2012/11/15  BP                      ブログ  http://blog.knak.jp/2012/11/BPdeepwater-horizon.html

BP Announces Resolution of All Criminal and Securities Claims by U.S. Government Against Company Relating to Deepwater Horizon Accident

- Resolution of all criminal claims with Department of Justice includes $4 billion paid in installments over a period of five years
- Resolution of all securities claims with Securities and Exchange Commission includes $525 million paid in installments over a period of three years
- Existing $38.1 billion charge against income to increase by approximately $3.85 billion
- BP is prepared to vigorously defend itself against remaining civil claims

BP today announced that it has reached agreement with the United States government, subject to court approval, to resolve all federal criminal charges and all claims by the Securities and Exchange Commission (SEC) against the company stemming from the Deepwater Horizon accident, oil spill, and response.

“All of us at BP deeply regret the tragic loss of life caused by the Deepwater Horizon accident as well as the impact of the spill on the Gulf coast region,” said Bob Dudley, BP’s Group Chief Executive. “From the outset, we stepped up by responding to the spill, paying legitimate claims and funding restoration efforts in the Gulf. We apologize for our role in the accident, and as today’s resolution with the U.S. government further reflects, we have accepted responsibility for our actions.”

In eliminating the possibility of any further federal criminal charges against the company based on the accident, BP has taken another significant step forward in removing legal uncertainty and can now focus more fully on defending itself against all remaining civil claims.

“We believe this resolution is in the best interest of BP and its shareholders,” said Carl-Henric Svanberg, BP’s Chairman. “It removes two significant legal risks and allows us to vigorously defend the company against the remaining civil claims.”


As part of the resolution, BP has agreed to plead guilty to 11 felony counts of Misconduct or Neglect of Ships Officers relating to the loss of 11 lives; one misdemeanor count under the Clean Water Act; one misdemeanor count under the Migratory Bird Treaty Act; and one felony count of obstruction of Congress. This resolution is subject to U.S. federal court approval.

Thirteen of the 14 criminal charges pertain to the accident itself and are based on the negligent misinterpretation of the negative pressure test conducted on board the Deepwater Horizon. BP acknowledged this misinterpretation more than two years ago when it released its internal investigation report. Today’s agreement is consistent with BP’s position in the ongoing civil litigation that this was an accident resulting from multiple causes, involving multiple parties, as found by other official investigations. The remaining criminal count pertains to two BP communications made to a member of Congress during the spill response about flow rate estimates. As part of its resolution of criminal claims with the U.S. government, BP will pay $4 billion, including $1.256 billion in criminal fines, in installments over a period of five years. BP has also agreed to a term of five years’ probation.

Under the resolution with the Department of Justice (DOJ), a total of $2.394 billion will be paid to the National Fish & Wildlife Foundation (NFWF) over a period of five years. In addition, $350 million will be paid to the National Academy of Sciences (NAS) over a period of five years.

Pursuant to the terms of the plea agreement, BP has also agreed to take additional actions, enforceable by the court, to further enhance the safety of drilling operations in the Gulf of Mexico. These requirements relate to BP’s risk management processes, such as third-party auditing and verification, training, and well control equipment and processes such as blowout preventers and cementing. In addition, BP has agreed to several initiatives with academia and regulators to develop new technologies related to deepwater drilling safety.

The resolution also provides for the appointment of two monitors, both with terms of four years. A process safety monitor will review, evaluate and provide recommendations for the improvement of BP’s process safety and risk management procedures concerning deepwater drilling in the Gulf of Mexico. An ethics monitor will review and provide recommendations for the improvement of BP’s Code of Conduct and its implementation and enforcement.

Under U.S. law, companies convicted of certain criminal acts can be debarred from contracting with the federal government. BP has not been advised of the intention of any federal agency to suspend or debar the company in connection with this plea agreement. BP will continue to work cooperatively with the debarment authority.

In its resolution with the SEC, BP has resolved the Commission’s Deepwater Horizon-related claims against the company under Sections 10(b) and 13(a) of the Securities Exchange Act of 1934 and the associated rules. BP has agreed to a civil penalty of $525 million, payable in three installments over a period of three years, and has consented to the entry of an injunction prohibiting it from violating certain U.S. securities laws and regulations. The SEC’s claims are premised on oil flow rate estimates contained in three reports provided by BP to the SEC during a one-week period (on April 29 and 30 and May 4, 2010), within the first 14 days after the accident. This resolution is subject to U.S. federal court approval.

“Since the spill, we have worked hard to rebuild confidence in the company,” said Mr. Dudley. “We take seriously not only our commitment to safety and operational excellence but also our communications with stakeholders, including the public, the government and our investors.”


The aggregate amount of the resolution is approximately $4.5 billion, with payments scheduled over a period of six years. As of the end of September 2012, BP’s financial statements recorded a charge taken against pre-tax income in relation to the accident and oil spill of $38.1 billion. This charge included $525 million provided for the SEC settlement. Today’s resolution is expected to result in an increase of approximately $3.85 billion to the $38.1 billion charge taken against income as of the end of September. BP’s financial statements as of the end of December 2012 will reflect this additional charge, as well as any other adjustments arising during the fourth quarter. It is anticipated that the cash outflows can be met within BP’s current financial framework. A summary payment schedule is attached to this release.


BP will continue to vigorously defend itself against all remaining civil claims and to contest allegations of gross negligence in those cases. The remaining claims include: federal civil claims, including those arising under the Clean Water Act; federal and state Natural Resource Damages claims; private civil claims pending in MDL 2179 that were not covered by the settlement with the Plaintiffs’ Steering Committee (PSC); private securities claims pending in MDL 2185; state economic loss claims; and miscellaneous private civil claims pending in other federal and state courts. BP believes that today’s agreement is consistent with its legal position that it was not grossly negligent. All the pleas related to the accident itself are based on no more than negligent conduct.

“From the outset, we made a commitment to clean up the spill and pay legitimate claims – and we’ve been fulfilling that commitment ever since,” said Mr. Dudley. “As we move forward, we are preparing to defend ourselves in court on the remaining claims. We are open to settlements, but only on reasonable terms.”


BP has taken significant steps to further enhance safety and risk management throughout its global operations. It launched an internal investigation immediately after the accident, publicly released the results, and has been implementing all 26 of the investigation's recommendations. BP has also, among other things, made key leadership changes, reorganized its upstream business, created a centralized Safety and Operational Risk organization, and adopted new deepwater drilling standards in the Gulf of Mexico that exceed current regulatory requirements. BP has shared what it has learned with industry and regulators around the world.

“We are committed to building a safer, stronger BP,” said Mr. Svanberg. “This work did not begin with the Deepwater Horizon accident and will not end with today’s resolution.”

Over the past five years, BP has invested more than $52 billion in the United States – more than any other oil and gas company, and more than it invests in any other country where it operates. The company employs 23,000 Americans and supports nearly a quarter of a million American jobs.

On top of this business investment, BP has to date spent more than $14 billion in operational response and clean-up costs. BP continues to monitor the Gulf and its shoreline, and the company has supported regional tourism, promoted Gulf seafood, and committed $1 billion to early restoration projects. BP also quickly set up a process to pay all legitimate claims and established a $20 billion Trust to assure Americans that the resources to pay claims, settlements, and other costs would be there. To date, BP has paid more than $9 billion to individuals, businesses and government entities and has already agreed to a settlement with the Plaintiffs’ Steering Committee, resolving the substantial majority of outstanding private economic loss, property damage and medical claims, which BP estimates will cost approximately $7.8 billion.

Notes to Editors:

- As is typical procedure in criminal resolutions, the government has filed a document called an “information,” which is a formal charging document that describes the government’s allegations and the offenses with which BP is being charged. The plea agreement between BP and the DOJ includes an exhibit called an “allocution,” which sets forth the specific facts to which BP has admitted.

- As is typical procedure in SEC settlements, the SEC has filed a Complaint in federal court in the Eastern District of Louisiana. BP consented to the entry of a final judgment that provides for the payment of the civil penalty and the injunction.

- The injunction to which BP has consented as part of today’s agreement with the SEC is typical in these types of settlements. If BP were to violate the injunction, the SEC can petition the Court to hold the company in contempt of the court order.

- All deferred payments under the SEC settlement will be subject to applicable U.S. statutory post-judgment interest, which is based upon a rate equal to the weekly average 1-year constant maturity U.S. Treasury yield.

- BP’s ordinary shares are listed on the London Stock Exchange. In the U.S., the company’s shares trade on the New York Stock Exchange in the form of ADS. BP is subject to the information requirements of foreign private issuers under the U.S. Securities Exchange Act of 1934. The reports on which the SEC’s claims are based were provided to the SEC on a Form 6-K. Further information related to BP’s listings is available in BP’s Annual Report and Accounts and Form 20-F 2011.

- BP has previously secured contributions toward response and compensation costs from the co-owners of the Macondo well, Anadarko ($4 billion) and MOEX ($1 billion), and from contractors who worked there, including Cameron ($250 million) and Weatherford ($75 million).

Summary Schedule of Payments

Criminal Fine

Total new
cash payments
2012  175      175
2013  175  506  420 1101
2014  175  250  345  770
2015    150  380  530
2016    150  590  740
2017    200 1009 1209
Total  525 1256 2744 4525


Note: Estimated payment dates assume court approvals and a sentencing date prior to December 31, 2012 (the date will be set by the court) and assume that the National Academy of Sciences agreement is signed upon announcement of the resolution.


November16  2012 

BP Confirms Winning Bids for Nova Scotia Deepwater Exploration Blocks

BP was today notified that it was the successful bidder for four deepwater exploration blocks offshore Nova Scotia, Canada.

The Canada-Nova Scotia Offshore Petroleum Board announced that BP was the successful bidder for blocks five, six, seven and eight in the Call for Bids NS12-1. The blocks together cover an area of almost 14,000 square kilometres and are located approximately 300 kilometres off the Nova Scotia coast, southeast of Halifax, in water depths ranging from 100 to over 3000 metres.

Mike Daly, BP Executive Vice President of Exploration said: “This award gives us access to a significant piece of geology, one of the most promising new deepwater areas to be licensed in recent years. Exploration is a key driver of future growth for BP, and access to prospective new acreage such as this is essential. This entry to Nova Scotia’s offshore plays to our strengths in the deepwater and sub-salt.”

As a condition of the issuance of an Exploration Licence, BP must post within thirty days a security with the Petroleum Board in the form of a Work Deposit. The CNSOPB would then award the Exploration Licences to BP with an effective date of Jan 15, 2013. BP then must submit an Exploration Plan to the Petroleum Board within ninety days of that effective date.

In recent years, BP has secured access to significant new upstream acreage globally; half of BP’s prospect inventory now comprises new plays and half is in proven plays in known basins.

“We are pleased about the quality and materiality of our exploration prospects. In addition to deepening in our existing core areas, our drilling programme is expected to test 15 completely new plays between 2012 and 2015,” said Daly.

Parcel detail:

Parcel 5: 2,862.9 km2
Parcel 6: 2,822.0 km2
Parcel 7: 4,151.0 km2
Parcel 8: 4,145.9 km2

Map of Nova Scotia blocks

Map of Nova Scotia blocks


November 28, 2012 BBC News 

BP faces temporary ban from new US contracts

BP has been temporarily suspended from new contracts with the US government, the Environmental Protection Agency (EPA) has said.

While it is unclear how long the ban will last, it follows BP's record fine earlier this month over the 2010 oil spill in the Gulf of Mexico.

The EPA said it was taking action due to BP's "lack of business integrity" over its handling of the blowout.

But BP said it had spent $14bn (£8.8bn) on its response to the spill.

"The BP suspension will temporarily prevent the company and the named affiliates from getting new federal government contracts, grants or other covered transactions until the company can provide sufficient evidence to EPA demonstrating that it meets federal business standards," said the EPA in a statement.

"Suspensions are a standard practice when a responsibility question is raised by action in a criminal case."

'Resolve and lift' ban
The EPA and BP both said that the temporary ban would not affect existing agreements BP has with the government.

The oil giant added that the suspension may in fact be lifted quite soon.

"The EPA has informed BP that it is preparing a proposed administrative agreement that, if agreed upon, would effectively resolve and lift this temporary suspension," BP said.

"Over the past five years, BP has invested more than $52bn in the United States - more than any other oil and gas company, and more than it invests in any other country where it operates. On top of this business investment, BP has to date spent more than $14bn in operational response and clean-up costs."

Since the Deepwater Horizon accident, the US has granted BP more than 50 new leases in the Gulf of Mexico, where the company has been drilling safely since the government moratorium was lifted.

For now, BP is to be excluded from the lease of new exploration fields in the Gulf of Mexico, including some 20 million acres that was auctioned on Wednesday.

Congressman Ed Markey, a senior member of the Natural Resources Committee in Congress, said: "When someone recklessly crashes a car, their licence and keys are taken away."

"The wreckage of BP's recklessness is still sitting at the bottom of the ocean and this kind of time out is an appropriate element of the suite of criminal, civil and economic punishments that BP should pay for their disaster," he added.
Continue reading the main story

BP's finance director Brian Gilvary told investors earlier this month that the group would have to rethink its entire US strategy were a blanket ban put in place.

"How big this is depends on how long it lasts," said Phil Weiss, an analyst at Argus Research.

"It's a negative that they can't participate in (Wednesday's sale), but it's not a big concern. If it happens two times, or three times, or 10 times, it's a much bigger concern."

Pentagon contracts
The US is vital for BP, accounting for more than 20% of its global daily production. It has ploughed more than $52bn (£32bn) into US energy development projects since 2007, more than any other country BP invests in.

The UK company was the biggest fuel supplier to the US Department of Defense, which awarded it contracts valued at about $1.35bn in 2011.

BP's contracts with the US military jumped 33% over a year in 2011, according to data from Bloomberg. The group was awarded a fuel contract in May from the Pentagon while it faced mounting legal costs over the disaster.

The Deepwater Horizon accident, in which an oil rig exploded killing 11 people, caused one of the worst oil spills in history.

BP has pleaded guilty to 14 criminal charges over the accident.

The EPA is the lead agency for suspension and debarment matters regarding BP and has the authority to disbar individuals and companies under sections of the Clean Air Act and the Clean Water Act.

November 28, 2012 

BP to Sell Package of Central North Sea Assets to Taqa for $1.1 Billion

BP announced today that it has agreed to sell its interests in a number of central North Sea oil and gas fields to TAQA for $1.058 billion plus future payments which, dependent on oil price and production, BP currently expects will exceed $250 million. The assets included in the sale are BP’s interests in the BP-operated Maclure, Harding and Devenick fields and non-operated interests in the Brae complex of fields and the Braemar field.

We are 51% owned by Abu Dhabi Water and Electricity Authority (ADWEA) which is a government authority and which provides long-term stability for our company.

We are incorporated as a Public Joint Stock Company and are listed on the Abu Dhabi stock exchange.

TAQA is organised into two business streams: Oil & Gas and Power & Water.
TAQA’s Oil & Gas operations are located in North America, the United Kingdom and the Netherlands and comprise crude oil and natural gas exploration, production, processing, transmission and storage.

The sale is subject to third party and regulatory approvals and the companies currently expect the sale to complete in 2Q 2013.

Bob Dudley, BP group chief executive, said: “This transaction is in line with BP’s strategy to focus on a smaller number of higher-value assets with long-term growth potential and to continue the simplification of our portfolio with a further reduction of operated infrastructure and wells.”

Trevor Garlick, regional president, North Sea, said: “It has made strategic sense for BP and for the buyer to combine our non-operated interests in the Braes and Braemar fields with Harding, Maclure and Devenick. BP continues with a focused investment programme in the UK and Norway, which includes planned capital spending of $10 billion over five years.”

With today’s announcement, BP has now entered into agreements to sell assets with a value of around $37 billion since the beginning of 2010. BP expects to divest assets with a total value of $38 billion between 2010 and 2013 as it focuses its business around the world on its strengths and opportunities for growth.

Jefferies acted as financial adviser to BP in relation to this transaction.

Notes to editors

The base consideration is $1.058 billion of which a deposit of $632 million has been paid. The anticipated future payments of $250 million are expected to be realized over three years.

BP in the North Sea:
BP is a major investor in the North Sea (UK and Norway) with an extensive portfolio of production from existing reservoirs, new projects under development, and growth potential in undeveloped resources.

BP’s annual North Sea production averages around 200,000 barrels of oil equivalent per day and the company has over three billion barrels of estimated proven and contingent resource available in the region.

The company employs over 3,000 staff in its North Sea business and operates around 30 oil and gas fields.

BP-operated producing assets include
Clair, Schiehallion, Foinaven and Magnus in the Shetland area;
Andrew, ETAP and Bruce in the UK’s central North Sea; and
Valhall, Ula, and Hod in Norway.
The company also operates the Sullom Voe Terminal in Shetland, the CATS gas terminal in Teesside, and the Forties Pipeline System and Kinneil terminal.

BP plans to invest $10 billion (c £6.7billion) net over the next five years in the North Sea – including major projects in the UK and in Norway.

Three major projects are currently underway in the UK – Clair Ridge, Quad 204 (Schiehallion), and Kinnoull – and two in Norway – Skarv and the Valhall Redevelopment.

BP’s strategy to focus in the North Sea has already included the sale of the Wytch Farm oil field in Dorset, the Southern Gas Assets and the sale of its non-operated stakes in the Draugen, Alba and Britannia fields. The total value of those assets sold, including this deal, is around $2.8 billion.

Brae complex, Braemar, Maclure, Harding, Devenick

売却:The assets included in the sale are BP’s interests in the BP-operated Maclure, Harding and Devenick fields and non-operated interests in the Brae complex of fields and the Braemar field.

