TLM

BP PLC (BP) said Tuesday it has agreed to sell its Colombian oil and gas exploration and production business to Ecopetrol SA (ECOPETROL.BO) and Talisman Energy Inc. (TLM.T) for $1.9 billion.

BP is looking to divest about $30 billion in assets over the next 18 months to raise money to cover the cost of the Gulf of Mexico oil spill. BP has already struck a $7 billion deal to sell assets in North America and Egypt to Apache Corp. (APA).

"I am delighted with the price we have achieved for these assets," said BP Chief Executive Tony Hayward, who will step down on Oct. 1. "BP has been involved in Colombia for more than 20 years...but it now makes sense for the assets to go to owners more willing than BP to invest in their future development."

Ecopetrol, Colombia's national oil company, will buy 51% of the business and Talisman 49%. They will pay BP a cash deposit of $1.25 billion and the balance when the deal passes regulatory approvals, expected by the end of this year.

BP's Colombia business has interests in five producing fields, four separate pipelines and two offshore exploration blocks, the company said. Net proved reserves total some 60 million barrels of oil equivalent and net production of approximately 25,000 boe a day.

The agreement does not affect BP's Castrol lubricants business and other downstream oil activities in Colombia.

Barclays Capital acted as sole advisor to BP on the transaction.

 
   -By James Herron, Dow Jones Newswires; +44 (0)20 7842 9317; james.herron@dowjones.com 
 

Grafico Azioni Talisman (NYSE:TLM)
Storico
Da Giu 2024 a Lug 2024

Grafico Azioni Talisman (NYSE:TLM)
Storico
Da Lug 2023 a Lug 2024