|Bid||522.80 x 0|
|Ask||522.90 x 0|
|Day's Range||520.50 - 527.80|
|52 Week Range||481.35 - 603.20|
|Beta (3Y Monthly)||1.31|
|PE Ratio (TTM)||10.72|
|Earnings Date||Jul 30, 2019|
|Forward Dividend & Yield||0.32 (6.23%)|
|1y Target Est||7.99|
U.S. grain trader Bunge Ltd said on Monday it has agreed to form a bioenergy company with oil major BP Plc that will produce ethanol and sugar, and generate renewable electricity. The joint venture, BP Bunge Bioenergia, will operate on a standalone basis, with a total of 11 mills across the Southeast, North and Midwest regions of Brazil, Bunge said. "This partnership with BP represents a major portfolio optimization milestone for Bunge which allows us to reduce our current exposure to sugar milling...," Bunge Chief Executive Officer Gregory Heckman said in a statement.
WHITE PLAINS, N.Y., July 22, 2019 /PRNewswire/ -- Bunge Limited (BG) ("Bunge" or "the Company"), a leader in agriculture, food and ingredients, today announced an agreement with BP plc (BP) to form a 50:50 joint venture that will create a leading bioenergy company (the "joint venture") in Brazil, one of the world's largest fast-growing markets for biofuels. Bunge will receive cash proceeds of $775 million in the transaction, comprising $700 million in respect of non-recourse Bunge debt to be assumed by the joint venture at closing, and $75 million from BP, subject to customary closing adjustments. The proceeds will be used to reduce outstanding indebtedness under the Company's credit facilities, resulting in a stronger balance sheet and greater financial flexibility.
(Bloomberg) -- The reopening of the British embassy in Tehran was meant to usher in a new era in relations. As the Union Jack flag was raised above the lush, landscaped gardens of the complex in August 2015, then-Foreign Secretary Philip Hammond said the event marked “an important milestone.”That was just six weeks after an international accord was reached to restrict Iran’s nuclear program in return for relief from penalties that had strangled its economy. But since the accord started to unravel last year, tensions between Britain and Iran have been growing.Then came Friday’s dramatic seizure of a British-linked tanker in the Gulf, a tit-for-tat response to the U.K.’s detention of a vessel carrying Iranian oil through the Mediterranean Sea. The U.K. has threatened Iran with “serious consequences,” which could include a package of sanctions.How did things get so bad? The U.K. is after all part of a European trio trying to rescue the nuclear deal U.S. President Donald Trump pulled out of, triggering its demise. But it is also breaking away from the European Union and desperate for a free-trade agreement with the U.S., still the world’s dominant economy.It’s ComplicatedIn short, its geopolitical priorities are complex.Britain’s relations with Iran stretch back to the 1600s and are marked by periods of conflict, some were resolved fairly swiftly, others endure to this day. For example, Iranians still blame Britain for a famine 100 years ago. Underlying it all is a sense the U.K. is playing a double game.“Iranians are obsessed with the idea that the British are the arch-manipulators in the background, manipulating the U.S.,” said Ali Ansari, a professor of modern history in the Middle East at the U.K.’s University of St. Andrews. “It dominates the narrative in a way you’d never imagine.”Brexit-ravaged Britain is trapped in a political crisis, transitioning from one prime minister to another. The two Conservative candidates slugging it out to become leader also happen to be both the current and former foreign secretary: Jeremy Hunt and Boris Johnson, favored to win and whom Trump calls a friend.Iran was never a colony of the Empire on paper, but nevertheless the U.K. has wielded outsized influence in the country over centuries. During the Great Game of the 19th century, Victorian Britain and Tsarist Russia, battled for dominance in Central Asia, Persia was caught in the middle.Liquid GoldIt struggled to balance the demands of the two imperial powers and though Russia was always the more brutal of the two, Britain left deeper political scars. That’s partly because events of the early 20th century “altered the historical perspective,” Ansari said.Then, as now, those events revolved around oil.In 1901 British entrepreneur William Knox D’Arcy began searching for oil in Persia and under the terms of a deal struck with the monarchy, he became the sole owner of whatever oil he’d find, while Persia would get just 16% of profits annually and no say over how the company was run. The Anglo-Persian Oil Company was born seven years later when D’Arcy’s surveyors discovered crude beneath the southern desert.