BP has an equity interest of 27.7% in the Marathon-operated Brae fields, a collection of oil and gas fields -- South, Central, North and West Brae -- which started production in the 1970s, and 33.21% in the Marathon-operated East Brae field and production facility.

Braemar is a subsea tie-back to the Marathon-operated East Brae platform in which BP owns a 52% interest.

The Maclure oil field started production in 2002 and was developed via a single subsea gas-lifted well tied back to Maersk’s Gryphon Floating Production Storage and Offloading vessel. BP is the operator and owns 37.04%.

Harding has been a quality asset for BP, but it is isolated from the rest of BP’s portfolio and will require significant investment and resource to develop its gas reserves. BP’s major capital investment programme is focused on other assets from which it can extract greater value in the central and northern North Sea, west of Shetland and Norway. BP owns 70% of Harding and is the operator.

Devenick, which was brought on-stream in September, is a subsea tie-back to the East Brae platform. Given the inclusion of BP’s interest in Braes in this deal it makes strategic sense to include Devenick in the sale package. BP owns 88.7% of Devenick and is the operator.

The base consideration will be allocated 50% to plant and machinery for tax purposes

19 December 19, 2012

BP to Sell Yacheng Gas Field in China to KUFPEC

BP today announced that it has agreed the sale of its 34.3 per cent interest in the
崖城Yacheng gas field in the South China Sea to Kuwait Foreign Petroleum Exploration Company (KUFPEC) for $308 million cash. Subject to regulatory, CNOOC and third party approvals, BP expects the deal to close in the second half of 2013.

“This sale is part of BP’s ongoing global portfolio optimization,” said Chen Liming, President of BP China. “BP remains committed to working with China to contribute its deep expertise and oil and gas supply options in this important emerging market.” The sale takes BP’s total divestments announced since 2010 to $37.8 billion.

Commercial production at Yacheng started in 1996. BP operated the field until 1 January, 2004, when it handed operatorship to its major project partner CNOOC.

The field currently supplies natural gas for power generation to Castle Peak Company Limited in Hong Kong via a 780-kilometre pipeline. Additional natural gas, condensate and LPG are sold to customers on Hainan Island.

Following completion, the Yacheng partnership will consist of CNOOC (51 per cent), and Kuwait Foreign Petroleum Exploration Company (49 per cent).

Yacheng 13-1 Gas Field

In 1982, during the first licensing round in China that was open to western companies, BP's heritage company Arco acquired the Ying Ge Hai Block in the South China Sea. This led to the discovery of the Yacheng 13-1 gas field in 1983, the subsequent development of the field, and the commercial production of the reserves in 1996. Yacheng 13-1 lies in 90 meters of water and is the largest offshore natural gas field in China. It supplies natural gas for power generation to Castle Peak Company Limited青山發電廠 in Hong Kong via a 780-km pipeline (the 2nd longest offshore pipeline in the world), and to Fuel & Chemical Corporation of Hainan Province via a 60-km pipeline. The Yacheng Partnership consists of BP 34.3%, CNOOC 51%, and Kuwait Foreign Petroleum Exploration Company 14.7%.

After operating successfully for 8 years, BP handed over operatorship to its major partner CNOOC on 1st January, 2004. Zhou Shouwei, president of CNOOC Limited, gave a speech in which he said:"Yacheng is widely known in the industry as a successful model of Sino-foreign co-operation. I would like to take this opportunity to thank BP for leading the Yacheng operation and sharing their valuable experience and skills on both the managerial and operational fronts in the years which BP served as the operator."

BP was awarded interests in the 42/05 and 43/11 deepwater blocks in the South China Sea in 2010 and 2012. These blocks are currently in the exploration phase.

Notes to editors

As one of the largest foreign investors in the Chinese energy sector, BP remains committed in its long-term growth in China, for both upstream and downstream areas.

Discovered in 1983, Yacheng 13-1 field is the largest offshore natural gas producing field in China. The field is located in about 90 metres water depth and is some 100 kilometres south of Hainan Island, in the South China Sea.


Feb 15, 2012 Reuters

BP hopes to drill new S.China Sea gas block this yr

Oil giant BP Plc plans to start drilling at the 43/11 deepwater block in the South China Sea this year, after receiving approval recently from the Chinese government, a company executive said on Wednesday.

"When we start depends on many factors, such as whether the drilling rig is ready. We hope to start drilling there by the end of the year." BP China President Chen Liming told Reuters.

BP received approval from the commerce ministry last week to explore and develop natural gas resources at deepwater block 43/11, together with China National Offshore Oil Corp (CNOOC) and Anadarko Petroleum Corp.

During the exploration phase, BP will have a 40.82 percent working interest, Anadarko 50 percent and CNOOC 9.18 percent. During development and production, CNOOC will be operator with a 55.5 percent interest, BP with 20 percent and Anadarko will have 24.5 percent, according to BP China.

BP and CNOOC signed a cooperation agreement for deepwater exploration of block 43/11 in January last year, during Chinese Vice-Premier Li Keqiang's visit to Britain.

BP's other upstream assets in China include the under-producing gas field Yacheng 13-1 in the South China Sea, and deepwater block 42/05, in which BP purchased an intertest in September 2010, according to the company's website.


September 13 2010

BP Acquires Interest in Block 42/05 South China Sea

BP announced today that its acquisition of an interest in block 42/05 in the South China Sea’s Pearl River Mouth Basin has been approved by the Chinese Government. BP has acquired a 40.82 per cent interest in the block from Devon Energy China, Ltd. The block covers an area of 6939 square kilometers. Chevron acquired the remaining 59.18 per cent and will be the operator during the exploration phase under the amendment agreements to a production sharing contract with China National Offshore Oil Corporation (CNOOC). CNOOC Limited, a listed arm of CNOOC, has the right to back-in to a level of 51% during the development phase of the production sharing contract.

September 7, 2010

CNOOC Signed Amendment Agreements to PSC for Three Deepwater Blocks

CNOOC Limited announced today that its parent company, China National Offshore Oil Corporation (“CNOOC”) has signed amendment agreements to the Production Sharing Contracts (PSCs) with Chevron China (“Chevron”), BP China (“BP”) and Devon Energy Corporation (“Devon”) for deepwater blocks 42/05, 64/18 and 53/30 in South China Sea. These agreements have been approved by the Chinese government.

Prior to this, Chevron and BP signed Sale and Purchase Agreements with Devon for the above blocks: Chevron acquired a 59.18% interest in block 42/05 and a 100% interest in blocks 64/18 and 53/30 from Devon in the exploration phase;BP acquired the remaining interest of Devon in block 42/05.

Block 42/05, located in Baiyun Sag of Pearl River Mouth Basin in the Eastern South China Sea, covers a total area of 6,939 square kilometers. Blocks 64/18 and 53/30 are located in Qiong Dong Nan Basin in the Western South China Sea with acreage of 7,712 and 6,313 square kilometers respectively. Water depth of the three blocks ranges from 300 to 2,000 meters.

During the exploration period, Chevron will act as the Operator in the three blocks. CNOOC Limited has the right to participate in up to a 51% interest in the event of any commercial discovery in the blocks.

Mr. Zhu Weilin, Executive Vice President of the Company and General Manager of the Exploration Department commented, “We welcome Chevron and BP to become our new partners in these blocks and look forward to the joint exploration of the great deepwater potential in the South China Sea.”

In 2005 and 2006, CNOOC signed three PSCs with Devon for blocks 42/05, 64/18 and 53/30.

2013/3/22 BP 

BP to Buy Back $8 billion of Shares, Returning its 2003 Investment in TNK-BP to Shareholders

BP announced today that it intends to carry out a share repurchase, or buy-back, programme with a total value of up to $8 billion

Today’s decision to buy back shares follows the completion yesterday of the sale of BP’s 50% interest in TNK-BP to Rosneft. The programme is expected to return to BP shareholders an amount equivalent to the value of the company’s original investment in TNK-BP.

2012/10/24 ロシアのRosneft、TNK-BPを買収

In 2003 BP invested around $8 billion in cash, shares and assets in the formation of TNK-BP. Over the following decade BP received a total of $19 billion in dividends from the joint venture. BP sold its interest in TNK-BP to Rosneft, followed by a reinvestment in Rosneft shares, for an overall consideration of $12.48 billion in cash (including $0.71 billion in TNK-BP dividends received by BP in December 2012) together with shares representing 18.5% of Rosneft. As a result, BP now holds a 19.75% interest in Rosneft.

BP Group Chief Executive Bob Dudley said: “BP is moving on to the next phase of its business in Russia, becoming the largest private shareholder in Rosneft, Russia’s leading oil company. In the process we have also released cash, equivalent to at least six years of BP’s anticipated future dividends from TNK-BP. We look forward now to working closely with Rosneft and together developing opportunities to create value for both companies.”

Dudley said that the size of the proposed buy-back programme, which is expected to exceed that required to offset the earnings per share dilution expected as a result of the sale of TNK-BP, also reflected the reduction in BP’s asset base following its major $38 billion divestment programme over the past three years.

BP intends to retain the additional cash consideration of $4.48 billion received from the sale of its interest in TNK-BP to reduce BP Group debt as part of its continuing commitment to maintaining a strong balance sheet.

BP Chairman Carl-Henric Svanberg said: “We expect our stake in Rosneft will generate long-term value for BP and its shareholders. But this buy-back programme should also allow our shareholders to see benefits in the near-term from the value we have realised by reshaping our Russian business.”

Notes to editors:

When its intention to sell its interest in TNK-BP to Rosneft was announced in October 2012, BP said that it intended to use the cash proceeds from the sale to, at minimum, offset any dilution to earnings per share as a result of the transaction.
This buy-back programme will be effected in accordance with BP's general authority to repurchase shares granted by its shareholders at BP’s 2012 Annual General Meeting and Chapter 12 of the UK Listing Rules. The shares purchased will be cancelled. The aim of the programme is to reduce the issued share capital of BP p.l.c. The buy-back programme may be suspended at any time.
The pace at which the buy-back programme is executed is determined by market capacity, as well as applicable regulations. At current volumes, BP estimates the buy-back programme could take 12 to 18 months to complete.

December 16 2013

The Government of the Sultanate of Oman Gives the Go-Ahead to BP for the Khazzan Project

The Government of the Sultanate of Oman and BP have today signed a gas sales agreement and an amended production sharing agreement for the development of the Khazzan field, with BP as operator.
The full field development will involve a drilling programme of around 300 wells over 15 years to deliver plateau production of one billion cubic feet (28.3 million cubic metres) of gas per day and 25,000 barrels per day of gas condensate. This volume is equivalent to around a third of Oman’s total daily domestic gas supply and will make a significant contribution to ensuring continuing stable supplies from domestic sources.  The total investment in the full field development is around $16 billion, which includes the investment made to date in the appraisal of the resource and early well test programme.

The Khazzan project represents the first phase in the development of one of the Middle East region’s largest unconventional tight gas accumulations, which has the potential to be a major new source of gas supply for Oman over many decades.


「タイトガス」 在来型ガスが貯留している地層よりも稠密な砂岩層に貯留した天然ガス。生産性が低かったため従来は開発が進まなかったが、1980年代後半から米国で開発が進展した。
「コールベッドメタン」 石炭が生成される過程で発生して、そのまま石炭層に滞留した天然ガス。1980年代後半から米国で開発が進み、現在はオーストラリア・カナダ・中国などでも開発が進んでいる。
「シェールガス」 タイトガスよりも浸透率が2桁以上低い(0.001ミリダルシー未満)泥岩の一種である頁岩(シェール)に含まれる天然ガス

His Excellency Dr Mohammed Al Rumhy, Minister of Oil and Gas of the Sultanate of Oman, said: “Today’s signing is an important step in the Sultanate of Oman’s plans to meet growing demand for energy over the coming decades and to contribute to economic development in Oman. The Khazzan project is the largest new upstream project in Oman and a pioneering development in the region in unlocking technically challenging tight gas through technology.”

HE Al Rumhy added: “As well as providing additional energy supply for Oman, the Khazzan project will generate wider direct benefit with the development of Omani employees and delivering in country value through the development of the local supply chain.”

Bob Dudley, BP Group Chief Executive, said: “We are very pleased to be going ahead with this major project, which is very important for both Oman and for BP. This enables BP to bring to Oman the experience it has built up in tight gas production over many decades. This is one more example of BP developing a long term gas supply chain, in this case to bring energy to customers in Oman for decades to come.”

David Dalton, President of BP in the Middle East Region, added: “The sanction of the Khazzan project follows an extensive and rigorous appraisal programme. This has given BP and the Government of the Sultanate of Oman confidence in the strength of the project and our ability to deliver long term gas supply to Oman.”

Construction work for the Khazzan project, located in the South of Block 61, will begin in 2014, and first gas is expected in late 2017. Gas production is expected to ramp up to plateau in 2018 and in total the project is expected to develop around 7 trillion cubic feet (tcf) of gas, which will require BP to successfully deploy new technologies. 

The amended exploration and production sharing agreement and a gas sales agreement  extend for an initial 30 years and also provide for the additional appraisal of further gas resources within Block 61, which are expected to be developed in subsequent project phases.

The full field development involves a 15-year drilling programme, with production tied back to a new central processing facility in Block 61 via a 500 kilometre long gathering system.

The Government of the Sultanate of Oman also announced the intent of the state-owned Oman Oil Company Exploration & Production (OOCEP) to participate with a 40 per cent stake in Block 61. Salim Al-Sibani, CEO of OOCEP, noted: “We are delighted to work with BP on this challenging project to supply gas to the country. Unlocking unconventional resource will help to meet Oman’s future energy needs. We are very pleased to be part of this exciting journey and to build the required unconventional skills across the upstream sector.”

At the same time, BP and Oman Oil Company (OOC) also announced the signing of a non-binding memorandum of understanding (MoU) to develop the world’s first acetic acid manufacturing plant using BP’s revolutionary new SaaBre™ process, which was first announced in November 2013. The MoU covers joint economic evaluation and a detailed feasibility study for a proposed one million tonne per year acetic acid plant in the Special Economic Zone in Duqm, Oman. Subject to negotiating definitive agreements, it is anticipated to lead to a joint venture investment, with start-up expected in 2019.

Notes to editors

The Khazzan development follows an extensive appraisal programme that began after BP signed an agreement with the Government in January 2007 for the appraisal and development of Block 61.

Block 61 contains significant volume of unconventional gas, distributed across several reservoirs, with estimates of total gas in place of up to 100 trillion cubic feet. This first phase of the Khazzan field development plan will involve drilling around 300 wells, mostly horizontal, using eight drilling rigs over 15 years.

Since 2007, BP has carried out one of its largest-ever onshore seismic surveys covering the 2,800-square-kilometre Block 61 area. BP began appraisal well drilling activities in 2008 and has drilled 11 wells, including three horizontal wells. Owing to the tight nature of rocks in Khazzan reservoirs, the wells need to be hydraulically stimulated to stimulate production and flow gas at target rates.

In March 2011 BP Oman achieved a milestone with the first gas delivery to the government from its extended well test project in Block 61. This successful pilot project has helped to demonstrate the potential of a much larger scale development.

BP has focused on health and safety throughout the appraisal programme and together with its contractors has achieved over 9.8 million man-hours of work without a major safety incident.

BP is preparing for the full field development of Khazzan on a number of fronts, most recently with the launch of its multi-year technicians development programme for Omani nationals that will qualify up to 150 technicians to support the long term operations of the Khazzan Project. BP is also investing in Omani capability development for graduates and mid-career staff. Over 70 per cent of BP’s staff in Oman are Omani nationals.


BP to invest $15 billion to develop Oman tight gas

BP’s Khazzan tight gas project in Block 61 is one of the company’s top five upstream projects globally. BP’s Khazzan project is also the first and largest of its kind in the Middle East.

In January 2007 BP signed a major exploration and production sharing agreement with the Government of Oman for the appraisal and development of Block 61 and the Khazzan and Makarem gas fields.

The agreement covers an area of some 2,800 km² in central Oman, which contains a number of tight gas reservoirs which were first discovered in the 1990s.

Drilling commenced in September 2008. Then, in March 2011 BP Oman achieved a major milestone with the first gas export from the Extended Well Test project delivered to the government-owned gas plant at Saih Rawl.

The development of the tight gas reservoirs is a significant technical challenge owing to the low porosity of the reservoir rock.

BP is applying innovative technology to unlock this tight gas, drilling horizontal wells and using hydraulic fracturing technologies to force cracks in the rock to encourage flow.

BP Oman has announced in Muscat to award several contracts for the appraisal of the Khazzan & Makarem gas fields in Oman’s Block 61.


25 September 2017

BP starts production from giant Khazzan gas field in Oman ahead of schedule and under budget

  • Phase One of major tight gas project to deliver 1 bcf/d gas to Sultanate of Oman
  • Future expansion to 1.5 bcf/d gas on track 
  • BP’s largest project start-up in 2017 
  • Sixth of seven major projects expected on stream this year

BP, together with the Ministry of Oil & Gas of the Sultanate of Oman, today announced that production has begun from the giant Khazzan gas field, which is operated by BP in partnership with Oman Oil Company Exploration and Production.

The production sharing agreement for Block 61, which contains the Khazzan field, was first signed in 2007 and was amended in 2013 and extended in 2016. Appraisal over 2007-2013 confirmed the existence of significant tight gas resources that could be developed through the application of BP’s extensive unconventional gas experience and technology. The first phase of development of the field was sanctioned in December 2013.

2014/5/24  BP/Rosneft 

Rosneft and BP Sign Agreement on Development of Domanik Formations

Rosneft and BP Exploration Operating Company Limited signed a Heads of Agreement on Domanik formations. The document was signed today within the framework of the St. Petersburg International Economic Forum by Rosneft President and Chairman of the Management Board Igor Sechin and BP Russia President David Campbell.

