BP

1Q

Jes

HellI’m Gilv Befo

1Q12 Resu

Q 2012 R

ssica Mit

lo and welc Jessica Mit

vary, our Ch

ore we star

lts Presenta

Results P

chell, Dir

come to BP’tchell, BP’sief Financia

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ation

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ector of G

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ation: 1

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rter 2012 renvestor Rela

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May 20

vestor Re

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elations

ast and conoining me to

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ment.

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BP

Durour matPleafor m Tha

1Q12 Resu

ing today’s estimates, terially due ase refer tomore detail

nk you, and

lts Presenta

presentatio plans and eto factors t our Annuas. These do

d now over

ation

on, we will expectationhat we notel Report, Stocuments a

to Brian.

make forwans. Actual ree on this slitock Exchanare available

ard-looking esults and ode and in o

nge Announe on our we

statementsoutcomes cour UK and S

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BP

Bria

Tha

1Q12 Resu

an Gilvary

nk you Jess

lts Presenta

y, Chief F

s and welco

ation

Financial

ome to all o

Officer

of you joininng us today on the call.

3

BP

I’d l

Thequa Turn

1Q12 Resu

ike to start

Our first qu$4.8 billion,fourth quarFirst quarteGulf of Mex1Q operatineffect of hiGroup undeby $540 miinventory; As a remindrelated to oAccountingequity crudIn this quarof crude oilthe previou

e effective tarter of 2011

ning to the

lts Presenta

with an ove

uarter under, down 13%rter of 2011er operatingxico oil spillng cash flowgher oil pricerlying replaillion in resp der, this ref

our upstreamg rules requde is held in rter the coml held in inv

us quarter.

ax rate for t1.

highlights a

ation

erview of fi

rlying replac% on the sa

; g cash flow

expenses;w was impaces and inveacement copect of the c

flects unream equity baire this to b our refinery

mbined effeentory has

the first qua

at a segmen

rst quarter f

cement cosme period a

was $3.4 b acted by higentory buildost profit forconsolidatio

alized profit arrels whichbe eliminatey inventoriects of highe significantly

arter was 33

nt level.

financial pe

st profit aftea year ago a

billion, includ

gher workinds; r the quarteon adjustme

in our dowh will be reaed from Groes; er crude oil y increased

3% compar

rformance.

er interest aand 4% low

ding $1.2 bi

g capital inc

er was adveent for unre

nstream invlized in futuup earnings

prices and the charge

red to 37%

and tax waswer than the

illion of pos

cluding the

ersely impacealized profi

ventories ure quarterss while this

a higher leve compared

in the first

4

s e

t-tax

cted t in

s;

vel to

BP

In Utax four Thethre

Comenv Liqurealby s Repday,the offs Undentiyea Loocoston h We 201

1Q12 Resu

Upstream, thwas $6.3 brth quarter.

e result versee factors:

Firstly, highinflation anSecondly, lThirdly, low

mpared to thironment, a

uids realizatizations imp

stronger gas

ported produ, 6% lower Gulf of Meset by resto

derlying volutlement effr.

oking aheadts to be highigh-margin

continue to1, excludin

lts Presenta

he underlyinillion compa

sus a year a

her costs – wd higher deoss of reve

wer product

he fourth qua higher con

tions increaproved slighs realization

uction exclu than 1Q 20xico reflectration of pr

umes - exclfects in our

, we expectgher, as a ren production

o expect fulg TNK-BP.

ation

ng first quaared with $

go reflects

which incluepreciation, nues associon in some

uarter of lasntribution fro

sed 15% yehtly over thens in other r

uding TNK-B011 mainly ding lower doduction at

uding TNK- production

t second-quesult of normn in the Gulf

ll year unde

rter replace6.7 billion a

a stronger

ude the imp depletion aciated with de higher-ma

st year the om gas ma

ear-on-year e same perregions.

