BP to Profit from Refining, Trading Despite Production Dip
Energy major BP (BP) expects a strong boost from oil trading and refining margins in Q2 2026, helping to offset a decline in upstream production caused by seasonal maintenance and ongoing Middle East disruptions, the company said on Tuesday. The company projected upstream output to fall to between 2,170,000 and 2,220,000 barrels of oil equivalent per day (mboe/d), down from 2,339 mboe/d in Q1. This decline is largely attributed to seasonal maintenance in the Gulf of America and disruption stemming from conflict in the Middle East. Despite the volume drop, BP anticipated a positive impact on earnings from realizations in its oil and gas segments. The company expects a $1.8 billion to $2.1 billion boost from oil production and operations, alongside an additional $0.5 billion to $0.7 billion from gas and low-carbon energy. Meanwhile, the products segment is set to benefit from stronger refining margins, projected to add between $1.2 billion and $1.4 billion, despite lower throughput at the Whiting refinery and increased turnaround activity, it said. Looking ahead, BP maintained that its refining margins will remain highly sensitive to cost-of-supply factors and the evolving.
Energy major BP (BP) expects a strong boost from oil trading and refining margins in Q2 2026, helping to offset a decline in upstream production caused by seasonal maintenance and ongoing Middle East disruptions, the company said on Tuesday.
The company projected upstream output to fall to between 2,170,000 and 2,220,000 barrels of oil equivalent per day (mboe/d), down from 2,339 mboe/d in Q1.
This decline is largely attributed to seasonal maintenance in the Gulf of America and disruption stemming from conflict in the Middle East.
Despite the volume drop, BP anticipated a positive impact on earnings from realizations in its oil and gas segments.
The company expects a $1.8 billion to $2.1 billion boost from oil production and operations, alongside an additional $0.5 billion to $0.7 billion from gas and low-carbon energy.
Meanwhile, the products segment is set to benefit from stronger refining margins, projected to add between $1.2 billion and $1.4 billion, despite lower throughput at the Whiting refinery and increased turnaround activity, it said.
Looking ahead, BP maintained that its refining margins will remain highly sensitive to cost-of-supply factors and the evolving.