UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

for the period ended 30 September 2009

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 of Form 20-F or Form 40-F.

Form 20-F þ                    Form 40-F o

     Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): o

     Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): o

Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes o                   No þ

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-        

THIS REPORT ON FORM 6-K SHALL BE DEEMED TO BE INCORPORATED BY REFERENCE IN THE PROSPECTUS INCLUDED IN THE REGISTRATION STATEMENT ON FORM F-3 (FILE NO. 333-157906) OF BP CAPITAL MARKETS p.l.c. AND BP p.l.c.; THE PROSPECTUS INCLUDED IN THE REGISTRATION STATEMENT ON FORM F-3 (FILE NO. 333-155798) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-79399) OF BP p.l.c.,THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-67206) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-103924) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-102583) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-123482) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-123483) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-131583) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-131584) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-132619) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-146868) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-146870) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-146873) OF BP p.l.c., THE REGISTRATION STATEMENT ON FORM S-8 (FILE NO. 333-149778) OF BP p.l.c., AND TO BE A PART THEREOF FROM THE DATE ON WHICH THIS REPORT IS FURNISHED, TO THE EXTENT NOT SUPERSEDED BY DOCUMENTS OR REPORTS SUBSEQUENTLY FILED OR FURNISHED.

 

 

BP p.l.c. AND SUBSIDIARIES
FORM 6-K FOR THE PERIOD ENDED 30 SEPTEMBER 2009*

				Page
1.		Management’s Discussion and Analysis of Financial Condition and Results of Operations for the period January-September 2009			3-9, 16-18
2.		Consolidated Financial Statements including Notes to Consolidated Financial Statements for the period January-September 2009			10-15, 20-23
3.		Environmental, Operating and Other Information			19
4.		Signatures			24
5.		Exhibit 99.1: Computation of Ratio of Earnings to Fixed Charges			25
		Exhibit 99.2: Capitalization and Indebtedness			26

Group results third quarter and nine months 2009

Third quarter										Nine months
2008				2009						2009				2008
								$ million
	8,049				5,336			Profit for the period(a)			12,283				24,501
	42.93				28.48			— per ordinary share (cents)			65.58				130.21
	2.58				1.71			— per ADS (dollars)			3.93				7.81

•		The following discussion should be read in conjunction with the consolidated financial statements and related notes provided elsewhere in this Form 6-K and with the information, including the consolidated financial statements and related notes, for the year ended 31 December 2008 in BP’s Annual Report on Form 20-F for the year ended 31 December 2008.
•		BP’s third-quarter profit was $5,336 million, compared with $8,049 million a year ago, a decrease of 34%. For the nine months, profit was $12,283 million compared with $24,501 million a year ago, down 50%. The third-quarter profit included inventory holding gains, after their associated tax effect, of $355 million compared with losses of $1,980 million in the same quarter last year. For the nine months, inventory holding gains, after their associated tax effect, were $1,775 million compared with $1,495 million in the nine months of 2008. See footnote (c) on page 15 for further information.
•		The third-quarter result included a net credit of $118 million for non-operating items compared with a net credit of $659 million in the third quarter of 2008. For the nine months, the respective amounts were a net credit of $89 million and a net charge of $673 million — see further details on page 16. Fair value accounting effects for the third quarter in Exploration and Production and Refining and Marketing had a net $189 million favourable impact compared to a net $488 million favourable impact in the third quarter of 2008. For the nine months, the respective amounts were $226 million favourable and $41 million favourable — see further details on page 17. Information on fair value accounting effects is non-GAAP.
•		Finance costs and net finance income or expense relating to pensions and other post-retirement benefits were $311 million for the third quarter, compared with $238 million for the same period last year. For the nine months, the respective amounts were $1,000 million and $705 million. The net increase in cost was primarily due to a reduction in the expected return on pension plan assets.
•		The effective tax rate on group profit for the third quarter and nine months was 29% and 33% respectively, compared with 33% and 35% a year ago. The decrease was due to a higher proportion of income from associates and jointly controlled entities (which are included net of tax), foreign exchange effects and adjustments to tax provisions. We now expect the full-year effective tax rate to be around 32-33%.
•		Net cash provided by operating activities for the quarter and nine months was $8.1 billion and $20.4 billion compared with $14.9 billion and $32.5 billion respectively a year ago.
•		Net debt at the end of the quarter was $26.3 billion. The ratio of net debt to net debt plus equity was 21% compared with 17% a year ago. Net debt information is non-GAAP and is defined on page 4. Gross debt at the end of the quarter was $36.6 billion compared to $28.3 billion a year ago. The ratio of gross debt to gross debt plus equity was 27%, compared with 21% a year ago.
•		Total capital expenditure, including acquisitions and asset exchanges, for the third quarter and nine months was $5.0 billion and $14.4 billion respectively. Capital expenditure, excluding acquisitions and asset exchanges, is expected to be around $20 billion for the year. Disposal proceeds were $0.6 billion for the quarter and $1.6 billion for the nine months.
•		The quarterly dividend, to be paid in December, is 14 cents per share ($0.84 per ADS), the same as a year ago. In sterling terms, the quarterly dividend is 8.512 pence per share, compared with 8.705 pence per share a year ago, a decrease of 2%.

