bpTT mum about local impact of global restructuring

ENERGY giant bpTT says it is unable to share detailed information on the potential consequences of bp's global restructuring process on its local operations.

Responding to questions on the company's lower profit margins and job cuts, bpTT in a brief statement to Newsday on January 16 said, "The job cuts announced recently by bp are one part of a broader transformation programme being undertaken. It is too soon in the process to comment on how these changes will impact the TT business."

The company’s global restructuring follows a string of financial difficulties, with bp warning that its fourth-quarter results will be affected by weaker oil and gas production, declining refining margins and trading losses. The company is also grappling with the fallout from the unexpected resignation of former CEO Bernard Looney in September 2023, creating uncertainty about the company’s direction.

The possible job cuts extending to its TT-based operations remain an industry-wide concern given bpTT's leading role.

Despite the uncertainty, the company has confirmed that its Capital Markets Day, originally set for February 11 in New York, will be held on February 26 in London instead.

The company's restructuring forms part of a larger strategy shift under current CEO Murray Auchincloss, who took over after Looney's resignation.

Auchincloss has signalled a move away from bp’s aggressive investment in renewables and low-carbon energy projects, refocusing the company’s efforts on higher-return oil and gas ventures.

This pivot comes amid challenges in the global energy market, including declining demand for gasoline and diesel, as well as oversupply driven by new refineries in Asia and Africa.

The company's TT-based operations play a crucial role in the national economy, contributing significantly to the TT's energy output.