BP reports Q2 financial results

BP has posted its quarterly results for Q2 2012, reporting underlying replacement cost profit for the quarter standing at $3.7bn (£2.3bn) compared with $5.7bn in 2011.

The figure was lower than the $4.8bn seen in Q2 2011, which the company put down to weaker oil and US gas prices, reductions in output due to extensive planned maintenance, and lower net income from TNK-BP.

Non-operating items included significant impairments totalling $4.8bn on a pre-tax basis. These related primarily to reductions in value of US shale gas assets, certain refineries in BP’s portfolio, and the decision to suspend the Liberty project Alaska.