilling in Libya. The well site in the Gulf of Sirte is even deeper than the Macondo well in the Gulf of Mexico.
Reported by the Financial Times, the plans are in the shadow of controversy and BP faces much scrutiny because of its deal in 2007 to purchase Libya's oil and gas fields at the cost of $1 billion.
In other BP news, the company will be reporting their half year results today. It's being rumored that Tony Hayward is expected to officially announce his leaving the company before the results are given. The results are expected to show BP making $10 billion in profits so far for the year, even with the costs of the disastrous oil spill.
Reported by the Financial Times, the plans are in the shadow of controversy and BP faces much scrutiny because of its deal in 2007 to purchase Libya's oil and gas fields at the cost of $1 billion.
In other BP news, the company will be reporting their half year results today. It's being rumored that Tony Hayward is expected to officially announce his leaving the company before the results are given. The results are expected to show BP making $10 billion in profits so far for the year, even with the costs of the disastrous oil spill.
Wednesday, July 21, 2010
BP's (NYSE:BP) CEO Will Remain - For Now!
News that BP's (NYSE:BP) chief executive officer Tony Hayward will be booted from his position has caused a spokesman for the company to say he "remains the CEO."
This is the result of an article in the Times of London which said Hayward has at most about 10 weeks left at the helm of the company, whereby a new CEO will be named, with American Bob Dudley considered the front-runner by many.
BP spokesman Robert Wine said, “He has the full backing of the Board.”
Even so, there's almost no one outside the company that thinks Hayward will remain on board, and it's only a matter of when, not if, he's going to be relieved of his duties.
BP won't want to talk much of this at this time, as the important plugging of the leaking oil well is a triumph for them, and to focus on that would deter from the positives the company is finally getting.
Hayward is pretty much an irrelevancy now, and once the surety of the leak being permanently plugged arrives, it's probably at that time they'll make a move in a way that will appear a transferring of power to the cleanup part of the operations. That would keep things from being chaotic for the company.
This is the result of an article in the Times of London which said Hayward has at most about 10 weeks left at the helm of the company, whereby a new CEO will be named, with American Bob Dudley considered the front-runner by many.
BP spokesman Robert Wine said, “He has the full backing of the Board.”
Even so, there's almost no one outside the company that thinks Hayward will remain on board, and it's only a matter of when, not if, he's going to be relieved of his duties.
BP won't want to talk much of this at this time, as the important plugging of the leaking oil well is a triumph for them, and to focus on that would deter from the positives the company is finally getting.
Hayward is pretty much an irrelevancy now, and once the surety of the leak being permanently plugged arrives, it's probably at that time they'll make a move in a way that will appear a transferring of power to the cleanup part of the operations. That would keep things from being chaotic for the company.
Dudley Replacing Hayward as BP (NYSE:BP) Chief
Tony Hayward, Chief Executive Officer is expected to step down from his position with BP (NYSE:BP) within the next two weeks, according to an anonymous source. The person most likely to replace him is Robert Dudley. The announcement of Hayward's successor isn't expected until August or September.
The leadership change is part of BP's strategy to rebuild their image, company, and reputation. Part of this process is raising money for the $20 billion fund by selling off some of their oil fields. The money raised will be used to compensate those in the Gulf Coast region. BP is making good strides in that direction with the agreement with Apache to sell $7 billion of their assets in North America and Egypt.
Hayward has gotten much criticism over public relation blunders. On May 30th he stated, I want my "life back." He took the job in 2007, promising a "laser like focus" on safety while boosting output and reducing expenses.
The leadership change is part of BP's strategy to rebuild their image, company, and reputation. Part of this process is raising money for the $20 billion fund by selling off some of their oil fields. The money raised will be used to compensate those in the Gulf Coast region. BP is making good strides in that direction with the agreement with Apache to sell $7 billion of their assets in North America and Egypt.
Hayward has gotten much criticism over public relation blunders. On May 30th he stated, I want my "life back." He took the job in 2007, promising a "laser like focus" on safety while boosting output and reducing expenses.
Wednesday, July 14, 2010
Abu Dhabi Considering Investing in BP (NYSE:BP)
After a meeting between BP (NYSE:BP) CEO Tony Hayward and crown prince of Abu Dhabi, Sheikh Mohammed bin Zayed Al Nahyan, the prince, who is on the board of the country's sovereign wealth fund, said they are still taking into consideration acquiring a piece of BP.
If Abu Dhabi, or another significant Middle East player invests in BP, it would be a nod toward the belief they're going to survive the challenge of the Gulf oil spill, and would be considered a buy at current share price.