“Fortune brought us a prize from fairyland beyond our wildest dreams,” said Winston Churchill, who was in charge of the Navy at the time and oversaw its switch from coal to oil.Colonial BaggageThe British government injected new capital into the Company just before World War I, acquired a controlling interest and built the world’s largest refinery near the Persian Gulf to process the oil and ship it back to Britain.The Company ran the city like a virtual colony: British employees and their families lived in luxury in a peaceful oasis on one side of the city and non-British laborers in a shanty town on the other.Unsurprisingly, strikes and riots broke out sporadically. In 1951, as a wave of anti-colonialism swept the region, the Company was nationalized under the government of Prime Minister Mohammad Mosaddegh. Iran canceled its right to extract oil and seized its assets. Britain shut down refineries, blockaded Iran’s ports and froze Iranian bank accounts.When it became clear Mosaddegh had the upper hand, the U.K. lobbied the U.S. to install a shah sympathetic to the west. Together in 1953 they overthrew him in a coup.Birth of BPIranian oil began flowing again and the Company -- which had by then rebranded itself as British Petroleum and is now known as BP -- tried to regain its old position. But Iranian public opinion was so fiercely opposed the new government couldn’t let that happen. Instead it was forced to accept membership in a consortium of companies. After the repressive shah was exiled during 1979 Islamic Revolution, the anti-western regime of Ayatollah Ruhollah Khomeini nationalized the oil industry again.The seizure of the tanker carrying Iranian oil off the southern tip of Spain earlier this month, like most of U.S. policy toward Iran under Trump, has unified rival political factions. It’s also given the Islamic Republic’s stalwarts a fresh opportunity to attack Britain as an imperialist, colonialist, pro-monarchist power intent on meddling in Iran’s affairs.‘Queen’s Pirates’On July 6 -- two days after British forces seized a supertanker suspected of carrying Iranian oil to Syria -- Iranian media was swift to respond. The headline in the moderate Arman newspaper read “A U.S. Scenario with British Actors” while the reformist Aftab spoke of “Extremism in Gibraltar.” The ultra-hardline daily Kayhan has called for retaliation against “the Queen’s pirates.”The Iran-Iraq war of the 1980s, in which the U.K. backed Saddam Hussein, and a fatwa against the writer Salman Rushdie have been among low points in ties between Iran and Britain.More recently, the fate of U.K.-Iranian dual national Nazanin Zaghari-Ratcliffe -- held by Iran on spying charges since 2016 -- has poisoned the well.She’s recently been transferred from the notorious Evin prison to a hospital psychiatric ward and is barred from contacting her family. Johnson, as foreign minister, was widely criticized for contributing to her fate by saying publicly she was in Iran teaching journalism.Should he become prime minister, as is widely expected, the crisis with Iran will demand his immediate attention.Just before Friday’s extraordinary seizure of the tanker by Iran, Ayatollah Ali Khamenei said he wouldn’t allow the “evil” acts of Britain to go unanswered. Such menacing rhetoric was used back in 2011 in the run-up to an attack on the U.K. embassy in Tehran by hardliners.They left behind scrawl on walls that read “Death to England” near a portrait of Queen Elizabeth and a bust of Queen Victoria.Britain closed the embassy.(Adds latest U.K. actions.)\--With assistance from Tim Ross.To contact the reporters on this story: Caroline Alexander in London at firstname.lastname@example.org;Golnar Motevalli in Tehran at email@example.comTo contact the editors responsible for this story: Rosalind Mathieson at firstname.lastname@example.org, Mark Williams, Flavia Krause-JacksonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
As oil prices get volatile, it's imperative to know integrated energy stocks' outlook. Analysts’ mean price targets for Chevron (CVX), Royal Dutch Shell (RDS.A), ExxonMobil (XOM), BP (BP), Total (TOT), and Suncor Energy (SU) suggest that SU has the highest upside potential of 36%. TOT and RDS.A follow with 32% and 29% upside potential. This […]
Total SA (TOT) is scheduled to announce its second-quarter results on July 25. Analysts expect the company to post 2% lower earnings YoY in the second quarter.