The commentaries above and following should be read in conjunction with the cautionary statement on page 9.

Per share amounts

Third quarter										Nine months
2008				2009						2009				2008
								Per ordinary share (cents)(a)
	42.93				28.48			Profit for the period			65.58				130.21
								Per ADS (dollars)(a)
	2.58				1.71			Profit for the period			3.93				7.81

Net debt ratio — net debt: net debt + equity

Third quarter										Nine months
2008				2009						2009				2008
								$ million
	28,300				36,555			Gross debt			36,555				28,300
								Less: fair value asset (liability) of hedges
	149				370			related to finance debt			370				149
	28,151				36,185						36,185				28,151
	6,142				9,883			Cash and cash equivalents			9,883				6,142
	22,009				26,302			Net debt			26,302				22,009
	106,790				100,803			Equity			100,803				106,790
	17%				21%			Net debt ratio			21%				17%

Net debt and net debt ratio are non-GAAP measures. Net debt includes the fair value of associated derivative financial instruments that are used to hedge foreign exchange and interest rate risks relating to finance debt, for which hedge accounting is claimed. The derivatives are reported on the balance sheet within the headings ‘Derivative financial instruments’. We believe that net debt and net debt ratio provide useful information to investors. Net debt enables investors to see the economic effect of gross debt, related hedges and cash and cash equivalents in total. The net debt ratio enables investors to see how significant net debt is relative to equity from shareholders.

Dividends

Dividends payable

BP announced a dividend of 14 cents per ordinary share to be paid in December. Holders of ordinary shares will receive 8.512 pence per share and holders of American Depositary Receipts $0.84 per ADS. The dividend is payable on 7 December 2009 to shareholders on the register on 13 November 2009. Participants in the Dividend Reinvestment Plan (DRIP) or the DRIP facility in the US Direct Access Plan will receive the dividend in the form of shares, also on 7 December 2009.

Dividends paid

Third quarter										Nine months
2008				2009						2009				2008
								Dividends paid per ordinary share
	14.000				14.000			cents			42.000				41.050
	7.039				8.503			pence			27.905				20.682
	84.00				84.00			Dividends paid per ADS (cents)			252.00				246.30

Exploration and Production

Third quarter										Nine months
2008				2009						2009				2008
								$ million
	12,709				6,929			Replacement cost profit before interest and tax(a)(b)			16,295				33,552
								By region
	3,739				1,864			US			4,168				10,425
	8,970				5,065			Non-US			12,127				23,127
	12,709				6,929						16,295				33,552

The replacement cost profit before interest and tax for the third quarter and first nine months of 2009 was $6,929 million and $16,295 million respectively, decreases of 45% and 51% compared with the same periods in 2008. The decreases in both periods were primarily due to lower realizations, partly offset by the impact of higher production and lower costs. Both periods were impacted by higher depreciation. The first nine months of 2009 also reflected lower earnings from equity-accounted entities, primarily TNK-BP.

