BP p.l.c.

A warm welcome to everyone joining us in person at our headquarters today and to those joining online and on the phones. I trust everyone has had a chance to watch the second quarter 2024 video presentation and read our stock exchange announcement, both of which were posted this morning on our website, BP.com. We heard the feedback that you appreciated this new format. For today, we're aiming to finish the call at 2 p.m. UK time. So with that, let me hand over to Murray for some brief opening remarks.

Great. Thanks, Craig. And thanks to everyone for joining today. I'm in the room and I'm joined by Kate Thompson, CFO, Carol Howell, EVP Trading and Shipping, and Emma Delaney, EVP Customers and Products, which luckily for me will provide me with the opportunity to pass all difficult questions to them today. To recap on today's results, our operations are running really well. 96% upstream plant reliability and 96% refining availability in the quarter. We generated strong operating cash flow of $8.1 billion, net debt reduced by $1.4 billion to $22.6 billion, and we remain confident in the opportunity and potential we have in growing the value of BP. This should be clear with today's 10% increase in our announced dividend, the $1.75 billion buyback in respect of our 2Q results, and our commitment to announce $3.5 billion of share buybacks for the second half of 2024. That's $1.75 billion to be announced each at 3Q and 4Q results. You'll have heard from our video some real examples of us in action, delivering on our six priorities. We've accomplished an awful lot over the past six months. Of course, there's always more to do, and we have clear focus on our drive to 2025, which we can control. We see a lot of opportunity ahead of us, and we're remaining pragmatic, flexible, focused on value. And we look forward to updating you on our medium-term plans in February next year. So Kate, Carol, Emma and I are here to answer your questions. Can we ask each of you please to limit your questions to two and I'll go ahead and start off here in the room. Irene, why don't we start with you please.

Thank you. Irene Himon at Bernstein and congratulations. My first question concerns progress towards the two billion operating cost reduction target you announced. particularly in the context of a 4% increase in unit upstream costs, which I see. My second question on transition engine EBITDA, which in the first half has halved year on year. I can see biofuels, convenience, renewables, they're all down. So it seems even if EV charging and hydrogen break even by year end, the 3 to 4 billion next year looks a bit challenged. But that was my question.