BP was 2.4due to dive

drilling activit Greater Plu

-BP and afte sharing ag

uarter repormal seasonaf of Mexico

erlying prod

ement cost a year ago a

environmen

act of increand amortizadisposals argin areas.

result improrketing and

in line withriod, with lo

5 million bastments anity in 2010 autonio in An

er adjustingreements -

rted producal turnaroun

o at Atlantis,

uction in 20

profit befornd $5.9 bill

nt, more tha

ased activitation; nd;

oved, due to trading, an

h marker grawer US gas

arrels of oil end productioand 2011. Tngola.

for divestm increased s

tion to be lond activity c, Mad Dog,

012 to be br

re interest aion in the

an offset by

ty levels, se

o the bettend lower cos

ades, while s prices offs

equivalent pon decline inThis was pa

ments and slightly yea

ower, and concentrate and Holste

roadly flat w

5

and

y

ector

r sts.

gas set

per n artly

r on

d ein.

with

BP 1Q12 Results Presentation

6

Reported production in 2012 is expected to be lower than 2011 due to divestments which we currently estimate at 120,000 barrels of oil equivalent per day. The actual outcome will depend on the exact timing of divestments, OPEC quotas and the impact of the oil price on production sharing agreements. Turning to TNK-BP.

BP

Ourwhi Ourequ And Now

1Q12 Resu

r share of TNch was up 3

r share of TNivalent per

d we receive

w, turning to

lts Presenta

NK-BP unde3% versus

NK-BP prod day was 4%

ed a cash d

o Downstre

ation

erlying net i a year ago.

duction in th% higher th

ividend of $

eam.

income was

he first quaran the sam

$690 million

s $1.2 billio

rter at 1.02 me period las

n in the first

n in the firs

million barrst year.

t quarter.

st quarter,

rels of oil

7

BP

For profand deliv In oreplsam We Midoffsquamarhas Looimpexpcom In lurobuhigh In pthe signyea Desquapetr

1Q12 Resu

the first qufit before in $750 milliovered a hig

our fuels busacement co

me period la

continued dwest throuset by weakrter of 2011rketing envi been unde

oking ahead prove in lineect that the

mpleted bot

ubricants, uust performh base oil pr

petrochemic quarter, sonificantly wer.

spite this, vorter as a resrochemicals

lts Presenta

arter, the dterest and t

on in the fouher underly

siness, we ost profit ofst year, in a

to capture tgh good ref

k performan1, unfavouraronment du

er repair follo

to the seco with seaso

e Cherry Poh repairs an

nderlying remance despi

rices.

cals, underlyme $400 meaker marg

olumes havsult of strons margin en

ation

ownstreamtax of $900urth quarter

ying replace

have had a f around $50a broadly sim

the benefit fining availa

nce in supplable local crue to weakeowing the i

ond quarteronal trends int refinery

nd the sche

eplacementte weak de

ying replacemillion below

in environm

ve improvednger demannvironment

m segment r0 million, cor of 2011. Ament cost p

challenging00 million cmilar refinin

of accessinability. Thisy and tradinrude differeer demand.ncident in F

r, we expecand fuels v will resumeduled seco

t cost profitemand in so

ement cost w the same ment than th

d comparednd and highto remain c

reported unmpared witAll three doprofit than i

g quarter decompared wng environm

ng WTI-linkes benefit wang compareentials in Eu In addition

February.

t refining molumes to re full operand quarter t

was arounome OECD

profit was period last he record le

d with the loer availabilit

challenging.

nderlying repth $2.2 billiownstream bn the fourth

elivering undwith $1.3 bilment.

ed crudes inas however ed to the strurope, and a, our Cherry

margins to coremain subdtions duringturnaround.

d $300 millmarkets an

around $10 year reflectvels seen in

ow levels in ty. We expe

placement on a year agbusinessesh quarter.

derlying lion in the

n the US more than rong first a difficult fuy Point refin

ontinue to dued. We g May havin.