The signature ceremony was led by President of the Russian Federation Vladimir Putin.

The Heads of Agreement provides for implementation of a joint pilot project by Rosneft and BP relating to the Domanik formations and, in the event of success, the possible development of unconventional Domanik resources in the Volga-Urals region. The joint venture company (Rosneft 51%, BP 49%) will be incorporated in Russia.

BP will compensate part of the historical costs to Rosneft for exploration of the Domanik formations and will provide carry financing of up to US $300 million for the pilot programme, which will be conducted in two phases at licence blocks in the Orenburg Region.

2014/5/3 ウクライナ問題でのロシア制裁の影響 




Jun 27, 2014 Reuters 

Russia's Rosneft signs further oil products supply deal with BP

* Rosneft to get at least $1.5 bln in pre-payment
* Follows BP-Rosneft shale oil exploration deal
* Sechin wants a motorbike trip across US (Adds Sechin quotes, banks)

Rosneft signed on Friday its second major agreement with BP since sanctions were imposed on the Russian oil company's chief executive, a close ally of President Vladimir Putin, over Russia's involvement in the Ukraine crisis.

The five-year agreement will supply BP with up to 12 million tonnes of refined oil products and involves a pre-payment of at least $1.5 billion arranged by leading global financial institutions, Rosneft said.

Rosneft refined nearly 90 million tonnes of oil last year, according to company figures.

Some Western firms have been wary of investment and business in Russia since sanctions were imposed over the crisis in Ukraine, where Moscow denies accusations of orchestrating a rebellion by pro-Russian separatists.

2014/5/3 ウクライナ問題でのロシア制裁の影響 

But the sanctions have had only a limited impact on the Russian energy industry, a cornerstone of the country's $2-trillion economy, resulting mostly in higher borrowing costs for domestic companies.

Since the sanctions were imposed, executives from Total , BP, Statoil and ExxonMobil have visited Russia, underlining the importance they attach to business with the world's leading oil producer with current output of around 10.5 million barrels per day (BPd).

Last year, Rosneft announced deals worth more than $15 billion to sell crude oil and other products to BP, which now owns almost a fifth of Rosneft following Rosneft's acquisition of Anglo-Russian oil firm TNK-BP last year.

Friday's signing also follows an agreement by BP and Rosneft in May to jointly explore in Russia for hard-to-recover shale oil.

Such deals do not violate sanctions over the Ukraine crisis because Rosneft has not been included on any sanctions list, but Rosneft's chief executive Igor Sechin had a visa ban and asset freeze slapped on him by the United States after Russia annexed the Black Sea peninsula of Crimea from Ukraine in March.

"I am working here with Rosneft. It's a business between the companies. I don't comment on personal sanctions," BP's chief executive Bob Dudley told reporters in Khabarovsk in Russia's far east after attending the signing ceremony with other members of the Rosneft board of directors.

Sechin told reporters that he had no accounts or assets in the United States but he felt the impact from sanctions.

"Sanctions don't allow me to see the beauty of their (U.S.) nature, to learn their culture, show my kids their nature," he said. "I wanted to take a motorbike trip across America but this decision denies me such an opportunity."

Eight banks have signed a $2-billion prepayment facility与信枠 backing the long-term delivery of crude oil products between Russian oil giant Rosneft and BP, Rosneft said on Friday.

The banks include Deutsche Bank, Bank of China, Societe Generale, Bank of Tokyo-Mitsubishi and Sumitomo Mitsui Banking Corporation, two banking sources close to the deal said.

Rosneft also said the prepayment facility will increase further as several other banks also have shown interest in joining the deal, adding that supplies to BP could start next month.

Bankers earlier this month said partly state-owned UK lender Lloyds Bank had pulled out of the $1.5-$2 billion trade finance deal to avoid risking any political embarrassment for its government.

Under the terms of the latest deal, Rosneft said oil product deliveries could be substituted for supplies of oil but gave no explanation of the circumstances under which this could happen.


Such pre-payment supply deals have raised billions of dollars for Rosneft, which borrowed $30.1 billion in two separate loans in 2012 and 2013 to help finance last year's $55 billion acquisition of TNK-BP, once Russia's third largest oil producer.

Last year Rosneft also agreed an $8.32 billion loan with commodity traders Glencore and Vitol and a $1.5 billion pre-payment loan with Swiss-based trading house Trafigura.

However, some Russian energy companies have recently been talking to their customers about a possible switch to using currencies other than the U.S. dollar in transactions to minimise sanction-related risks.

Other companies could also now follow the example of Surgutneftegas, Russia's fourth-biggest oil producer with an average daily output of 1.2 million barrels of crude, which according to its accounts has stockpiled over 1 trillion roubles ($30 billion) of cash instead of paying out higher dividends or making large acquisitions.

Meanwhile Lukoil, Russia's second-biggest oil producer, has postponed an up to $2 billion Eurobond issue until the autumn because of a spike in borrowing costs. ($1 = 33.6595 Russian roubles)

2015/1/15  BP 

BP Statement on Phase 2 Decision in Gulf Oil Spill Trial

Today the United States District Court for the Eastern District of Louisiana ruled on the issues raised in the Phase 2 trial of the Deepwater Horizon case: the quantification of oil spilled and BP’s source control efforts following the accident.

The Court found that 3.19 million barrels of oil were discharged into the Gulf of Mexico and therefore subject to a Clean Water Act (CWA) penalty.
In addition, the Court found that BP was not grossly negligent in its source control efforts.

No penalty has yet been determined. The decisions in the Phase 1 and Phase 2 trials represent steps in the process of assessing a CWA penalty. The third phase of the CWA trial, currently scheduled to begin in the Court on Tuesday, 20 January, 2015, will address the penalty to be assessed.

During the penalty proceedings, the Court is required to consider the application of eight statutory factors, including
the violator’s efforts to minimize or mitigate the effects of the spill:
the seriousness of the violation or violations;
the nature, extent, and degree of success of any efforts of the violator to minimize or mitigate the effects of the discharge;
the economic impact of the penalty on the violator;
the economic benefit to the violator, if any, resulting from the violation;
the degree of culpability involved;
any other penalty for the same incident;
any history of certain types of prior violations; and any other matters as justice may require.

BP believes that considering all the statutory penalty factors together weighs in favor of a penalty at the lower end of the statutory range.

BP is continuing to review the Court’s decision.


New Orleansの District Court のCarl Barbier 裁判官は9月4日、BPに「重大な過失」(gross negligence )と「故意の不法行為」(willful misconduct)があり、これが大量流出の原因となったとし、BPは水質浄化法によるバレル当たり4,300ドルの罰金に値するとの判決を言い渡した。

責任割合について、判事は、BPが67%、Transoceanが30%、Halliburton が3%と認定した。



2014/9/8    2010年の原油流出事故、「BPに重大な過失」と認定

2015/3/6  BP  

BP Finalises Deal To Develop Egypt’s West Nile Delta Gas Fields

BP announces the signing of the West Nile Delta project todevelop 5 tcf of gas resources and 55 mmbbls of condensates

BP today announced that it has signed the final agreements of the West Nile Delta project to develop 5 trillion cubic feet (tcf) of gas resources and 55 million barrels (mmbbls) of condensates with an estimated investment of around $12 billion by BP and its partner. The project underlines BP’s commitment to the Egyptian market and is a vote of confidence in Egypt’s investment climate and economic potential.

Production from WND is expected to reach up to 1.2 billion cubic feet a day (bcf/d), equivalent to about 25 per cent of Egypt’s current gas production and significantly contribute to increasing the supply of energy in Egypt. All the produced gas will be fed into the country’s national gas grid, helping to meet the anticipated growth in local demand for energy. Production is expected to start in 2017.

“BP is proud of its record in Egypt over the past 50 years and we are looking forward to many more years in the country. The WND project investment is the largest foreign direct investment in Egypt, and demonstrates our continued confidence in Egypt and our commitment to unlock its energy potential. WND production is key to Egypt’s energy security,” said Bob Dudley, BP Group Chief Executive.

Gas will be produced from two BP-operated offshore concession blocks, North Alexandria and West Mediterranean Deepwater. BP believes that there is the potential through future exploration to add a further 5-7 tcf which could boost WND production with additional investments.

Commenting on the project, Hesham Mekawi, BP North Africa Regional President said, “This is a critical milestone in the Egyptian oil and gas history. It marks the start of a major national project to add significant production to the domestic market. BP expects to double its current gas supply to the Egyptian domestic market during this decade when the WND project reaches its peak production. BP will also continue to invest in our existing oil operations at the Gulf of Suez (through GUPCO) and gas operations in the East Nile Delta (through Pharaonic Petroleum Co.), as well as progressing our recently discovered resources to allow for the next new major development after WND.”

The scale of investment and activities of the WND project are expected to significantly contribute to the growth of petroleum-related industries and to Egyptian employment. During the construction phase, the project is projected to employ thousands of direct and indirect personnel. In line with BP’s commitment to support the development of Egyptian capability, the WND project will encourage technology transfer and know-how through training and on-the-job development. This will help to create strategic national capabilities to unlock the country’s future hydrocarbon potential.

As part of the WND project, BP will also undertake a social investment programme directed to various sustainable development projects in coordination with the local communities and utilizing local service providers.

This will be in addition to the project’s principal approach, which is focused on increasing local labour, with a commitment to employ significant local labour during operations.

Notes to editors:

The West Nile Delta (WND) Major Project is a strategic project for BP where BP has about 65 per cent equity in the project partnership.

The WND project concept maximises the utilisation of existing infrastructure:

BP-operated Taurus/Libra fields: this will be a subsea development tied-in offshore to existing BG-operated Burullus facilities

The BP-operated Giza/Fayoum & Raven fields: These are two deepwater long distance tie-backs to the shore, where the existing Rosetta plant will be modified for Giza/Fayoum and integrated with a new adjacent onshore plant for Raven.

BP has a long and successful track record in Egypt stretching back 50 years with investments exceeding $25 billion, making BP one of the largest foreign investors in the country. In Egypt, BP’s business is primarily in oil and gas exploration and production.

BP has made a series of discoveries in Egypt in recent years including Taurt North, Seth South and Salmon and Rahamat, Satis, Hodoa, Notus and Salamat.

To date, BP Egypt, in collaboration with the Gulf of Suez Petroleum Company (GUPCO), BP’s joint venture (JV) Company with the Egyptian General Petroleum Company (EGPC), has produced almost 40 per cent of Egypt’s entire oil production, and currently produces almost 10 per cent of Egypt’s annual oil and condensate.

In addition, through joint ventures with EGPC/EGAS and IEOC (ENI) the Pharaonic Petroleum Company (PhPC) and Petrobel BP currently produces close to 30 per cent of Egypt's total gas.

BP is working to meet Egypt’s domestic market growth by actively exploring in the Nile Delta and investing to add production from existing discoveries.

BP is a 33 per cent shareholder of an NGL plant extracting LPG and propane, United Gas Derivatives Company (UGDC) in partnership with ENI/IEOC and GASCO (the Egyptian midstream gas distribution company).

9 March 2015  BP

BP makes second significant gas discovery in Egypt’s East Mediterranean Sea

BP Egypt announced today another important gas discovery in the North Damietta Offshore Concession in the East Nile Delta. The “Atoll-1” deepwater exploration well, currently being drilled using the 6th generation semi-submersible rig “Maersk Discoverer,” has reached 6,400 metres depth and penetrated approximately 50 metres of gas pay in high quality Oligocene sandstones. Expected to be the deepest well ever drilled in Egypt, the Atoll well still has another 1 kilometre to drill to test the same reservoir section found to be gas bearing in BP’s significant 2013 Salamat discovery, 15 kilometres to the south.

Bob Dudley, BP Group Chief Executive, commented: “Success in Atoll further increases our confidence in the quality of the Nile Delta as a world class gas basin. This is the second significant discovery in the licence after Salamat. The estimated potential in the concession exceeds 5 trillion cubic feet (tcf) and we now have a positive starting point for the next possible major project in Egypt after BP’s West Nile Delta project.”

Commenting on the discovery, Hesham Mekawi, BP North Africa Regional President said: “The Atoll discovery is a great outcome for our second well in this core exploration programme in the East Nile Delta. It demonstrates BP’s continuous efforts to help in meeting Egypt’s energy demands by exploring the potential in the offshore Nile Delta. We are proud of our commitment to unlock Egypt’s exploration potential that requires large investments to utilise using the latest drilling and seismic technologies.”

Atoll-1 was drilled in 923m water depth around 80km north of Damietta city, 15km north of Salamat and only 45 km to the north west of Temsah offshore facilities. BP has 100% equity in the discovery.

Notes to editors:

BP has a long and successful track record in Egypt stretching back 50 years with investments exceeding $25 billion, making BP one of the largest foreign investors in the country. In Egypt, BP's business is primarily in oil and gas exploration and production.

To date, BP Egypt, in collaboration with the Gulf of Suez Petroleum Company (GUPCO), BP's joint venture (JV) Company with the Egyptian General Petroleum Company (EGPC), has produced almost 40% of Egypt's entire oil production, and currently produces almost 10% of Egypt's annual oil and condensate production.

In addition, through BP's JVs with EGPC/EGAS and IEOC (ENI), the Pharaonic Petroleum Company (PhPC) and Petrobel currently produce close to 30% of Egypt's total gas production.

BP is working to meet Egypt's domestic market growth by actively exploring in the Nile Delta and investing to add production from existing discoveries.

The West Nile Delta (WND) Major Project is a strategic project for BP and its partner and is also critical to Egypt as it will provide more than one billion cubic feet per day (25% of Egypt's current production) of gas.

BP is a 33% shareholder of an NGL plant extracting LPG and propane, United Gas Derivatives Company (UGDC) in partnership with ENI/IEOC and GASCO (the Egyptian midstream gas distribution company).

BP is also present in the downstream sector through Natural Gas Vehicles Company (NGVC, BP 40%) which was established in September 1995 as the first company in Africa and the Middle East to commercialize natural gas as an alternative fuel for vehicles.


09 September 2013

BP Discovers Gas in Salamat Well in Egypt

BP Egypt today announced a significant gas discovery in the East Nile Delta. The deepwater exploration well, named Salamat, is the deepest well ever drilled in the Nile Delta. It is the first well in the North Damietta Offshore concession granted in February 2010 and operated by BP.

The well was drilled using the sixth generation semi-submersible rig “Maersk Discoverer”, owned by Maersk Drilling, in water depth of 649 metres and reaching a total depth of around 7,000 metres. The wireline logs, fluid samples and pressure data confirmed the presence of gas and condensate in 38m net of Oligocene sands in Salamat. Further appraisal will be required to better define the field resources and to evaluate the options for developing the discovery.

Mike Daly, Executive Vice President Exploration at BP, commented: “Success with Salamat proves hydrocarbons in the centre of a 50-km long structure. With a hydrocarbon column in excess of 180 metres, the discovery increases our confidence in the materiality of the deep Oligocene play in the East Nile Delta.”

Hesham Mekawi, BP Egypt Regional President said: “The Salamat discovery is a great outcome for our first well in this core exploration programme in the East Nile Delta. It shows our commitment to meeting Egypt’s energy needs by exploring the deep potential offshore the Nile Delta. Standalone and tie-back to the nearby Temsah infrastructure development options are currently being evaluated.”

The Salamat discovery is located around 75 kilometres north of Damietta city and only 35 kilometres to the North West of the Temsah offshore facilities. BP has 100% equity in the discovery.

Notes to editors:

BP has a long and successful track record in Egypt stretching back 50 years, with investments exceeding $20 billion, making BP one of the largest foreign investors in the country. BP’s business in Egypt is primarily in oil and gas exploration and production.
To date, BP Egypt, in collaboration with the Gulf of Suez Petroleum Company (GUPCO), BP’s joint venture (JV) company with the Egyptian General Petroleum Company (EGPC), has produced almost 40% of Egypt’s entire oil production and currently produces almost 15% of Egypt’s annual oil and condensates production.
In addition, through BP’s second JV with EGPC/EGAS, the Pharonic Petroleum Company (PhPC), and together with our partners, BP currently produces more than 30% of Egypt's total gas production.
BP is working to meet Egypt’s domestic market growth by actively exploring in the Nile Delta and investing to add production from existing discoveries
The West Nile Delta (WND) major project is BP’s first operation in Egypt through a BP operating company. With its partner RWE, WND represents a major new source of gas for the domestic market in Egypt.
BP is a 33% shareholder of United Gas Derivatives Company (UGDC), a natural gas liquids plant extracting LPG and propane, in partnership with ENI/IEOC and GASCO (the Egyptian midstream gas distribution company).
BP is also present in the downstream sector through Natural Gas Vehicles Company (NGVC, BP 40%) which was established in September 1995 as the first company in Africa and the Middle East to commercialize natural gas as an alternative fuel for vehicles.

19 June 2015
Rosneft and Skyland Petroleum to Consider Joint Development of Srednebotuobinskoye field

Rosneft and BP Sign Production, Exploration and Refining Agreements

Rosneft and BP today signed several agreements strengthening the long term strategic relationship between the two companies, at the St. Petersburg International Economic Forum.

Rosneft and BP signed final binding agreements for Rosneft’s sale to BP of a 20 per cent share of Taas-Yuryakh Neftegazodobycha (Taas), creating a new joint venture in East Siberia. The document was signed by Rosneft Management Board Chairman Igor Sechin and President of BP Russia David Campbell.

February 2, 2012
Rosneft and Sberbank reach agreement in principle on Taas-Yuryakh project

Rosneft and Sberbank signed a tentative agreement on the acquisition by Rosneft of a 35.3 percent stake in Taas-Yuryakh Neftegazodobycha.

