BP commits to share buybacks after first-quarter earnings treble

BP commits to share buybacks after first-quarter earnings treble

BP pulled out the stops to woo back investors, saying it was committed to buying back shares this year after cutting its debt faster than expected in a quarter when earnings trebled.

The UK energy major said on Tuesday that its first-quarter results were driven by "exceptional“ gas marketing and trading performance, significantly stronger oil prices and improved refining margins.

"With the acceleration of divestment proceeds, together with strong business performance and the recovery in the price environment, we generated strong cash flow and delivered on our net debt target around a year early,“ said Bernard Looney, chief executive.

BP has been dealt with a double blow in the past year. Its finances had taken a battering because of coronavirus and it had struggled to get investors to reward it for its plans to transform itself into a cleaner energy company, with its share price taking a big hit in recent months.

The company's net debt fell from $38.9bn at the end of 2020 to $33.3bn in the first quarter, which is below its target of $35bn. BP had previously said that once it had achieved this goal it would return "at least 60 per cent“ of surplus cash flow to shareholders through share