bp exits Canada's Bay du Nord project, selling its stake to Equinor
The deal covers an average 37.2% interest across ten licences off Newfoundland
bp has agreed to sell its non-operated interest in the Bay du Nord project offshore Newfoundland and Labrador to the project's operator, Equinor, continuing a strategy of simplifying its upstream portfolio and concentrating capital on higher-value opportunities. The transaction covers bp's interests across ten licences tied to the development, representing an average working interest of 37.2%. Financial terms were not disclosed, and the sale remains subject to customary regulatory approvals.
Bay du Nord sits in the Flemish Pass basin, roughly 500km off Newfoundland and Labrador, with Equinor as operator of the deepwater project. bp said it would work with Equinor and other stakeholders to support the transfer of its interest, while retaining full ownership of two exploration licences in the same offshore area.
An executive said the company was proud of the partnership with Equinor and the work done together on the project, but that bp was exercising strict capital discipline and directing spending to the opportunities that create the most value. The divestment is described as the latest step in an ongoing effort to streamline the upstream business and sharpen capital allocation.
