UK oil giant BP reports $2 billion in profit in Q2 but gulf spill still casts shadow

UK oil company BP reported a net profit of $2 billion for the second quarter, up from a loss of $1.5 billion in the same period of last year but missing analyst expectations.

BP made more provisions for the 2010 oil spill in the Gulf of Mexico, increasing the total by about $200 million to $42.4 billion. The explosion on the Deepwater Horizon platform killed 11 workers and released millions of gallons of oil into the gulf, wreaking economic and environmental damage across several southern states.

Keith Bowman, equity analyst at Hargreaves Lansdown Stockbrokers, says BP is trying "to look forward but remaining firmly anchored to the past."

He says BP remains hostage to "oil price, government appetite for tax revenues and the strength of the broader global economy."