BP 2014 Annual Report Download - page 23

Reserves replacement ratio (%) Production (mboe/d)Total shareholder return (%)
We report tier 1 process safety events,
which are the losses of primary
containment of greatest consequence
– causing harm to a member of the
workforce, costly damage to equipment
or exceeding defined quantities.
2014 performance The number of tier 1
process safety events has decreased
substantially since 2010. We take a
long-term view on process safety
indicators because the full benefit of the
decisions and actions in this area is not
always immediate.
We provide data on greenhouse gas
(GHG) emissions material to our business
on a carbon dioxide-equivalent basis. This
includes CO2 and methane for direct
emissions.c Our GHG KPI encompasses
all BP’s consolidated entities as well as
our share of equity-accounted entities
other than BP’s share of TNK-BP and
Rosneft.d Emissions data for Rosneft can
be found on its website.
2014 performance The decrease in our
GHG emissions is primarily due to the
sale of our Carson and Texas City
refineries in the US as part of our
divestment programme.
We track how engaged our employees
are with our strategic priorities for
building long-term value. This is derived
from survey questions about
perceptions of BP as a company and
how it is managed in terms of leadership
and standards.
2014 performance The 2014 survey
found that employees remain clear
about safety procedures, standards and
requirements that apply to them and
that pride in working at BP has increased
steadily since 2011. Understanding and
support of BP’s strategy is strong at
senior levels, but needs further
communication and engagement across
the organization.
Each year we report the percentage of
women and individuals from countries
other than the UK and the US among
BP’s group leaders. This helps us track
progress in building a diverse and
well-balanced leadership team.
2014 performance The percentage of our
group leaders who are women or
non-UK/US has remained steady this
year. We remain committed to our aim
that women will represent at least 25%
of our group leaders by 2020.
Tier 1 process safety events aGreenhouse gas emissionsb
(million tonnes of CO2 equivalent)
Group priorities
engagemente (%)
Diversity and inclusione (%)
Major project delivery
Major projects are defined as those with
a BP net investment of at least $250
million, or considered to be of strategic
importance to BP, or of a high degree
of complexity.
We monitor the progress of our major
projects to gauge whether we are
delivering our core pipeline of activity.
Projects take many years to complete,
requiring differing amounts of resource,
so a smooth or increasing trend should
not be anticipated.
2014 performance In total we delivered
seven major project start-ups in
Upstream.
e Relates to BP employees.
b The reported 2013 figure of 49.2MteCO2e
has been amended to 50.3MteCO2e.
c For indirect emissions data see page 42.
d For our emissions on an operational control
basis see page 42.
Total shareholder return (TSR)
represents the change in value of a
BP shareholding over a calendar year.
It assumes that dividends are reinvested
to purchase additional shares at the
closing price on the ex-dividend date.
We are committed to maintaining a
progressive and sustainable dividend
policy.
2014 performance TSR decreased during
the year, primarily as a result of a fall in
the BP share price, partly offset by two
dividend per share increases in 2014.
Proved reserves replacement ratio is the
extent to which the year’s production has
been replaced by proved reserves added
to our reserve base.
The ratio is expressed in oil-equivalent
terms and includes changes resulting from
discoveries, improved recovery and
extensions and revisions to previous
estimates, but excludes changes resulting
from acquisitions and disposals. The ratio
reflects both subsidiaries and equity-
accounted entities.
This measure helps to demonstrate our
success in accessing, exploring and
extracting resources.
2014 performance The reserves
replacement ratio reflects lower reserves
bookings as a result of fewer final
investment decisions in 2014 and
revisions of previous estimates.
We report the volume of crude oil,
condensate, natural gas liquids (NGLs)
and natural gas produced by subsidiaries
and equity-accounted entities. These are
converted to barrels of oil equivalent
(boe) at 1 barrel of NGL = 1boe and
5,800 standard cubic feet of natural gas
= 1boe.
2014 performance BP’s total reported
production including our Upstream
segment and Rosneft was 2.4% lower
than in 2013. This reduction reflected
the Abu Dhabi onshore concession
expiry and divestments, partially offset
by increased production from
higher-margin areas and higher
production in Rosneft in 2014 compared
to the aggregate production in Rosneft
and TNK-BP in 2013.
2010 2011 2012 2013 2014
10
8
6
4
2
3
4
2
5
7
2010 2011 2012 2013 2014
60
40
20
0
-20
2.5
3.0
4.5
2.6
ADS basis Ordinary share basis
(24.1) (21.4)
(16.5)
(11.6)
14.7
14.0
2010 2011 2012 2013 2014
140
120
100
80
6
0
106 103
63
129
7 7
2010 2011 2012 2013 2014
4,000
3,800
3,600
3,400
3,200 3,151
3,822
3,230
3,454
3,331
2010 2011 2012 2013 2014
100
80
60
40
20
74
43
20
74
28
2010 2011 2012 2013 2014
100
80
60
40
20
64.9 61.8 59.8
50.3 48.6
2010 2011 2012 2013 2014
100
80
60
40
20 Data not
collected
67 71 72 72
2010 2011 2012 2013 2014
30
25
20
15
10
5
Women Non UK/US
14
15
19
19
17
18
20
22
18
22
a This represents reported incidents occurring
within BP’s operational HSSE reporting
boundary. That boundary includes BP’s own
operated facilities and certain other locations
or situations.
BP Annual Report and Form 20-F 2014 19
Strategic report
★ Defined on page 252.