MIDAS SHARE TIPS: BP is set for a stock yield of 5.5% thanks to renewed confidence
In early April 2010, BP shares were 623p. That was before the Deepwater Horizon disaster, the worst offshore oil spill in history.
The catastrophe claimed 11 lives, affected livelihoods and sent BP shares tumbling to 319p.
The company continues to pay compensation claims for Deep- water, but today, eight years on, there is renewed confidence within the business. The shares are 553p and should continue to rise.
Chief executive Bob Dudley raised the dividend last week, which is calculated in cents as oil prices are quoted in dollars.
Last weeks rise was the first in the US currency since 2014 but UK shareholders have enjoyed a steady increase in payments, due to the exchange rate.
BP has profited from the more than doubling of the oil price over the past two and a half years from $29 to $72 a barrel. But the group is also reaping the benefits of a raft of internal changes.
Management is different, as is the culture, and more than $50 billion (£40 billion) of assets have been sold, with a focus on rigorous financial and operational discipline since Deepwater.
Some analysts are worried that Dudleys strategy is changing, as he announced a $10 billion deal just ten days ago, buying a massive portfolio of US shale oil and gas fields.
The acquisition is BPs largest since 1999, but the company insists this is not the precursor to a string of expensive deals and says that the transaction will swiftly boost sales and earnings.
Results for the three months to June 30, released on Tuesday, bea....