#1 BP 2Q profits soar; battle for TNK-BP persists07-29-2008, 01:23 PM
By JANE WARDELL, AP Business Writer 1 hour, 22 minutes ago
LONDON - BP PLC reported a 28 percent rise in second quarter net profit Tuesday on surging energy prices and vowed to fight for its troubled Russian joint venture, TNK-BP.
BP, Europe's second biggest oil producer behind, posted net profit of $9.47 billion for the three months ending June 30, up from $7.38 billion in the same period a year ago.
Revenues jumped 49 percent to $110.98 billion as the price for a barrel of oil rose by around 35 percent over the quarter.
The strong year for BP has been overshadowed by an ongoing fight with Russian shareholders for control of the TNK-BP joint venture. The company's American chief executive Robert Dudley left Russia last week when his work permit was not renewed.
"We will vigorously defend our rights using all legal means possible," said BP chief executive Tony Hayward. "We will not be intimidated by strong-arm tactics."
BP has accused the Russian investors of using corporate raider tactics to wrest control of the company.
The Russians have pushed hard to oust Dudley, who continues to run the business from outside the country. They say he acts in the interests of BP rather than the joint venture. Russian authorities have launched a barrage of probes against the firm, ranging from labor to tax investigations.
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