ion, reflectind continued

00 million foting a n the previo

the fourth ect the

8

cost go

els nery

ng

ing d

or

ous

BP

In Ocostof $and was Guidqua Thequa$70 Guid

1Q12 Resu

Other Busint charge be

$(140) millio functional

s sold in the

dance for 2rterly charg

e effective tarter of 2011

00 million ar

dance for th

lts Presenta

esses and Cefore intereson versus thcosts, and t

e third quart

012 remainges volatile a

ax rate for t1 which waising from c

he full year

ation

Corporate, wst and tax ohe charge a the loss of ter of 2011.

ns unchangeand averagi

the first quas impactedchanges to

effective ta

we reportedof $(440) mi year ago, pincome fro.

ed from thaing around

arter was 33 by a one-o the UK taxa

ax rate rema

d a pre-tax llion for the

primarily refm the alum

at given in F$(500) millio

3%, compaff deferred ation of Nor

ains in the r

underlying first quartelecting highinium busin

ebruary, wion each qua

ared to 37% tax adjustmrth Sea prod

range of 34

replacemener, an increaher corporatness which

ith underlyiarter.

% in the firstment of somduction.

to 36%.

9

nt ase te

ng

t me

BP

Nexasso In ththe the Undin Ja Pre-was As wneg

1Q12 Resu

xt I would likociated with

he first qua Gulf Coast incident to

der a settlemanuary whic

-tax BP cass $1.7 billion

we indicategligent and w

lts Presenta

ke to providh the Gulf o

rter an adju Restoration date remai

ment agreech was sub

h out flow rn.

ed in previouwe have tak

ation

de you withof Mexico o

stment to pn Organizatns at $37.2

ment finalizbsequently p

relating to o

us quarters,ken the cha

an update oil spill.

provisions otion, so the 2 billion.

zed in late 2paid into the

oil spill cost

, we continarge against

on the cost

offset the u total cumul

2011, Camee $20 billion

s and the T

ue to believt income on

ts and provi

sual quarterlative net ch

eron paid BPn Trust Fund

rust Fund fo

ve that BP wn that basis.

isions

rly expenseharge taken

P $250 millid.

or the quart

was not gro.

10

es of n for

ion

ter

ossly

BP

Turn In thand In 2$38 AnncomsomNat Progand thes We incluHoo

1Q12 Resu

ning to our

he first qua announced

012 we wil8 billion expe

nounced divmprises comme further $ural Gas Liq

gress is bei associatedse deals by

are also mauding our inover fields.

lts Presenta

divestment

rter we comd an agreem

l continue tected betw

vestments nmpleted dive$2.0 billion oquids busine

ng made wd marketing the end of

arketing fornterests in t

ation

t programm

mpleted thement to sell

to focus ourween 2010 a

now stand aestments toof sales at tess in Cana

with the dive assets in th this year.

r sale certaithe Marlin,

me.

e sale of our our southe

r portfolio tand the end

at around $2otalling $20he end of t

ada which c

estments ofhe US, and

n non-strateHorn Moun

r Kansas gaern North Se

hrough dive of next yea

23 billion si.8 billion anhe quarter, ompleted o

f our previo we are aim

egic assetsntain, Holste

s assets foea gas inter

estments, war.

nce the stad agreeme including thon 1st April.

usly announming to anno

in the Gulf ein, Ram Po

or $1.2 billiorests.

with a total o

rt of 2010. nts in placehe sale of o.

nced refininounce both

f of Mexico,owell and D

11

n

of

This e for our

ng of

, Diana

BP

Movcash Opebillio$(1. We Ourexp Tota Firsinclu

1Q12 Resu

ving now toh in the firs

erating cashon a year ag2) billion un

received $

r organic caect full yea

al cash held

t quarter opuding the e

lts Presenta

o cash flow t quarter of

h flow was $go. After exnderlying op

1.3 billion o

pital expendr spend to b

d on deposit

perating casffect of hig

ation

movementf 2011 and 2

$3.4 billion xcluding Guperating cas

of divestme

diture in thebe around $

t at the end

sh flow refleher oil price

ts, this slide2012.