London markets drifted lower as the pound continued its descent and fresh trade war fears hit the FTSE 100.
(Bloomberg) -- The HMS Montrose, the naval vessel that protected a BP Plc oil tanker as it passed through the Strait of Hormuz, is the U.K.’s only warship in the area, according to Britain’s Ministry of Defence. It has several other naval vessels in the Gulf, it said.The U.K. government said the Montrose had to warn three Iranian vessels to stay away from the tanker, the British Heritage. The oil carrier didn’t load a planned cargo of Iraqi crude and instead left the region empty, according to a person familiar with the matter. BP was concerned it could be a target for Iran after British Royal Marines helped to seize a tanker transporting the Persian Gulf country’s crude in the Mediterranean Sea. The master and chief officer of that ship have been arrested, Gibraltar’s government said Thursday.Here are responses from the MoD to questions from Bloomberg:Question: For how long has HMS Montrose been in the area? Answer: HMS Montrose has been in the Gulf since late 2018.Q: Was it there to escort vessels through Strait of Hormuz? A: HMS Montrose was in the area providing a maritime security role.Q: Was it an Iran Revolutionary Guard Corps vessels? Or some other Iranian entity? A: IRGC vessels.Q: Where did the confrontation happen? (nearest city on the Iranian side/landfall?) A: The incident involving HMS Montrose took place in international waters.(Updates with information about arrest of tanker officials in 2nd paragraph.)To contact the reporter on this story: Verity Ratcliffe in Dubai at email@example.comTo contact the editors responsible for this story: Alaric Nightingale at firstname.lastname@example.org, Brian WingfieldFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Supply drops and Mideast tension could keep oil prices on the upswing, although demand worries from a global economic slowdown are likely to cap oil’s rise.
BP’s predecessor was the Anglo-Persian Oil Company. Persia, after its own rebranding as the Islamic Republic of Iran, still matters a lot to the oil major. have been threatening BP-owned tankers passing through the Strait of Hormuz, the pinch point for Gulf oil shipping.
About 53 percent of oil production and 45 percent of natural gas production in the Gulf of Mexico has been shut down.
BP (BP) plans to post its second-quarter earnings results on July 30. Let's see how its performance is expected to turn out.
BP’s earnings are expected to rise marginally in the second quarter driven by higher downstream earnings partly offset by lower upstream earnings.
(Bloomberg) -- U.S. agribusiness giant Bunge Ltd. is in talks with British oil major BP Plc to form a sugar and ethanol joint venture in Brazil, according to people familiar with the matter.The companies are in discussions to combine operations in the South American nation, one of the largest producers of both sugar cane and sugar-based ethanol, said the people, who asked not to be identified because the information is private. Bunge and BP are currently valuing their sugar and ethanol assets to agree on the size of each company’s stake, and Bunge has hired Brazilian bank Itau Unibanco Holding SA as an adviser, the people said.No final agreement has been reached and the talks could fail to produce a deal.Joining forces with Bunge, the ‘B’ in the quartet of storied ABCD traders of agricultural commodities, would triple BP’s sugar-cane crushing capacity in Brazil, where ethanol is either blended into gasoline or used solely to power flexible-fuel cars. Forming a venture would allow U.S.-based Bunge to separate a struggling business in a tie-up similar to when Royal Dutch Shell Plc and Brazilian sugar and ethanol producer Cosan Ltd. created Raizen in 2010.Spokesmen for Bunge and BP declined to comment.Sugar traders have been struggling to make money as bumper crops from Thailand to India depressed prices and curbed volatility. Bunge, which sold its sugar trading business to Singapore-based trader Wilmar International, had been exploring options for its Brazilian milling business. The company said last year it would delay an initial public offering of the unit due to market conditions.BP started producing ethanol in Brazil in 2008 and its three mills currently have capacity to crush 10 million metric tons of cane a year. Bunge has eight mills with capacity to process 22 million tons.\--With assistance from Mario Parker, Kelly Gilblom and Alfred Cang.To contact the reporters on this story: Fabiana Batista in Sao Paulo at email@example.com;Isis Almeida in Chicago at firstname.lastname@example.org;Vinícius Andrade in São Paulo at email@example.comTo contact the editors responsible for this story: Tina Davis at firstname.lastname@example.org, Pratish NarayananFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Energy major BP’s chief executive said the Senegalese authorities have begun “investigations” into the government’s award of lucrative offshore gas licences. Aliou Sall, the brother of Senegal’s president, resigned from a government post after allegations he received secret payments from a company that secured the original licences. The deal has been a source of controversy in Senegal since the gas awards were first made seven years ago.
