News

BP Just posted their 2^nd Quarter results for 2016, their first report since having “drawn a line under the material liabilities for Deepwater Horizon” spill in the Gulf of Mexico in 2010. Although they missed their target and profits are down for the quarter (due to the low price of oil and weak margins on their refining operations), their strong cash flow and plans for growth should keep them afloat for many years to come.

BP is a bona fide supermajor (in fact one of the original “Seven Sisters” that dominated up to 85% of global supply until 1973), with upstream and downstream operations in over 70 countries, around 80,000 employees, and a daily production output of around 3.3 million BOE. Since they have taken quite a beating in public opinion, but are newly optimistic that they can turn the corner now that the disaster liabilities are somewhat quantified, and they are planning to add another 800,000 BOE/day of production by the end of 2020 I thought it would be interesting to look at the impact and breadth of their current US Onshore operations.

First let’s look at their current US active production (having removed Alaska and Gulf of Mexico wells).

The Wyoming production out of the Green River Basin appears to be fairly evenly matched. Further south in the San Juan Basin there appears to be a slight preference for gas output, particu...