The third quarter and first nine months also benefited from net non-operating gains of $471 million and $1,289 million respectively, primarily related to fair value gains on embedded derivatives and gains on the sale of operations. The corresponding periods in 2008 reflected a net non-operating gain of $1,118 million and a net non-operating charge of $1,234 million respectively. Additionally, in the third quarter, fair value accounting effects had a favourable impact of $180 million compared with a favourable impact of $97 million a year ago. For the first nine months, the favourable impact was $473 million compared with an unfavourable impact of $535 million in the same period of 2008.

Production for the quarter was 2,601mboe/d for subsidiaries and 1,316mboe/d for equity-accounted entities. In total, this was 7% higher than the third quarter of 2008. This increase primarily reflects continued strong operational performance and the absence of hurricanes, which impacted the third quarter of 2008. After adjusting for entitlement impacts in our production-sharing agreements (PSAs) and the effect of OPEC quota restrictions, the increase in total production was still 7%. Adjusting for hurricanes, which impacted our production in the third quarter of 2008, total production was 4% higher. Unit production costs in the quarter were 18% lower than the third quarter of 2008 after adjusting production for the impact of hurricanes.

Production for the first nine months was 2,674mboe/d for subsidiaries and 1,305mboe/d for equity-accounted entities. In total, this was more than 4% higher than the same period last year. After adjusting for the effect of entitlement changes in our PSAs and the effect of OPEC quota restrictions, total production was more than 5% higher than the same period of 2008. After adjusting for the effect of hurricanes, total production was 4% higher than the same period of 2008.

During the quarter, we announced the discovery of the Tiber prospect in the deepwater US Gulf of Mexico (BP 62% and operator).

On 1 October, Sonangol and BP announced the Tebe oil discovery in the ultra-deepwater Block 31, offshore Angola (BP 26.67% and operator). This is the nineteenth discovery made by BP in Block 31.

Exploration and Production

Third quarter										Nine months
2008				2009						2009				2008
								$ million
								Non-operating items
	3				(65	)		US			124				(13	)
	1,115				536			Non-US			1,165				(1,221	)
	1,118				471						1,289				(1,234	)
								Fair value accounting effects(a)
	136				169			US			469				(242	)
	(39	)			11			Non-US			4				(293	)
	97				180						473				(535	)
								Exploration expense
	59				235			US			514				178
	173				143			Non-US			330				465
	232				378						844				643
								Liquids production for subsidiaries (mb/d) (net of royalties)(b)
	473				669			US			658				520
	190				199			Europe			204				216
	—				—			Russia			—				—
	465				521			Rest of World			529				509
	1,128				1,389						1,391				1,245
	1,155				1,143			Liquids production for equity-accounted entities (mb/d) (net of royalties)(b)			1,130				1,136
								Natural gas production for subsidiaries (mmcf/d) (net of royalties)
	2,094				2,278			US			2,317				2,127
	527				473			Europe			651				755
	—				—			Russia			—				—
	4,308				4,280			Rest of World			4,470				4,314
	6,929				7,031						7,438				7,196
	1,082				1,000			Natural gas production for equity-accounted entities (mmcf/d) (net of royalties)			1,019				1,044
								Total hydrocarbon production for subsidiaries (mboe/d) (net of royalties)(c)
	834				1,061			US			1,057				887
	280				280			Europe			316				346
	—				—			Russia			—				—
	1,208				1,260			Rest of World			1,301				1,253
	2,322				2,601						2,674				2,486
	1,342				1,316			Total hydrocarbon production for equity-accounted entities (mboe/d) (net of royalties)(c)			1,305				1,316
								Average realizations(d)
	111.47				62.77			Total liquids ($/bbl)			52.20				103.96
	6.49				2.81			Natural gas ($/mcf)			3.11				6.32
	73.49				41.12			Total hydrocarbons ($/boe)			35.81				70.31

