Equinor buys out BP to take all of $10bn Bay du Nord
Norwegian major now owns 100% of the Canadian deepwater project ahead of a 2027 decision
Equinor has agreed to buy BP's interest in the Bay du Nord project offshore Canada, taking full ownership of the deepwater development. BP cast the sale as portfolio simplification, while the deal gives Equinor more room to mature the project toward a final investment decision planned for early 2027, with first oil expected in 2031.
Bay du Nord sits in the Flemish Pass basin about 500 km off Newfoundland and Labrador, and is based on a floating production, storage and offloading vessel with subsea tie-backs. Discovered in 2013, the project has advanced to front-end engineering and design and carries an estimated price tag of around CAD 14bn ($9.85bn).
Equinor executive Philippe Mathieu said the company had strengthened the project's business case and reduced key risks in recent years, and would look to bring in partners. BP's Gordon Birrell said the group was exercising strict capital discipline, directing money to the opportunities that create the most value.
For Newfoundland and Labrador, the stakes are high: the province estimates government revenues of about CAD 20bn ($14bn) and a total GDP contribution of roughly CAD 50bn ($35bn) over the project's life.
