Oil giant BP sees share slide despite 25% boost in overall 2005 profits

BP has posted a 25% surge in 2005 profits thanks to high oil prices. But its shares fell on weaker-than-expected fourth-quarter earnings, mainly due to one-off charges at its refining unit.

Chaired by Ireland’s former attorney-general and EC commissioner Peter Sutherland, the world’s second-largest listed oil firm by market value tempered the profits disappointment by reporting a strong reserve replacement record in 2005 and adding it could return up to $65 billion (€54.32bn) to shareholders through dividends and buybacks in three years if oil prices stay high.

BP said fourth quarter replacement cost profit, which excludes changes in inventory values, was $4.432bn (€3.7bn).