BP 2015 Annual Report Download - page 174

Oil and natural gas exploration and production activities
$ million
2015
Europe North
America
South
America
Africa Asia Australasia Total
UK
Rest of
Europe US
Rest of
North
America Russia
Rest of
Asia
Subsidiaries
Capitalized costs at 31 Decemberab
Gross capitalized costs
Proved properties 33,214 10,568 80,716 3,559 11,051 42,807 – 28,474 5,177 215,566
Unproved properties 437 168 5,602 2,377 2,964 4,635 – 2,740 933 19,856
33,651 10,736 86,318 5,936 14,015 47,442 – 31,214 6,110 235,422
Accumulated depreciation 21,447 7,172 43,290 191 6,251 29,406 – 15,967 2,677 126,401
Net capitalized costs 12,204 3,564 43,028 5,745 7,764 18,036 – 15,247 3,433 109,021
Costs incurred for the year ended 31 Decemberab
Acquisition of properties
Proved 17 – 131 – – 259 – – – 407
Unproved – – 56 – (118) 8 – – – (54)
17 – 187 – (118) 267 – – – 353
Exploration and appraisal costsc178 11 651 75 114 533 5 102 125 1,794
Development 1,784 73 3,662 324 1,299 2,749 – 3,439 128 13,458
Total costs 1,979 84 4,500 399 1,295 3,549 5 3,541 253 15,605
Results of operations for the year ended 31 Decembera
Sales and other operating revenuesd
Third parties 496 209 651 14 1,594 1,829 – 800 1,450 7,043
Sales between businesses 1,149 718 7,427 2 33 4,005 – 4,028 340 17,702
1,645 927 8,078 16 1,627 5,834 – 4,828 1,790 24,745
Exploration expenditure 115 8 960 108 51 1,001 5 53 52 2,353
Production costs 879 313 2,777 77 703 1,521 – 1,083 166 7,519
Production taxes (273) – 215 – 214 – – 834 46 1,036
Other costs (income)e(795) 92 2,460 48 140 358 27 76 215 2,621
Depreciation, depletion and amortization 949 544 3,671 13 673 3,412 – 2,420 322 12,004
Net impairments and (gains) losses on
sale of businesses and fixed assets (390) 17 340 – 101 846 – 105 140 1,159
485 974 10,423 246 1,882 7,138 32 4,571 941 26,692
Profit (loss) before taxationf1,160 (47) (2,345) (230) (255) (1,304) (32) 257 849 (1,947)
Allocable taxesg(930) 159 (857) (5) (28) 694 (5) (66) 472 (566)
Results of operations 2,090 (206) (1,488) (225) (227) (1,998) (27) 323 377 (1,381)
Upstream and Rosneft segments replacement cost profit before interest and tax
Exploration and production activities –
subsidiaries (as above) 1,160 (47) (2,345) (230) (255) (1,304) (32) 257 849 (1,947)
Midstream and other activities –
subsidiariesh401 110 43 10 211 (39) (16) 67 14 801
Equity-accounted entitiesi– (7) 19 – 370 (552) 1,326 363 – 1,519
Total replacement cost profit before
interest and tax 1,561 56 (2,283) (220) 326 (1,895) 1,278 687 863 373
aThese tables contain information relating to oil and natural gas exploration and production activities of subsidiaries, which includes our share of oil and natural gas exploration and production activities of
joint operations. They do not include any costs relating to the Gulf of Mexico oil spill. Amounts relating to the management and ownership of crude oil and natural gas pipelines, LNG liquefaction and
transportation operations are excluded. In addition, our midstream activities of marketing and trading of natural gas, power and NGLs in the US, Canada, UK and Europe are excluded. The most
significant midstream pipeline interests include the Trans-Alaska Pipeline System, the Forties Pipeline System, the South Caucasus Pipeline and the Baku-Tbilisi-Ceyhan pipeline. Major LNG activities
are located in Trinidad, Indonesia, Australia and Angola.
bDecommissioning assets are included in capitalized costs at 31 December but are excluded from costs incurred for the year.
cIncludes exploration and appraisal drilling expenditures, which are capitalized within intangible assets, and geological and geophysical exploration costs, which are charged to income as incurred.
dPresented net of transportation costs, purchases and sales taxes.
eIncludes property taxes, other government take and the fair value gain on embedded derivatives of $120 million. The UK region includes a $832 million gain which is offset by corresponding charges,
primarily in the US region, relating to the group self-insurance programme.
fExcludes the unwinding of the discount on provisions and payables amounting to $164 million which is included in finance costs in the group income statement.
gUK region includes the one-off deferred tax impact of the enactment of legislation to reduce the UK supplementary charge tax rate applicable to profits arising in the North Sea from 32% to 20%.
hMidstream and other activities excludes inventory holding gains and losses.
iBP’s share of the profits of equity-accounted entities are included after interest and tax reported by those entities.
170 BP Annual Report and Form 20-F 2015