Taas-Yuryakh Neftegazodobycha holds production licences for the Srednebotuobinsk oil and gas condensate field, which is situated 160 km north of the ESPO pipeline. Recoverable oil reserves of the field are estimated at 90.9 million tonnes of C1 and 38.9 million tonnes of С2 category. Due to its size the field was put on the list of Fields of Federal Importance on March 18, 2010. The deal price was set at $444 million, which equals to the historical cost incurred by Sberbank.
“The acquisition is a major step forward in strengthening Rosneft’s world-class reserve base in Eastern Siberia and ensuring deliveries to the Eastern Siberia – Pacific Ocean pipeline. Together with the Yurubcheno- Tokhomsk field, these projects will form the foundation of the Company’s East-Siberian production cluster within the next few years. After closing the deal with Sberbank, Rosneft will be working with other shareholders of Taas-Yuryakh Neftegazodobycha to ensure the success of the project. The company will also reach out to federal authorities to make sure that necessary fiscal conditions are in place for the project to be profitable,” said Rosneft President Eduard Khudaynatov.

Until 2009, the 35.3 percent stake in Taas-Yuryakh Neftegazodobycha was held by Urals Energy, which in the course of the financial crisis in 2008-2009 had to hand over the asset to Sberbank Capital to cover overdue loans. The remaining stakes are held by Yakut Energy Limited (37.4 percent) and Finfund Limited (16.8 percent) as well as Limenitis Holding Limited (10.5 percent). The latter is part of the Ashmore Investment Management Group.


Rosneft completes takeover of East Siberial crude producer Taas-Yuryakh

Russia's largest crude producer Rosneft has completed its takeover of East Siberian crude producer Taas-Yuryakh Neftegazodobycha, the company said in a statement Tuesday.

Rosneft, which now owns 100% of Taas-Yuryakh Neftegazodobycha, did not give a price for the transaction. Prior to the deal Rosneft held 35.3%. The other shareholders in Taas-Yuryakh Neftegazodobycha were Yakut Energy, with a 37.4% stake, Finfund (16.8%) and Limenitis Holding (10.5%).


The venture will further develop the Srednebotuobinskoye oil and gas condensate field which is one of the largest fields in eastern Siberia, currently producing about 20,000 barrels a day. The Taas venture will also undertake the development of suitable infrastructure for further exploration and development of the region’s reserves. Related to this, Rosneft and BP will also jointly undertake the exploration of an associated Area of Mutual Interest (AMI) in the region, covering approximately 115,000 square kilometres.

Commenting on the signing, Igor Sechin said: “Eastern Siberia is a priority area for Rosneft. Taas-Yuryakh Neftegazodobycha is carrying out a set of actions with the aim to further expand local infrastructure and boost production capacities. I’m glad that our cooperation with BP is developing in such a promising area.”

David Campbell said: “I am pleased we have been able to conclude this transaction. It further deepens our relationship with Rosneft and underlines BP’s position and strategy as a successful long term investor in Russia. BP will continue to seek attractive investment opportunities to develop Russia’s substantial resources, whilst continuing to comply with international sanctions.”

Rosneft and BP have also agreed jointly to explore two additional Areas of Mutual Interest (AMIs) in the West Siberian and Yenisey-Khatanga basins covering a combined area of about 260,000 square kilometers. This agreement commits BP and Rosneft jointly to conduct studies and, if successful, establish new joint ventures to obtain licences and perform exploration activities. Any joint ventures will be owned 51 per cent by Rosneft and 49 per cent by BP. As part of this agreement Rosneft and BP will also form a joint venture to carry out further appraisal work on the 2009 Rosneft-discovered Baikalovskiy field inside the Yenisey-Khatanga AMI. Exploration activities in the two AMIs will include screening studies, acquisition of seismic data, and drilling of exploration wells as new licences are added.

Within the framework of the Forum, Igor Sechin and David Campbell also signed a heads of terms to pursue a reorganization of the German Ruhr Oel GmbH (ROG) refining joint venture. The document envisages restructuring the JV by dividing between the parties shares in four refineries and associated infrastructure.

As a result of the planned deal Rosneft will double its shareholding in the Bayernoil refinery – to 25% from 12.5%; the MiRO refinery – to 24% from 12%; and the PCK Raffinerie – to 37.5% from 18.75%.

BP in exchange will consolidate 100% of the equity of the Gelsenkirchen refinery and the solvent production facility DHC Solvent Chemie. The closing of the deal is subject to the fulfillment of conditions precedent, which include inter alia regulatory approvals.         

The restructuring of Ruhr Oel GmbH will enable Rosneft and BP to re-focus their refining and petrochemicals strategies in Germany.

Commenting on the signing Igor Sechin said: “This agreement demonstrates Rosneft’s shift to a fundamentally new level of operations in Western Europe and confirms the Company’s commitment to the creation of the most efficient marketing structure, aimed at the creation of additional value for our shareholders. We are thankful to BP, our strategic partner, for the lessons learned during our joint work within ROG and their support for our new beginnings.”

David Campbell said “Our sole ownership of the Gelsenkirchen refinery will re-focus our refining business in the heart of Europe and is in line with our drive for greater simplification and efficiency.”

Notes to Editors

In November 2014, Taas-Yuryakh Neftegazodobycha produced its one millionth ton of oil after the Srednebotuobinskoye oil and gas condensate field was commissioned in October 2013, owing this result to efficient geological and technical measures, and the construction of wells and infrastructure, including oil and gas containment and treatment units and a delivery/acceptance station.

Also the company constructed a 169 km-long pipeline to the Eastern Siberia-Pacific Ocean oil pipeline system. Today there are as many as 51 producing wells, which deliver about 2.4 thousand tons of crude every day.

Taas-Yuryakh Neftegazodobycha, a Rosneft subsidiary, operates the Srednebotuobinskoye oil and gas condensate field, which is located in the Sakha Republic, Yakutia. The field’s reserves under Taas-Yuryakh Neftegazodobycha’s С1+С2 licensed areas total 133 mln tons of liquid hydrocarbons and 137 bcm of  gas.

In May 2011, Rosneft acquired a 50% share in a joint venture Ruhr Oel GmbH (ROG) in Germany. ROG holds stakes in four refineries in Germany (Gelsenkirchen – 100%, Bayernoil – 25%; MiRO – 24%; PCK– 37.5%). Moreover the joint venture holds stakes in five pipelines and marine crude oil terminals in the North, Baltic, Mediterranean and Adriatic Seas. Rosneft`s partner in the JV on a parity basis is BP Europa SE. ROG is a  German market leader in terms of refining volumes – 21.2 mln tonnes in 2013.

In October 2010 Rosneft reached an agreement with the Venezuelan national oil company (PDVSA) on acquisition of 50% of Ruhr Oel GmbH for USD 1.6 bln (not including working capital). Ruhr Oel owns stakes in four refineries in Germany. The acquisition gives Rosneft a refining partnership with BP, which owns the other half of Ruhr Oel.

Total refining capacities of Ruhr Oel are 23.2 mln tonnes (the net share of Rosneft is 11.6 mln tonnes), which represents about 20% of total refining capacities in Germany. The refineries have advantageous geographical locations and a high complexity index. They are also in excellent condition and fully match the latest requirements for product quality. The share of Urals crude in total refining volumes of Ruhr Oel in 2010 was about 50% and this level may be increased in the future. The Gelsenkirchen Refinery, which is fully owned by Ruhr Oel, has a 3.9 mln tonne petrochemical block producing 250 different products. Rosneft will also have access to the wholesale margin of AMV, which is owned by BP and specializes on wholesale marketing of products on the German market.

The acquisition will increase Rosneft’s refining-to-production ratio, give the Company exposure to the German petroleum product market, and offer access to BP’s know-how in refining and management.

BP Refining & Petrochemicals, BP RP for short, is a wholly owned subsidiary of Deutsche BP, on whose behalf it operates of one of the biggest refinery and petrochemicals systems in Europe. This system, known as Ruhr Oel, is a joint venture between BP and Venezuela’s PdVSA. Each partner has a 50% stake in Ruhr Oel

In 2014, overall Rosneft crude oil supplies to Germany amounted to 20.3 million tonnes, which is almost a quarter of all oil imported to Germany. In addition to the 265,000 b/d Gelsenkirchen refinery, BP will still own and operate the 95,000 b/d Lingen refinery which was not a part of the ROG venture and will maintain a separate 10 per cent share in the 217,000 b/d Bayernoil refinery.


June 19, 2015 

Rosneft and Skyland Petroleum to Consider Joint Development of Srednebotuobinskoye field

Rosneft and Skyland Petroleum Group (SPG) signed Heads of Agreement regarding potential joint venture based on “Taas-Yuryakh Neftegazodobycha” at the St.Petersburg International Economic Forum.
The agreement provides for Rosneft’s sale of up to 29 per cent share of Taas-Yuryakh Neftegazodobycha to Skyland Petroleum Group and creating joint venture for development of Srednebotuobinskoye oil and gas condensate field.
Development of Srednebotuobinskoye field – one of the largest fields in Eastern Siberia - will allow to create infrastructure for further exploration and production in the region.

Notes for editors:
Skyland Petroleum Group has extensive experience in the regions of former Soviet Union, South Asia and the Middle East. The Company's financial partners based in East Asia provide a stable foundation in order for the team to successfully explore and produce properties globally.
Rosneft also signed final binding agreements for sale of a 20 per cent share of Taas-Yuryakh Neftegazodobycha (Taas) to BP at the St.Petersburg International Economic Forum.
In November 2014, Taas-Yuryakh Neftegazodobycha produced its one millionth ton of oil after the Srednebotuobinskoye oil and gas condensate field was commissioned in October 2013, owing this result to efficient geological and technical measures, and the construction of wells and infrastructure, including oil and gas containment and treatment units and a delivery/acceptance station.
Also the company constructed a 169 km-long pipeline to the Eastern Siberia-Pacific Ocean oil pipeline system. Today there are as many as 51 producing wells, which deliver about 2.4 thousand tons of crude every day.
Taas-Yuryakh Neftegazodobycha, a Rosneft subsidiary, operates the Srednebotuobinskoye oil and gas condensate field, which is located in the Sakha Republic, Yakutia. The field’s reserves under Taas-Yuryakh Neftegazodobycha’s С1+С2 licensed areas total 133 mln tons of liquid hydrocarbons and 137 bcm of gas.

Skyland Petroleum Corporation is a new oil and gas exploration and production company established in January 2015 by the British company, Vazon Energy and additional technical staff. The Company's financial partners based in East Asia provide a stable foundation in order for the team to successfully explore and produce properties globally.

Currently Skyland is focused on acquiring projects in the regions around China, particularly the former Soviet Union, South Asia and the Middle East as the technical team has extensive experience in these areas. This, combined with the expertise and financial strength of its Asian partners, Skyland is keen to grow into a large oil and gas company, supplying East Asian and world markets and ultimately securing an important role in the flow of energy to the developing economies of this rapidly growing region.

Vazon Energy Limited  was founded in 1997 and is an energy management business focused on oil and gas as well as other energy and resource activities. 

 17 June 2016  BP 

BP and Rosneft create joint venture to develop prospective resources in East and West Siberia

Rosneft and BP have today signed final binding agreements to create a new joint venture, Yermak Neftegaz LLC, to conduct exploration in the West Siberian and Yenisey-Khatanga basins in the Russian Federation. The document was signed at the XX St. Petersburg International Economic Forum (SPIEF) by Rosneft CEO Igor Sechin and President of BP Russia David Campbell.

The joint venture will focus on onshore exploration of two Areas of Mutual Interest (AMIs) in the West Siberian and Yenisey-Khatanga basins covering a combined area of about 260,000 square kilometers.

西シベリアとYenisey-Khatanga 盆地

Yermak Neftegaz will be owned 51 per cent by Rosneft and 49 per cent by BP.
In the initial stage, the joint venture will carry out further appraisal work on the 2009 Rosneft-discovered Baikalovskiy field inside the Yenisey-Khatanga AMI and on exploration of Zapadno-Yarudeiskoye, Kheiginskoye and Anomalnoye licenses in the West Siberian AMI.

Exploration activities in the two AMIs will include regional research, acquisition of seismic data and drilling of exploration wells, with the beginning of field works anticipated in the winter season of 2016 / 2017. The preliminary agreement relating to this project was signed at SPIEF in 2015.

2015/6/23 BPとロスネフチ、長期戦略関係を強化 

Igor Sechin, Rosneft CEO, said after signing: “These agreements serve as an example of full scale cooperation with BP, Rosneft’s strategic partner and largest minority shareholder. After creation of the Taas-Yuryakh Neftegazodobycha LLC joint venture we are now broadening the geography of our cooperation and creating a precedent which allows us to pursue cooperation in partnership with leading international companies to implement upstream projects at the largest Rosneft greenfield sites in West and East Siberia.”

David Campbell, President BP Russia, said: “This agreement and creation of a new joint venture reinforces BP’s commitment to our strategic investment in Russia and our long term partnership with Rosneft. In the current low oil price environment we continue to look for opportunities for future growth.”

BP has committed to provide up to $300 million in two phases as its contribution to the cost of the JV’s activities at the exploration stage. Rosneft will contribute licenses and operational experience in West Siberia and Yenisey-Khatanga with initial drilling to be performed by Rosneft subsidiaries.

August 9, 2016 Bloomberg                   

BP to sell stake in Chinese joint venture

BP, the UK energy group, is planning to sell one of its biggest Chinese investments, by disposing of its 50 per cent stake in the Secco petrochemicals plant near Shanghai.

上海SECCO石油化工(Shanghai SECCO Petrochemical Company

BP is the latest western oil company to curtail activity in China, as energy groups reel from low crude and petrochemical prices. China’s slow liberalisation of its energy sector has disappointed investors.

Analysts said that the group’s move to exit the Secco plant made sense at a time when Asia was “awash” with petrochemical supplies.

It also comes amid the UK company’s plans to sell between $3bn and $5bn worth of assets this year. BP has made more than $50bn of divestments since 2011 to help pay legal and clean-up bills following the 2010 Gulf of Mexico oil spill.

2016/7/20 BP、原油流出事故の損害、累計616億ドル 

2012/12/3 BP、北海の石油・ガス資産を一部売却  一覧表

State-controlled Sinopec, which also has a 50 per cent stake in the Secco joint venture, said it was “researching” BP’s planned sale.

“We haven’t made any decision to buy or not,” said Sinopec. BP declined to comment.

One analyst, who declined to be named, valued BP’s chemicals business, which is largely Asia focused, at $3bn. This would imply that BP could secure $1bn-$2bn for its Secco stake, the analyst added.

The Secco plant started operations about 10 years ago after $2.7bn of investment by BP and Sinopec. It makes products including ethylene, which is a building block for plastics.

While BP appears keen to scale back its activity in China, it has no plans to exit the country.

The UK company has stakes in several big Chinese petrochemical sites as well as a liquefied natural gas terminal. It does not have any oil or gas production in the country.

Other western oil companies aiming to reduce their presence in China include Total, which is seeking to sell its stake in the Wepec refinery in the north-east of the country. Royal Dutch Shell has shelved a shale gas joint venture in the south-west.

The petrochemical industry is now struggling with overcapacity. “Asia is awash with petrochemicals supplies and in China, even though there is ample demand, the oversupply is translating into lower domestic prices,” said Michal Meidan, analyst at Energy Aspects.

“For BP, that must focus on costs in the current oil price cycle, this probably makes sense.”

While western energy companies have been retreating from Chinese oil investments, Middle Eastern and Russian groups are keen on projects in the country.

Saudi Aramco, Saudi Arabia’s state-controlled oil company, has held on-off talks with China National Petroleum Corporation, parent of PetroChina, about buying a stake in its new refinery in Kunming. No deal has been finalised. Saudi Aramco already holds a stake in a Quanzhou refinery.

Kuwait Petroleum Corp and National Iranian Oil Company have been in talks about investing in Chinese refineries.

Rosneft, Russia’s state-controlled oil company, agreed in 2013 to establish a refining joint venture in Tianjin, the port city near Beijing.

Last year ChemChina, the state-controlled chemicals and refining conglomerate, offered a stake in some of its refineries to Rosneft.

 13 September 2016

BP unveils PTAir - a world-first low carbon and carbon neutral PTA solution

BP today launched PTAirTM, a new low carbon1 and carbon neutral PTA brand with three products that offers a more sustainable solution for the polyester value chain through a combination of world-class technology and carbon management expertise.

A feature of PTAirTM is its use of proprietary PX and PTA technology which supports a 29% lower global warming potential than the average European PTA production2.This low carbon benefit has been independently assured by ERM CVS3.

In addition to this BP will also be launching PTAirTM Neutral, the world’s first certified carbon neutral PTA. PTAirTM Neutral offers customers the opportunity to purchase a carbon neutral product where associated CO2 equivalent emissions are mitigated through the investment in carbon projects providing equivalent CO2 benefits and delivering a net zero position. These projects, located around the world, provide economic, social and environmental benefits to the communities they serve.

Furthermore, through PTAirTM Neutral Products customers have the opportunity to offset all of their product footprint - over and above their PTA use - to achieve full carbon neutrality across their product portfolio. This unique offer is made possible through BP Target Neutral, BP’s longstanding, not-for-profit carbon management programme.

PTAirTM is available in Europe today and BP plans to roll out in the US and Asia in due course.

