Bp Reports Record Third-Quarter Profits

British Petroleum Co Plc, Britains largest company, reported record third-quarter profits on Tuesday despite lower oil prices. Profit after tax rose 11 per cent to 691 million pounds ($1.2 billion) from 650 million, fuelled by a strong increase in refining and marketing results. It has been a steady quarter with no surprises, said chief executive John Browne. Refining and marketing profits rose 82 per cent in dollar terms. But the exploration and production results fell as the average North Sea oil price dropped to $18.30 per barrel in the third quarter from $20.20 a year ago. BP said it expected the oil price to remain volatile around current levels. Refining margins came under pressure again in October, but BP said the benefits from its European downstream venture with Mobil Corp were expected to provide some compensation in the fourth quarter. The upstream business should see the major Foinaven field, located in the Atlantic Ocean west of the Shetland islands, finally come onstream soon, Browne said. The field was due to become operational a year ago, but has been hit by several technical hitches. But with four out of a total five wells already connected, production should start shortly.