London, May 18, 2026, 10:04 BST
- BP rose 1.67% in London, outpacing a small gain for the FTSE 100.
- BP’s debt plan, trading arm, and asset sales are in focus again after crude’s recent rise.
- The risk is that oil could turn quickly, and there are still open questions around labour and disposal execution.
BP shares traded higher in London on Monday, outpacing the FTSE 100. The British oil giant got a lift from stronger crude prices, which drew investors back to BP’s turnaround trade.
BP traded at 561.30 pence to sell and 561.50 pence to buy, up 9.20 pence, or 1.67%. That’s after a prior close at 552.20 pence, according to Hargreaves Lansdown. The FTSE 100 was just 0.08% higher. Hl
Timing is key for BP. The company is getting a lift right now from high oil prices, but it is also trying to lower debt, make the group smaller, and steer more cash to higher-return oil and gas investments over time.
Brent crude moved past $111 a barrel Monday as new Gulf security concerns hit, Reuters said, with the Strait of Hormuz staying tightly restricted. That pushes up cash flow for oil producers, but it also adds more inflation risk for the wider economy. Reuters
BP gained but the rest of Europe lagged. The STOXX 600 slipped 0.7% at the open as oil prices and yields moved up. Germany’s DAX and France’s CAC 40 lost ground, according to Reuters. BP’s move stood out from the weak market, pointing to an energy-led gain rather than a wider rally. Reuters
BP Q1 profit comes in at $3.2 billion, showing oil’s continued weight for the group. The underlying replacement cost profit, BP’s preferred earnings metric, was helped by what the company called “exceptional” oil trading. BP put net debt at $25.3 billion at the end of March. CEO Meg O’Neill said BP aims to be “a simpler, stronger, more valuable company.” bp global
BP is moving to simplify its business. The company plans to dismantle its pipeline gas trading team and lay off around 20 staff, according to Reuters on Friday. The remaining pipeline gas traders will be shifted into the LNG unit. LNG is gas cooled to liquid for shipping. Reuters
Asset sales are a second part of the plan. BP is looking at selling some of its natural gas holdings in Egypt, Reuters said, as it moves to pay down debt and back higher-return projects. BP has put over $35 billion into Egypt over the past 60 years, but gas output there dropped to 518 million cubic feet per day last year. The company said it does not comment on market speculation. Reuters
Peer reaction is mixed but has takeaways. Reuters said Shell, BP and TotalEnergies saw trading profits jump as the European groups caught the swing in energy prices. Barclays equity strategist Magesh Kumar Chandrasekaran said oil price gains led to “strong upgrades in the energy sector.” St James’s Place’s Carlota Estragues Lopez called the broader earnings set-up “a fragile situation.” Jefferies’ Mohit Kumar said “oil prices are what matters for consumers.” Reuters
The flip side is also in play. If a truce eases oil supply worries, BP could lose some of that lift from higher crude prices, and the company still needs to pull off disposals, cut debt and hold its operations steady.
BP and the United Steelworkers union planned to pick up contract negotiations on Monday for the Whiting, Indiana refinery, where some 800 workers have been locked out since March 19. The plant is the Midwest’s biggest refinery, able to run 440,000 barrels a day. Reuters
BP shares are moving on stronger oil prices. The company has big trading exposure, so investors expect more cash flow. The question is whether BP can use that cash to strengthen its balance sheet before the oil run fades.
