BP in America

About BP
BP is one of the world’s largest energy companies,
providing its customers with fuel for transportation and
energy for heat and light. BP employs approximately
97,000 people worldwide and more than 33,000 in the
United States. BP’s family of brands includes Amoco,
ampm, ARCO, BP and Castrol.

BP is also among the world’s most progressive

large enterprises. We are widely known as the first
energy company to acknowledge the need for
precautionary action to reduce greenhouse gas
emissions. Today BP continues to lead the effort to
meet the world’s growing demand for sustainable,
environmentally responsible energy.

BP in the U.S. BP has unveiled

Helios House, a specially
BP is the leading producer of oil and natural gas in the constructed retail site
United States, and the largest investor in U.S. energy using environmentally
development. friendly materials, including
sustainable water, light and
heating supplies. The site,
Since 2001, BP has invested about $30 billion in the located in Los Angeles, is
United States, including major investments to increase designed to showcase green
existing energy sources, extend energy supplies and technology while providing
develop new low-carbon technologies. environmental education to
BP’s customers.
BP employs more than 33,000 people in the U.S. and has
$40 billion in fixed assets.

Every year, we market more than 15 billion gallons

of gasoline through BP-, ARCO- and Amoco-branded
retail outlets.

BP is one of the largest blenders and marketers of

biofuels in the U.S. Last year, BP blended 718 million
gallons of ethanol with gasoline, a 25 percent increase
from the previous year. Today, BP biofuels are available
in more than 20 states.

BP operates the nation’s largest, fully integrated solar

manufacturing plant in Frederick, Maryland, where it
manufactures solar panels from start to finish.

Published by: BP Government & Public Affairs, Houston, Texas

Contact: usinternet@bp.com
Website: www.bp.com/us

© 2008, BP America Inc.

 Chairman’s
message
W
hen I became Chairman and
President of BP America, I knew
the job would not be an easy one.
I took this position knowing that we faced
challenges as a company here in the United
States, and I knew that the scale and breadth
of BP America made it a very complex operation
with energy segments touching nearly all
50 states.
Despite what some considered a daunting task,
however, I was convinced that BP America had
the right core values, the right assets, the right
people and the right attitudes to become stronger
and better. Our U.S. portfolio of strategic lease
holdings, both on- and offshore, our significant
oil and gas reserves, our ambitious plans for
alternative energy resources, our strategic
marketing positions and our technology put us
in a unique position as an energy company and
open the way to a very bright future.
Everywhere I go I am encouraged to see our
employees rising to meet new challenges with
great attitudes and a commitment to succeed.
There is huge energy to move forward and make
BP America a great company that is respected
for its leadership and for its commitment to
the U.S.
2 BP in America
U.S. energy security
The stakes for future U.S. energy security are
high. As the largest oil and gas producer in
the country, I believe we have an important man-
date. BP America represents 40 percent of BP’s
global portfolio. As a result, what we do here is
vital to the United States.
We have a very strong investment program in
exploration and production in the Gulf of Mexico
and large hydrocarbon reserves both offshore and
onshore. Since 2001, we have invested about
$30 billion in the U.S. to increase existing energy
sources, extend energy supplies and develop
low-carbon technologies. Looking out 10 years
and beyond, BP’s investments in the U.S. are
expected to continue to average about $6 billion
a year.
While based at the company’s headquarters in
Houston, BP America Chairman and President
A significant part of that investment is in the Bob Malone has logged more than 150,000
miles during the past year to meet with BP
Gulf of Mexico deepwater projects. Atlantis, the
employees and review operations throughout
world’s deepest offshore oil and gas platform, is the United States.
currently being commissioned and is scheduled
to come on stream in late 2007. Thunder Horse
will begin production before the end of 2008.
These two projects alone will add around 350,000
barrels of oil equivalent a day and help take our
U.S. oil and gas production to over one million
BP inReport
2007 Progress America 3 3
Chairman’s
message
BP America external advisory council
barrels of oil equivalent a day, reconfirming our Our story BP America has recruited an extraordinary group of 10 individuals for the company’s independent External
position as the country’s biggest producer of oil Advisory Council.
and gas. This report is the story of BP in America. It
The Council will assist and advise BP America Chairman and President Bob Malone in reviewing the operations
highlights many of the key steps that we are
Alternative solutions taking to make us a great company.
and business of BP in America.

The 10 members of the External Advisory Council are:

We are also committed to developing low-
carbon energy supplies in the U.S. Through BP
Alternative Energy, we are investing $8 billion
worldwide over 10 years to develop solar, wind,
hydrogen power, and natural gas powered
technologies to provide cleaner, low-carbon
We have organized the report around six key
areas that represent our top priorities as we
Tom Daschle Jamie Gorelick
come to the end of 2007. Former U.S. Senator from One of the longest-serving Deputy
South Dakota, Daschle served in the Attorneys General, Gorelick is a
n Investing in U.S. energy security
U.S. Senate for 26 years, including member of numerous boards, and
n Being an industry leader in process as Senate Majority Leader. lectures on corporate governance

safety improvements and business ethics.

power. Projects already under way or announced
include doubling the capacity of our solar Jim Hall Mark Hamilton
n Developing new technology to meet
manufacturing facility in Frederick, Maryland, U.S. energy needs An expert on crisis management, President of the University
already the nation’s largest; a $2 billion first-of- government relations and of Alaska and retired
n Investing in biofuels for today and the future transportation safety and security, U.S. Army Major General.
its-kind hydrogen-fueled power plant proposed
Hall has served government and
for California; and five large wind power projects n Developing BP Alternative Energy to
private clients for over 35 years.
in the western U.S. provide low-carbon and renewable
sources of electricity Alden J. Leon Panetta
We are also one of the country’s largest blenders McDonald, Jr. Former Chief of Staff to the
n Our people and becoming part of the fabric U.S. President, 1994-1997, and
and marketers of biofuels. We currently market President and CEO of Liberty
of the communities in which we operate. Bank and Trust Company. former U.S. Representative
biofuels in 20 states, and we expect to increase
from California.
that market in upcoming years. And we are I said earlier that we are a company of deep core
making significant investments in the future of values and a commitment to succeed that I hope
biofuels through a $500 million research alliance will become apparent as you read this report. Warren Rudman Alan Simpson
with the University of California-Berkeley, the Former U.S. Senator from Former U.S. Senator from
We are not afraid of scrutiny and transparency
New Hampshire and recipient of Wyoming, Simpson has served
University of Illinois, Urbana-Champaign, and the because I believe we have a good story to tell.
the Presidential Citizens Medal on numerous government
Lawrence Berkeley National Laboratory. I have said repeatedly that BP America will be for Public Service. committees and civic boards.
judged not by what we say, but by what we do.
In addition to these important investments in
meeting U.S. energy needs, BP America and our Our story will be told through our actions, which Christine Todd Whitman Admiral Frank L. “Skip”
33,000 employees are also dedicated to improving demonstrate our commitment to achieving each Former Governor of New Jersey Bowman (ret.)
and former Administrator of the Admiral Bowman is president and chief
the communities in which we operate and live. We of the goals that we have set for ourselves and
U.S. Environmental Protection executive officer of the Nuclear Energy
have major education and community commit- our company.
Agency, Whitman is a member of Institute and is the former Chief of Naval
ments under way across the U.S. And we highly many public boards. Personnel and the former Director of
encourage employee volunteerism at the local level. Bob Naval Nuclear Propulsion.

More information about BP in America and our investments and operations in the U.S. can be found at www.bp.com/us.