“Our exciting new PTAirTM product offer is an important stepping stone towards a more sustainable polyester chain,” said Luis Sierra, CEO, BP Aromatics. “PTAirTM is available today in large quantities and seamlessly fits into the current supply chain as a ‘drop in’ substitute for higher carbon, conventional PTA. Moreover it allows our customers to economically achieve a meaningful carbon footprint reduction using a raw material whose eco-profile has been independently measured and verified by respected environmental consultants.”

At today’s product launch, Rita Griffin, BP’s COO, Petrochemicals, said, “Social responsibility and carbon reduction are both high on the public agenda. Retailers and brand owners are seeking more environmentally-friendly solutions that will help reduce the carbon impact of their products and are choosing brands that reflect their concerns for the environment. Through the new BP PTAirTM product suite and collaboration with our customers and our customers’ customers BP are taking an important step to improving sustainability in the polyester industry and moving towards a lower carbon future.”


  1. Based on an independent cradle-to-gate Eco-profile by IFEU reviewed by ERM Certification and Verification Services (ERM CVS). The study conducted by IFEU uses Plastics Europe Methodology to compare the environmental impact of 1 Kg of BP Geel PTA manufactured with BP integrated PX (integrated production) to PTA produced in Europe as published in the Environmental Product Declaration of the PET Manufacturers in Europe February 2016.The study is in accordance to ISO 14040-44 requirements. Data for both studies are based on 2013. Mass balance approach based on proportion of integrated PX versus total consumption. PTAirTM is a trade mark of BP p.l.c
  2. Compared to the Global Warming Potential (100 years) per 1 kg PTA as published in the Environmental Product Declaration of the PET Manufacturers in Europe February 2016. PTA produced by BP Aromatics NV in Geel is included in the European study average and represents ~30% of the total installed production capacity in Europe in the input
  3. The full assurance opinion of ERM CVS can be found on www.BP.com/BP-geel/ptair/assurance

Note to editors

  • BP is one of the world's largest producers of purified terephthalic acid (PTA), paraxylene (PX) and metaxylene (MX). As a global leader in the aromatics business, BP maintains a high level of customer satisfaction and hold leadership positions in cost and technology.
  • BP invented purified terephthalic acid (PTA), which is used in both clothes and polyethylene terephthalate (PET) bottles for water, soft drinks and many other food and non-food packaging products.
  • BP Target Neutral is administered by BP as a not-for-profit scheme - and BP covers BP Target Neutral’s operating costs. BP Target Neutral’s work is governed by an independent advisory panel of prominent environmental and industry experts. The panel ensures that all policies and activities conform to best practice in carbon management, and where possible will set new standards for that best practice.

Sep 15, 2016                    BP to sell stake in Chinese joint venture

Three firms vie for BP's China petrochemicals plant: sources

At least three leading chemical companies are set to vie for BP's stake in Chinese petrochemicals joint venture SECCO which could fetch more than $2 billion, sources close to the process said.

Offers for the 50 percent stake, the British oil and gas company's largest investment in China, will be submitted in the coming days, the sources said.

SK Chemicals Co Ltd, a pharmaceutical unit of South Korea's SK Group; Austrian plastics group Borealis, owned by Abu Dhabi's sovereign wealth fund IPIC and oil and gas company OMV; and privately-owned Switzerland-based chemicals company Ineos are set to bid for the asset, the sources said, speaking on condition of anonymity as the information isn't public.

At least one other company is considering entering the bidding round.

BP's partner in the joint venture, state-owned China Petroleum & Chemical Corp (Sinopec), has a right of first refusal. It has said it is discussing the conditions put forward by BP, but has made no decision.

BP and the three potential bidders declined to comment or were not immediately available to comment.

SECCO, a venture formed in 2001, produces ethylene and propylene, which are used to make resins, plastics and synthetic rubbers.

BP, like other of the world's top oil companies, is in the midst of a divestment drive in order to focus its business and boost cash flow in the wake of the halving of oil prices since mid-2014. It is planning sales worth $3-$5 billion this year.

The company has sold more than $50 billion of assets since a deadly explosion on an oil rig in the Gulf of Mexico in 2010.

BP has sold several assets to Ineos in recent years, including the Grangemouth refinery in Scotland as part of a $9 billion sale of the olefins and refining business Innovene in 2005.

11 October 2016

BP decides not to proceed with Great Australian Bight exploration

BP has taken the decision not to progress its exploration drilling programme in the Great Australian Bight (GAB), offshore South Australia.

The decision follows the review and refresh of BP’s upstream strategy earlier this year, which included focusing exploration on opportunities likely to create value in the near to medium term, primarily building on BP’s significant existing upstream positions.

BP has determined that the GAB project will not be able to compete for capital investment with other upstream opportunities in its global portfolio in the foreseeable future.

“We have looked long and hard at our exploration plans for the Great Australian Bight but, in the current external environment, we will only pursue frontier exploration opportunities if they are competitive and aligned to our strategic goals. After extensive and careful consideration, this has proven not to be the case for our project to explore in the Bight,” said Claire Fitzpatrick, BP’s managing director for exploration and production, Australia.

“This decision isn’t a result of a change in our view of the prospectivity of the region, nor of the ongoing regulatory process run by the independent regulator NOPSEMA. It is an outcome of our strategy and the relative competitiveness of this project in our portfolio.”

Fitzpatrick said BP has informed federal and state governments of its decision.

“This decision has been incredibly difficult and we acknowledge it will be felt across the South Australia region. We have made significant progress with preparations for drilling in the Bight with the support of communities and federal, state and local governments. We acknowledge our commitments and obligations and our priority now is to work with government and community stakeholders to identify alternative ways of honouring these.”

BP has also consulted with its joint venture partner, Statoil, who fully understand BP’s change in strategic direction and accept BP’s decision.

“BP is a long-term, significant investor in Australia, most visibly through our retail network and refinery and also as partners in the North West Shelf and Browse ventures,” added Fitzpatrick. ”We expect to continue to consider further opportunities to invest and grow our business here.”

Notes to editors

BP was awarded exploration licences for four blocks in the Ceduna area of the GAB in January 2011. Seismic data was acquired in the area in late 2011-early 2012. Statoil acquired a 30% interest in the licences in 2013, BP remained operator with 70% interest.

BP has a contract with Diamond Offshore Drilling for the provision of a new Moss CS60E design semisubmersible drilling rig, which Diamond commissioned Hyundai Heavy Industries to build and is specially designed for use in deep water and harsh marine environments. BP’s decision does not impact this rig contract.

1 November 2016                        BP and Rosneft create joint venture to develop prospective resources in East and West Siberia

Rosneft and BP complete the creation of a new joint venture to develop prospective resources in East and West Siberia

Rosneft and BP announce the completion of the deal to create a new joint venture, Yermak Neftegaz LLC, to conduct exploration in the West Siberian and Yenisey-Khatanga basins in the Russian Federation.

Final binding agreements for the new joint venture were signed at the XX St. Petersburg International Economic Forum (SPIEF) in June 2016.

The joint venture will focus on the onshore exploration of two Areas of Mutual Interest (AMIs) in the West Siberian and Yenisey-Khatanga basins covering a combined area of approximately 260,000 square kilometers. Yermak Neftegaz is owned 51 per cent by Rosneft and 49 per cent by BP. Beginning in this coming winter season (2016-17), the joint venture will carry out further appraisal work by starting the drilling of the Bkl-21 well on the 2009 Rosneft-discovered Baikalovskiy field inside the Yenisey-Khatanga AMI and will commence seismic surveys of the Zapadno-Yarudeiskoye block in the West Siberian AMI. The joint venture will also conduct geological exploration of the Kheiginskoye and Anomalnoye licenses in the West Siberian AMI.

Before the completion of the deal the JV partners took a decision to participate in an auction for two E&P license blocks in Krasnoyarsk region - Verknekubinskiy and Posoyskiy, located within the Yenisey-Khatanga AMI. On October 28, 2016 Yermak Neftegaz LLC won the auctions for both exploration and production licenses. Thus the joint venture holds 7 licenses for the use of subsurface resources.

Exploration activities in the two AMIs will include regional studies, acquisition of seismic data and drilling of exploration wells. BP has committed to provide up to $300 million in two phases as its contribution to the cost of the JV’s activities at the exploration stage. Rosneft will contribute licenses and operational experience in West Siberia and Yenisey-Khatanga with initial drilling to be performed by Rosneft subsidiaries.

2016/12/19 BP

BP agrees deal with Kosmos Energy to partner on world-class discoveries in Mauritania and Senegal and cooperate on future exploration

BP announced today that it has signed agreements with Kosmos Energy to acquire a 62% working interest, including operatorship, of Kosmos’ exploration blocks in Mauritania and a 32.49% effective working interest in Kosmos’ Senegal exploration blocks -- acreage which holds world-class deepwater gas discoveries and exploration prospectivity across both countries. 

The approximately 33,000 square kilometres of acreage covered by today’s agreements includes the Tortue field, estimated by Kosmos to contain more than 15 tcf of discovered gas resources.  The total acreage, by Kosmos’ estimates, could contain roughly 50tcf of gas resource potential and in excess of 1 billion barrels of liquids resource potential.

BP will invest nearly one billion dollars mostly in the form of a multi-year exploration and development carry to acquire a 62% interest and operatorship of offshore Blocks C-6, C-8, C-12 and C-13 in Mauritania and an effective 32.49% interest in the Saint-Louis Profond and Cayar Profond blocks in Senegal.

BP chief executive officer Bob Dudley commented: “BP’s entry into Mauritania and Senegal represents an exciting strategic opportunity to work with Kosmos Energy in an emerging world-class hydrocarbon basin. We believe our expertise in integrating the gas value chain, together with a talented exploration partner in Kosmos, along with the support of the Mauritanian and Senegalese governments brings together all the elements needed to create a new LNG hub in Africa.”

In order to reduce development time and drive capital efficiency, the partners plan to process and transport the gas from Tortue at a nearshore LNG facility. The proposed complex could be expanded in phases to accommodate future gas discoveries. 

Under the terms of the agreements, BP and Kosmos have also agreed that Kosmos will remain the technical operator for the exploration phase of the project and drill three new exploration wells beginning in 2017.  

In addition to the existing blocks, the companies have agreed to cooperate in areas of mutual interest in offshore Mauritania, Senegal and The Gambia with Kosmos acting as the exploration operator and BP as the development operator.

Subject to government approvals, the agreements are expected to close by the first quarter of 2017. 

Notes to editors

  • Under the terms of the agreements, BP will pay Kosmos a cash bonus of $162 million on completion. Moving forward, BP will carry Kosmos’ exploration and appraisal costs of $221 million along with Kosmos’ development costs of $533 million, including front-end engineering and design studies. Project sanction is expected by 2018.  
  • Kosmos will also receive a contingent bonus of up to $2 per barrel for up to 1 billion barrels of liquids, as a production royalty, subject to a future liquids discovery and oil price.
  • BP’s proposed share of the Contractor Group results in a working interest
    in Mauritania consisting of Société Mauritanienne Des Hydrocarbures et de Patrimoine Minier 10%, BP 62% and Kosmos 28% and
    an effective working interest in Senegal consisting of Société des Pétroles du Sénégal 10%, BP 32.49%, Kosmos 32.51% and Timis Corporation 25%.


29 December 2016

BP and PTT sign LNG sale and purchase agreement

BP and PTT Public Limited Company (PTT) entered into a sales and purchase agreement for liquefied natural gas (LNG).

Under the agreement, BP will provide PTT with approximately 1 million tonnes of LNG per annum. The term of the agreement is 20 years. LNG supply will commence in 2017 and will be sourced from BP’s diverse portfolio of LNG, including the Freeport LNG Project in the USA.

Paul Reed, Chief Executive of BP Integrated Supply and Trading, said: “BP is pleased to conclude this LNG sale and purchase agreement with PTT, with whom we have a longstanding relationship. Thailand has become a significant LNG market and this agreement with PTT further demonstrates our LNG supply capability in the region.”

Freeport LNGは年間440万トンの能力の液化設備3系列を建設中で、2017年に液化事業を開始することを目指しているが、下記の通り 2系列分について契約を締結している。


BP Energyは2013年2月、年間440万トンの天然ガス液化加工契約に関する契約を締結した。

2013/5/20 米エネルギー省、日本へのLNG輸出を許可

10 May 2018    

BP and China’s NIO Capital to explore opportunities in advanced mobility

BP and NIO Capital (蔚来资本)today announced they have signed a memorandum of understanding (MOU) to establish a long-term partnership to jointly explore opportunities in advanced mobility in China and internationally. This is expected to include potential investment opportunities in areas including electric vehicles, new energy infrastructure, intelligent automotive systems, connected vehicles and new materials including batteries, as well as other areas of possible mutual interest. 

Tufan Erginbilgic, chief executive, BP Downstream, said: “Advanced technology is now driving rapid changes in transportation and China, which is seeing some of the fastest growth in new energy vehicles, is a key market for BP. We are looking to develop fast-charging solutions through partnering and to further develop new and innovative consumer offers. We expect this partnership will extend our participation in advanced mobility, bringing benefits to our retail customers in China.” 

William Li, founder of NIO and NIO Capital, said: “NIO Capital is very pleased to have in-depth cooperation with world-leading energy companies such as BP. As a fund manager with deep industrial resources and perspectives, NIO Capital looks forward to bringing a more enjoyable life experience to consumers by jointly developing and investing in innovative technologies and new business models with BP in the context of smart electric vehicles.”

28 June 2018

BP to acquire the UK’s largest electric vehicle charging company

Chargemaster is the operator of the UK’s largest EV charging network and the leading supplier of EV charging infrastructure.
Acquisition is an important step in scaling up and deploying a fast and ultra-fast charging network on BP’s UK forecourts.
Chargemaster to be rebranded BP Chargemaster.

BP today announced that it has entered into an agreement to purchase Chargemaster, the UK’s largest electric vehicle (EV) charging company. Chargemaster operates the UK’s largest public network of EV charging points, with over 6,500 across the country. It also designs, builds, sells and maintains EV charging units for a wide range of locations, including for home charging.

Tufan Erginbilgic, chief executive, BP Downstream, said: “Bringing together the UK’s leading fuel retailer and its largest charging company, BP Chargemaster will deliver a truly differentiated offer for the country’s growing number of electric vehicle owners.

“At BP we believe that fast and convenient charging is critical to support the successful adoption of electric vehicles. Combining BP’s and Chargemaster’s complementary expertise, experience and assets is an important step towards offering fast and ultra-fast charging at BP sites across the UK and to BP becoming the leading provider of energy to low carbon vehicles, on the road or at home.”

The number of EVs on the road is anticipated to increase rapidly in coming decades. By 2040 BP estimates that there will be 12 million EVs on UK roads, up from around 135,000 in 2017.

The development of convenient and innovative EV charging technologies and networks is a key part of BP’s strategy to advance the energy transition. BP is committed to developing new offers to meet changing customer demand and growing new businesses and supporting opportunities for customers to reduce their emissions.

BP believes that to accelerate the adoption of EVs, customers will require convenient access to fast and ultra-fast charging. BP’s UK retail network is well positioned to provide this access with over 1,200 service stations across the country. A key priority for BP Chargemaster will be the rollout of ultra-fast charging infrastructure, including 150kW rapid chargers capable of delivering 100 miles of range in just 10 minutes. BP customers in the UK can expect to access BP Chargemaster chargers on forecourts over the next 12 months.

“At BP we believe that fast and convenient charging is critical to support the successful adoption of electric vehicles. Combining BP’s and Chargemaster’s complementary expertise, experience and assets is an important step towards offering fast and ultra-fast charging at BP sites across the UK and to BP becoming the leading provider of energy to low carbon vehicles, on the road or at home.”

Founded in 2008, Chargemaster runs POLAR, the largest public charging network in the UK. The POLAR network now includes over 6,500 public charging points. The company has over 40,000 customers of its POLAR network, of which an increasing number choose to pay a monthly subscription, and the remainder access on a pay-as-you-go basis. Chargemaster is also a leading supplier of home charging points across the UK and has strong links with car manufacturers, as the charging partner for a number of car brands in the UK.

David Martell, Chief Executive of Chargemaster said “The acquisition of Chargemaster by BP marks a true milestone in the move towards low carbon motoring in the UK. I am truly excited to lead the Chargemaster team into a new era backed by the strength and scale of BP, which will help us maintain our market-leading position and grow the national POLAR charging network to support the large range of exciting new electric vehicles that are coming to market in the next couple of years.”

Upon completion of the transaction, Chargemaster employees will continue to be employed by BP Chargemaster or its subsidiaries. BP Chargemaster will operate as a wholly-owned BP entity.


 3 July 2018 

BP to increase share in UK’s giant Clair field and sell interest in Alaska’s Kuparuk field

  • Increasing holding in core oilfield, west of Shetland in UK, and selling non-operating interest in Alaskan asset.
  • Buying 16.5% in Clair field from ConocoPhillips; selling interest in Greater Kuparuk Area to ConocoPhillips.
  • Two transactions together expected to be cash neutral for BP.
BP today announced that it has entered into agreements with ConocoPhillips that will significantly increase its holding in the Clair field, a core asset of BP’s North Sea business in the UK, while also selling its non-operating interest in the Kuparuk and satellite oilfields in Alaska.

BP has entered into an agreement to purchase from ConocoPhillips a 16.5% interest in the BP-operated Clair field, west of Shetland in the UK, buying a ConocoPhillips subsidiary that will hold this interest in the field. As a result, BP will hold a 45.1% interest in Clair and ConocoPhillips will retain a 7.5% interest.

Separately BP has entered into agreements to sell to ConocoPhillips BP’s entire 39.2% interest in the Greater Kuparuk Area on the North Slope of Alaska as well as BP’s holding in the Kuparuk Transportation Company.

