BP sells stake in Canada offshore oil project to Equinor

Investing.com -- BP agreed to sell its stake in the Bay du Nord offshore oil project in Canada to partner Equinor, the companies said on Monday. Financial terms of the transaction were not disclosed.

Equinor will become the sole owner of Bay du Nord after acquiring BP's 37.2% stake. The Norwegian energy company plans to advance the project toward a final investment decision in early 2027.

The sale is part of BP's efforts to reshape its portfolio to improve profitability, reduce debt and focus capital on higher-return oil and gas projects. BP will keep its 100% ownership of two exploration offshore licenses in the Canadian province of Newfoundland and Labrador.

The Bay du Nord development is located in the Flemish Pass Basin about 500 kilometers east of St. John's in Newfoundland and Labrador. The project is expected to tap more than 400 million barrels of oil in its initial phase. It is based on a floating production, storage and offloading vessel with subsea tiebacks.

Equinor targets first oil for 2031, with required investment estimated at about C$14 billion.

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