Even though there have been much lower entry points, as BP shares have risen about 27 percent since the beginning of July, the closer they get to capping the well, the better investors will be able to more accurately project the future of the company, along with a suitable price for shares.
If BP is able to make the new containment cap work, it will be a giant step toward generating more investment, and the soon implementation of plugging the oil with a relief well over the next several weeks puts them in an even better position.
Another country asserting interest in investing in BP has been Libya.
If Abu Dhabi, or another significant Middle East player invests in BP, it would be a nod toward the belief they're going to survive the challenge of the Gulf oil spill, and would be considered a buy at current share price.
Even though there have been much lower entry points, as BP shares have risen about 27 percent since the beginning of July, the closer they get to capping the well, the better investors will be able to more accurately project the future of the company, along with a suitable price for shares.
If BP is able to make the new containment cap work, it will be a giant step toward generating more investment, and the soon implementation of plugging the oil with a relief well over the next several weeks puts them in an even better position.
Another country asserting interest in investing in BP has been Libya.
Monday, July 12, 2010
Exxon (NYSE:XOM) Company Takeover of BP (NYSE:BP)
There has been much speculation over investors possibly purchasing BP (NYSE:BP), apparently the U.S. Government has opened the door for Exxon Mobil (NYSE:XOM) to "take a look" and purchase BP for a complete company takeover. A merge of the two oil companies would put Exxon's total stock market value at over $400 billion. When asked about the validity of these claims, both companies refused to comment.
Tony Hayward, BP's chief executive, held several meetings last week with several potential "friendly" oil investors. The cause was the possibility of a hostile bid that Hayward said he was fully aware of. BP has stated openly that they plan on selling some of their assets to help cover some of the costs incurred by the massive oil leak.
They have already began talks with several rivals. The U.S.'s largest independent oil group, Apache Corporation, is named as one of the companies being in exclusive talks with BP to purchase $12 billion of investments. Including the biggest oil field in North America, Prudhoe Bay.
A BP spokesman said, " We've said we're going to be divesting about $10 billion over the next 12 months as a result of the spill, but we have no comment on specific deals."
Tony Hayward, BP's chief executive, held several meetings last week with several potential "friendly" oil investors. The cause was the possibility of a hostile bid that Hayward said he was fully aware of. BP has stated openly that they plan on selling some of their assets to help cover some of the costs incurred by the massive oil leak.
They have already began talks with several rivals. The U.S.'s largest independent oil group, Apache Corporation, is named as one of the companies being in exclusive talks with BP to purchase $12 billion of investments. Including the biggest oil field in North America, Prudhoe Bay.
A BP spokesman said, " We've said we're going to be divesting about $10 billion over the next 12 months as a result of the spill, but we have no comment on specific deals."
Wednesday, July 7, 2010
BP (NYSE:BP) Shares Soar on Rejection of Issuing New Stock
Shareholders were holding their breath concerning whether or not BP (NYSE:BP) was going go the route of issuing new stock to raise more capital.
BP shot that idea down quick, as jittery shareholders may have bolted the company if they had added diluting the shares they owned on top of eliminating their dividend as well.
Other than selling assets in the company and lining up a number of banks for loans worth about $9 billion in case they need to get quick funding, the other key strategy is to go after sovereign wealth funds, which CEO Tony Hayward has been traveling around the globe trying to do.
BP is of course looking at all types of investment in the stock, as they're trying to get ahead of the game in case someone attempts to acquire them in their weakened state.
The oil giant closed Tuesday's trading session at $31.91 a share, gaining $2.56, or 8.72 percent. Their market cap is just under $100 billion after the surge.
BP shot that idea down quick, as jittery shareholders may have bolted the company if they had added diluting the shares they owned on top of eliminating their dividend as well.
Other than selling assets in the company and lining up a number of banks for loans worth about $9 billion in case they need to get quick funding, the other key strategy is to go after sovereign wealth funds, which CEO Tony Hayward has been traveling around the globe trying to do.
BP is of course looking at all types of investment in the stock, as they're trying to get ahead of the game in case someone attempts to acquire them in their weakened state.
The oil giant closed Tuesday's trading session at $31.91 a share, gaining $2.56, or 8.72 percent. Their market cap is just under $100 billion after the surge.
Monday, June 28, 2010
BP (NYSE:BP) UPDATE: Containment Costs, Stock Prices, and Tony Hayward
BP's (NYSE:BP) oil cleanup and containment costs continues to rise, reaching $2.65 billion according to BP on Monday. That pushes the companies expenses to over $100 million a day since the sinking of the Deepwater Horizon rig. This cost includes relief well drilling, grants to Gulf states, claims already paid out, spill response, containment efforts, as well as federal costs incurred.
