BP group chief executive Bob Dudley said that returning operational momentum and strong cash flow generation in 2011 gave the company increasing confidence in its plans to grow value for shareholders.
"2012 will be a year of increasing investment and milestones as we build on the foundations laid last year," said Dudley.
"As we move through 2013 and 2014, we expect financial momentum will build as we complete payments into the Gulf of Mexico Trust Fund, restore high-value production and bring new projects on stream."
BP reported its results for the fourth quarter and full year 2011, where operating cash flow generated stood at $22bn which is 60% higher than 2010.
BP’s replacement cost profit was $5.0bn for the fourth quarter, compared to $4.4bn a year earlier.
For the full year underlying replacement cost profit was $21.7bn compared to $20.5bn for 2010.
BP’s oil and gas production rose by over 5% or 170,000 barrels of oil equivalent a day (boed) from the third to the fourth quarter of 2011 and for the year, production averaged 3.45 million boed.
BP’s refining and marketing segment reported a record underlying pre-tax profit of $6.0bn in 2011.
In 2012, the company plans to drill 12 exploration wells, start up six major upstream projects in higher-margin areas, and operate with eight rigs in the US Gulf of Mexico by the end of the year.
It will also continue with its major divestment programme, complete the delivery of a $2bn improvement in underlying performance in the downstream, relative to 2009 and also intends to complete payments into the Gulf of Mexico Trust Fund.
