BP expects to save around $200m by focusing on specific hydrogen projects and selling off its US onshore wind business.
The UK oil major said in third quarter results today it will focus on five to 10 hydrogen schemes and continue with the 1.7GW portfolio sale.
The $200m is from a total of $2bn in cost savings the company is trying to make by the end of 2026.
Chief financial officer Kate Thomson said: “Starting with portfolio focus, we are already starting to realise cash cost savings from the actions we have taken.
“For example: – across renewables and hydrogen, we expect to benefit from around $200 million reduction in annual cash costs, as a result of focusing our portfolio.”
BP meanwhile confirmed it has completed the acquisition of BP Lightsource and has a renewables pipeline of 46.8GW.
The latter is down 11.5GW due to its refocusing of hydrogen opportunities.
Overall, BP recorded $2.3bn in underlying profits in the quarter, down from quarter two’s $2bn in profits.