BP cut its forecasts for oil and gas output three times in less than two months late last year.

It had originally targeted a growth rate of 5.5% for the year, but was forced to adjust its horizons after it was hit by a number of production problems.

In October, its shares slumped after it said it was revising down its growth expectations to 3%.

And on Tuesday, BP's shares slid after it warned that the overall refining and marketing trading environment had "deteriorated" during the October to December quarter relative to the previous three months.

BP said that retail margins were being squeezed due to "seasonal declines compounded by significant crude price increases" towards the end of 2002.

BP shares stood 5.5p lower at 410.5p in afternoon trade on Tuesday.