4 BP in America BP in America 5
 Investing in the U.S.

C
ontinuing its track record of significant Ongoing major investments
investments in the U.S., BP America in the U.S. energy industry
announced plans for several major
investments aimed at finding, producing and In addition to the new and expanded projects
distributing energy across the country. described on the map on pages 8-9, BP continues
to invest in a number of energy initiatives through-
BP is already the world’s largest investor in new out the U.S., including:
energy development in the U.S., totaling about
$30 billion over the past five years. And, over the n $2.2 billion over the next 15 years to double
next decade, we expect to invest an average of natural gas production in Wyoming.
$6 billion a year. n $2.4 billion over 13
years to sustain natural
The investments by BP BP’s size and scale allows
America stretch across gas production in
the entire country, from
the company to continue Colorado and continuing
investments in Kansas,
the Gulf of Mexico to the to increase both its crude
North Slope of Alaska Louisiana, New Mexico,
and from the East Coast
oil production and long- Oklahoma and Texas in BP is investing
clean-burning natural $20 billion in the
to the Midwest and the term reserve base in the Gulf of Mexico to
West Coast. gas, the preferred fuel increase oil and gas
U.S., while also investing in for power generation. supplies in the U.S.
The company’s major
spending programs also
new alternative and renew- n $2.5 billion in 2007 to
improve the integrity
touch every major able energy technologies.
segment of the energy and reliability of all our
industry, from explora- U.S. refineries. The
tion and production of oil and natural gas through upgrades will improve safety and operational
refining and distribution of fuel products, as well as performance while making way for cleaner fuel
alternative energy and biofuels. production and increasing refinery flexibility to
process lower-cost crude oil supplies.
By heavily investing in a diverse range of energy
sources – from traditional oil and natural gas n $1 billion to build four new crude oil super-
production to alternative and renewable energy tankers, some of the most environmentally
including solar, wind and hydrogen power – BP is sound tankers ever built. n
helping meet America’s energy needs today while
ensuring a more secure energy future.

6 BP in America BP in America 7
 Investing in the U.S.
Major Investments in the U.S.:
1 1
5 to make significant
4
8 7
1 Investment:
$500 million
Locations:
California, Illinois
Project Description:
Creation of the Energy Bio-
sciences Institute. The institute
focuses on exploring biosci-
ence applications and applying
them to the production of new
and cleaner energy, principally
renewable fuels for road
transport (see related
story, page 23).
8 BP in America
(continued from page 6)
9 That’s why BP is continuously involved
2 5
2 Investment: $2.4 billion
Location: San Juan
Basin, Colorado
Project Description:
Increase ultimate recovery of
coalbed natural gas from the
San Juan Basin of southwest-
ern Colorado by an estimated
1.9 trillion cubic feet. The
13-year development program
would increase current BP net
production of 425 million cubic
feet per day by more than 20
percent, and maintain produc-
tion above present levels for
more than a decade.
3
5 casting and sizing processes.
7 Location: Deepwater fields,
3 Investment: $3.8 billion
Location: Northern
Indiana, Midwest
Project Description:
Upgrade and expand the
Whiting refinery to increase
Canadian heavy crude oil
processing capability by about
260,000 barrels per day.
The project also has the
potential to increase motor
fuels production by about
15 percent, or about 1.7 million
additional gallons of gasoline
and diesel per day.
6 in 2007 for its wind build program.
4 Investment: $2 billion
Location: California
Project Description:
The proposed project would
convert petroleum coke –
a refinery byproduct – to
hydrogen for use in a power
plant to deliver electricity to
the Los Angeles-area grid that
would serve approximately
325,000 homes. The process
will also capture carbon dioxide
and store it permanently in ma-
ture oil fields, where it will also
help to recover otherwise
inaccessible oil.
Investing
in the U.S.
Investing in
the future
5 Investment: $700 million
Energy development and production
Locations: Throughout the U.S.,
requires long-term thinking and planning.
including California, Colorado, Texas
Project Description:
in exhaustive planning throughout the
BP and its partners will invest about $700 million
U.S. on future innovative
projects with the potential
6 Investment: $97 million
Location: Maryland contributions to meeting
Project Description: U.S. energy needs.
Expansion of the BP Solar manufacturing facility in
Frederick, Maryland, nearly doubling its silicon casting One area of significant
and sizing capacity. When completed in 2009 the plant potential involves liquefied
will have a manufacturing capacity of 150 MW in its
natural gas (LNG).
BP believes LNG can play
Investment: $20 billion
a meaningful role in sup-
plying energy to the U.S.
Gulf of Mexico
and has identified potential
Project Description:
sites for LNG terminals. In
Increase exploration and production of oil and gas from
deepwater reservoirs in the U.S. Gulf of Mexico. New Jersey, for example,
BP is working closely with
8 Investment: $685 million officials at all levels to
Location: North Slope, develop the Crown Land-
Alaska ing LNG plant.
Project Description:
BP is investing hundreds of millions of dollars in Alaska BP is prepared to invest
each year to commercialize and produce the billions of more than $700 million for
barrels of known oil resources in our Alaska portfolio. the proposed LNG plant,
We have enough known oil and gas resources to sustain
which will have a daily
production for the next 50 years but this will require
billions of dollars in new investments. send-out capacity of 1.2
billion cubic feet of natural
9 Investment: $2.2 billion
gas, and provide enough
Location: Wyoming energy to supply the daily
Over the next 15 years BP will double our natural gas needs of approximately
production in Wyoming. Several hundred new wells are five million homes. n
planned in the Wamsutter Field, BP’s largest onshore
development drilling program.
BP in America 9
 BP focusing on
the future in Alaska
BP
is focusing its investments in
Alaska on the renewal of our
North Slope infrastructure,
renewal of our workforce and the advancement
of technology to develop known resources.
Renewal of North Slope
infrastructure
It has been 30 years since the North Slope began
production. Originally built for a 25-year life,
massive amounts of new investment will be
required for the future.
An important component of BP’s investment in
North Slope’s infrastructure is the $260 million
oil transit line replacement project. This includes
the installation of 16 miles of new transit lines on
the North Slope, 1,200 vertical support members
to hold the pipe off the tundra, pigging modules,
10 BP in America
corrosion-inhibitor injection facilities, and a state-
of-the-art leak detection system. Installation of
the new lines is expected to be completed during
the winter construction season.
Exploring for known resources
The cornerstone of BP’s efforts on the
North Slope is the development of the vast
resources that have already been discovered.
Yet there are significant challenges to developing
these resources.
BP is pioneering a number of enhanced oil recov-
ery techniques. Currently, the worldwide recov-
ery factor for conventional oil reservoirs is around
35 percent of oil in place. In Alaska, we and our
partners are raising our recovery rate to around
60 percent by applying new technologies such as
horizontal drilling, miscible gas injection and gas
cap water injection.
While heavier oil accounts for 5 percent of a process technology associate’s degree at the
Alaska’s oil production today, that figure is University of Alaska.
expected to double over the next several years.
Alaska Natural Gas Pipeline
Another area with significant potential to address
Developing new technology
To maximize production in Alaska, BP also
has built one of the world’s largest geocellular
America’s energy needs involves natural gas from computer models that has provided greater
the North Slope of Alaska. insight into the complex reservoirs of Alaska
and enabled BP to develop new enhanced oil
The development of a gas pipeline is important
recovery programs.
to Alaska and to the rest of the country. Alaska’s
North Slope gas represents the largest known BP also is deploying a variety of drilling technolo-
undeveloped gas resource in the United States. gies – including horizontal drilling, multilateral
wells and extended reach drilling – to increase
BP has been working over the past several years
oil production, stem decline, reduce costs,
on ways to advance a natural gas pipeline project
lower environmental risk and shrink the size of
from Alaska’s North Slope to bring this gas to
an operation’s footprint.
markets in North America.
One promising area involves the development
of ultra-extended reach drilling technology to
Commitment to Alaska
tap into offshore oil fields off Alaska’s North Slope.
workforce development
Located five miles offshore in the Beaufort Sea,
BP has increased its staffing in Alaska by
the Liberty oil field, for example, is the largest
undeveloped known conventional oil reservoir on
40 percent in the last two years to nearly 2,000
the North Slope and holds an estimated 100
employees. This is the largest workforce BP has
million barrels of recoverable oil.
ever employed in Alaska. In addition, BP has
added 2,500 to its contractor workforce in Alaska BP is evaluating plans to invest $1 billion to develop
over the same period. Liberty with wells drilled laterally 40,000- 45,000
feet from the surface location of the drill rig. n
BP also has made significant investments in
addressing Alaska’s overall workforce develop-
ment needs. BP, for example, helped found the
Alaska Process Industries Careers Consortium
and has been instrumental in the formation of
BP in America 11