The Clair field
  • The Clair field, 47 miles (75 kilometres) west of Shetland, was discovered in 1977. The field had more than 7 billion barrels of hydrocarbons estimated originally in place but held in a highly complex and fractured reservoir.
  • The first phase of development of Clair began production in 2005, targeting approximately 300 million barrels of recoverable resources via the first fixed offshore facility to be installed in the West of Shetland area.
  • The second phase of development, Clair Ridge, is targeting a further 640 million barrels of recoverable resources. Construction of Clair Ridge’s two bridge-linked platforms was safely completed in 2016, commissioning activities are now underway and production from the project is expected to begin later in 2018. Peak production is expected to be around 120,000 boed.
  • The Clair partners are now evaluating a potential third phase of development of the field.
  • The current Clair partners are: BP, operator, 28.6%; ConocoPhillips, 24%; Shell UK Limited, 28%; and Chevron North Sea Limited 19.4%.

Greater Kuparuk Area

  • ConocoPhillips is the operator of the Greater Kuparuk Area which includes the Kuparuk oilfield, and satellite fields of Tarn, West Sak, Tabasco and Meltwater.
  • The Kuparuk oilfield, on Alaska’s North Slope 40 miles west of Prudhoe Bay, was discovered in 1969 and began production in 1981.

2018/7/26 BP 

BP transforms its US onshore oil and gas business, acquiring world-class unconventional assets from BHP

Acquisition accretive to earnings and cash flow, delivered within existing financial frame.
Company increases dividend for first time in 15 quarters.

Upgrades and repositions BP’s US onshore business
    Brings advantaged oil and gas assets in world-class basins
Adds 190,000 boe/d production and 4.6 billion boe discovered resources
Boosts liquids share of BP’s US onshore production and resources
Offers growth into the next decade
Creates significant value
    Accretive to earnings and cash flow on a per share basis
Increases Upstream free cash flow target by $1 billion to $14-15 billion in 2021
Generates estimated pre-tax synergies of over $350 million a year
Fully accommodated within existing financial frame
    Total cash consideration of $10.5 billion – 50% on completion, 50% deferred over six months
Up to $5-6 billion of additional divestments planned to fund share buybacks of up to $5-6 billion over time
Unchanged financial frame of $15-17 billion annual organic capital expenditure to 2021, and gearing of 20-30%
Strong free cashflow outlook supports dividend rise for second quarter 2018
    2.5% rise to 10.25c per ordinary share is first dividend increase since third quarter 2014 .
In a move that will upgrade and materially reposition its US onshore oil and gas business, BP has agreed to acquire a portfolio of world-class unconventional oil and gas assets from BHP.
The acquisition will bring BP extensive oil and gas production and resources in the liquids-rich regions of the Permian and Eagle Ford basins in Texas and in the Haynesville gas basin in Texas and Louisiana.
  • The main assets included in this acquisition are:
    • Permian: 83,000 acres with c 3,400 gross drilling locations in the liquids-rich Delaware sub-basin of the Permian in West Texas. Multiple zones provide a deep and highly-economic inventory for future drilling and significant opportunities for application of BP’s industry-leading drilling techniques. Current production, c.40,000 boe/d, c.70% liquids.
    • Eagle Ford: 194,000 acres with 1,400 gross drilling locations in both the liquids-rich Karnes Trough and Eagle Ford wet gas window in South Texas. These present further opportunities for application of leading drilling techniques. There are significant opportunities for cost reduction through synergies with existing BP operations. Current production, c.90,000 boe/d, c.70% liquids.
    • Haynesville: 194,000 acres with 720 gross drilling locations in East Texas and Louisiana. The additions will double BP’s existing Haynesville production, more than triple its acreage position and provides opportunity to capture economies of scale. Current production, c.60,000 boe/d, all gas.
  • BP’s total production in the US today is approximately 744,000 boe/d – c.315,000 boe/d from the US onshore business, c.320,000 boe/d from the Gulf of Mexico, and c.109,000 boe/d from Alaska.
    Following completion of this transaction and the sale of BP’s interest in the Greater Kuparuk Area in Alaska, which is also expected to complete in 2018, BP’s US production is expected to be approximately 885,000 boe/d.

Under the terms of the agreement, BP America Production Company will acquire from BHP Billiton Petroleum (North America) Inc. 100% of the issued share capital of Petrohawk Energy Corporation – the wholly-owned subsidiary of BHP which holds the assets – for a total consideration of $10.5 billion, subject to customary adjustments.

On completion, $5.25 billion, as adjusted, will be paid in cash from existing resources. $5.25 billion will be deferred and payable in cash in six equal instalments over six months from the date of completion. BP intends to finance this deferred consideration through equity issued over the duration of the instalments. Subject to regulatory approvals, the transaction is anticipated to complete by the end of October 2018.

Bob Dudley, BP group chief executive, said:
“This is a transformational acquisition for our Lower 48 business, a major step in delivering our Upstream strategy and a world-class addition to BP’s distinctive portfolio. Given our confidence in BP’s future – further bolstered by additional earnings and cash flow from this deal – we are increasing the dividend, reflecting our long-standing commitment to growing distributions to shareholders.”

Accretive acquisition, disciplined value growth

After integration of the acquisition with BP’s existing US onshore business, the transaction will be accretive to BP’s earnings and cash flow on a per share basis. BP expects the acquisition to be fully accommodated within its current financial frame, with organic capital expenditure in a range of $15-17 billion a year out to 2021 and gearing maintained within a 20-30% range.

Following completion of the acquisition, BP intends to make new divestments of $5-6 billion, predominantly from the Upstream segment. The proceeds are intended to fund a share buyback programme of up to $5-6 billion over time. The divestments will be in addition to BP’s ongoing programme of around $2-3 billion divestments a year.

Brian Gilvary, BP chief financial officer, said:
“The financial repositioning we have delivered in recent years and the confidence we have in our outlook for free cash flow allow us to take this extremely attractive opportunity now without any adjustment to our financial frame. This is fully consistent with our commitment to financial discipline and creating value for shareholders. With our planned additional divestments and buybacks, we expect to deliver this major step forward for a net investment of around $5 billion.”

Liquids-rich assets with synergies

BP has agreed to acquire assets with 470,000 net acres of licences, including a new position for BP in the liquids-rich Permian-Delaware basin, and two premium positions in the Eagle Ford and Haynesville basins. The assets have combined current production of 190,000 barrels of oil equivalent per day (boe/d), about 45% of which is liquid hydrocarbons, and 4.6 billion barrels of oil equivalent (boe) resources.

Bernard Looney, BP’s Upstream chief executive, said:
“This is a major upgrade for one of BP’s key Upstream regions, giving us some of the best acreage in some of the best basins in the onshore US. I believe our dynamic, highly-efficient team will be able to unlock the full potential of these assets. This will increase our target for free cash flow from the Upstream by $1 billion, to $14-15 billion in 2021, and provide opportunities for continuing growth well into the next decade.”

The acquisition will significantly increase the liquid hydrocarbon proportion of BP’s production and resources in the US onshore, to around 27% of production and 29% of resources from the current 14% and 17% respectively.

BP’s existing US onshore oil and gas business currently produces around 315,000 boe/d from operations across seven oil and gas basins in five states with resources of 8.1 billion boe. Since BP established it as a separate business organization with new management four years ago, it has grown production and improved capital efficiency, with unit production costs reduced by 34% since 2013.

The combined business will continue to be led by David Lawler, CEO of BP’s existing US onshore business. BP estimates that post-integration it will deliver more than $350 million of annual pre-tax synergies through sustainable cost reductions and commercial and trading opportunities unique to BP.

Growing distributions for shareholders

BP has today announced a second quarter 2018 dividend of 10.25 cents per ordinary share, an increase of 2.5%. This dividend is expected to be paid on 21 September 2018 to ordinary shareholders and American Depositary Share (ADS) holders on the register on 10 August 2018. Holders of ADSs are expected to receive $0.615 per ADS (less applicable fees). A scrip dividend alternative is available, allowing shareholders to elect to receive their dividend in the form of new ordinary shares and ADS holders in the form of new ADSs.


3 October 2018 

BP and Aker BP form strategic technology venture alliance

Alliance will explore joint innovation and technology opportunities
Pair will seek out potential venture capital investments

BP today announced that it has signed a ventures cooperation agreement with Aker BP to explore possible areas of cooperation in the development and deployment of advanced technologies in their businesses.

Through their planned strategic alliance, BP and Aker BP intend to explore potential venture capital investments targeting technology and innovation improvements, including developments in digital twins, advanced seismic techniques and processing, and subsea and robot technology. The alliance is also expected to include identifying and evaluating innovations which could improve the environmental performance of offshore oil and gas production.

Steve Cook BP Technology’s chief commercial officer said: “BP has built a strong track-record of targeted investment through BP Ventures in a range of technologies and sectors. Working together with Aker BP, our alliance will be focused on identifying technologies that could be transformational in the upstream sector, enabling the digital transformation of subsurface characterisation and workflows. Our alliance will help both companies identify and invest in innovation that will help secure and advance our industry’s future. We believe that working together can deliver real value for both BP and Aker BP.”

Karl Johnny Hersvik, the CEO of Aker BP said: “Aker BP is very pleased to expand the cooperation with BP. We want to leverage this alliance to expand our capacity to identify innovative technology companies that can help us to solve our key business challenges. Aker BP targets to become a preferred partner for such companies through various cooperation models, including potential equity investments.”


Aker BP ASA is an oil exploration and development company focusing petroleum resources on the Norwegian Continental Shelf. It is present all over Norway. The headquarters are in Fornebu with additional offices in Trondheim, Stavanger, Oslo and Harstad. The company employs a staff of more than 1,300.

Det Norske Oljeselskap (now DNO International) was founded in 1971.
An oil company named Pertra was created when the oil exploration and production division of Petroleum Geo-Services was demerged in 2001.

In 2007, the new Det Norske Oljeselskap was created by merger of a Norwegian oil company Pertra and the Norwegian interests of DNO.

In 2009, a Norwegian oil company Aker Exploration merged with Det Norske Oljeselskap.

In 2014, Det Norske Oljeselskap bought Marathon Oil's Norwegian daughter company Marathon Oil Norway.

In 2016, Det Norske Oljeselskap and BP's subsidiary BP Norge merged. The name of the company was changed into Aker BP ASA

8 October 2018

National Oil Corporation, BP and Eni agree to work to resume exploration in Libya

Libya’s National Oil Corporation, BP and Eni today signed an agreement expected to lead to Eni and BP working together to resume exploration activities on a major exploration and production contract in Libya.

A letter of intent (LOI) was signed in London by National Oil Corporation chairman Eng. Mustafa Sanalla, BP group chief executive Bob Dudley and Eni chief executive officer Claudio Descalzi.
The parties agreed to work towards Eni acquiring a 42.5% interest in the BP-operated exploration and production sharing agreement (EPSA) in Libya. On completion, Eni would also become operator of the EPSA. BP currently holds an 85% working interest in the EPSA, with the Libyan Investment Authority holding the remaining 15%.

  Current New
BP 85%  Operator 42.5%
Libyan Investment Authority 15% 15%
Eni - 42.5% Operator
Eni have existing exploration and production activities and infrastructure adjacent to onshore areas of the EPSA. Transferring the operatorship to Eni creates the opportunity for the resumption of activity following completion of the transaction and relevant regulatory approvals.

NOC chairman Mustafa Sanalla commented: “This agreement is a clear signal and recognition by the market of the opportunities Libya has to offer and will only serve to strengthen our production outlook. The agreement’s social development guarantee is an important sign of our joint commitment to our staff and the communities in which we work. This initiative will hopefully drive further inward investment and facilitate higher production levels.”

Bob Dudley said: “This is an important step towards returning to our work in Libya. We believe that working closely together with Eni and with Libya will allow us to bring forward restarting exploration in these promising areas.”

Claudio Descalzi said: “This is an important milestone that will help to unlock Libyan exploration potential by resuming EPSA operations that have remained suspended since 2014. It contributes towards creating an attractive investment environment in the country, aimed at restoring Libya’s production levels and reserve base by optimizing the use of existing Libyan infrastructure.”

“This is an important step towards returning to our work in Libya. We believe that working closely together with Eni and with Libya will allow us to bring forward restarting exploration in these promising areas.” 
The EPSA includes three contract areas, two in the onshore Ghadames basin and one in the offshore Sirt basin, covering a total area of around 54,000 km2. Originally awarded in 2007, work on the EPSA has been suspended since 2014.

As part of the LOI, the signatories also reconfirmed their commitment to promote technical training and other social initiatives in Libya.  

As set out in the LOI, the companies intend to finalise and complete all agreements by the end of this year, with a target of resuming exploration activities in 2019.


20 December 2018  BP  

SOCAR and BP explore the creation of a new petrochemicals joint venture in Turkey
  • BP and SOCAR Turkey to evaluate creation of joint venture to build and operate a world-scale PTA, paraxylene and aromatics facility
  • Facility would be located at SOCAR Turkey’s Private Industrial Zone in Aliaga, which includes the recently-inaugurated STAR refinery and major Petkim petrochemicals site
  • Integration with SOCAR’s facilities and infrastructure expected to reduce project costs significantly
  • Facility would use BP’s latest highly-efficient proprietary technology
  • Builds on BP and SOCAR’s longstanding relationship in the region

    SOCAR : State Oil Company of Azerbaijan Republic
BP and SOCAR Turkey today announced that they have signed a heads of agreement (HoA) to evaluate the creation of a joint venture that would build and operate a world-scale petrochemicals complex in Turkey.

The proposed facility, in Aliaga in western Turkey, would produce 1.25 million tonnes per annum (tpa) of purified terephthalic acid (PTA), 840,000 tpa paraxylene (PX) and 340,000 tpa benzene.

PTA is used to manufacture polyesters, which have many uses including food and beverage containers, packaging materials, fabrics, films, and other consumer and industry applications.


Following the signing of the HoA, BP and SOCAR Turkey now expect to undertake design work for the facility, which would allow for the integration of feedstock supplies from the nearby new STAR refinery and Petkim petrochemicals complex, both owned by SOCAR Turkey.


10月に入り、首相を含む Higher Privatization Council 2,040百万ドルで2位で入札したSocar-Turcas-Injaz joint investment group を売却先に決めた。

今回売却先に決まった Socar-Turcas-Injaz joint investment group アゼルバイジャンの石油会社SocarカザフスタンのKazmunaigaz 、トルコの石油会社Turcas Petroleum とサウジの Injaz Projects のコンソーシアムである。

トルコの石油化学進出は1962年に決められ、1965年にPETKIM Petrokimya Holding が設立された。
Yarimca Complex SMPSSBRLDPE等がスタート、次いで Aliaga Complexでエチレンからのコンプレックスが1985年以降スタートした。(その後、Yarimca は老朽化で閉鎖された)


2007/11/6 トルコの国営石化会社 Petkim 売却で逆転劇

With a crude oil processing capacity of 10 million tons, STAR Refinery is underway as the most critical component of SOCAR Turkey’s integrated energy solutions and value chain.

Vagif Aliyev, Chairman of the Board of SOCAR Turkey, said: “We entered the Turkish market in 2008 with the acquisition of Petkim and since then have realized giant projects such as the STAR refinery, TANAP, Petlim Container Terminal and Petkim Wind Power Station. The area covering all of SOCAR Turkey’s projects in Aliaga has recently become the first Private Industrial Zone in Turkey. The immediate proximity to the feedstock and infrastructure provided by SOCAR’s other facilities will contribute significantly to the competitive power of the new facility. Expanding our immense refining and petrochemical complex, built at the gateway to world markets on the Aegean coast of Turkey, we aim to continue to contribute to the economies of the two brother countries – Turkey and Azerbaijan.”

"If taken forward, this would be the largest integrated PTA, PX and aromatics complex in the Western Hemisphere and BP’s first major new aromatics platform since our Zhuhai site in China opened nearly 20 years ago"
Luis Sierra, CEO for BP’s global aromatics unit said: “If taken forward, this would be the largest integrated PTA, PX and aromatics complex in the Western Hemisphere and BP’s first major new aromatics platform since our Zhuhai site in China opened nearly 20 years ago. The combination of BP’s leading proprietary technology and integration with SOCAR’s new refinery could create an outstanding platform to serve Turkey’s growing polyester packaging and textiles industry. We look forward to drawing on the strengths of both BP and SOCAR to explore the creation of a highly competitive facility.”

BP and SOCAR expect to work towards a potential final investment decision in 2019, which could result in start-up of the new plant in 2023.

BP’s latest proprietary PTA technology has significantly lower capital and operating costs when compared with other PTA technologies. It is more energy efficient, uses less water and produces less solid waste than similar technologies on the market. 

BP and SOCAR are longstanding partners in a number of major oil and gas production and transportation projects in Azerbaijan, Turkey and the wider region, including the Shah Deniz 2 gas project in Azerbaijan that began production early this year, exporting natural gas to Turkey and beyond.

 “This proposed new investment is a ‘win-win’ situation for both SOCAR and Turkey. It will not only increase our share in Turkey’s petrochemical markets, but it will also help to reduce Turkey’s imports of these products, hence reducing the foreign trade deficit. All of our projects in Turkey are planned with this goal in mind,” said SOCAR Turkey CEO Zaur Gahramanov.

 “This potential major new direct investment would be our first equity investment in petrochemicals in Turkey, a country where BP has now been present for over 100 years. Turkey operates as a bridging country between the East and West, and between producers and consumers, and its fast-growing economy offers attractive investment opportunities,” said Mick Stump, president of BP Turkey.   


Apr 15, 2019 (MarketLine via COMTEX)

BP to quit shale gas drilling in China

UK-based oil and gas company BP is reportedly planning to withdraw from drilling shale gas in China following poor results.

