Report: BP in talks with Apache about possible sale of stake in Alaska’s Prudhoe Bay

Sunday, July 11, 2010

Report: BP ponders Alaska asset sale to Apache

LONDON — BP PLC is talking with Apache Corp. about possibly selling 12 billion pounds ($18 billion) worth of assets including a stake in Alaska’s Prudhoe Bay oil field, The Sunday Times reported.

BP spokesman Robert Wine and Apache spokesman Bill Mintz both said their companies would not comment on “speculation.”

The Sunday Times said Apache, based in Houston, was discussing the possibility of acquiring BP assets. The newspaper did not cite a source for its report.

BP has said it plans to raise $10 billion this year selling assets, but analysts said is likely simply speeding up an ongoing program.

The company agreed last month to set aside some assets as security while it builds up a $20 billion compensation fund agreed upon with the U.S. government to guarantee that the oil company pays for all the damage from the massive Gulf Coast oil spill.

BP says it has already spent more than $3 billion dealing with the spill.

Apache exploration and production interests include the Gulf of Mexico, the Gulf coast, the Western sedimentary basin of Canada, Egypt, western Australia, the North Sea and South America.

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