BP has announced plans
to improve the integrity
and reliability of its U.S.
refining assets by increas-
ing investments from $1.2
billion in 2005 to an aver-
age of $1.7 billion per year
from 2007 to 2010.
12 BP in America
Focus on continuous
improvement
BP implements operating management system with
goal of becoming industry leader in process safety
BP
America is committed to being an “An OMS describes how an organization manages
industry leader in process safety the way it works,” explains John Mogford,
management and has taken a Executive Vice President, Safety and Operations.
number of significant steps to improve safety and “It makes it possible to reproduce what happens
operational integrity across its U.S. operations. consistently, safely and at high quality over and
over again.”
These initiatives include specific investments and
targeted programs in response to the March 2005 A critical part of the OMS framework being imple-
explosion and fire at the mented by BP America is
Texas City refinery and its focus on continuous
actions to restore the “The driving force of our improvement. The OMS
operational integrity of our sets out a process for
operating management
pipelines in Alaska. improvement involving
system is to move from five simple steps that are
In addition, the com-
systematically followed
pany is taking a holistic the mindset of continuous
in sequence—prioritize,
approach to improving
change to one of plan, perform, measure
process safety by devel-
and improve.
oping and implementing continuous improvement.”
an operating management John Sieg “The driving force of our
system (OMS) that will Group Head of Operations OMS is to move from the
BP America
support the company on mindset of continuous
its journey to becoming a change to one of continu-
world-class operator. ous improvement,” says
John Sieg, Group Head of Operations. “The im-
OMS is a way of working that applies to all seg-
provement process is continuous because it does
ments, functions and regions and is being imple-
not stop once you have completed the cycle of
mented to fit each particular site or operation. It
steps from prioritization to review. We will continue
sets out a common language for keeping BP’s
to run the process so that our workforce keeps on
operations running safely and effectively, and pro-
learning, embedding and sustaining processes and
vides a platform for future development across the
improvements.”
whole range of the company’s operations.
BP in America 13

U.S. Ombudsman
focuses on
safety issues
F I
or nearly half a century, the Honorable Stanley
Sporkin has championed ethical corporate
governance practices. Now, as BP America’s
first ombudsman, he personifies the company’s
commitment to do the right thing.
“My role is to respond to concerns from employees and
contractors of BP in the U.S.,” Sporkin says. “I will listen
to the issues, determine the facts, and take the action that
is required. And, most important, I will take every possible
measure to ensure that no retaliation takes place.”
The Ombudsman’s investigation staff is completely
separate from BP. Its investigations are conducted inde-
pendently – from the initial call to the final
recommendation.
Sporkin has served as director of the enforcement
division of the U.S. Securities and Exchange Commis-
sion and as general counsel to
the Central Intelligence Agency.
In 1985 he was appointed to the
U.S. District Court in Washing-
ton, D.C., where he served until
his retirement in 2000. During
his career, Sporkin received
many awards and honors and
has been recognized in the 2006
edition of The Best Lawyers in America.
In addition to the ombudsman initiative, BP also
maintains OpenTalk – a 24-hour global independent
hotline. The two complimentary programs are designed
to achieve a single objective: provide a process
in which employees can raise safety or Code of
Conduct concerns to management for resolution
in a confidential manner. n
14 BP in America
Focus on Continuous
Improvement (continued)
In 2007, BP America began implementing
its OMS process at the company’s five U.S.
refineries as well as its two chemical plants,
the Na Kika oil and gas platform in the Gulf
of Mexico, the Endicott Field in Alaska, and
North America Gas operations. Additional
U.S. sites and business units will be added
in 2008 and subsequent years. The aim is
for all operating facilities around the world
to have started OMS implementation by
the end of 2010.
“People want to be proud of their opera-
tions. The best way for BP to achieve its
goal of being the best energy company
is for our employees to have a consistent
framework, with sustained improvement at
its heart,” says Bob Malone, Chairman and
President of BP America.
“In addition to having a process of continu-
ous improvement, we are also working to
ensure that we have the culture, values and
mindsets that will enable the workforce to
embrace our drive toward safe and reliable
operations,” Malone says.
Process Safety Priorities
BP also has taken a number of steps to
improve process safety throughout its U.S.
operations, including:
n Increasing investments to improve
the integrity and reliability of its U.S.
refining assets from $1.2 billion in 2005
to an average of $1.7 billion per year
from 2007 to 2010.
n Clarifying and reinforcing roles,
responsibilities and expectations around
startup, operating, maintenance and
evacuation procedures at U.S. refineries.
BP has clarified and reinforced roles, responsibil-
ities and expectations around startup, operating,
maintenance and evacuation procedures at its
U.S. refineries.
n Increasing staffing at refineries
to address the need for more process
safety specialists, maintenance and
operating personnel, and technical
experts in various engineering
disciplines.
n Eliminating hundreds of occupied
portable buildings from process areas
across the Group. A new BP technical
practice has been established govern-
ing siting of portable buildings.
n Developing metrics as leading indica-
tors of process safety management and
working with the rest of the industry to
enhance them further. n
BP agrees to implement
recommendations of
Baker Panel
n January 2007, BP received the report of the
BP U.S. Refineries Independent Safety Review
Panel, chaired by former U.S. Secretary of State
James A. Baker, III. The panel was established on
the recommendation of the U.S. Chemical Safety
and Hazard Investigation Board.
The panel’s recommendations fall into four
categories: taking leadership and setting direction,
expectations and accountabilities; implementing
an integrated and comprehensive process safety
management system; ensuring that the right level
of process safety knowledge and expertise is
present at every level in the organization; and
ensuring that there is a positive, trusting, and open
process safety culture in each refinery.
BP has publicly committed to implement the
10 recommendations and to integrate the actions
with the many activities
already under way to
upgrade safety and integrity
systems across each of its
five U.S. refineries.
“In many ways, the Baker
Panel report is a gift to BP
in the fact that it comes
from some of the top U.S.
experts. There are tremen-
dous learnings for us in the
report,” says BP America
Chairman and President
Bob Malone. n
BP in America 15
 Developing new technology
to meet U.S. energy needs

W
hile the common perception may be Field of the future
that the energy industry is low-tech,
the reality is that BP America relies In many ways, BP’s Na Kika Field in the Gulf of

heavily on leading-edge technology to meet the Mexico encapsulates many of the company’s

energy needs of the U.S. uses of innovative, cutting-edge technology.

Technology innovation is the hallmark of many
of the company’s successes in increasing
production of oil and natural gas from today’s
frontier fields which are
often located in ultra-
Located in 6,000 feet of water more than 100
miles from land, the $1.3 billion project uses
subsea wells and tieback technology to tap into
reservoirs in six separate fields.
Today, Na Kika is one of the

deep waters offshore, in Technology more prolific producers in

difficult formations
onshore or in extreme
weather conditions like
those on the North
Slope of Alaska.
the region and employs key
touches every aspects of BP’s vision for
“the field of the future.”
segment of Because Na Kika processes
oil and gas from multiple

But BP America’s use the company’s reservoirs that are geologically

of technology extends distinct, special systems had

beyond just finding and U.S. operations. to be installed to migrate these

producing oil and natural hydrocarbons to the platform.

gas. It touches every Four of Na Kika’s wells also

segment of the company’s U.S. operations, from utilize “smart well” technology

well to wheel. It includes the latest technology which allows operators on the platform to remote-

employed at refineries to improve safety and pro- ly commingle or isolate different zones in the same

tect the environment, as well as research aimed
at continuing to improve the performance of our
gasoline products and lubricants.
well to maximize hydrocarbon production. In addi-
tion, gas lift risers inject gas into production risers
for additional hydrocarbon production.
As part of it’s “field of the future,” BP engineers and
geoscientists use “smart well” technology and an
advanced collaborative environment to monitor and
work with on-site personnel at BP’s Na Kika Field located
hundreds of miles offshore in the Gulf of Mexico.

