BP 2013 Annual Report Download - page 276

acid and olefins and derivative value chains in 2014, Rosneft’s plans for its
refinery modernization programme, plans to expand ethanol production
capacity in Brazilian sugar cane mills, the expected level of production at
the Vivergo joint venture plant, the expected range for the annual charge of
Other businesses and corporate in 2014, plans regarding the reporting and
recording of losses of primary containment, the timing of the expected
delivery of new tankers, the impact of the additional regulation of GHG
emissions on BP’s business, plans to minimize air pollutants and emissions
at hydraulic fracturing sites, prospects for the UK temporary management
scheme in respect of Rhum and the resumption of operations thereat in the
future, plans for new investment including new drilling rigs in Alaska, plans
for oil sand development and a major seismic programme in Canada, plans
regarding deepwater blocks in offshore Brazil and Uruguay, the expected
production levels of the Angola LNG project, the expected completion of
farm-out agreements in Morocco, plans for a third train at the LNG plant in
Tangguh, prospects for Shah Deniz Stage 2 and the expected satisfaction
of conditions precedent to the planned purchase of an additional 3.3%
equity stake in Shah Deniz and the South Caucasus Pipeline from Statoil,
the expected amount of future payments from the disposal of interests in
certain North Sea fields, prospects for future developments at Mad Dog
Phase 2, plans regarding the timing of construction and production of the
Khazzan field in Oman, plans to drill four deepwater wells in the Ceduna
Sub Basin, the expected production life of the North West Shelf,
expectations regarding the naptha reformer at the Toledo refinery, plans to
increase investment in Africa, including in upgrades to refinery
infrastructure and the Pick n PayTM retail network, expectations regarding
future reserves booking, expectations of future undeveloped reserves
turnover time and volume, the anticipated future composition of the board
of directors, the timing of, cost of, source of payment and provision for
future remediation and restoration programmes and environmental
operating and capital expenditures, expectations regarding the impact of
various regulations upon BP’s business and expectations regarding greater
regulation and increased operating costs in the Gulf of Mexico in the future,
expectations regarding the issuance of a final policy for the materiality of
revenue and expenses under the Economic and Property Damages
Settlement Agreement by the claims administrator under such settlement,
and expectations regarding legal and trial proceedings, court decisions,
potential investigations and civil actions by regulators, government entities
and/or other entities or parties, and the risks associated with such
proceedings and BP’s intentions in respect thereof; (ii) certain statements
in Corporate governance (pages 59-80) and the Directors’ remuneration
report (pages 81-108) with regard to the anticipated future composition of
the board of directors, the board’s goals and plans stemming from the
board’s annual evaluation, plans regarding the timing of future audit
contract tendering, the expectation that BP will be in second place amongst
oil majors in respect of reserves replacement for the year ended 31
December 2013, the expected percentage of performance shares that will
vest based on 2013 outcomes, and plans and expectations with regard to
the remuneration, pensions and other benefits of executive directors,
including prospective scenarios for total remuneration opportunities for
executive directors in the future, changes in the metrics used to calculate
remuneration and changes to the limits of aggregate annual remuneration;
and (iii) certain statements in the Strategic report (pages 56-58), with regard
to future dividend and optional scrip dividend payments, including the
board’s plans for reviewing the dividend level in future quarters, future
capital expenditures and capital expenditure commitments, including
estimated levels of capital expenditure in 2014 and from 2015 to 2018,
taxation, intentions to maintain a significant liquidity buffer, future working
capital and cash flows, gearing and the net debt ratio, BP’s intention to
maintain a strong cash position, the expected effect on operating cash flow
of completion of Deepwater Horizon Oil Spill Trust fund payments and high-
margin projects coming onstream, expectations regarding taxes due upon
repatriation of cash into the UK, expectations regarding total capital
expenditure, and expected payments under contractual and commercial
commitments and purchase obligations; are all forward looking in nature.
By their nature, forward-looking statements involve risk and uncertainty
because they relate to events and depend on circumstances that will or
may occur in the future and are outside the control of BP. Actual results
may differ materially from those expressed in such statements, depending
on a variety of factors, including the specific factors identified in the
discussions accompanying such forward-looking statements; the receipt of
relevant third party and/or regulatory approvals; the timing and level of
maintenance and/or turnaround activity; the timing and volume of refinery
additions and outages; the timing of bringing new fields onstream; the
timing, quantum and nature of certain divestments; future levels of industry
product supply, demand and pricing, including supply growth in North
America; OPEC quota restrictions; PSA effects; operational problems;
economic and financial market conditions generally or in various countries
and regions; political stability and economic growth in relevant areas of the
world; changes in laws and governmental regulations; regulatory or legal
actions including the types of enforcement action pursued and the nature
of remedies sought or imposed; the actions of prosecutors, regulatory
authorities and courts; the impact on our reputation following the Gulf of
Mexico oil spill; the actions of the Claims Administrator appointed under the
Economic and Property Damages Settlement; the actions of all parties to
the Gulf of Mexico oil spill-related litigation at various phases of the
litigation; exchange rate fluctuations; development and use of new
technology; the success or otherwise of partnering; the actions of
competitors, trading partners, creditors, rating agencies and others;
decisions by Rosneft’s management and board of directors; the actions of
contractors; natural disasters and adverse weather conditions; changes in
public expectations and other changes to business conditions; wars and
acts of terrorism, cyber-attacks or sabotage; and other factors discussed
elsewhere in this report including under Risk factors (pages 51-55). In
addition to factors set forth elsewhere in this report, those set out above
are important factors, although not exhaustive, that may cause actual
results and developments to differ materially from those expressed or
implied by these forward-looking statements.
Statements regarding competitive position
Statements referring to BP’s competitive position are based on the
company’s belief and, in some cases, rely on a range of sources,
including investment analysts’ reports, independent market studies and
BP’s internal assessments of market share based on publicly available
information about the financial results and performance of market
participants.
272 BP Annual Report and Form 20-F 2013