The company will quit from two production sharing contracts (PSC) that involve drilling shale gas in the province of Sichuan, Reuters reported citing unnamed sources.

International oil majors such as Royal Dutch Shell, Exxon Mobil, ConocoPhillips and Eni have already left the Chinese shale gas drilling sector for similar reasons.

In March 2016, BP signed an agreement with China National Petroleum (CNPC) to explore natural gas potentiality at shale rock formations in the Neijiang-Dazu block in Sichuan.
In the same year, it entered the second agreement to look for shale gas on the Rongchangbei block.

Sources told the news agency that BP planned to quit from these PSC agreements after the drilling of eight to ten wells delivered unsatisfactory results.

According to IHS Markit, one of the wells drilled to a depth of 4,368m delivered around 10,000m³ of gas per day during test production.
The figure is significantly less compared to other CNPC shale gas wells in the same geological zone.

Last week, BP CEO Bob Dudley also said in a news conference that the Sichuan projects are facing ‘great challenges’.

If BP withdraws from the PSC agreements, the Chinese shale gas sector will be left to be dominated by local firms, reported Reuters. However, BP did not confirm its move.


April 8, 2019  

Shell enters China's shale oil scene with joint study with Sinopec

Royal Dutch Shell has entered China’s shale oil sector, signing an agreement with state-owned Sinopec to study an East China block, part of the nation’s early efforts to unlock the potentially massive unconventional resource.

China is already in the initial stages of developing its vast shale gas resources, with production last year making up just 6 percent of total gas output after more than a decade of work. China’s shale oil is at an even more basic phase due to challenging geology and hefty development costs, experts said.

Shale oil makes up less than 1 percent of China’s crude output after several years of development, according to Angus Rodger, research director of Asia-Pacific upstream at Wood Mackenzie.

“China’s shale oil has very low permeability, which means very low per well output that makes the economics hard to work,” said an oil and gas official with China’s Ministry of Natural Resources (MNR). The official declined to be named because he’s not authorized to speak with the press.

Sinopec said on Monday it had agreed with Shell to study the Dongying trough of Shengli in China’s eastern province of Shandong, without giving further details.

Shell confirmed the joint study agreement, but did not offer further comment.

That makes Shell one of the few international oil and gas explorers venturing into China’s shale oil sector, and follows the Anglo-Dutch company’s exit from shale gas drilling in Sichuan province in the southwest after spending at least $1 billion and getting unsatisfactory results.

Unlike shale gas resources, which are highly concentrated in Sichuan, most of China’s shale oil is trapped in eastern regions such as the Songliao and Bohai Rim basins. North China’s Ordos and Junggar basins are also believed to hold large shale oil resources, the experts said.

The Dongying trough is part of the Bohai Rim basin, where top Chinese oil and gas group China National Petroleum Corp (CNPC) said in February that it is developing another small shale oil field with an annual output of 50,000 tonnes this year.

In 2013, U.S. energy firm Hess Corp signed a production-sharing contract with PetroChina, CNPC’s listed arm, to develop the Malang block of Santanghu basin in the northwest region of Xinjiang, China’s first shale oil deal.

Hess quit the block around late 2014 due to poorer-than-expected drilling prospects and as global oil prices plunged, said the MNR official.

“The understanding of geology, resource and the best recovery techniques (for shale oil) has only just begun,” said Woodmac’s Rodger.

Sinopec is hoping Shell’s expertise in shale oil exploration could help the Chinese state major turn around its fortunes at Shengli oilfield as the reserves at the giant conventional oilfield are depleting rapidly, said Rodger.

19 April 2019

BP and partners sanction $6 billion Azeri Central East development offshore Azerbaijan

  • Next stage of development of giant ACG field in Caspian Sea
  • New 100,000 barrel a day platform expected onstream in 2023
  • New development approved in 25th year of landmark partnership 
BP and partners have sanctioned the Azeri Central East (ACE) project, the next stage of development of the giant Azeri-Chirag-Deepwater Gunashli (ACG) oilfield complex in the Azerbaijan sector of the Caspian Sea. 

The $6 billion development includes a new offshore platform and facilities designed to process up to 100,000 barrels of oil per day. The project is expected to achieve first production in 2023 and produce up to 300 million barrels over its lifetime.  

The sanction is the first major investment decision by the ACG partnership since the extension of the ACG production sharing agreement (PSA) to 2049 was agreed in 2017. More than $36 billion has been invested into the development of the ACG area since the original PSA was signed in 1994.

BPは2016年12月23日、同社主導のAIOC (the Azerbaijan International Operating Company) がアゼルバイジャンで操業中のカスピ海で最大の海底油田 Azeri-Chirag-Gunashli (ACG) の開発を2050年まで(その後、2049年12月31日までに変更)続けることで、同国国営石油会社 SOCAR (the State Oil Company of the Republic of Azerbaijan) と基本合意したと発表した。



  現状 延長後 参考
BTC Pipe Line 運営会社
BP 35.78% 30.37% 30.10%
Chevron 11.27% 9.57% 8.90%
SOCAR(アゼルバイジャン国営石油会社) 11.65% 25.00%
国際石油開発帝石(INPEX) 10.96% 9.31% 2.50%
Statoil 8.56% 7.27% 8.71%
ExxonMobil  8.00% 6.79%
TPAO (トルコ) 6.75% 5.75% 6.53%
伊藤忠商事 4.30% 3.65% 3.40%
ONGC(インド) 2.72% 2.31% 2.36%
Azerbaijan (BTC) 25.00%
Eni  5.00%
TOTAL  5.00%
CIECO  2.50%

2017/9/19 国際石油開発帝石、カスピ海ACG鉱区の権益期限延長 

The Azeri Central East (ACE) project is centred on a new 48-slot production, drilling and quarters platform located mid-way between the existing Central Azeri and East Azeri platforms in a water depth of approximately 140 metres. The project will also include new infield pipelines to transfer oil and gas from the ACE platform to the existing ACG Phase 2 oil and gas export pipelines for transportation to the onshore Sangachal Terminal. 

In addition, there will be a water injection pipeline installed between the East Azeri and ACE platforms to supply injection water from the Central Azeri compression and water injection platform to the ACE facilities. 

Construction activities, which will commence this year and run through mid-2022, will take place in-country utilizing local resources. It is expected that, at peak, construction activities will create up to 8,000 jobs. 

BP has a 30.37% stake in and operates the ACG PSA. Partners include SOCAR/AzACG (25%), Chevron (9.57%), INPEX (9.31%), Equinor (7.27%), ExxonMobil (6.79%), TPAO (5.73%), ITOCHU (3.65%) and ONGC Videsh Limited (OVL) (2.31%).

Notes to editors 

  • The ACG Production Sharing Agreement (PSA) was initially signed in September 1994. In September 2017, the PSA was amended and restated to be effective until the end of 2049. The new contract aims to maximize the economic benefits of ACG for Azerbaijan and shareholders over the next 31 years.
  • ACG is a super-giant field and to date more than 3.5 billion barrels (474 million tonnes) of oil have been produced from the field. The oil is exported to world markets, primarily via the Baku-Tbilisi-Ceyhan and Western Route Export pipelines. 
  • To date, total investments of more than $36 billion have been made into the development of the ACG field. 
  • ACG currently has eight offshore platforms – six production platforms and two process, gas compression, water injection and utilities platforms. The platforms export oil and gas to the Sangachal Terminal, one of the world’s largest oil and gas terminals, onshore near Baku. 
  • In 2018, total production from ACG averaged 584,000 barrels per day.
  • The ACG field has been developed in several phases: 
    • Chirag has been producing since 1997 as part of the Early Oil Project (EOP); 
    • Azeri Project Phase 1 - Central Azeri began production in early 2005; 
    • Phase 2 included West Azeri, which started production in January 2006, and East Azeri started production in October 2006; 
    • Phase 3 - Deepwater Gunashli started up in April 2008; and 
    • the latest step of development the Chirag Oil Project – West Chirag, which has been producing since January 2014. 


 3 June 2019

BP to divest mature oil assets in Egypt to Dragon Oil

BP has agreed to sell its interests in Gulf of Suez oil concessions in Egypt to Dragon Oil, the Dubai-based oil and gas company.  Under the terms of the agreement, Dragon Oil will purchase producing and exploration concessions, including BP’s interest in the Gulf of Suez Petroleum Company (GUPCO). Dragon Oil is a wholly-owned subsidiary of the Emirates National Oil Company (ENOC).

The deal, which is subject to the Egyptian Ministry of Petroleum and Mineral Resources’ approval, is expected to complete during the second half of 2019 and is part of BP’s plan to divest more than $10 billion of assets globally over the next two years. Financial details are not being disclosed.

Bob Dudley, BP chief executive, said: “Egypt is a core growth and investment region for BP. In the past four years we have invested around $12 billion in Egypt – more than anywhere else in our portfolio – and we plan another $3 billion investment over the next two years. We look forward to continuing to broaden our business here, working closely with the government of Egypt as we develop the country’s abundant resources.” 

"Egypt is a core growth and investment region for BP. In the past four years we have invested around $12 billion in Egypt – more than anywhere else in our portfolio – and we plan another $3 billion investment over the next two years."

Hesham Mekawi, regional president, BP North Africa, added: “We continue to bring on new developments and deliver important gas supplies for the country. We remain on track to triple our 2016 net production from Egypt by 2020. As we grow our business here, we also keep our portfolio under review. We believe Dragon Oil is well-placed to operate these mature assets, delivering further value for Egypt.”

In the past two years, four new gas projects in Egypt have begun production for BP.  In February, BP announced the start of production from the second stage of the West Nile Delta development – which includes five gas fields across the North Alexandria and West Mediterranean Deepwater offshore concession blocks – producing from the Giza and Fayoum fields. The first stage, producing from the Taurus and Libra fields, started up in 2017. The final stage, developing the Raven field, is expected to begin production late this year. 

When fully onstream in 2019, combined West Nile Delta production is expected to reach up to 1.4 billion cubic feet per day (bcf/d), equivalent to about 20% of Egypt’s current gas production. All the gas produced will be fed into the national gas grid. 

The BP-operated Atoll Phase One gas project began production in early 2018. The Eni-operated Zohr gas field, in which BP is a partner, began production late 2017. 

BP currently produces, with its partners, close to 60% of Egypt’s gas production through the joint ventures the Pharaonic Petroleum Company (PhPC) and Petrobel (IEOC JV) in the East Nile Delta as well as through BP’s operated West Nile Delta fields.

BP has also expanded its investment portfolio in Egypt through its Castrol lubricants business.  Castrol Egypt Lubricants, a joint venture between Castrol UK and TAQA Arabia, was launched in early 2019 to enhance the availability of Castrol products across the country and ensure service to customers and consumers.  

BP is also playing an increasingly active role, helped by Lightsource BP’s joint venture with construction and engineering group Hassam Allam, to unlock opportunities from solar in Egypt.

Notes to editors 
  • BP has a long and successful track record in Egypt stretching back for more than 55 years with investments of more than $35 billion, making BP one of the largest foreign investors in the country. BP’s activities in the Gulf of Suez have generated value for both Egypt and BP over five decades.
  • Today BP’s business in Egypt is primarily in oil and gas exploration and production. BP is working to meet Egypt’s domestic energy market growth by actively exploring in the Nile Delta and investing to add production from existing discoveries.
  • BP has also made a series of discoveries in Egypt in recent years including Satis and Qattameya.
  • In December 2018, BP acquired from Eni a 25% participating interest in the Nour North Sinai concession area offshore Egypt.



18 October 2019    

BP and ZPCC explore the creation of a world-scale acetic acid joint venture in China

BP and China’s Zhejiang Petroleum and Chemical Corporation (ZPCC 浙江石油化工) have signed a memorandum of understanding (MOU) to explore the creation of a new equally-owned joint venture to build and operate a 1 million tonne per annum (tpa) acetic acid plant in eastern China.

The proposed facility – in Zhoushan, Zhejiang Province 浙江省舟山市– would deploy BP’s CATIVA® XL technology to produce acetic acid, a versatile intermediate chemical used in a variety of products such as paints, adhesives and solvents. It is also used in the production of purified terephthalic acid (PTA) of which BP is a leading global manufacturer. 

The potential new plant, which would be an addition to ZPCC’s major integrated refining and petrochemical manufacturing complex at Zhoushan, would be BP’s largest acetic acid producing site in the world.

China is the world’s largest acetic acid market and accounts for more than half of global production capacity. BP is a long-term investor in China with a number of existing petrochemical manufacturing facilities in the country, including two existing acetic acid joint ventures. 

The MOU was signed by Nigel Dunn, chief executive of BP’s Global Acetyls business and Luo Wei, executive director of ZPCC and was witnessed by Xiaoping Yang, BP China Chairman and President, Li Shuirong, Chairman of ZPCC and senior officials from Zhejiang Province. The signing took place at the third International Petroleum and Natural Gas Enterprises Conference (IPEC 2019) in Zhoushan. 

“This is a significant new opportunity for BP in China, one of the world’s fastest-growing markets for petrochemicals,” said Rita Griffin, chief operating officer, BP Petrochemicals. “Combining BP Acetyls’ world-leading technology and know-how, with ZPCC’s world-class mega complex and local expertise, our new partnership will help meet demand for these important products.” 

Li Shuirong, Chairman of ZPCC said: “ZPCC is delighted to sign this MOU with BP to explore this opportunity for acetic acid production. I am confident that this cooperation will help ZPCC to optimize its site structure and improve competitiveness, and together, we shall advance the high-quality development of China’s petrochemical industry.” 

BP’s proprietary CATIVA® XL technology requires significantly lower capital investment and offers superior operating performance when compared with other acetic acid technologies. In support of BP’s commitment to advancing a low carbon future, CATIVA® XL technology is also more energy efficient and has a high production reliability track record, which also contributes to a lower carbon footprint. 

Xiaoping Yang, BP China Chairman and President, added: “We are excited at the potential of this new partnership with ZPCC, a further demonstration of our long-term commitment to the Chinese market. With this proposed investment, we will continue to expand BP’s business footprint in China and to contribute to the country’s economic, environmental and social sustainability.”



24 October 2019

BP’s new technology to enable circularity for unrecyclable PET plastic waste

  • Innovative enhanced recycling technology capable of processing PET plastic waste which currently goes unrecycled
  • BP to complete pilot plant in US in 2020 to prove the technology 
  • At scale, it may offer potential to divert billions of coloured PET bottles and food trays from landfill and incineration
BP has developed an enhanced recycling technology, BP Infinia, that enables currently unrecyclable polyethylene terephthalate (PET) plastic waste to be diverted from landfill or incineration and instead transformed back into new, virgin-quality feedstocks.

BP plans to construct a $25 million pilot plant in the US to prove the technology, before progressing to full-scale commercialization. 

Tufan Erginbilgic, BP's Downstream chief executive, said: “We see our Infinia technology as a game-changer for the recycling of PET plastics. It is an important stepping stone in enabling a stronger circular economy in the polyester industry and helping to reduce unmanaged plastic waste.”

PET is the most commonly used plastic for beverage and rigid food packaging. Around 27 million tonnes of PET a year are used in these applications globally, with the majority – around 23 million tonnes – used in bottles.

Although PET is one of the most widely recycled types of plastic, less than 60 per cent of the PET used for bottles is collected for recycling and only 6 per cent of the total makes it back into new bottles. The rest is either ‘downcycled’, where products are recycled and re-used once before turning into waste, or destined for landfill and incineration.

BP Infinia technology is designed to turn difficult-to-recycle PET plastic waste – such as black food trays and coloured bottles – into recycled feedstocks that are interchangeable with those made from traditional hydrocarbon sources. 

These recycled feedstocks can then be used to make new PET packaging that may be recycled again and again. This could reduce the need for downcycling and divert plastic waste from landfill and incineration.

Charles Damianides, vice president of petrochemicals technology, licensing and business development, continued: “BP is committed to fully developing and commercializing this technology. We have long experience and a proven track record of scaling technology and we firmly believe that this innovation can ultimately contribute to making all types of polyester waste infinitely recyclable.” 

BP’s new pilot plant is planned to be located at its research and development hub in Naperville, Illinois. It is expected to be operational in late 2020 to prove the technology on a continuous basis.

BP sees the potential to develop multiple full-scale commercial plants using this technology around the world. If deployed at scale in a number of facilities, BP estimates that the technology has the potential to prevent billions of PET bottles and trays from ending up in landfill or incineration every year ₃. 


29 June 2020

BP agrees to sell its petrochemicals business to INEOS
  • $5 billion deal for BP’s global aromatics, acetyls and related businesses
  • Next strategic step in focusing portfolio as part of reinventing BP
  • Further strengthens BP’s finances, delivers $15 billion divestment target a year early
BP today announced that it has agreed to sell its global petrochemicals business to INEOS for a total consideration of $5 billion, subject to customary adjustments.
The agreed sale, the next strategic step in reinventing BP, will further strengthen BP’s balance sheet and delivers its target for agreed divestments a year earlier than originally scheduled.

Under the terms of the agreement, INEOS will pay BP a deposit of $400 million and will pay a further $3.6 billion on completion. An additional $1 billion will be deferred and paid in three separate instalments of $100 million in March, April and May 2021 with the remaining $700 million payable by the end of June 2021. Subject to regulatory and other approvals, the transaction is expected to complete by the end of 2020.

Today’s agreement is another deliberate step in building a BP that can compete and succeed through the energy transition. Bernard Looney, chief executive officer BP’s petrochemicals business is focused on two main businesses – aromatics and acetyls – each of which has leading technology and advantaged manufacturing plants, including a strong presence in growth markets in Asia.

In total, the businesses have interests in 14 manufacturing plants in Asia, Europe and the US and in 2019 produced 9.7 million tonnes of petrochemicals.