16 BP in America BP in America 17
 Using
technology
BP America is investing $100 million in an 800-mile undersea fiber optic system to significantly enhance remote
monitoring of deepwater production platforms in the Gulf of Mexico.
In recognition of the technology, innovation and
engineering expertise developed for Na Kika,
the project received the prestigious Offshore
Technology Conference Distinguished
Achievement Award.
Today, the “field of the future” technology is
employed on all deepwater fields in the Gulf
of Mexico.
Pushing the
technology envelope
Finding oil and natural gas has never been easy,
but BP America’s use of technology such as
its Highly Immersive Visualization Environment
(HIVE) helps improve the odds of success by
allowing teams to study computer-enhanced
3-D imaging of geological formations, production
facilities, seismic analyses and well placement
for more complex problem-solving and better
decision-making.
BP America’s use of technology includes its Highly
Immersive Visualization Environment (HIVE), which In addition, advanced collaborative control
allows teams of geoscientists to study computer-
enhanced 3-D imaging of geological formations. centers, linking BP America’s Houston office with
its offshore production facilities, enable greater
coordination and interaction, which has allowed
18 BP in America
BP to significantly increase operational efficiency
and improve field performance at every level.
New applications
for fiber optics
The fiber optics technology that facilitates
high-speed Internet access and data transmission
is now being applied by BP America in oil and gas
fields across the country.
BP America is investing $100 million in an
800-mile undersea fiber optic system to provide
continuous broadband connectivity to allow
remote monitoring of BP’s deepwater production
platforms in the Gulf of Mexico. It’s the equiva-
lent of giving each offshore installation the band-
width of 5,000 satellites. The network will enable
staff in Houston to monitor offshore operations
and safety equipment. In the future, the network
may make it possible for BP staff onshore to
control offshore facilities remotely.
High-capacity fiber optic transmission technology
is already being deployed to monitor operations
along pipeline systems such as BP’s Endicott and
Prudhoe Bay oil fields in Alaska. n
BP in America 19
 BP and biofuels: growing
fuel for today and tomorrow

B
y almost any measure, BP has made the next generation of biofuels, and a ground-
significant progress in expanding its breaking, $500-million energy biosciences
commitment to biofuels throughout the research partnership with the University of
United States. California, Berkeley, the University of Illinois
at Urbana–Champaign and the Lawrence
Already a major blender and retailer of biofuels,
Berkeley National Laboratory.
in 2006 BP blended 718
million gallons of ethanol BP is committed to the devel-
with gasoline – a 25 percent BP has quietly opment of renewable energy,
increase from 2005. including biofuels that are

BP fuels with ethanol are

been building derived from crops such as
corn, wheat, sugar cane and
now available in more than
20 states. In addition,
a biofuels beet and other feedstocks.

during the past two years business for By actively supporting the
BP introduced E-10 in availability of existing biofuels
more than 20 new markets 25 years. and applying technology to
across the U.S. identify renewable and alter-
native fuels of the future, BP
Recognizing the grow-
believes it can find answers to help meet the trans-
ing importance of biofuels, BP also has formally
portation needs of consumers while at the same BP is committed to
created a dedicated biofuels business – a single
time protecting the environment and contributing to developing renewable
team to coordinate all biofuels activity. This will energy for transportation.
America’s energy security and choice of fuels. In addition to biofuels
enable the company to bring together emerging derived from crops such
technologies, its fuels know-how and relation- as corn, wheat, sugar cane

ships with customers and consumers.

BP history of and beet, BP is conducting
research on the potential
investment in biofuels of non-food feedstocks
At the same time, BP also announced plans for biofuels.
While biofuels have become an “overnight
to invest significantly in new biofuels
sensation” in many parts of the U.S. as both
research through two strategic and historic
consumers and government leaders focused on
programs: a joint venture with DuPont to create

20 BP in America BP in America 21

About biofuels
n The term biofuels covers a wide range of products – some
of which are commercially available today – made from
biomass, any organic material with stored chemical energy
such as sugar from corn, wheat, sugar cane
and beet, vegetable oils, wood, straw and lipids
produced by algae.
n Biofuels reduce the overall volume of carbon dioxide
entering the atmosphere by absorbing CO2 in feedstock
plants as they grow while emitting roughly the same as
conventional fuels when the resulting biofuels are burned.
n The U.S. Department of Energy has forecast that
biofuels could serve 20-30 percent of the U.S.
transportation market by 2020.
finding alternatives to traditional fossil fuels for
transportation, BP has quietly been building a
biofuels business for more than 25 years.
In the U.S., BP was one of the first major energy
companies to introduce E-10, gasoline blended
with 10 percent ethanol. Modern vehicles are
designed to run on this fuel mixture, which does
not require major modifications to distribution
networks or retail locations. BP is also in the
process of developing plans to introduce E-85,
gasoline blended with 85 percent ethanol, in
select markets, primarily in the Midwest.
With the expanded availability of E-10 and plans
for E-85, BP is making a major contribution to
meeting the biofuels targets set for the U.S. over
the next 10 years.
BP is working with researchers on the potential
of non-food feedstocks like miscanthus – which
can grow to a height of 13 feet – for use in
producing future biofuels.
22 BP in America
Biofuels of the future
At BP, however, we believe that the full potential
of biofuels will not be fulfilled merely through
“more of the same” but through developing
successive new generations of increasingly
powerful biocomponents.
In announcing its partnership with DuPont, for
example, BP’s goal is to develop, produce and
market the next generation of advanced biofuels
that hold the potential for improved performance
and use with current engine technology.
BP and DuPont researchers are initially focusing
on developing biobutanol, which has the potential
to overcome many of the challenges faced by
current biofuels such as ethanol.
Biobutanol, for example, can use existing
infrastructure with little modification. It also
has the potential to be used at higher blend
concentrations than ethanol without the need to
modify the vehicles that will use it. Biobutanol
also has a higher energy content – closer to that
of gasoline – thereby providing the customer with
better fuel economy.
Much of the research on biobutanol is being
performed at DuPont’s U.S. research labs. By
combining DuPont’s world-class biotechnology
and bio-manufacturing capabilities with BP’s fuels
technology expertise and market know-how,
the two companies aim to be the world
leaders in the development and production of
advanced biofuels.
Investing in energy
biosciences research
In addition to its research with DuPont, BP
also launched a major U.S. research initiative
with the creation of the Energy Biosciences
Institute (EBI). BP plans to invest $500 million
over the next 10 years to establish the Institute,
the first facility of its kind in the world.
Big Science
I
n selecting the host research universities for the
Energy Biosciences Institute (EBI), BP selected the
University of California-Berkeley and its partners
in large part because of the institutions’ track records
of delivering “Big Science” – large and complex
developments predicated on both scientific break-
throughs and engineering applications that can be
deployed in the real world.
Advanced technology solutions are required for
biofuels to achieve material levels of penetration in
the transportation sector and to reduce greenhouse
gas emissions at reasonable economics.
BP’s vision is that the Institute will lead in
developing new molecules, creating new
technologies that enable greater proportions
of crops to be used, and exploring new species
of plants that increase the yield of fuel energy
obtained from each acre of land.
Biofuels
The Institute will perform ground-breaking
research aimed at probing the emerging secrets
of bioscience and applying them to the produc-
tion of new and cleaner energy, principally fuels
for road transport, by focusing on new biofuels
components, devising new technologies and
using modern plant science to develop fuels
from non-food crops (see related story below).
Find out more about
BP and biofuels
For the latest information about BP’s investments
in biofuels, please visit www.bp.com/biofuels. For
more information about the Energy Biosciences
Institute, please visit www.bp.com/ebi. n
The key to the future of biofuels lies in innovating
to develop successive generations of biofuels –
with new feedstocks, new molecules and new
conversion processes.
University officials are optimistic about addressing
the Institute’s long-term goals and likened it to the
U.S. moon-landing program in the 1960s. “This is
our generation’s moon shot,” says UC Berkeley
Chancellor Robert Birgeneau.
The Institute will be unique in both its scale and its
partnership among BP, academia and others in the
private sector. Dedicated facilities on the campuses of
UC Berkeley and the University of Illinois will house
EBI research laboratories and staff. The Lawrence
Berkeley National Laboratory will carry out supporting
research. Up to 50 BP staff located on the two
campuses will work in partnership with university
faculty and researchers. n
BP in America
progress report 235
 Going beyond
petroleum to
meet America’s
power needs
O Expanding and enhancing
ver the past year, its first full year
as a BP business unit, BP Alternative
Energy achieved several significant
milestones in the U.S. in each of its major
focus areas.
BP is investing $8 billion world-
wide over a 10-year period in BP
Alternative Energy, a new
business that will use solar,
wind, hydrogen power with
carbon capture and storage, and
natural gas-fired power to provide
cleaner, low-carbon electricity.
By heavily investing in a diverse
range of energy sources, BP is
helping meet America’s energy
needs today, as well as ensuring a more secure
energy future.
BP Alternative Energy is a leading player in
low-carbon power. In recognition of its progress
in building a significant alternative energy
business, BP received the “Most Enterprising
New Entrant” award at the third annual Global
The Cedar Creek wind farm in Colorado is a joint
Renewable Energy awards program sponsored
development between Babcock & Brown and
BP Alternative Energy. by Ernst & Young in September 2006.
24 BP in America
solar production
Among its major accomplishments, BP Solar
developed a new way of growing silicon, called
Mono2™, which increases the energy-producing
capacity of solar cells. Solar cells
made with these wafers, in
combination with other BP Solar
advances in cell process technol-
ogy, will be able to produce in
excess of 5-8 percent more power
than solar cells made with conven-
tional processes.
BP also broke ground for the expan-
sion of its solar manufacturing facil-
ity in Frederick, Maryland, which will
nearly double its casting and sizing capacity. These
processes are used to manufacture silicon wafers,
the essential components of solar panels. When
completed in 2009 the manufacturing capacity of its
casting and sizing processes will be 150 MW.
On the technology front, BP Solar also partnered
with the California Institute of Technology on a
research program to investigate processes for
making a new generation of powerful solar cells.
BP in America 25
Alternative
energy

