London, Jan 29, 2026, 08:50 GMT — Regular session underway.
- BP shares climbed roughly 1.4% in early London trading.
- Oil hovered close to recent peaks, bolstering energy shares.
- Traders have their eyes on the Venezuela-linked gas licensing talks and BP’s upcoming earnings report.
BP PLC shares climbed 1.4% to 462.40 pence in early London trading, buoyed by stronger crude prices that boosted energy sector sentiment. The company is scheduled to report its next results on Feb. 10. 1
This shift is significant as oil has reclaimed its role as the main market mover, driven by geopolitical tensions and a softer dollar. For major integrated players like BP, fluctuations in crude prices rapidly impact short-term cash flow forecasts.
Brent crude futures climbed 83 cents, or 1.23%, closing at $68.40 a barrel on Wednesday. U.S. West Texas Intermediate also gained 82 cents, or 1.31%, ending the day at $63.21. “The markets were up on concerns about the U.S.’ armada,” said Phil Flynn, senior analyst at Price Futures Group, citing renewed tensions in the Middle East. The U.S. Energy Information Administration reported a crude inventory drop of 2.3 million barrels last week, bringing stocks down to 423.8 million barrels. 2
That backdrop has traders favoring oil-linked stocks, though it also stirs volatility. A single headline can quickly sway both crude prices and the shares that follow them.
BP is also drawing investor focus with its gas ventures connected to Venezuela. Stuart Young, Trinidad’s energy minister, revealed that BP and Shell are applying for U.S. licenses to develop gas fields crossing the maritime border with Venezuela. Due to U.S. sanctions, these approvals are necessary before any progress can be made. “The United States is an ally,” Young noted. 3
For BP, the licence process hinges more on timing than geology, pulling politics squarely into the mix. Shell gets caught up in this too, underscoring how the major European oil players face similar regional choices.
A filing revealed BP purchased 2,922,961 shares on Jan. 27 under its ongoing share buyback programme, at an average price of 447.8207 pence each. These repurchases are a method companies use to return cash to shareholders while trimming the share count over time. 4
Buybacks have turned into a crucial indicator for investors, given how their pace can shift from quarter to quarter depending on prices, trading outcomes, or cash flow. BP has relied heavily on them as a central element of its shareholder returns strategy.
Risks cut both ways. Should crude prices slip or the U.S. licensing issues on Venezuela remain unresolved, the shares could lose their backing fast. Earnings are near, making positioning a key factor.
