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Write a 6 page essay on BP Case Study: Investment Proposition.

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They are operating in more than 80 countries with 15 refineries generating 2354 thousand barrels of oil per day. The company has recorded a sales and other operating revenue figure of $375,765 million. They follow a business model that creates value across the value chain of hydrocarbon. This process starts from exploring and ends in supplying energy and other stuffs necessary for the everyday life. The operation s and projects undertaken by BP helps in generating the investment, employment and tax revenue for the communities and countries present all over the world (BP Plc., 2013a). Timeline April 2010 Deepwater Horizon incident that causes massive oil spill in the Gulf of Mexico July 2010 Natural gas activities at Canada, British Columbia and Alberta were sold to Apache Corporation. Massive divestment plans were undertaken by the company in order to compensate the liability caused by the accident January 2011 BP and Roseneft enter into a joint deal to develop East-Prinovozemelsky field. February 2011 BP enters into partnership with Reliance Industries May 2011 Wytch Farm onshore oilfield was sold to Perencho December 2011 The liquid natural gas business of Canada was sold to Plains All American Pipelines LP and fractionation plant present in other locations. March 2012 Sold assets of North Sea gas to Perenco. August 2012 Southern California’s Carson Refinery was sold to Tesoro and gas processing plant in Texas to Eagle Rock Energy Partners September 2012 Sold Gulf of Mexico located at various places to Plains Exploration and Production. October 2012 Agreed to sell Texas City Refinery and its assets to Marathon Petroleum. April 2013 Announced selling of wind energy unit located in United States. May 2013 Raid at the London office for suspected involvement in price-fixing scandal All these measures like selling up of assets has resulted into The British company BP Plc to shrink and announced a quarterly profit in 2013 that was made it to come down from the second largest oil majors to fourth position. All these selling were done in order to make them prepared for meeting the biggest oil spill payout (Callus, 2013). Deepwater Horizon incident Deepwater Horizon incident is considered to the biggest marine oil spill in the history of petroleum industry that caused huge damage to the livelihood of the people and the environment. Release of gas, which resulted into subsequent explosion, occurred on the evening of April 20 in the year 2010 in the Deepwater Horizon oil rig functioning on the Macondo exploration well in the Gulf of Mexico for BP. This explosion took away 11 lives and several others were left injured. The fire burnt for about 36 hours until the rig sank. Several tonnes of hydrocarbons were leaked in the Gulf of Mexico before the well was sealed and closed. The well integrity failure was involved in the accident, which resulted into loss of hydrostatic control over the well. The explosion resulted into failure of the blowout preventer equipment due to which the flow from the well could not be controlled. Thus the discharge and consequent ignition of the hydrocarbons continued. This massive marine oil spill was further exaggerated by the failure of emergency function of the BOP after which the well could not be sealed. Financial impact on BP Financial damage was huge on BP due to the Deepwater Horizon oil spill that took place in Gulf of Mexico.