(a)		These effects represent the favourable (unfavourable) impact relative to management’s measure of performance. Further information on fair value accounting effects is provided on page 17.
(b)		Crude oil and natural gas liquids.
(c)		Natural gas is converted to oil equivalent at 5.8 billion cubic feet = 1 million barrels.
(d)		Based on sales of consolidated subsidiaries only — this excludes equity-accounted entities.

Additional operating information is provided on pages 14 and 19.
Because of rounding, some totals may not agree exactly with the sum of their component parts.

Refining and Marketing

Third quarter										Nine months
2008				2009						2009				2008
								$ million
	1,972				916			Replacement cost profit before interest and tax(a)(b)			2,686				3,760
								By region
	338				(229	)		US			(247	)			91
	1,634				1,145			Non-US			2,933				3,669
	1,972				916						2,686				3,760

(a)		Equity-accounted entities are included after interest and tax.
(b)		See page 15 for information on replacement cost reporting for operating segments.

The replacement cost profit before interest and tax for the third quarter and nine months was $916 million and $2,686 million respectively. The results in the equivalent periods of 2008 were $1,972 million and $3,760 million. The third quarter’s result included a net non-operating charge of $241 million mainly relating to environmental provisions which are reassessed annually, compared to net non-operating items of nil a year ago. For the nine months, the net non-operating charge was $757 million, primarily relating to restructuring, compared to a net gain of $510 million a year ago. Fair value accounting effects had a favourable impact of $86 million in the third quarter and an unfavourable impact of $149 million for the nine months. A year ago, there were favourable impacts of $636 million and $576 million respectively.

In addition, compared to the same period of 2008, the result for the third quarter was impacted by the weaker refining environment in which global indicator margins were less than half of the levels seen in third quarter of 2008. This significant adverse environmental effect was partially offset by performance improvements in operations, by the absence of last year’s adverse foreign exchange effects on in-transit barrels, and by lower costs.

For the nine months, the result was impacted by average refining indicator margins having fallen 30% year on year. However this was more than offset by significantly stronger operational performance, very strong supply and trading performance in the first quarter of 2009, and continued delivery of cost reductions, with costs for the first nine months of 2009 down more than 15% year on year.

In our Fuels Value Chains, refining throughput for the third quarter increased significantly to 2,329mb/d, compared to 2,185mb/d for the same period a year ago. This throughput increase was the result of improved refining operations in the US. This allowed additional margin capture in the US region, where refining margins have held up better than in Europe and Asia. Solomon refining availability was up by more than six percentage points year on year.

In the International Businesses, margin capture has been strong compared to the third quarter of 2008. In petrochemicals, volumes were over 20% higher than in the second quarter and also higher than the same period last year.

Refining margins look set to remain weak as a result of high distillate inventory levels and low global utilization rates. In the International Businesses, we expect petrochemicals margins to be under pressure in the fourth quarter due to new capacity coming onstream. BP’s refinery turnaround activities are expected to be higher in the fourth quarter than in the third.

