BP plc said it plans to slash dividends as the global oil company prepares for declining sales of fossil fuels by boosting investment in alternative energy projects. The company expects oil and gas production to drop by about 40 percent over the same period. To help finance the strategic shift, BP said it will cut dividends to US 5.25 cents a share from 10.5 cents in the first quarter. BP announced the shift as it reported a second-quarter operating loss of US$6.68 billion as the coronavirus pandemic cuts oil prices and demand for energy. Supply of oil and gas was particularly high when the outbreak began, creating a perfect storm for the industry.

Source: The Standard August 04, 2020 14:26 UTC