Bernard Looney, BP chief executive officer said: “This is another significant step as we steadily work to reinvent BP. These businesses are leaders in their sectors, with world-class technologies, plants and people. In recent years they have improved performance to produce highly competitive returns and now have the potential for growth and expansion into the circular economy.

 “I am very grateful to our petrochemicals team for what they have achieved over the years and their commitment to BP. I recognise this decision will come as a surprise and we will do our best to minimise uncertainty. I am confident however that the businesses will thrive as part of INEOS, a global leader in petrochemicals.

 “Strategically, the overlap with the rest of BP is limited and it would take considerable capital for us to grow these businesses. As we work to build a more focused, more integrated BP, we have other opportunities that are more aligned with our future direction. Today’s agreement is another deliberate step in building a BP that can compete and succeed through the energy transition.”

 INEOS is a leading global chemicals company with a network spanning over 180 sites in 26 countries, employing some 22,000 staff worldwide. Over the past two decades, INEOS has acquired a number of businesses from BP, most notably the 2005 $9 billion purchase of Innovene, the BP subsidiary that comprised the majority of BP’s then chemicals assets and two refineries.

 Brian Gilvary, BP’s chief financial officer, said: “With today’s announcement we have met our $15 billion target for agreed divestments a full year ahead of schedule, demonstrating the range and quality of options available to us.”

Gilvary, who led the negotiation with the owners of INEOS, added: “BP has had a long relationship with INEOS and this agreement reflects the mutual respect and trust that exists between us. It is a strategic deal for both parties that recognises both the high quality of the businesses and that INEOS is in many ways a natural owner for them.”

 BP’s aromatics business is a global leader in the production of purified terephthalic acid (PTA), a key feedstock for the manufacture of polyester plastics, and its precursor paraxylene (PX). The business’s largest manufacturing plants are in China, the US and Belgium and it licenses its leading PTA production technology to producers around the world.

The acetyls business produces acetic acid and derivatives such as acetic anhydride, which have uses in a wide range of sectors. It has a diverse base with manufacturing plants in the US, the UK, China, Korea, Taiwan and Malaysia. The sale will also include related interests such as the chemical recycling technology BP Infinia and BP’s interest in acetylated wood developer Tricoya.

In total, the businesses included in the transaction currently employ over 1,700 staff worldwide. These staff are expected to transfer to INEOS on completion of the sale.

 This agreement means that BP has now agreed $15 billion of divestments and other disposals through 2019 and 2020 to date, an amount originally expected to be reached by mid-2021.

 BP expects to report its second quarter 2020 results on 4 August and to hold a capital markets day to set out details of its new strategic direction in mid-September.

Notes to editors

  • The sale agreement includes the whole of BP’s aromatic and acetyls businesses, including assets, technology and licences, as well as related assets.
  • Manufacturing plants, and their primary products, included in the sale:
Americas PTA BP 100% Cooper River, South Carolina
PX and metaxylene BP 100% Texas City, Texas
acetic acid (sales) Production Agreement with Eastman Texas City
Atlas Methanol)
BP 36.9% Point Lisas, Trinidad & Tobago
Europe acetic acid,
acetic anhydride
BP 100% Hull, UK
PTA, PX BP 100% Geel, Belgium
Asia PTA BP 91.9% Zhuhai, China
acetic acid,
acetate esters
BP 51% Chongqing, China
acetic acid BP 50% Nanjing, China
PTA BP 100% Merak, Indonesia
acetic acid BP 70% Kertih, Malaysia
acetic acid
vinyl acetate monomer
BP ~50.9% Ulsan, South Korea
PTA BP 61.4% Taichung, Taiwan
acetic acid BP 50% Mai Liao, Taiwan
  • BP’s petrochemicals assets at Gelsenkirchen and Mulheim in Germany are highly integrated with BP’s Gelsenkirchen refinery and are not included in the sale.
  • In connection with this transaction, INEOS has an option to acquire from BP the research complex located at Naperville, Illinois, for an additional consideration or to enter into a lease or other arrangement for the same.
  • This transaction constitutes a Class 2 transaction for BP under the UK Listing Rules.
  • The gross assets that are the subject of this transaction amounted to $3,496 million as at 31 December 2019. For the year ended 31 December 2019, a replacement cost profit before interest and tax of $396 million arose in relation to these assets (see page 57 of BP’s Annual Report and Form 20-F 2019).
  • Proceeds from the sale will be used by BP for general corporate purposes.


BP and Reliance Industries start joint venture in India

BP and Reliance Industries have announced the start of their joint venture, Reliance BP Mobility (RBML), to expand Reliance’s consumer and aviation fuels business.

The joint venture was agreed in 2019, and the transaction has now been completed with BP paying Reliance US$1bn for a 49% stake. BP will bring its experience in high-quality differentiated fuels, lubricants, retail, and advanced low carbon mobility solutions, to allow Reliance to grow its consumer fuel business as well as expand its presence at airports. RMBL is expected to grow rapidly to meet India’s growing energy needs and it will operate under the brand Jio-bp.

In line with BP’s net zero target, the joint venture aims to provide advanced fuels with lower emissions, electric vehicle charging. RMBL also aims to decarbonise its own operations.


BP and SABIC embark on New Cooperation for Products from Advanced Plastics Recycling   廃プラ→熱分解油→プラスチック

• bp and SABIC have signed a new cooperation to drive a circular economy at the Gelsenkirchen, Germany production site

• The new collaboration will help to increase production of certified circular products that use used mixed plastics as feedstock, thus reducing the amount of fossil resources needed in the petrochemical process.

Bp and SABIC have just signed a new agreement to work together to drive circular economy in the petrochemical activities at the Gelsenkirchen (Germany)  chemical complex of SABIC. Building on a long established relationship between the two companies at the production site, the new collaboration will help to increase production of certified circular products that take used mixed plastics to make feedstock, thereby reducing the amount of fossil resources needed in the petrochemical plants at the site.

Certified circular polymers are part of SABIC’S TRUCIRCLE™ portfolio and are produced using advanced recycling to convert low quality mixed and used plastic, otherwise destined for incineration or landfill, into pyrolysis oil. The oil, which acts as an alternative feedstock to traditional fossil materials, will be processed at bp’s Gelsenkirchen refining site and then used by SABIC in its Gelsenkirchen polymer plants to produce certified circular products. The final material has identical properties to virgin-based polymers and allows plastics to be recycled over and over again, with no loss of properties or characteristics. After successful trials in December 2020, polymer production using the alternative feedstock started at the site early this year.

“SABIC is committed to helping to create a new circular economy where plastic never becomes waste. Advanced recycling allows us to increase the production of more sustainable materials and use our planet’s resources wisely, whilst reducing the use of conventional approaches such as landfill and combustion. Advanced recycling has a crucial role to play in the current recycling mix as it can capture value from plastic waste streams that have traditionally been ignored or discarded,” said Fahad Al Swailem, Vice President, PE & Sales at SABIC. “We continue to increase our collaborations with upstream suppliers and downstream customers, and this new initiative with our long-term partner bp takes us one step further to achieving our vision.”

bp and SABIC have a collaboration going back decades in petrochemicals at the Gelsenkirchen site, which is the starting point for the value chain of the chemical industry’s network in the northern Ruhr Area. The refining and petrochemicals site in Gelsenkirchen plays an important role within the chemical industry in North Rhine-Westphalia, Germany’s most populous state. bp operates one of the largest olefin plants in Germany, with a production capacity of around two million tonnes.

“This is an important milestone in our vision of achieving up to 30 percent of our ethylene and propylene production from sustainable, recyclable raw materials by 2030,” says Wolfgang Stückle, Vice President Refining and Specialities Solutions Europe & Africa at bp. “It is a fantastic achievement on the part of the Gelsenkirchen team, after more than a year’s preparation, to set up the new initiative with our partners at SABIC. At the same time, it is what bp’s recently announced Net Zero strategy is all about.”

The certified base chemicals from bp and the certified circular polymers from SABIC are recognised through the International Sustainability and Carbon Certification plus (ISCC+) scheme that certifies content and standards across the value chain from source to end product. The ISCC+ certification works on what is known as a ‘mass balance system’, meaning that for each tonne of circular feedstock fed into the cracker and substituting fossil-based feedstock, a tonne of the output can be classified as circular.

The circular polymers form part of SABIC’s TRUCIRCLE portfolio and services for circular innovations. The TRUCIRCLE portfolio spans design for recyclability, mechanically recycled products, certified circular products from feedstock recycling of used plastic, certified renewable products from bio-based feedstock and closed loop initiatives to recycle plastic back into high quality applications.

7 December 2021  

Bp takes first major step into electrification in the US by acquiring EV fleet charging provider AMPLY Power

  • Fleet charging is a key part of bp’s electrification strategy and the acquisition of AMPLY Power will accelerate its entry into one of the fastest growing fleet charging segments in the world. 
  • Investment builds on bp’s existing expertise across its core regions of the UK, Germany and China. 
  • bp plans to use its global reach and relationships to grow AMPLY Power and introduce its proven EV fleet charging services and energy management solutions to customers around the globe.
Bp today took its first major step into electrification in the US with the acquisition of AMPLY Power, an electric vehicle (EV) charging and energy management provider for fleets that operate trucks, transit and school buses, vans and light-duty vehicles.    
This investment is aligned with bp’s plan to scale-up next generation mobility solutions, providing the fastest, most reliable and convenient network of charging and digital solutions for customers, including individual drivers and fleet operators.  
By 2030, bp aims to nearly double earnings1 from its global convenience and mobility businesses – increasing from around $5 billion in 2019 – while delivering returns in the range of 15-20%. During this time, bp plans to grow its global network of EV charging points from around 11,000 today to more than 70,000.   
Richard Bartlett, senior vice president, future mobility and solutions, bp: “bp is aiming to speed up electrification in the fast-growing fleet segment, which is key to lowering emissions from the transport sector - the largest contributor to greenhouse gas emissions in the US. As we continue to invest in new forms of infrastructure and technology to serve our global fleet customers, AMPLY Power provides an ideal opportunity to build our EV business in the US. They bring an experienced team, a rapidly expanding customer base and user-friendly digital platform.”  
Founded in 2018, AMPLY Power aims to make EV adoption easy for fleets. The California-based firm has two offers for fleet operators:  

Fully financed Charging-as-a-Service (CaaS) – AMPLY Power provides solutions for the charging of customers’ fleets, including the procurement and installation of hardware, software and operational and maintenance costs. Customers sign 5-to-10year agreements for these services and AMPLY Power charges customers a flat usage rate ($/kWh or $ per mile driven).  


Customer-financed Software-as-a-Service (SaaS) – For customers who prefer to own their charging infrastructure, AMPLY Power offers a software and operate model where customers pay an annual license and service fee for software and managed services. AMPLY Power can manage these customers’ fleet electrification infrastructure services.    

AMPLY Power’s innovative OMEGA Charge Management System software helps fleet operators manage energy costs and optimizes performance by providing real-time monitoring of EV charging operations and preventative maintenance for both vehicles and chargers.    

“bp is aiming to speed up electrification in the fast-growing fleet segment, which is key to lowering emissions from the transport sector - the largest contributor to greenhouse gas emissions in the US." Richard Bartlett, senior vice president, future mobility and solutions, bp 

Vic Shao, founder and CEO, AMPLY Power: “Our mission at AMPLY Power is to accelerate the transition to electric-powered fleets by offering comprehensive solutions that make it easy and cost-effective for operators to use EVs. Now, with support and backing from bp, we can scale our approach to reach new markets while bringing our unique expertise to bp’s broader electric fleet initiatives. bp shares our sustainability values and commitment to technological innovation, making this an opportunity to create a lasting positive impact on the environment and the economy.” 

David Lawler, chairman and president, bp America: “Expanding into EV fleet charging is the latest in bp’s ongoing commitment to help drive the energy transition in the US. This acquisition builds on significant investments in offshore wind earlier this year in New England, onshore wind across seven states and our rapidly growing presence in solar. bp sees enormous opportunity for the US to lead the energy transition, and we’re excited to help the country on its journey to net zero.”  
AMPLY Power was named on the 2021 Global Cleantech 100 list for the second year in a row, and currently has several customer partnerships, including the Logan Bus Company – the largest school bus provider for the New York City Department of Education – and the Anaheim Transportation Network in California. 
Under the terms of the agreement, AMPLY Power will continue to operate independently as part of bp’s global portfolio of businesses. Financial details of the agreement are not being disclosed.  

Notes to editors 

  • AMPLY Power is headquartered in Mountain View, CA and has around 35 employees. 
  • Convenience and mobility is core to bp’s strategy and bp seeks to develop new business models and services working with innovative partners. Electrification is at the heart of bp’s approach to mobility and it is growing its charging businesses around the world, aiming to have over 70,000 public charge points by 2030. 
  • 1 EBITDA: Replacement cost (RC) profit before interest and tax, excluding net adjusting items, adding back depreciation, depletion and amortisation and exploration write-offs (net of adjusting items). 



著名投資家George Sorosの投資企業であるSoros Fund Managementが、Siemensとそのほかの多くの投資家とともに、米国ロサンゼルスの充電スタートアップであるAmply Powerに1320万ドルを投資した。ソロス氏からすると少額の投資だ。

Amplyの創業者で会長でCEOのVic Shaoは「まだ発展途上のわれわれの業界にソロス氏が入ってくるなんて、100万年に1度も考えたことがないよ」と語る。そして化石燃料のエネルギー価格が崩壊しても、シャオ氏によるとAmplyの価値命題には依然として道理がある。

同氏はまた「エネルギーだけの単価なら、電気は化石燃料の半分だ。経済が回復すれば、ソーラーや風力もどんどん安くなるだろう。石油の掘削技術の最低費用は1バレルあたり今20ドルだが、そのあとの処理や蒸留にも金がかかる」と説明する。なおシャオ氏は、Green Chargeの元CEO。Green Chargeはエネルギーの分散保存を実現する企業で、世界最大の国際的エネルギーサプライヤーであるENGIEに買収された。

Amplyには競合他社が多く、電気自動車の車群に対する充電管理の市場はトップ争いも激しい。ElectriphiやEVConnnect、GreenLots、GreenFluxなどの企業が、同様のサービスでしのぎを削っている。今回の資金の使途は、チームと顧客展開の拡大で市場競争に勝つこと。現在Amplyが充電操作を管理している顧客は、カリフォルニア州コントラコスタ郡の交通局であるTri Delta Transitと、ニューヨーク市のLogan Busが所有する電気スクールバスの車隊デモンストレーションなどだ。



シーメンスとソロス氏が加わった新たな資金調達には、以前のシードラウンドの投資家であるCongruent VenturesやPeopleFund、そしてObvious Venturesも参加した。





このサービスは、GMの将来に向けたEV計画の基盤となる新開発の電気自動車アーキテクチャーとバッテリーにちなみ「Ultium Charge 360」と名付けられており、配送、販売、モータープールなどの事業者が必要とするさまざまなツールを提供する。その中には、商用車のドライバーが自宅で充電できるようにするために家庭用充電器を追加する取り組みも含まれる。



GMとBrightDropは、商用バンに適切な電力を供給するための必要なインフラを提供できる企業として、Duke EnergyのeTransEnergy、EVgo、In-Charge Energy、Schneider Electricの4社とともにこの充電サービスを開始する。



2022/03/23 丸紅   


丸紅株式会社は、英国統合エネルギーメジャーであるBP p.l.cの100%子会社で再生可能エネルギー事業に取り組むBP Alternative Energy Investments Limitedと、洋上風力の共同開発および水素を含む脱炭素化を目的としたプロジェクトの共同開発について、パートナーシップ契約を締結しました(*)。本パートナーシップにおける取り組みの第一歩として、日本における洋上風力発電事業の1つの案件で共同開発を進めるべく、丸紅の特別目的会社へBPAEIL社が49%の出資をすることで合意しました。



(*) 本パートナーシップに関連して、bp社は新たに洋上風力開発チームを日本に設立します。



会社名 BP Alternative Energy Investments Limited
本社所在地 Chertsey Road, Sunbury on Thomas, Middlesex TW16 7BP, UK
設立 2006年
事業内容 再生可能エネルギー事業
株主 BP p.l.c (100%)
ホームページ https://www.bp.com/(bpグループのウェブサイト)



BP starts building US solar plant to power Exxon-SABIC petrochemical project

UK energy firm BP has started building a solar project in Texas that will supply electricity to the joint venture petrochemical project of ExxonMobil and SABIC in the US Gulf Coast.

The Peacock Solar project will have a capacity of 187 megawatts defined conditions (MWdc) is located 10 miles north of Corpus Christi in San Patricio County, BP said on 26 September.

Financial details of the solar project were not disclosed.

BP’s 50:50 joint-venture partner – global solar firm Lightsource bp – is developing the project and managing the construction on behalf of the UK energy firm.

“Peacock will sell all of the electricity it generates under a long-term power purchase agreement to Gulf Coast Growth Ventures (GCGV), a joint venture between ExxonMobil and SABIC, which produces materials used to manufacture clothes, food containers, packaging, agricultural film and construction materials,” it said.

GCGV’s complex in Corpus Christi has a 1.8m tonne/year cracker; two polyethylene (PE) production units with a combined capacity of 1.3m tonnes/year; and a 1.1m tonne/year ethylene glycols unit, according to ICIS Supply and Demand Database

“Once online, the solar-generated electricity will be used to partially power our plant and help reduce emissions in support of a net-zero future,” GCGV president Paul Fritsch said.

Start of commercial operations at the complex, which is a joint venture between US energy giant ExxonMobil and Saudi petrochemical major SABIC, was announced in January 2022.