Refining and Marketing

Third quarter										Nine months
2008				2009						2009				2008
								$ million
								Non-operating items
	13				(179	)		US			(340	)			771
	(13	)			(62	)		Non-US			(417	)			(261	)
	—				(241	)					(757	)			510
								Fair value accounting effects(a)
	174				6			US			25				322
	462				80			Non-US			(174	)			254
	636				86						(149	)			576
								Refinery throughputs (mb/d)
	1,158				1,307			US			1,220				1,141
	730				751			Europe			766				753
	297				271			Rest of World			296				303
	2,185				2,329			Total throughput			2,282				2,197
	87.7				94.3			Refining availability (%)(b)			93.4				88.0
								Oil sales volumes (mb/d)
								Refined products
	1,453				1,442			US			1,426				1,468
	1,584				1,522			Europe			1,502				1,567
	662				619			Rest of World			623				690
	3,699				3,583			Total marketing sales			3,551				3,725
	2,107				2,280			Trading/supply sales(c)			2,231				2,057
	5,806				5,863			Total refined product sales			5,782				5,782
	1,511				1,899			Crude oil			1,913				1,739
	7,317				7,762			Total oil sales			7,695				7,521
								Global Indicator Refining Margin ($/bbl)(d)
	7.13				2.60			NWE			3.45				6.46
	9.87				4.16			USGC			5.60				8.22
	10.47				5.04			Midwest			6.86				6.04
	7.07				4.89			USWC			7.31				7.64
	5.90				(0.02	)		Singapore			0.78				6.69
	8.03				3.42			Average			4.85				6.93
								Chemicals production (kte)
	850				812			US			2,270				2,908
	855				972			Europe			2,627				2,645
	1,358				1,429			Rest of World			3,583				4,487
	3,063				3,213			Total production			8,480				10,040

(a)		These effects represent the favourable (unfavourable) impact relative to management’s measure of performance. Further information on fair value accounting effects is provided on page 17.
(b)		Refining availability represents Solomon Associates’ operational availability, which is defined as the percentage of the year that a unit is available for processing after subtracting the annualized time lost due to turnaround activity and all planned mechanical, process and regulatory maintenance downtime.
(c)		A minor amendment has been made to trading/supply sales volumes for the first and second quarters of 2009.
(d)		The Global Indicator Refining Margin (GIM) is the average of regional indicator margins weighted for BP’s crude refining capacity in each region. Each regional indicator margin is based on a single representative crude with product yields characteristic of the typical level of upgrading complexity. The regional indicator margins may not be representative of the margins achieved by BP in any period because of BP’s particular refinery configurations and crude and product slate.

Other businesses and corporate

Third quarter										Nine months
2008				2009						2009				2008
								$ million
	(16	)			(586	)		Replacement cost profit (loss) before interest and tax(a)(b)			(1,930	)			(543	)
								By region
	(288	)			(179	)		US			(587	)			(625	)
	272				(407	)		Non-US			(1,343	)			82
	(16	)			(586	)					(1,930	)			(543	)
								Results include Non-operating items
	(105	)			(29	)		US			(178	)			(187	)
	(23	)			(35	)		Non-US			(246	)			(145	)
	(128	)			(64	)					(424	)			(332	)

(a)		Equity-accounted entities are included after interest and tax.
(b)		See page 15 for information on replacement cost reporting for operating segments.

Other businesses and corporate comprises the Alternative Energy business, Shipping, the group’s aluminium asset, Treasury (which includes interest income on the group’s cash and cash equivalents), and corporate activities worldwide.

The replacement cost loss before interest and tax for the third quarter and nine months was $586 million and $1,930 million respectively, compared with losses of $16 million and $543 million a year ago. The increased charge in both periods was primarily due to a weaker margin environment for Shipping and the Solar business and negative foreign exchange effects, partially offset by the continued reduction in corporate costs. The net non-operating charge for the third quarter and nine months was $64 million and $424 million respectively, compared with net charges of $128 million and $332 million a year ago.

In Alternative Energy, our BP Solar business and FedEx Ground, the small-package shipping unit of FedEx Corp., announced plans to install the largest rooftop solar-electric system in the US at its distribution hub in Woodbridge, New Jersey. Solar sales in the third quarter were 73MW, compared with 47MW in the same period of last year, reflecting recovery in the market.

In July, BP and Martek Biosciences Corporation announced the signing of a Joint Development Agreement (JDA) to work on the production of microbial oils for biofuels applications.

We sold our Indian wind business to Green Infra Ltd in September. BP’s net wind generation capacity^(c) at the end of the third quarter was 577MW, compared to 243MW at the end of the same period a year ago.

