SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
for the period ended 29 June 2004
BP p.l.c.
(Translation of registrant's name into English)
1 ST JAMES'S SQUARE, LONDON, SW1Y 4PD, ENGLAND
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form 20-F |X| Form 40-F
--------------- ----------------
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.
Yes No |X|
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June 29, 2004
BP FILES FORM 20-F WITH US SECURITIES
AND EXCHANGE COMMISSION
BP's 2003 Form 20-F, filed with the US Securities and Exchange Commission (SEC)
in Washington, D.C. late yesterday, shows total proved reserves reported under
SEC requirements are 23 million barrels more than those presented in its 2003
Annual Report and Accounts to Shareholders issued in March.
BP's 2003 Form 20-F - which reconciles its financial accounts, published under
UK Generally Accepted Accounting Practice (GAAP), with US Generally Accepted
Accounting Principles - reports proved reserves of 18.361 billion barrels of oil
equivalent, compared with 18.338 billion barrels in its 2003 Annual Report and
Accounts.
BP said that it considers the 23 million barrel difference, which represents
some 0.1 per cent of its total proved reserve base, including equity accounted
entities, to be immaterial.
As a UK-registered company reporting under UK GAAP, BP determines its proved
reserves under the UK Statement of Recommended Practice, Accounting for Oil and
Gas Exploration, Development, Production and Decommissioning Activities (SORP).
In estimating reserves, it uses long-term planning prices to determine the
commercial viability of upstream resources. For 2003 these prices were $16 a
barrel for oil and $2.70 per thousand cubic feet for natural gas.
In contrast, SEC guidelines require the use of year-end market prices which, as
of December 31, 2003, were $30.10 a barrel for Brent crude and $5.76 per
thousand cubic feet for Henry Hub gas.
Using year-end prices and assuming they apply to the end-of-field life has the
effect of increasing the volumes of oil and gas likely to be recovered
economically from reservoirs, thus adding to proved reserves. On the other hand,
using year-end prices has the effect of decreasing reserves in the case of
production-sharing agreements (PSAs) where a higher oil price results in lower
volume entitlement.
BP said that use of year-end pricing and some changes in the way it applies SEC
interpretations of SEC regulations relating to field fuel gas and the use of
technology in determining reserves, while giving rise to larger variations on a
regional basis in its proved reserves, accounted for the upward difference of
only 23 million barrels on an aggregate basis between its 20-F and UK SORP
estimates.
The company believes that its long-term planning price assumptions provide the
most appropriate basis for estimating oil and gas reserves and will continue to
use this basis for its UK reporting.
The company said it had received comments from the SEC on its 20-F Filing for
2002 and that the SEC review process was still ongoing.
A table setting out BP's 2003 Form 20-F estimated reserves on a regional basis,
with comparable estimates under UK SORP, are included with this release as Notes
to Editors. Copies of the BP 2003 Form 20-F and the BP 2003 Annual Report and
Accounts (ARA) are available at www.bp.com/20F and www.bp.com/ara2003
respectively.
Notes to editors:
- The figures below are total proved reserves for crude oil plus
natural gas, for subsidiaries plus equity-accounted entities, in millions of
barrels of oil equivalent (mmboe):
BP proved Proved reserves Difference/ Difference as
reserves in 2003 reported in 2003 mmboe % of total
ARA/mmboe Form 20-F/mmboe proved reserves
UK 1,496 1,647 151 0.8%
Rest of Europe 564 625 61 0.3%
USA 5,624 5,956 332 1.8%
Rest of Americas 4,330 4,225 (105) (0.6%)
Asia Pacific 1,049 1,063 14 0.1%
Africa 1,635 1,310 (325) (1.8%)
Russia 1,794 1,805 11 0.1%
Other 1,846 1,730 (116) (0.6%)
Total 18,338 18,361 23 0.1%
- ENDS -
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
BP p.l.c.
(Registrant)
Dated: 29 June 2004 /s/ D. J. PEARL
..............................
D. J. PEARL
Deputy Company Secretary