{"id":548471,"date":"2010-04-30T13:24:00","date_gmt":"2010-04-30T17:24:00","guid":{"rendered":"e2249889-c78b-43e3-9643-b1d7d4aa587b:431538"},"modified":"2010-04-30T13:24:00","modified_gmt":"2010-04-30T17:24:00","slug":"uncertainty-infiltrates-bp-shares","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/548471","title":{"rendered":"Uncertainty infiltrates BP shares"},"content":{"rendered":"<p>Shares in <a href=\"http:\/\/www.financialpost.com\/markets\/company\/index.html?symbol=BP&amp;id=254935\" >BP plc<\/a> are trading calmer on Friday, but the financial fallout from the oil giant&#39;s disastrous oil spill off the coast of Louisiana may not be over yet.&nbsp; <\/p>\n<p>&quot;Our sense is the fall in the share price is an over-reaction,&quot; Jon Rigby, an analyst at UBS AG said in note to clients.&nbsp; <\/p>\n<p>&quot;However, the uncertainty of the eventual issue, its cost, and who is responsible, plus the longer-term implications will make investors rightly cautious.&quot;<\/p>\n<p>As of Thursday&#39;s close, BP&#39;s share price is down more than 9% since April 19, representing a loss of US$17-billion in market capitalisation.<\/p>\n<p>Based on estimates, the current clean up effort could cost roughly US$360-million until the first relief well is drilled, but significant landfall is likely to result in even higher costs, perhaps in the billions. But it is unlikely to be US$17-billion, Mr. Rigby said, nor is it likely to be solely borne by BP.<\/p>\n<p>&quot;The problem for equity investors is the uncertainty,&quot; the analyst said.&nbsp; <\/p>\n<p>While he reiterated his Buy rating on the stock, he acknowledged a vacuum of financial information. Without a clear idea of the extent of the spill, or who is responsible, he said it is impossible to make a judgement as to how the costs will be allocated.<\/p>\n<p>&quot;What is more the incident is so unprecedented the legal and reputational implications are also impossible to judge at this stage.&quot;&nbsp; <\/p>\n<p><a href=\"mailto:dpett@nationalpost.com%20\">David Pett <\/a><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/network.nationalpost.com\/NP\/aggbug.aspx?PostID=431538\" width=\"1\" height=\"1\"><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Shares in BP plc are trading calmer on Friday, but the financial fallout from the oil giant&#39;s disastrous oil spill off the coast of Louisiana may not be over yet.&nbsp; &quot;Our sense is the fall in the share price is an over-reaction,&quot; Jon Rigby, an analyst at UBS AG said in note to clients.&nbsp; &quot;However, [&hellip;]<\/p>\n","protected":false},"author":4060,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15,7],"tags":[],"class_list":["post-548471","post","type-post","status-publish","format-standard","hentry","category-energy","category-news"],"_links":{"self":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/548471","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/users\/4060"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/comments?post=548471"}],"version-history":[{"count":0,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/548471\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/media?parent=548471"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/categories?post=548471"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/tags?post=548471"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}