This brochure sets out the essence of BP Shipping - who we are, what we stand for and why we're here.

We are undergoing a massive expansion endorsed by the BP board as part of our remit to mitigate marine risk. Building on our great track record and moving forward into the future, we need to be absolutely clear and focused on who we are, what we stand for and why we're here.

Bob Malone
Chief Executive
BP Shipping

the big picture
We have one of the largest, most advanced and fastest growing shipping fleets in the world. We are currently directly or indirectly involved in some 3,000 voyages around the world each year. These voyages cover over two million miles - the equivalent of circumnavigating the world over 88 times. We will move 220 million tonnes of crude and products in 2004 - approximately 5% of the world's sea borne oil movements.

What's more, we are undertaking a multi-billion dollar renewal and expansion programme that will see our controlled fleet nearly double in size to 108 oil and gas tankers by 2008.

Drawing on our increasing scale, experience and expertise, we are raising the flag together on land and sea, within our immediate teams, within the wider BP Shipping organization, with our partners in Integrated Supply and Trading (IST) and the BP group as a whole.

Our focus is on creating value for our BP customers around the world. In this respect our job is never done. There is always room for improvement as the world of shipping and the needs of our customers continue to change. We have to adapt and we all have a role to play in going about this in the right way, guided by our common purpose and core values.

clean seas
It's about no oil pollution…no damage to the environment…reducing greenhouse gases…leading the industry in improving standards…putting resources into environmental improvement…going the extra mile to achieve environmental performance…no pollution…minimizing environmental impact…being green

safe ships
It's about no accidents, no harm to people…at sea, in the office or away from work…ongoing investment in one of the most modern fleets in the world…the latest technology and the best-trained crews…the best Health Safety and Environmental performance in the industry…safety for those on board and safety for those around them…taking a proactive approach to safety…operational excellence…commitment and awareness on board and on shore in the office at home…achieving the best safety record in the industry throughout our operations

commercial success
It's about striving for innovation and commerciality…building commerciality into all decisions, from chartering to buying to designing, building, operating and disposing…being cost-efficient and commercially astute…ensuring the shipping we provide for the Group is both safe and gives competitive advantage…partnering with BT businesses to add significant value

Working as one for a better end result
BP Shipping and BP Exploration & Production (E&P) are working closely together to procure a floating, production, storage and offloading (FPSO) vessel for six oil fields in Angola's Block 18.

Most of E&P's hull support team are seconded BP Shipping employees. E&P has been able to make the most of BP Shipping's specialist expertise in this area as well as its buying power - opening the way for successful negotiations and relations with the contractors and, ultimately, a vessel of the highest standards.

The six oil fields, the first BP-operated project in Angola, are scheduled to come on stream in May 2007. "This is a major milestone for BP in its plans to build a new profit centre in Angola," says Tony Hayward, BP's Chief Executive E&P. "BP's net production from Angola will rise from 50,000 barrels a day in 2004 to approximately 250,000 barrels a day by 2007."

Great teamwork finds a safer, cleaner, more commercial way
In April 2004, IST crude traders were working a deal to ship oil out of Russia and the North Sea to China. This raised the prospect of having to carry out a major ship-to-ship transfer in open seas off the Shetland Islands port of Sullom Voe, the standard way to go about such transfers for the last 24 years. However, open seas transfers result in delays and added costs given the significant environmental risks involved.

Rather than settle for the status quo, the team - drawn from BP Shipping, IST, BP Exploration, the Shetlands Islands Council, Sullom Voe Port Authority and Fendercare - set about looking for a better way. They came up with a solution that would save time and money and be significantly safer: perform the transfer in the Sullom Voe terminal, where emergency services are close by and vessels sheltered from the elements. The in-port transfer was completed successfully and the vessel arrived safely in Qingdao, China on 14 June 2004.

Moving ship-to-ship oil transfers from the open seas to within the protection of a terminal is a radical change in local government policy and has set a new standard at Sullom Voe.

Pushing forward the frontiers of tanker technology
The Alaskan Frontier is the first of four Alaska-class double-hull oil tankers being built for BP Shipping by the National Steel and Shipbuilding Company, San Diego USA.

These state-of-the-art ships have a capacity of 1.3 million barrels, hulls designed to last 35 years, deck structures with 50-year life spans, and the latest cargo control and integrated navigation systems. As well as scoring high for performance and innovation, they also set new levels in terms of their green credentials. These environmentally friendly ships use seawater instead of oil to cool and lubricate the propeller shafts, thus eliminating accidental oil leaks. Their cargo piping, normally installed on the deck, is inside the cargo tanks to reduce the risk of small spills. The diesel-electric propulsion system significantly increases reliability and reduces air emissions and maintenance downtime.

All four ships are scheduled to be delivered by the end of 2006. That's just the beginning - decades of service lie ahead as the tankers carry oil safely, cleanly and commercially from Alaska to West Coast ports on behalf of BP Shipping customers.

Making history to open up no end of opportunities
IST had signed a five year deal to supply crude oil to Interoil's Napa Napa refinery in Port Mawesby, Papua New Guinea. This deal is an important part of IST's regional crude trading activities - the relationship is both long term and strategic and it was vital that it got off to as good a start as possible. To this end, IST called on BP Shipping to help prepare the ground and ensure a successful first shipment of oil to the terminal.

BP Shipping worked closely with IST and Interoil to arrange the berth of the super tanker British Curlew. The port had never handled a vessel this big before so every aspect was studied and prepared for in advance. On 15 June 2004 British Curlew arrived at Napa Napa with the first shipment of crude oil for the new refinery - 250,000 barrels. She completed her voyage successfully and sailed out the following day.

"I know that Interoil have been hugely impressed with the professionalism of BP Shipping and extremely grateful for the help and advice we have offered them throughout the development of this project," says an IST spokesperson. "It was critical to our relationship that this first discharge should go smoothly and it sounds as if it has been a tremendous success."

working together…
We are cooks, captains, vetters, strategists, sailors, trainers, navigators, negotiators, managers, charterers, assurers, analysts, architects - many different highly skilled practitioners. But more than that, we are all partners…

on land and sea
We are partners in a collective endeavour on land and sea that is greater than the sum of its individual parts. The endeavour to create value for BP. To bring clean seas, safe ships and commercial success to life. To raise the flag together.

"Raising the flag together is about pride in BP Shipping's heritage and the bond between land and sea - teamwork and collaboration in pursuit of a common goal for BP."