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  "documentTitle": "BP plc (BP)",
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  "authorName": "Giuseppe Bivona and Marco Taricco",
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  "notes": "This is a page from an activist investor letter. It outlines specific financial targets for capex reallocation and shareholder returns.",
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      "text": "increase cash to be returned to shareholders relative to the existing 2023-2030 plan by a cumulative ~$ 16 bn (~$ 2.0 bn p.a.)",
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      "text": "(iv) increase cash to be returned to shareholders relative to the existing 2023-2030 plan by a cumulative ~$ 16 bn (~$ 2.0 bn p.a.)",
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      "text": "Capex spent on Hydrogen, Renewables & Power and Bioenergy should be cut to represent around 15% of total capex... a ~60% reduction, compared to the ca $45 bn under the current 2023-2030 plan.",
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      "text": "We believe BP should spend approximately $1.5 bn more p.a. (2023-2030) on oil and gas upstream activities, to achieve the elevated production target of 2.5mmboed by 2030 which we advocate for.",
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      "text": "At its FY22 results BP announced a capex increase of $1bn pa for its Resilient Hydrocarbons whilst increasing its 2030 production target by 0.5mmboed. Using this as a proxy implies that targeting 2030 production of 2.5mmboed as opposed to 2.0mmboed requires additional capex of $1bn pa in upstream production. Using BP average capex spent on upstream production in 2021 and 2022 where BP spent on average capex of $3.7bn per 1mmboed of oil and gas produced implies that targeting 2030 production of 2.5mmboed as opposed to 2.0mmboed requires additional capex of $1.8bn pa in upstream production. We use a value of $1.5bn pa which sits in the middle of these two approaches. — Footnote 56",
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