BP 3Q earnings rise 9.2 per cent

LONDON – BP says third-quarter earnings have risen 9.2 per cent as the energy company cut costs and increased production.

The company said in a statement Tuesday that net income rose to $1.77 billion from $1.62 billion.

Underlying replacement cost profit doubled to $1.86 billion. The figure, which excludes one-time items and fluctuations in the value of inventories, is the industry’s preferred gauge of earnings.

Oil companies have been cutting costs and selling assets after oil prices plunged to their lowest levels in more than a decade early last year. BP said Brent crude, a benchmark for international oil prices, averaged $52.08 a barrel in the quarter, up 13.6 per cent from a year earlier. Oil was above $100 a barrel as recently as September 2014.