The fossil fuel giant reported a 48% drop in EPS to $1.25, but beat views by 14 cents. BP's (BP) oil and gas output fell 7% during the quarter as the company divested assets to help pay for charges related to the Deepwater Horizon oil spill. Despite the asset sales, the company is still planning to expand production. It will begin drilling at new projects in Angola, Australia, the Gulf of Mexico and Azerbaijan. Shares rose 1.4% to 44.20.