(c)		Net wind capacity is the sum of the rated capacities of the assets/turbines that have entered into commercial operation, including BP’s share of equity-accounted entities.

Group income statement

Third quarter										Nine months
2008				2009						2009				2008
								$ million
	103,174				66,218			Sales and other operating revenues (Note 2)			168,291				299,666
	1,172				359			Earnings from jointly controlled entities — after interest and tax			936				3,899
	155				920			Earnings from associates — after interest and tax			1,919				631
	135				157			Interest and other income			551				566
	193				202			Gains on sale of businesses and fixed assets			805				1,197
	104,829				67,856			Total revenues and other income			172,502				305,959
	77,234				46,787			Purchases			113,571				217,122
	7,549				5,929			Production and manufacturing expenses			18,033				21,756
	1,886				663			Production and similar taxes (Note 3)			1,797				5,794
	2,653				2,991			Depreciation, depletion and amortization			8,906				8,285
	54				157			Impairment and losses on sale of businesses and fixed assets			510				117
	232				378			Exploration expense			844				643
	3,794				3,420			Distribution and administration expenses			10,059				11,667
	(1,098	)			(370	)		Fair value (gain) loss on embedded derivatives			(710	)			1,673
	12,525				7,901			Profit before interest and taxation			19,492				38,902
	391				266			Finance costs			858				1,178
	(153	)			45			Net finance expense (income) relating to pensions and other post-retirement benefits			142				(473	)
	12,287				7,590			Profit before taxation			18,492				38,197
	4,101				2,235			Taxation			6,111				13,329
	8,186				5,355			Profit for the period			12,381				24,868
								Attributable to
	8,049				5,336			BP shareholders			12,283				24,501
	137				19			Minority interest			98				367
	8,186				5,355						12,381				24,868
								Earnings per share — cents (Note 4)
								Profit for the period attributable to BP shareholders
	42.93				28.48			Basic			65.58				130.21
	42.56				28.18			Diluted			64.91				129.04

Group statement of comprehensive income

Third quarter										Nine months
2008				2009						2009				2008
								$ million
	8,186				5,355			Profit for the period			12,381				24,868
	(3,125	)			549			Currency translation differences			1,889				(2,092	)
	—				4			Exchange losses on translation of foreign operations transferred to gain or loss on sales of businesses and fixed assets			46				—
	(703	)			256			Available-for-sale investments marked to market			537				(572	)
	(15	)			—			Available-for-sale investments — recycled to the income statement			2				(20	)
	(594	)			176			Cash flow hedges marked to market			613				(471	)
	16				71			Cash flow hedges — recycled to the income statement			488				15
	(20	)			19			Cash flow hedges — recycled to the balance sheet			132				(61	)
	292				(46	)		Taxation			311				385
	(4,149	)			1,029			Other comprehensive income			4,018				(2,816	)
	4,037				6,384			Total comprehensive income			16,399				22,052
	3,914				6,375			Attributable to BP shareholders			16,303				21,696
	123				9			Minority interest			96				356
	4,037				6,384						16,399				22,052

Group statement of changes in equity

		BP
		shareholders’				Minority				Total
		equity				interest				equity
$ million
At 31 December 2008			91,303				806				92,109
Total comprehensive income			16,303				96				16,399
Dividends			(7,860	)			(324	)			(8,184	)
Share-based payments (net of tax)			479				—				479
At 30 September 2009			100,225				578				100,803

		BP
		shareholders’				Minority				Total
		equity				interest				equity
$ million
At 31 December 2007			93,690				962				94,652
Total comprehensive income			21,696				356				22,052
Dividends			(7,723	)			(232	)			(7,955	)
Repurchase of ordinary share capital			(2,414	)			—				(2,414	)
Share-based payments (net of tax)			455				—				455
At 30 September 2008			105,704				1,086				106,790

