LONDON: British energy giant BP on Tuesday reported a net loss of $450 million for the third quarter, down very sharply on the previous quarter's mammoth losses due to the coronavirus pandemic. The loss after tax for the July-September period compared with a net loss of $16.85 billion in the second quarter.

BP was aided in the third quarter by an absence of huge writedowns coupled with a small recovery in oil demand and steadier prices. "The underlying business performance in the (third) quarter remained resilient and we made substantial progress in strengthening our balance sheet," BP chief financial officer Murray Auchincloss said in the earnings statement.

BP is axing 10,000 jobs, or 15 percent of its global workforce, after the pandemic caused huge asset writedowns. After companies worldwide closed their doors and airlines grounded planes at the height of the Covid-19 outbreak towards the end of the first quarter, oil prices dropped off a cliff, even briefly turning negative.

Prices then rebounded sharply and have traded around $40 a barrel for some time. With the market stabilising, BP on Tuesday announced a quarterly dividend of 5.25 US cents per share.