BP asset sales raise $1.3bn

IRJ - June 26 - BP is selling its Wyoming gas operations to Linn Energy for $1 billion cash and their stakes in two North Sea fields to Mitsui for $280 million, the company announced.

The North Sea sale comprises BP’s non-operating 13.3 per cent stake in Alba and 8.97 per cent stake in Britannia with completion of the deal anticipated by the end of the third quarter this year and the Wyoming sale to Linn Energy is expected to be completed by the end of July.

Commenting on the transactions, Malcolm Graham-Wood, analyst at VSA Capital, noted that “BP are at pains to point out that they are not departing either theatre as in the US they are selling mature assets and still investing in other areas and in the UK and Norway they have a total of six major field developments”.

He adds that the sales are peripheral to the Gulf of Mexico court case and the TNK-BP shareholding, both of which will be huge influences in the second half of this year.

"Any settlement on Macondo whether it be $15 billion or $25 billion will be considered a positive although it would take the shine off a decent sale of the TNK-BP shareholding," Graham-Wood said. 

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