By focusing on radical new ways of producing

solar cells, BP Solar hopes to make the cost of

Making inroads with

solar electricity more competitive and to increase
current efficiency levels. BP is also working with

solar in the U.S. Northwestern University and other photovoltaic-

focused successful research institutions on

T
o build consumer support and interest in solar power additional solar technology projects.
technology, BP conducts a variety of consumer
education and marketing programs throughout the U.S.
Significant progress
The BP Solar Neighbors program, for example, is a high-profile in wind power
California community initiative to connect people from all walks
On the wind front, BP and its partners have two
of life with solar power. For every invited celebrity who buys
wind farms under construction and expect to start
a BP Solar system for his or her
two others by the end of 2007. Located in Califor-
home or business, BP donates a
nia, Colorado and Texas, the projects are expect-
complete system to a low-income
ed to deliver some 530 MW when completed,
family. Past celebrity participants
exceeding the company’s previously announced
have included actors Edward
target to build 450 MW by the end of 2008.
Norton (in photo at left) and

Brad Pitt.
“BP believes that the places where
we operate should benefit from
our presence,” says Tom Markin,
vice president of government and
A mighty wind
BP’s U.S. wind portfolio includes the opportunity
to develop almost 100 projects with a potential
total generating capacity of some 15,000 MW.
These projects are the result of several agree- BP Alternative Energy announces major expansion plans
ments and acquisitions the company has made. for U.S. wind energy business

public affairs for the western U.S.
“This program is a great example of that. It provides sustainable
benefits in both improving our collective environment and the
quality of life in our community.”
In Chicago, the BP Solar Connection is an education program that
provides five Chicago-area schools with solar electric systems and
a comprehensive K–12 solar energy curriculum from the National
Energy Education Department.
In 2007, BP again sponsored the U.S. Department of Energy’s
Solar Decathlon, an annual engineering and architectural com-
petition in which teams of students from universities across
the country compete in designing and constructing innovative
solar homes on the National Mall in Washington, D.C. n
In July 2006, for example, BP announced a
strategic alliance with Clipper Windpower to
supply up to 4,250 MW of wind turbines over the
next five years. Later in 2006, BP acquired two
U.S. wind development companies — Greenlight
Energy Inc. and Orion Energy LLC.
Construction is already under way on the Cedar
Creek project in Weld County, Colorado, and the
Silver Star I project in Texas. Cedar Creek is a 300
MW wind-power generation project comprised of
274 wind turbines. Initial operation is expected in
the second half of 2007 and when fully commer-
cial the project will generate enough carbon-free
electricity to power 90,000 homes. Silver Star I
is a 60 MW wind power project comprised of 24
Clipper Windpower Liberty turbines.
(continued on page 28)
A
year ago, BP’s Power Americas business to some of BP’s largest U.S. oil and gas projects,”
had opportunities to develop 2,000 MW Lukefahr explains.
of greenfield wind power projects. Today,
These investments will put BP in a position to be
it has a portfolio of 15,000 MW worth of develop-
a major player in the U.S. wind energy market.
ment projects – one of the largest wind portfolios
Today, wind generates less than 2 percent of
in the U.S.
the world’s electrical power, but the market is
By the end of 2007, the BP Power Americas wind growing rapidly and the potential is enormous,
business expects to have completed or have under according to Lukefahr.
construction over 450 MW from new development
President Bush has set a goal to deliver 20 percent
projects; and that should grow to over 1,000 MW
of U.S. power from renewable sources. The
by 2008, according to Bob Lukefahr, buiness unit
American Wind Energy Association believes wind
leader, BP Power Americas.
alone could provide this by 2030.
“In 2007 and 2008, we and our partners will
“Renewables are by far the fastest growing part
invest nearly $2 billion in BP-developed wind
of the energy sector,” Lukefahr says. n
projects. That’s a capital investment comparable

26 BP in America BP in America 27
 Alternative
energy

(continued from page 26)
The remaining projects are:
California: The Edom Hills wind power genera-
tion project is the re-powering of an existing wind
energy facility in San Gorgonio Pass, which
BP research effort seeks expects to have a capacity of 20 MW.
captured CO2 would be transported by pipeline
to an oil field and injected into reservoir rock
formations thousands of feet underground,
both stimulating additional oil production and
permanently trapping the CO2.
In recognition of the Carson hydrogen plant’s
technology development potential, BP has received
a $90 million investment tax credit from the U.S.
Natural gas power plants
BP Alternative Energy’s fourth major business
area focuses on development of power projects
using natural gas-fired power. During 2006,
BP started construction on the $100 million,
250 MW steam turbine power plant at BP’s
Texas City refinery. The new plant is slated to

to reduce solar costs Central Texas: A 60 MW joint venture project

with Clipper Windpower. government for advanced gasification technology.
come on stream in 2008. n

I
n its drive to reduce the cost of solar energy and move it
closer to parity with conventional sources of electricity,
BP Solar is participating in the Solar America Initiative (SAI)
sponsored by the U.S. Department of Energy.
As part of the three-year, $40 million research project, BP Solar
is focusing on accelerated development of multicrystalline sili-
con technology for use in residential and commercial markets.
BP Solar’s efforts are directed at reducing both the cost of solar
modules and of complete solar power systems.
West Texas: A project in excess of 150 MW.
As part of this building program, BP plans to
deploy 80 MW of Clipper Liberty turbines as part
of the supply and joint development
agreement it entered into in 2006 with Clipper
Windpower. Under the long-term supply
agreement, BP has secured a mix of firm
and contingent orders of up to 2,250 MW of
additional Clipper turbines.

“Our objectives are to substantially reduce module cost to

67 percent of today’s level by 2010 and to 50 percent by
2015,” says BP Solar President Lee Edwards. “We also have
targeted reducing overall system costs to 60 percent of today’s
cost by 2010 and to 36 percent by 2015.”
In addition to achieving parity with the grid, the project also
aims to increase production by eightfold. Accomplishing those
goals will require involvement of the entire product chain,
Edwards says.
As a result, the BP Solar program addresses all aspects of the
photovoltaic product chain from raw materials, including silicon,
through installation of the systems at the customer site.
As part of the SAI program, BP Solar is working closely with
key material and equipment vendors as well as several
universities, including Arizona State University, Georgia Tech,
North Carolina State University and the University of Central
Florida. n
Hydrogen power plant
In 2006, BP announced plans to build a $2 billion
first-of-its-kind hydrogen-fueled power plant in
California that would deliver enough carbon-free
power to the Los Angeles-area grid to power ap-
proximately 325,000 homes.
The proposed project would combine a number
of existing industrial processes to provide a
new option for generating electricity without
significant carbon dioxide (CO2) emissions.
Petroleum coke produced at California refineries
would first be converted to hydrogen and CO2
gases, and around 90 percent of the CO2 would
be captured and separated.
The hydrogen gas stream would then be used
BP and its partners have proposed a $2 billion hydrogen-fueled power plant in southern California that, when completed,
to fuel a turbine to generate electricity. The would deliver enough carbon-free power to the Los Angeles-area grid to power approximately 325,000 homes.