Investing.com -- Oil prices traded higher on Tuesday as escalating tensions in the Middle East kept up supply-side risks and investors looked ahead to weekly U.S. inventory data.
(Bloomberg) -- An oil tanker run by BP Plc is being kept inside the Persian Gulf in fear it could be seized by Iran in a tit-for-tat response to the arrest by Gibraltar last week of a vessel hauling the Islamic Republic’s crude.The British Heritage, able to haul about 1 million barrels of oil, was sailing toward Iraq’s Basrah terminal in the south of country when it made an abrupt u-turn on July 6. It’s now off Saudi Arabia’s coast and a person with knowledge of the matter says BP’s concern is that it could become a target if Iran seeks to retaliate for the seizure near Gibraltar -- by British Royal Marines -- of the tanker Grace 1 on July 4.BP’s decision shows how rising tensions between Iran and the west are having an impact on the oil tanker industry that’s vital to the global trade in crude. Tehran’s foreign ministry said the arrest of Grace 1 was an act of piracy and a former leader of Iran’s Revolutionary Guard said on Twitter the Islamic Republic should take a British tanker in response. The U.S. accused Iran of recent attacks on tankers just outside the Persian Gulf.“It’s a psychological game that’s being played,” said Olivier Jakob, managing director of energy consultant Petromatrix GmbH. “Nobody wants to be that one whose vessel is seized in a ‘tit-for-tat’.”The overall oil market impact will probably be limited because Iran is unlikely to escalate the conflict beyond seizing one vessel in retaliation, he said, adding that companies will work hard to avoid being targeted.The ship, registered in the Isle of Man and flying under the British flag, had been chartered by Royal Dutch Shell Plc to transport crude from Basrah to northwest Europe, tracking data and shipbrokers said. It didn’t collect that cargo and the booking was canceled.British Heritage won’t be able to exit the Strait of Hormuz, the chokepoint through which about a third of global seaborne oil moves, without sailing close to Iran’s coast, thereby placing it at greater risk.Legal IssuesTensions between Iran and the U.K. may remain high until the legal issues surrounding the arrest in Gibraltar are smoothed out, Jakob said. That could take months, according to Anna Bradshaw, a partner at the law firm Peters & Peters, who specializes in sanctions.Tensions have escalated since the U.S. resumed sanctions on Iran, prompting the country to say it would enrich uranium in defiance of a global pact that was meant to stop that from happening.Iran may choose to enrich uranium at a higher purity level as its next step in a new policy that’s gradually undoing the restrictions imposed by a 2015 nuclear pact with world powers, the official Islamic Republic News Agency reported on Monday, citing Behrouz Kamalvandi, the spokesman for the Atomic Energy Organization of Iran.The escalation has heightened the risks for shipping companies exporting crude from the Persian Gulf. Insurance costs for both tankers and their cargoes soared in the aftermath of the attacks, while some wary owners are now choosing to refuel elsewhere.(Updates with analyst comment from fourth paragraph.)\--With assistance from Ladane Nasseri, Alex Longley, Anthony DiPaola and Sarah Chen.To contact the reporters on this story: Kelly Gilblom in London at email@example.com;Serene Cheong in Singapore at firstname.lastname@example.orgTo contact the editors responsible for this story: James Herron at email@example.com, Alaric NightingaleFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.