29 April 2014 08:28 [Source: ICIS news]
SINGAPORE (ICIS)--BP’s petrochemicals business reported an underlying replacement cost profit before interest and tax of $4m in the first quarter of this year, compared with $59m in the same period of 2013, weighed by the turnaround at a production site in China, the energy major said on Tuesday.
“The March shut-down of the SECCO site in China for a two-month turnaround negatively impacted the results,” the company said in a statement.
“The petrochemicals environment continues to be challenging with excess supply affecting product margins, particularly in the aromatics business,” it added.
The company produced 3.47m tonnes of petrochemicals in the first quarter of 2014, compared with 3.51m tonnes in the same period last year.
BP's downstream segment posted an underlying replacement cost profit before interest and tax of $412m in the first quarter of this year, compared with a profit of $750m in the same period in 2013.
On a group wide basis, BP’s first-quarter replacement cost profit was $3.23bn, compared with $4.22bn in the same period of 2013.
“In the second quarter we expect seasonally stronger refining margins supported by low product stocks, particularly in the US, and increased global turnaround activity. Low petrochemicals margins are expected to continue,” the company added.
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