After watching BP's stock plummet 6 percent, a 14 year low on Friday, today BP's shares saw an increase in premarket oil trading of 2 percent. That's a total loss in market value of over $100 billion dollars. BP was adamant in denying the fact that Tony Hayward, their chief executive was resigning. This rumor stemmed from a Russia state RIA Novositi news agency reported that a senior Russian Cabinet official said that Hayward was going to be resigning from his position at BP.
"Hayward is leaving his post, he will introduce his successor," said Sechin quoted by RIA Novosti. There is denial all around, from BP spokeswoman Carolyn Copland in London said it, "is definitely not correct." Also of London, Sheila Williams stated, " Tony Hayward remains chief executive." Mark Proegler, the U.S. BP spokesman said, "they are mistaken."
"I'm sure there has been a misunderstanding. Hayward's resignation at this time and in this place lacks logic. It would make sense that Hayward would finish his job tackling the oil spill and step down afterwards so the new CEO wouldn't have his burden on his shoulders, " said Konstantin Cherepanov oil analyst from the Swiss Investment Bank UBS.
After watching BP's stock plummet 6 percent, a 14 year low on Friday, today BP's shares saw an increase in premarket oil trading of 2 percent. That's a total loss in market value of over $100 billion dollars. BP was adamant in denying the fact that Tony Hayward, their chief executive was resigning. This rumor stemmed from a Russia state RIA Novositi news agency reported that a senior Russian Cabinet official said that Hayward was going to be resigning from his position at BP.
"Hayward is leaving his post, he will introduce his successor," said Sechin quoted by RIA Novosti. There is denial all around, from BP spokeswoman Carolyn Copland in London said it, "is definitely not correct." Also of London, Sheila Williams stated, " Tony Hayward remains chief executive." Mark Proegler, the U.S. BP spokesman said, "they are mistaken."
"I'm sure there has been a misunderstanding. Hayward's resignation at this time and in this place lacks logic. It would make sense that Hayward would finish his job tackling the oil spill and step down afterwards so the new CEO wouldn't have his burden on his shoulders, " said Konstantin Cherepanov oil analyst from the Swiss Investment Bank UBS.
Saturday, June 19, 2010
BP (NYSE:BP): Not Their First Oil Spill Disaster
Apparently this is not BP's (NYSE:BP) first oil spill catastrophe. Just four years ago they had another massive oil spill in Prudhoe Bay, Alaska. There was a 16 mile stretch of pipe that was corroded. This was discovered only a year after a BP refinery exploded in Texas City, Texas where 15 workers were killed and hundreds more injured.
Due to the many violations that were found to have contributed to the Texas City explosion, BP was fined $21 million. It also was mandatory that they were required to shutdown their Alaska oil drill site to make repairs to the corroded pipe. There seems to be a pattern with BP, for these two incidents to happen within a year of each other and now here we are again with BP causing the worst oil spill in U.S. history.
BP's chief executive prior to Tony Hayward was John Browne, Hayward's mentor. Browne was with BP for close to 10 years before resigning in 2007. "We have to get the priorities right and job number one is to get to these things that have happened, get them fixed and get them sorted out. We don't just sort them out on the surface we get them fixed deeply, said Browne in an interview four years ago after the Texas City and Alaskan catastrophe's.
The thing is BP had four years to fix their problems and if they had, we would not be watching the horror unfold of the worst oil spill in U.S. history.
Brown built BP by taking over other oil companies. Everyone in the oil business new he would then fire the best engineers and ruthlessly cutting costs.
Due to the many violations that were found to have contributed to the Texas City explosion, BP was fined $21 million. It also was mandatory that they were required to shutdown their Alaska oil drill site to make repairs to the corroded pipe. There seems to be a pattern with BP, for these two incidents to happen within a year of each other and now here we are again with BP causing the worst oil spill in U.S. history.
BP's chief executive prior to Tony Hayward was John Browne, Hayward's mentor. Browne was with BP for close to 10 years before resigning in 2007. "We have to get the priorities right and job number one is to get to these things that have happened, get them fixed and get them sorted out. We don't just sort them out on the surface we get them fixed deeply, said Browne in an interview four years ago after the Texas City and Alaskan catastrophe's.
The thing is BP had four years to fix their problems and if they had, we would not be watching the horror unfold of the worst oil spill in U.S. history.
Brown built BP by taking over other oil companies. Everyone in the oil business new he would then fire the best engineers and ruthlessly cutting costs.
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