BP Locks Out 800 Workers at Whiting Refinery; HSBC Raises Target by 22%
BP locked out more than 800 union workers at its 440,000-barrel-per-day Whiting refinery after contract talks collapsed, triggering picketing and raising output risk. HSBC upgraded BP to Hold with a 22% higher target price, citing Middle East supply shocks that lifted Brent forecasts to $80 and drove 2026 earnings revisions.
1. Labor Dispute at Whiting Refinery
BP locked out over 800 union workers at its 440,000-barrel-per-day Whiting, Indiana refinery after contract talks collapsed over job cuts, lower wages and a six-year term proposal. Workers immediately began picketing, raising concerns that prolonged disruptions could constrain regional fuel output and squeeze refining margins.
2. HSBC Upgrade and Earnings Revisions
HSBC upgraded BP to Hold and lifted its target price by 22%, citing effective closure of the Strait of Hormuz and a Middle East supply shock. The bank raised its 2026 Brent forecast to $80 per barrel, boosting BP’s 2026 earnings estimates by roughly 50% and 2027 estimates by 13%.