BP has approached a number of UK-focused energy companies about a potential sell-off of its North Sea assets, according to a report in the Daily Telegraph.
It is understood that the energy giant has met with utilities and oil companies to gauge their interest in the non-core fields, which are collectively worth around $1 billion.
BP is thought to have approached the organisations on a ‘pre-tender’ basis—ahead of any official auction—to gauge the level of interest.
BP pledged to sell $30 billion of assets to fund the clean-up and compensation for victims of the Deepwater Horizon oil spill in April of this year. The company has so far raised $21 billion.
BP has previously denied that it plans to exit the North Sea completely, where it has around $20 billion of fields. However, there has been recent speculation over the future of its low-margin fields.
Companies who may be interested in such assets include EnQuest, Maersk and Ithaca Energy. Utilities, generally keen to secure long-term energy security, could include Centrica and Scottish & Southern.
BP has already sold its 60 per cent stake in Argentina’s oil and gas producer Pan American Energy to Bridas Corporation for $7.1 billion; as well as a portfolio of North American and Egyptian assets to Apache Corporation for $10 billion.
BP has operated in the North Sea for more than 40 years. Ithas 50 joint ventures with 40 companies and runsmore than 30 fields in the UK. It also operates 10 pipeline systems, the Sullom Voe oil terminal on the Shetland Islands and two gas terminals at Teeside and Dimlington.
About 60 per cent of UK oil production flows through BP infrastructure.