28 BP in America BP in America 29
 Fabric of America
Programs designed to connect to the
communities in which we operate

I
n 2006, BP America expanded its commit- the BP Foundation has increased and expanded
ment to educational and community programs its matching funds program for employees who
throughout the U.S., and in 2007 the company make contributions of money, gifts and time to
launched several new initiatives to enhance charitable organizations.
our role in becoming part of the fabric of the
In addition, BP has launched The Fabric of America
communities and states in which we operate.
Fund program as another tangible way for U.S.
During the past three years, employees to engage
BP America has provided personally and make
more than $91 million to a difference in their
national and local educa- communities.
tional and community
Under the program,
organizations. In 2006
employees in com-
alone, BP America
munities across the
contributed more than
country can request
$29 million to support
that BP America
educational programs in
make a $250 or
America’s schools and
$500 contribution to
universities.
a nonprofit organiza-
In addition to financial tion. The donation
support from BP America will be made on the
and the BP Foundation, our employee’s behalf
employees are actively and does not require
As part of the fabric of their communities, BP employees
volunteering their time are active volunteers and participants in hundreds of any matching
and talents to support community programs across the U.S. contribution from
community organizations and the employee. BP America sponsors a variety
of programs to promote science,
schools in their hometowns. engineering and energy education
The following pages highlight a few of the many
throughout the U.S.
In recognition of the important role that our programs that BP America has implemented
employees play in their communities, in 2007 around the country.
(continued on page 32)

30 BP in America BP in America 31

BP America programs span
the educational continuum
A
t BP America, we believe that our support
for education programs is the area that
has the greatest potential for making a
significant impact on the long-term health and
vitality of the communities in which we operate.
As a result, over the past few years BP
America has strategically expanded its
support for education-related programs and
organizations throughout the U.S. Today, BP
America supports education programs in dozens
of states. Our programs provide financial and
leadership support for a robust portfolio of
programs that touch virtually every level of
education across the continuum – from
pre-school through college, and beyond.
For more information, go to www.bp.com/us/
education.
32 BP in America
Major education programs
in the U.S. include:
A Place of Our Own and
Los Niños en Su Casa
For the past two years, BP America has sponsored
A Place of Our Own (in English) and Los Niños
en Su Casa (in Spanish) twice daily on California
public television stations. Developed by public
television station KCET, A Place of Our Own and
Los Niños en Su Casa include a daily television
series, a website and an extensive outreach
program.
In 2007, BP America committed to sponsoring
the Peabody Award-winning programs nationally.
Devoted to the unique needs of caregivers, the
programs are designed to promote early learning
and school readiness through children’s first teach-
ers: the adults who care for them. By supporting
these important people and providing them with
the resources they need, the program enables
them to help children prepare for school.
For more information, visit the websites www.
aplaceofourown.org and www.losninosensu-
casa.org.
A+ For Energy
The A+ For Energy program awards cash grants
and scholarships to teachers in grades Pre K-12
who submit innovative/creative ideas on how to
teach kids about energy, energy conservation and
alternative energy choices. Teachers receive grants
of $5,000 or $10,000 for each selected project.
(continued on page 34)
Jump-starting education
BP funds national roll out
of award-winning pre-K program
With a goal of helping prepare children to
succeed as they enter kindergarten, BP America
committed more than $15 million to launch the
national expansion of A Place of Our Own and
Los Niños en Su Casa, a Peabody Award-winning
series for parents, grandparents and caregivers
of preschool-age children.
BP America was one of the original funders of the
series with an initial grant of $10 million. For the
first two years, the series aired exclusively on
California public television stations. The new BP
commitment will support the national distribution,
production, websites and outreach for the series.
Since its launch, the show has won recognition
from the broadcasting industry, community
leaders and child-care experts, including a
George Foster Peabody Award and a Parents’
Choice Award.
In announcing the company’s support, Bob
Malone, BP America Chairman and President,
said, “BP’s commitment is focused on the
objective of providing young people the same
Fabric of
America:
Education
chance at scholastic success. These programs
are key to empowering our next generation.”
Malone added, “I’m proud that BP’s ongoing
commitment to education – from preschool
through college – will make a difference in the
communities where we operate.”
Information and resources for caregivers
The series and their websites provide parents
and caregivers of young children with informa-
tion about helping their children develop social,
emotional and cognitive skills.
The shows are designed for anyone who
frequently takes care of young children, such as
parents, grandparents, friends and babysitters.
Only one-third of all children below the age of
four are currently in formal child-care settings.
The remaining 65 percent of youngsters are
attended to by parents or other caregivers who
are eager for more information and training in
early childhood education.
The shows offer practical advice and tips on
topics such as building language and literacy
skills, behavior, special needs and nutrition. The
programs also highlight local and state resources
for child-care providers, and give details of how
these services can be accessed.
BP’s funding will also support an innovative
national outreach program. KCET will
develop special support teams to reach
out and help individual stations facilitate
community workshops, events and caregiver
acknowledgements.
BP in America 33
 Fabric of
America:
“Our programs
Education
provide financial and (continued from page 32)

leadership support Launched in California in 2004, A+ For Energy was

expanded to include five counties in Texas in 2006;
for programs that the Chicago metro area; northwest Indiana; Toledo,
Ohio; Decatur, Alabama; and statewide in New
touch virtually every Mexico. The program has awarded $6.5 million in

level of education.” grants and scholarships to a total of 5,471 California

and Texas teachers, representing 564 winning
projects and affecting over 211,000 students.
Bob Malone,
Chairman and President For information, go to www.aplusforenergy.org.
BP America

BP Teachers of Excellence

The BP Teachers of Excellence program recog-

nizes the outstanding efforts of public and private
elementary, junior high and senior high school
teachers.

BP America introduced the Teachers of Excellence

program in Anchorage and Fairbanks, Alaska, later In 2006, BP contributed
more than $29 million
extending it to the state’s Matanuska-Susitna Valley to support education
and Kenai Peninsula. Honorees receive a monetary programs across the U.S.

award together with a commemorative plaque and

are automatically qualified for our Teacher of the
Year award.

For information, go to www.bp.com/us/alaska.
BP Physics Challenge
To promote and enrich interest in math and
science, BP America has sponsored the BP Phys-
ics Challenge in Houston for three years and will be
expanding the popular program to include the Texas
City and La Marque school districts in 2008.
Sponsored by BP America, the Houston Independent
School District and Space Center Houston, the BP
Physics Challenge gives teachers and students
a way to engage in exciting, real-world learning
activities. In 2006, BP invited more than 1,500 high
school physics and calculus students to apply their
physics knowledge while launching rockets,
observing g-forces on an aerobatic plane, and
determining the velocity of a falling object to
calculate the mass of planets.
The three-day program was developed by a U.S.
astronaut and is conducted at Space Center
Houston located at NASA’s Johnson Space Center.
Teachers are also offered a two-day professional
development seminar to facilitate using the informa-
tion as part of their classroom curriculum.
Los Angeles Multicultural
Educational Collaborative
BP America is the sole sponsor of the Los
Angeles Multicultural Educational Collaborative
(LAMEC), a collaboration formed by the Asian
Pacific American Legal Center, Los Angeles
Urban League and the Mexican American Legal
Defense and Education Fund.
The collaborative is designed to increase
educational attainment and civic engagement by
under-represented youth by encouraging
parental involvement.
BP Community Scholarships
The BP Community Scholarship program is a
partnership between BP and its local retail
marketers in the metropolitan areas of Chicago,
New York and Washington, D.C.
Employees, dealers and jobbers in the
Chicago area launched the program in 1987 and
over the years have raised more than $2 million.
Since its inception, more than 1,000 Chicagoland
students have received scholarships.
The BP New York Community Scholarship
program awarded $133,000 in scholarships to
80 worthy graduating high school students and
returning scholars in 2007. Over the past 19