Group balance sheet

		30 September				31 December
		2009				2008
$ million
Non-current assets
Property, plant and equipment			106,692				103,200
Goodwill			10,203				9,878
Intangible assets			11,246				10,260
Investments in jointly controlled entities			15,446				23,826
Investments in associates			13,673				4,000
Other investments			1,408				855
Fixed assets			158,668				152,019
Loans			1,139				995
Other receivables			943				710
Derivative financial instruments			3,941				5,054
Prepayments			1,436				1,338
Deferred tax assets			408				—
Defined benefit pension plan surpluses			1,931				1,738
			168,466				161,854
Current assets
Loans			208				168
Inventories			18,988				16,821
Trade and other receivables			28,777				29,261
Derivative financial instruments			5,536				8,510
Prepayments			2,460				3,050
Current tax receivable			827				377
Cash and cash equivalents			9,883				8,197
			66,679				66,384
Total assets			235,145				228,238
Current liabilities
Trade and other payables			33,597				33,644
Derivative financial instruments			4,828				8,977
Accruals			6,205				6,743
Finance debt			9,487				15,740
Current tax payable			2,825				3,144
Provisions			1,360				1,545
			58,302				69,793
Non-current liabilities
Other payables			3,158				3,080
Derivative financial instruments			3,810				6,271
Accruals			729				784
Finance debt			27,068				17,464
Deferred tax liabilities			17,796				16,198
Provisions			12,976				12,108
Defined benefit pension plan and other post-retirement benefit plan deficits			10,503				10,431
			76,040				66,336
Total liabilities			134,342				136,129
Net assets			100,803				92,109
Equity
BP shareholders’ equity			100,225				91,303
Minority interest			578				806
			100,803				92,109

Condensed group cash flow statement

Third quarter										Nine months
2008				2009							2009				2008
								$ million
								Operating activities
	12,287				7,590			Profit before taxation			18,492				38,197
								Adjustments to reconcile profit before taxation to net cash provided by operating activities
	2,751				3,216			Depreciation, depletion and amortization and exploration expenditure written off			9,380				8,611
	(139	)			(45	)		Impairment and (gain) loss on sale of businesses and fixed assets			(295	)			(1,080	)
	(568	)			(678	)		Earnings from equity-accounted entities, less dividends received			(1,180	)			(1,872	)
	25				203			Net charge for interest and other finance expense, less net interest paid			330				(276	)
	128				135			Share-based payments			322				366
	(14	)			(261	)		Net operating charge for pensions and other post-retirement benefits, less contributions and benefit payments for unfunded plans			(281	)			149
	92				(36	)		Net charge for provisions, less payments			196				(113	)
	4,830				(115	)		Movements in inventories and other current and non-current assets and liabilities(a)			(1,176	)			(1,597	)
	(4,528	)			(1,910	)		Income taxes paid			(5,360	)			(9,909	)
	14,864				8,099			Net cash provided by operating activities			20,428				32,476
								Investing activities
	(7,748	)			(4,975	)		Capital expenditure			(15,003	)			(16,896	)
	—				—			Acquisitions, net of cash acquired			(8	)			(209	)
	(194	)			(128	)		Investment in jointly controlled entities			(341	)			(807	)
	(14	)			(72	)		Investment in associates			(159	)			(21	)
	365				506			Proceeds from disposal of fixed assets			1,177				700
	—				98			Proceeds from disposal of businesses, net of cash disposed			435				—
	150				79			Proceeds from loan repayments			292				484
	(200	)			—			Other			47				(200	)
	(7,641	)			(4,492	)		Net cash (used in) provided by investing activities			(13,560	)			(16,949	)
								Financing activities
	(814	)			63			Net issue (repurchase) of shares			125				(2,631	)
	397				2,367			Proceeds from long-term financing			11,427				3,229
	(65	)			(607	)		Repayments of long-term financing			(4,784	)			(2,256	)
	(1,380	)			(1,806	)		Net increase (decrease) in short-term debt			(3,848	)			(3,288	)
	(2,624	)			(2,621	)		Dividends paid — BP shareholders			(7,860	)			(7,723	)
	(110	)			(139	)		— Minority interest			(324	)			(232	)
	(4,596	)			(2,743	)		Net cash (used in) provided by financing activities			(5,264	)			(12,901	)
	(78	)			60			Currency translation differences relating to cash and cash equivalents			82				(46	)
	2,549				924			Increase (decrease) in cash and cash equivalents			1,686				2,580
	3,593				8,959			Cash and cash equivalents at beginning of period			8,197				3,562
	6,142				9,883			Cash and cash equivalents at end of period			9,883				6,142
(a) Includes
	2,978				(538	)		Inventory holding (gains) losses			(2,666	)			(2,300	)
	(1,098	)			(370	)		Fair value (gain) loss on embedded derivatives			(710	)			1,673

