(MENAFN- Trend News Agency) BAKU, Azerbaijan, April 9. bp expects somechallenges in oil production and operations sector in the firstquarter of 2024, Trend reports.
According to the company, realizations compared to the previousquarter are expected to take a hit, with an estimated adverseimpact ranging from $0.3 to $0.6 billion. This includes price lagson bp's production in the Gulf of Mexico and the UAE, as well asdeclines in non-Henry Hub natural gas marker prices.
As for the customers and products segment, several factors arepoised to influence performance compared to the prior quarter. Interms of products, bp anticipates improving realized refiningmargins, which are expected to bring in a benefit ranging from $0.1to $0.2 billion.
However, there's been a significantly lower level of turnaroundactivity compared to the previous quarter, partly offset by theimpacts of the plant-wide power outage at the Whiting refinery onFebruary 1, which resumed normal operations on March 15 after aphased start-up.
On the bright side, the oil trading result is expected to bestrong, bouncing back from a weak performance in the fourth quarterof 2023, bp noted. However, in the customers segment, the companyforesees significantly weaker fuel margins, seasonally lowervolumes, and the absence of one-off positive effects that impactedthe prior quarter.
Meanwhile, bp is expected to present its 1Q2024 results on May7.
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