According to reports Oil giant BP plc. (ADR) (NYSE:BP) profits almost double in the last quarter of 2016 on the back of somewhat rising oil prices and more step towards cost cutting.
BP plc. (ADR)(NYSE:BP) underlying replacement cost profit, the firm’s favored measure was $400 million, up from $196 million year over year.
During the period BP plc. (ADR) (NYSE:BP) accepted another charge of $799 million for the Deepwater Horizon tragedy, bringing total charges to $62.6 billion.
“2016 was the year we made significant strides” for future growth, said chief executive Bob Dudley.
Mr. Dudley said in a statement that the costs and commitments from the Deepwater Horizon oil platform disaster were “now substantially behind us”.
Meanwhile for the complete year, highlighting replacement cost profit, which strips out variations in the value of oil stocks dropped to $2.58 billion, down from $5.90 billion in 2015.
BP also said it would balance its books at an oil price of around $60 per barrel by the end of the year.
In the recent periods oil firms have been selling assets and slashing costs to adjust to dipping fuel prices. Brent crude, the international benchmark, averaged $44 a barrel last year, the lowest in 12 years.
BP plc. (ADR)(NYSE:BP) said its full-year capital spending is now expected to come at the top end of company’s previous outlook of $16-17 billion, a possible indication that the firm feels that crude oil prices are starting to get stable.