Inventory holding gains and losses and fair value gains and losses on embedded derivatives are also included within profit before taxation.

Capital expenditure and acquisitions

Third quarter										Nine months
2008				2009						2009				2008
								$ million
								By business
								Exploration and Production
	5,252				1,395			US(a)			4,487				8,268
	2,178				2,117			Non-US(b)			6,296				9,113
	7,430				3,512						10,783				17,381
								Refining and Marketing
	564				584			US(b)			1,713				3,523
	552				335			Non-US			837				1,505
	1,116				919						2,550				5,028
								Other businesses and corporate
	228				502			US(c)			922				958
	84				50			Non-US			141				338
	312				552						1,063				1,296
	8,858				4,983						14,396				23,705
								By geographical area
	6,044				2,481			US(a)(b)(c)			7,122				12,749
	2,814				2,502			Non-US(b)			7,274				10,956
	8,858				4,983						14,396				23,705
								Included above:
	—				281			Acquisitions and asset exchanges(b)			281				2,288

Exchange rates

Third quarter										Nine months
2008				2009						2009				2008
	1.89				1.64			US dollar/sterling average rate for the period			1.54				1.95
	1.81				1.59			US dollar/sterling period-end rate			1.59				1.81
	1.50				1.43			US dollar/euro average rate for the period			1.36				1.52
	1.44				1.45			US dollar/euro period-end rate			1.45				1.44

Analysis of replacement cost profit before interest and tax and
reconciliation to profit before taxation^(a)

Third quarter										Nine months
2008				2009						2009				2008
								$ million
								By business
								Exploration and Production
	3,739				1,864			US			4,168				10,425
	8,970				5,065			Non-US			12,127				23,127
	12,709				6,929						16,295				33,552
								Refining and Marketing
	338				(229	)		US			(247	)			91
	1,634				1,145			Non-US			2,933				3,669
	1,972				916						2,686				3,760
								Other businesses and corporate
	(288	)			(179	)		US			(587	)			(625	)
	272				(407	)		Non-US			(1,343	)			82
	(16	)			(586	)					(1,930	)			(543	)
	14,665				7,259						17,051				36,769
	838				104			Consolidation adjustment			(225	)			(167	)
	15,503				7,363			Replacement cost profit before interest and tax(b)			16,826				36,602
								Inventory holding gains (losses)(c)
	(164	)			1			Exploration and Production			(17	)			(134	)
	(2,795	)			517			Refining and Marketing			2,700				2,420
	(19	)			20			Other businesses and corporate			(17	)			14
	12,525				7,901			Profit before interest and tax			19,492				38,902
	391				266			Finance costs			858				1,178
	(153	)			45			Net finance expense (income) relating to pensions and other post-retirement benefits			142				(473	)
	12,287				7,590			Profit before taxation			18,492				38,197
								Replacement cost profit before interest and tax
								By geographical area
	4,419				1,516			US			3,100				10,307
	11,084				5,847			Non-US			13,726				26,295
	15,503				7,363						16,826				36,602