in the first lf of Mexicosh flow in th

nt proceeds

e first quart$22 billion.

d of the qua

ects aroundes and inven

e compares

quarter of 2o oil spill rehe quarter w

s during the

er was $5.6

rter was $1

d $3.0 billionntory builds

our source

2012 compalated expenwas $4.6 bil

e first quarte

6 billion. We

4.1 billion.

n net workins.

es and uses

ared to $2.4nditures of llion.

er.

e continue t

ng capital b

12

of

4

to

build,

BP

At t20.7 As nbott We the proj

1Q12 Resu

he end of t7%.

noted in Fetom half of

remain con year and inects comin

lts Presenta

he first qua

bruary, whi the 10 to 2

nfident that to 2013 as g onstream

ation

rter net deb

lst uncertai0% range o

net debt an we see cas

m, and the e

bt was $31

nties remaiover time.

nd gearing wsh inflows f

end of paym

.2 billion res

in, we are t

will fall throfrom divestm

ments into th

sulting in a

argeting ge

ough the secments, newhe Trust.

gearing of

earing in the

cond half ow higher-ma

13

e

f argin

BP

I’d n

On docsubfrom Theset the claim BP ebillioincrthe A neMD

1Q12 Resu

now like to

Active shorthe Gulf CoWe are proGulf under AssessmenThe first eigthe finalizatBy the end individual abeen paid i

18th April tumented agstantial maj

m the Deep

e settlement in place wit frameworkms process

estimates ton Trust, wease to the end of the

ew schedulDL2179.

lts Presenta

update you

reline patrooast; ogressing pr our initial $nt; ght of thesetion of the P of the first nd businesnto the Tru

his year, BPgreements jority of eligwater Horiz

t agreementhin 30 days

k agreed as s is in opera

that the cosould be app

e $37.2 billio first quarte

le is expect

ation

u on progres

lling and ma

rojects for e1 billion com

e projects wPhase 1 Ear quarter, wes claims anst Fund at t

P announce with the Plgible privatezon incident

nts allow fors of prelimi part of the tion.

st of the setproximately on charge tar.

ted to be se

ss in the US

aintenance

early restorammitment f

will soon berly Restorate had paid ad governmthe end of t

ed that it haaintiffs’ Ste

e economic t.

r a new counary Court settlement

ttlement, exy $7.8 billionaken in resp

et by the Co

S.

continues a

ation of thefor Natural

egin along thtion Plan bya total of $8ent paymenthe 1st quar

d reached deering Comm loss and m

urt-supervisapproval, w. In the me

xpected to bn. This is nopect of the

ourt for rem

across the a

natural habResources

he Gulf Coa the Truste

8.3 billion tonts. Over $1rter.

definitive anmittee to re

medical claim

ed claims pwhich will op

antime a tra

be paid fromt expected Gulf of Mex

aining proc

affected are

bitats along Damages

ast, followines;

o meet 16.6 billion

nd fully esolve the ms stemmin

process to bperate undeansitional

m the $20 to result inxico oil spill

ceedings un

14

ea of

the

ng

has

ng

be er

any l to

der

BP

Befowe exp

We incrreta

1Q12 Resu

ore closing laid out ourect and five

As a brief rstrengths, apromised toIn terms ofmanagemeWe said yothree yearsaverage by And you caoperating cGulf of MexWe plan to purposes inby a strong remain comeases cont

ain financial

lts Presenta

I’d like to sr roadmap fe things you

eminder weand be stroo create mof measures,ent. We aimou can expes with opera 2014 – and

an expect uscash flow byxico Trust F use aroundncluding shag balance sh

mmitted to ingent upon flexibility, a

ation

say a few wor growing u can meas

e said we wnger, moreore visibility we said yo

m to divest $ct to see 15

ating cash md that’s at $s to generaty 2014 comFund paymed half that eareholder d

heet;

a progressin improved and our con

words about value - a clure.