34 BP in America BP in America 35
 Fabric of
America:
Community
BP, Houston
Hispanic Forum
host Career and
Education Day
W
ith a goal of encouraging minority stu-
dents to pursue higher education and
rewarding careers, BP and the Hous-
ton Hispanic Forum have teamed up with Houston
area schools to host a Career and Education day.
The 2007 event provided 18,000 students with
information on a variety of topics, including
college admissions processes and financial aid.
Information was also available for parents on how
to take an active role in their children’s education.
During the 21st annual event, BP America also
awarded $30,000 in scholarships to 10 high
school seniors who are honor students and
community volunteers.
“At BP, we firmly believe in the power of
education,” said Andy Hopwood, BP executive
sponsor for the event. “We encourage youth to
seek great opportunities to explore their academic
passion. Education is a critical component to
any successful community and ultimately the
foundation of a prosperous company.”
The Career and Education Day is aimed at
reaching the Hispanic, African-American and Viet-
namese communities. BP’s sponsorship over the
years has helped the event grow larger, allowing
more students and parents to benefit from the
many resources being offered. n
36 BP in America
years, BP has provided more than 1,400 scholarships
worth more than $2.2 million in the greater New York
market.
The BP Washington, D.C., Community Scholarship
program awarded $30,000 in scholarships in 2007.
In total, over the past nine years, BP America has
provided more than $375,000 in scholarships in the
metro D.C. market.
BP Process Technology
Scholarship program
BP America also offers education programs for
students who want to pursue training and employ-
ment in the process technology sector of the oil and
gas industry. The BP programs include scholarships
and financial assistance to students in Alaska and
Texas. In addition, BP America sponsors a program
for instrumentation technician apprentices and electri-
cian apprentices. The program is jointly sponsored
with the United Steelworkers Union and the U.S.
Department of Labor. BP Texas City is also working
with the United Steelworkers Union in developing
other apprenticeship programs for machinists,
pipefitters and heavy equipment operators.
Support for national
education organizations
BP America is a major sponsor of several national
organizations that support college scholarships
and other academic programs. These include
the National Action Council for Minorities in
Engineering, the National Society of Black
Engineers, the Society of Hispanic Professional
Engineers, the Society of Women Engineers, the
United Negro College Fund and the Foundation
for Independent Higher Education.
Research collaborations
with universities
BP sponsors research programs at a number of U.S.
universities and research institutions, including the
California Institute of Technology, Lawrence
Berkeley National Laboratory, Massachusetts
Institute of Technology, National Renewable Energy
Laboratory, Northwestern University, Princeton
University, Scripps Institution of Oceanography,
Stanford University, the University of
California-Berkeley and the University of Illinois
at Urbana-Champaign.
BP gives $1.5 million
to M. L. King
Papers Project
T
he BP Foundation
has contributed
$1.5 million
to the King Papers
Project, an effort to help
cover the costs of
acquiring and housing
the papers of Dr. Martin
Luther King, Jr. at Morehouse College in Atlanta.
The King Papers Project is a major research effort
to assemble and disseminate historical information
concerning Dr. Martin Luther King, Jr. and the social
movements in which he participated.
“Because of the tremendous and historic
importance of the papers of Dr. King, having them
in his home city and at a public institution is in
the best interest of the millions of people in this
country and throughout the world who are admirers
of Dr. King for initiating the 20th Century civil rights
revolution,” said BP America Chairman and Presi-
dent Bob Malone.
In addition to a variety of other educational
activities, the project offers unique opportunities
for students to become involved in its research
through the King Fellowship Program. n
BP in America 37

BP America expands community development
and employee volunteer programs
BP
is committed to supporting
the communities where
we operate and helping to
enhance the quality of life for the people who
live in those communities.
BP has launched several new initiatives, each
designed to address the needs and interests of
the communities in which we have a presence.
Houston: BP America contributed $1 million
to two important regional programs, the
Memorial Hermann Life Flight program,
which provides emergency helicopter
ambulance services throughout the region;
and Opportunity Houston, a $40 million
multi-year effort to support economic
development in a 10-county area.
Separately, BP employees organized
150 volunteers in planting 20,000 trees
as part of a reforestation project sponsored
in part by the Houston Parks and
Recreation Department.
Alaska: BP America contributed $2 million
to the Providence Alaska Medical Center’s
Cancer Resource Center. The cancer
center is part of the medical center’s
comprehensive cancer facility currently
under development in Anchorage. BP
America also pledged a $600,000 contribu-
tion to the “Ready to Read, Ready to Learn”
program in Alaska, making BP the largest
contributor to the program, which promotes early
childhood learning.
Chicago: BP America and the BP Foundation an-
nounced plans to invest $6.25 million over three
years with the Chicago Urban League to en-
hance enterprise development, job creation and
38 BP in America
Fabric of
America:
Community
education programs for minorities in the Chicago
area. Separately, BP America also announced a
$3.4 million, three-year commitment to fund the
Chicago Symphony Orchestra’s national radio
broadcast series in 75 U.S. markets and support
the orchestra’s next two European tours, and a
$5 million commitment to fund a new energy
exhibit and educational programs at the Museum
of Science and Industry in Chicago.
“BP America believes
in being part of the
fabric of the
communities where program at Western Wyoming Community
we operate College to train workers in natural gas
production technology.
and where our California: BP America’s Solar Neighbors
employees live.” Program™ is designed to promote the benefits
of solar energy while helping low-income families
Bob Malone, at the same time. Every time an invited celebrity
Chairman and President
purchases a BP Solar system for their home, BP
BP America
America donates a similar system to be installed
on a low-income family’s home in south Los
Angeles.
Each year, thousands of BP Wyoming: With BP America’s help and support,
employees volunteer in
a comprehensive community program was BP America also has donated $25 million to the
support of a variety of
programs that are important developed for Wamsutter that includes new Los Angeles County Museum of Art. The
to the communities in which
water, sewer and road projects, expanding the donation, believed to be the largest single
they live.
police force and building a community day care corporate gift to a southern California arts
center. BP America is also making major invest- institution, will also include approximately 80
ments in higher education with a $5 million gift kilowatts of solar power and guidance by the
to the University of Wyoming to support geosci- company on ways the museum can further
ences programs and in a workforce development reduce its carbon footprint.
BP in America 39
 Fabric of
America:
Community

BP employees involved in communities

In addition to financial support from BP America
and the BP Foundation, our employees actively
volunteer their time and talents to support
community organizations and schools in
their hometowns.
In recognition of the important role that our
employees play in their communities, the BP
Foundation in 2007 has increased and expanded
its matching funds program for employees who
make contributions of money, gifts and time to
charitable organizations.
We also encourage our employees to actively
participate in volunteer efforts in their local
communities. Examples of employee
initiatives include:
BP MS 150 – Houston: BP has helped make
history in the fight against multiple sclerosis by
serving as the corporate sponsor of the BP MS
150 Bike Tour, which raised more than $13.6
million in 2007 to help Texans affected by MS
and to fund critical research.
United Way: During the past three years, BP
America and its employees have contributed an
average of nearly $2 million per year to United Way
campaigns that support social services in more
than 70 communities across North America.
BP Employee Matching Fund: BP America
provides matching grants – up to $5,000 per
employee per year – in recognition of their
donations, volunteer time and participation in
sponsored pledge events.
HOPE (Helping Other People Everyday)
Ministry: BP America is an active leader in this
“assistance network” serving the rural, highly
diverse Pointe Coupee Parish in Louisiana. HOPE
helps meet the health, education, shelter and
social needs of the parish’s elderly, disabled and
families in crisis.
BP has been the
corporate sponsor
Walking for Cures: BP America employees across
of the BP MS 150
the country raise money by walking or running for Bike Tour since
a variety of causes, including Chicago’s 2000. Now the
largest Bike Tour
“Walk and Roll,” “Relay for Life” in Durango and in the country, BP’s
“Walk-a-thon” in Farmington, all to benefit the employees and
volunteers helped
American Cancer Society, and the “Walk to Cure raise $13.6 million
Diabetes” in Texas City and Houston. in 2007 to help
Texans affected
by MS and to fund
Rebuilding Together Houston: BP America critical research.
employees and their families lend a hand to
refurbish the home exteriors of Houston’s elderly,
low-income families. n

Fabric of America Fund BP Employee Matching Fund

In 2007, employees were offered a new way to
give financial support to schools and non-profit
organizations through our “Fabric of America Fund.”
Eligible employees can request that BP America
make a $250 or $500 contribution to an organization
of their choice, and no matching is required on
their part. The limit is $500 per employee, and
employees can make a maximum of two
$250 requests.
BP provides matching grants – up to $5,000
per employee per year – in recognition of their
donations, volunteer time and participation in
sponsored pledge events. In the last two years, BP
employees in the U.S. have contributed $7.2 million
and more than 116,000 volunteer hours, and raised
more than $1.3 million in sponsored pledge events.
In response, the BP Foundation has provided
matching grants totaling more than $6.9 million
to schools and non-profit organizations.

