BP  cut its dividend for the first time in a decade after a record $6.7 billion second quarter loss when the coronavirus crisis hammered fuel demand and it sought to win over investors by speeding up its reinvention as a lower carbon company.

Its shares rose 6% in early trading on Tuesday.

All major oil companies suffered in the second quarter as lockdowns to contain the new coronavirus limited travel and oil prices LCOc1 fell to their lowest in two decades. Several, including Royal Dutch Shell and Norway’s Equinor, cut their dividend in response.

Looney, who took the helm in February, avoided a dividend cut in the first quarter despite worsening market conditions and as rivals reduced their payouts.

But Tuesday’s 50% cut by BP to 5.25 cents per share, which was larger than the 40% forecast by analysts, appeared inevitable given a large debt pile, the collapse in oil and gas demand and growing expectations for a sluggish global economic recovery.

BP’s net loss was in line with analysts’ expectations and was largely a result of the company’s decision to wipe $6.5 billion off the value of oil and gas exploration assets after it revised its price forecasts.

BP recorded total impairments of $17.4 billion, at the upper end of its previous guidance.

“These headline results have been driven by another very challenging quarter, but also by the deliberate steps we have taken as we continue to re-imagine energy and reinvent BP,” Looney said in a statement.

“In particular, our reset of long-term price assumptions and the related impairment and exploration write-off charges had a major impact.”

The loss, based on BP’s current accounting definition, is the first recorded on Refinitiv Eikon data. Looney called it the “toughest quarter in the industry’s history”.

As the investment climate turns away from carbon-intensive fossil fuel, Looney had planned to unveil BP’s new strategy in September. Instead, the company announced details on Tuesday.

It said it would increase its low-carbon spending ten-fold by 2030 versus current levels to $5 billion a year and boost its renewable power generation to 50 gigawatts, while shrinking its oil and gas production by 40% compared with 2019.

This equates to producing at least 1 million barrels of oil equivalent per day less than currently.

To hone its portfolio, BP targets divestments of $25 billion until 2025.