would focuse focused, sy and transpou will see c$38 billion o5 new projemargins aro$100 per bate an increa

mpared to 20ents and aroextra cash fodistributions

ive dividend cash flow d

ntinuing obli

our strategear 10-poin

s relentlesslsimpler and parency to vcontinuing a

of assets byects comingund doublerrel and excase of aroun011 - approxound half froor re-invest

s. And all of

d policy goindelivery, bagations to t

gic progresst plan; five

y on safety more standvalue; active portf the end of

g onstream the 2011 u

cluding TNKnd 50% in aximately haom operatioment and h this will be

ng forward lanced by tthe Trust Fu

s. In Octobe things you

y, play to oudardized. W

olio 2013; over the neupstream K-BP; additional alf from endons; half for othee underpinne

with futurehe need to und.

15

er can

r We

ext

ing

er ed

BP

So l Conintethe

We $23of 2earl In Fprog WitTrus In thbefoactivwor Wothis dee Yousep

1Q12 Resu

et me upda

nsistent witerests in pro announcem

Farm-ins toDeepening blocks in ofBP also gaithe Utica s

continue to3 billion of d2013. I haveier we cont

February wegress.

h over $16 st to end in

he Gulf of More the endvity; two onrk.

rk continue year. In the

epwater Ang

u will also haarate report

lts Presenta

ate you on p

h our increaomising Soument of:

o four explo of our inteffshore Uruned accesshale format

o actively mivestments

e mentionedtinue to pro

e said 2012

billion alrea the fourth

Mexico, fived of the yearn appraisal a

s on our mae second qugola; and Ga

ave seen thting of TNK

ation

progress in

ased focus uth Atlantic

ration concrests in offsguay;

s to the promtions in Ohio

manage our to date aga

d the divestgress our p

would be a

ady paid intoquarter this

e rigs are opr. Of those activity; and

ajor projectsuarter we ealapagos in

he increasedK-BP in the S

the first qu

on explorat equatorial m

essions witshore Nami

mising poteo.

portfolio. Aainst the $3tments annoplans to dive

a year of mi

o the Trust s year.

perational an five rigs, twd one is com

s and we arexpect to se the Gulf of

d visibility oStock Excha

uarter:

tion, BP hasmargin play

th Petrobrasbia, and be

entially liquid

As I noted ea38 billion weounced thisest the two

lestones an

Fund, we e

nd we expewo are now mpleting plu

re on track ee the start-f Mexico.

of our Downange Annou

s added signys during the

s in Brazil; ing awarde

ds-rich shal

arlier we hae aim to divs quarter an US refineri

nd we are se

expect paym

ect to have undertakinugging and a

to start-up s-up of Cloch

nstream busuncement w

nificantly toe quarter, w

d three new

e acreage i

ave announcvest by the nd as I said ies.

eeing

ments into t

eight operag productioabandonme

six of themhas-Mavaco

siness and we released

16

o its with

w

n

ced end

the

ating on ent

m ola in

the d

BP 1Q12 Results Presentation

17

this morning. A separate Rule of Thumb for the Upstream and TNK-BP is now available on our website. Of course one quarter provides only a very narrow window to gauge progress. As we look towards the second half and into 2013 we expect to see this increasing momentum reflected in operating cash flow from: The start-up of new upstream projects with on average higher operating cash

margins; The strong year to date oil price environment continuing to feed operating cash

flow into the second half of the year without the associated step-up in working capital;

And as we make the final payment into the Trust Fund in the fourth quarter. Our intention remains to generate sufficient cash to both invest to build our portfolio, and grow distributions over time as the circumstances of the firm improve.

BP

Tha

1Q12 Resu

t concludes

lts Presenta

s my remark

ation

ks. Jess andd I will noww be happy tto take you

r questions

18

.