BP warns of ‘tight’ gas market ahead as profits surge

By PAN PYLAS
Associated Press

LONDON (AP) — BP reported soaring profits Tuesday on the back of surging oil and gas prices as the global economy recovers from the coronavirus pandemic. The British energy giant also warned that gas markets would remain “tight” over the coming months, which will likely further pressure household budgets. The company says its underlying replacement cost profits — the industry standard — jumped to $3.3 billion in the three months ending in September, up from just $86 million a year earlier when oil prices had slumped because of the pandemic. The company says it would reward shareholders with a $1.25 billion share-buyback program. Analysts questioned whether that was a good use of money, especially during the U.N. climate summit.