40 BP in America BP in America 41
BP in
the U.S.
Key operating areas include:
1 Alabama
BP operates a major chemical plant
in Decatur that manufactures PTA, a
chemical feedstock used primarily to
make polyester products and other
specialty chemical products used to
produce consumer goods. A large
portion of the plant’s acreage has
been turned into a wildlife habitat.
2 Alaska
BP owes much of its success to one
of the biggest challenges it has
ever undertaken. Since the 1968
discovery of Prudhoe Bay Field, Alaska
has remained a prolific hydrocarbon
resource and a study in how to explore
for and produce oil while minimizing
environmental impact. BP is investing
more than $600 million annually
in Alaska to apply new technologies
for oil recovery and to enhance safety
and operational integrity.
3 California
Through our ARCO brand, BP is
one of California’s leading gasoline
marketers and we operate one of the
state’s largest refineries. BP also has
proposed building a $2 billion first-
of-its-kind hydrogen-fueled power
plant in California that would deliver
enough carbon-free power to the
Los Angeles-area grid to serve
approximately 325,000 homes.
California is also home to BP’s $500
million Energy Biosciences Institute
on the campus of the University of
California-Berkeley.
4 Colorado
From our operations center in Durango
on the Colorado side of the Four
Corners, BP supplies customers in
California and the Southwest with
clean-burning natural gas. BP will invest
$2.4 billion over 13 years to sustain
current production of this vital energy
resource for decades. BP also operates
the largest wind farm in Colorado. The
Cedar Creek wind farm consists of 274
wind turbines capable of generating 300
megawatts of carbon-free electricity.
42 BP in America
5 Florida
Motorists in Florida can buy BP motor
fuels at branded outlets across the
state. We operate four fuels distribu-
tion terminals in Orlando, Jacksonville,
Port Everglades and Tampa. Florida
also is headquarters for BP’s lubri-
cants businesses in the Caribbean and
Central and Latin America.
6 Georgia
Atlanta was the national launch site
when BP became the first energy
company in the U.S. to introduce
cleaner, low-sulfur fuels ahead of
federal environmental requirements.
Today, BP is first in gasoline market
share in Georgia, selling one out of
four gallons purchased by motorists.
Many BP-branded stations are sup-
plied by two BP terminals in Atlanta.
7 Illinois
The greater Chicago area is home to
more than 3,000 employees, the sec-
ond largest grouping of BP employees
in the United States. We are a major
marketer of gasoline and operate
product terminals in the state.
8 Indiana
The Whiting refinery — one of BP’s
largest — supplies clean fuels through-
out the Midwest. BP announced plans
to invest $3.8 billion to upgrade the
facility to refine more Canadian heavy
crude oil for the Midwest. The project
also has the potential to increase fuel
production at the refinery by about
1.7 million gallons per day.
9 Kansas
BP is a major operator in the giant
Hugoton gas field in southwestern
Kansas and the neighboring Panhandle
Field in Oklahoma and Texas. The field
is the largest in North America and the
second largest in the world.
10 Louisiana
BP is a major onshore oil and gas
producer in Louisiana, and one of
the largest offshore producers in the
Gulf Coast region bordering the state.
Onshore, BP has been the largest
natural gas producer in Louisiana for
the past seven years. BP’s largest
U.S. lubricant processing site is locat-
ed in Port Allen, and supplies finished
lubricant products to customers in
the U.S. and Latin America.
11 Maryland
Maryland is home to BP Solar, one
of the world’s leading manufacturers
of solar products. After doubling
20
22
4
3 Terminals
14 Oil and Gas Interests
2 plants. The Houston area represents
capacity at our solar manufacturing
facility in Frederick in 2005, BP will
invest an additional $97 million from
2007-2009 to increase capactiy again.
Mississippi
12
BP operates the Pascagoula gas
processing plant, with a capacity of
1.5 billion cubic feet of natural gas per
day. The Destin Pipeline supplies the
plant with gas produced from BP’s
deepwater fields in the Gulf
of Mexico.
13 New Jersey
With it’s regional head office in
Wayne, New Jersey, BP Lubricants
U.S.A. Inc. is a leading marketer of
premium automotive lubricants to
consumers and commercial custom-
ers under the Castrol brand name.
Elsewhere in the state, BP is prepared
to invest $700 million for a proposed
120-acre Crown Landing LNG terminal
that will have a daily send-out capacity
8 11 Chemical Plants
7 16 21
9
17
12 6
1
10 Texas
19
of 1.2 billion cubic feet and provide
enough natural gas to supply the
daily needs of approximately five
million homes.
14 New Mexico
With a rich heritage of responsible
operations in the Land of Enchantment,
BP continues to produce clean-burning
natural gas from its operations in the
San Juan Basin in northwestern New
Mexico and oil in the Permian Basin in
the southeastern part of the state.
15 New York
BP, the leading gasoline marketer in
New York City, fuels LaGuardia Airport
and delivers natural gas in the south-
eastern part of the state.
16 Ohio
BP is a leading gasoline marketer
across the Buckeye State. Our
refinery in Toledo can process
160,000 barrels of crude oil a day,
as well as jet fuel, asphalt, propane
and other useful products.
15 assets in the United States.
13
18
5 refining, pipelines and gas processing
Oklahoma
17
The Sooner State is home to several
significant BP assets. BP produces
some 300 million cubic feet of
gas/day from the Arkoma Basin in
eastern Oklahoma and plans to invest
over $200 million in growth-oriented
projects. Through its Tulsa Control
Center, BP Pipelines continuously
monitors nearly 11,000 miles of liquid
pipelines in 30 states, transporting
more than 1 billion barrel-miles of oil,
refined products, natural gas liquids,
carbon dioxide and chemicals daily.
18 South Carolina
South Carolina is home to the U.S.’s
largest single purified terephthalic
acid (PTA) plant. The BP Cooper River
plant manufactures 2.8 billion pounds
of PTA annually. PTA is used in the
manufacture of polyester. The vast
majority of the site is managed as a
wildlife habitat.
BP has about $40 billion in fixed
States with Retail Operations
Refineries
Lubricants Processing Facilities
BP Solar Manufacturing Facility
Onshore Oil and Gas Interests
Gulf of Mexico
19
BP operations in Texas range from oil
and gas exploration and production to
the largest concentration of BP people
and assets in the world. It hosts about
7,500 employees and is the major U.S.
center for Exploration and Production,
Gas and Power and Alternative Energy
businesses, as well as the Texas City
refinery, BP’s largest.
20 Washington
In addition to being a leading
processor of crude oil from Alaska,
BP’s Cherry Point refinery in
Washington is a major supplier of our
emission-reducing low sulfur fuel to
the entire West Coast. The refinery
recently completed more than $200
million in upgrades to produce low-
sulfur gasoline and ultra-low-sulfur
diesel in greater volumes.
21 Washington, D.C.
The nation’s capital is home to BP’s
government affairs team, which
works to raise awareness and
understanding of BP’s activities
among elected officials, policy-makers
and regulators.
22 Wyoming
BP is making a $2.2 billion investment
over 15 years to double our natural
gas production in Wyoming. Several
hundred new wells are planned in the
Wamsutter Field, making this BP’s
largest onshore development drilling
program.
BP in America 43
 There’s energy
security in
energy diversity.
There’s strength in numbers, and security in having
a number of energy options. So we’re investing
more than $28 billion over five years in U.S. energy
supplies, including solar, wind, hydrogen and natural
gas. In fact, BP is the largest investor in energy
development in the U.S. We’re also investing
$500 million over the next 10 years to develop
advanced biofuels.
It’s a start.

beyond petroleum ®

© 2007 BP Products North America Inc. bp.com/us