BP Sells Canadian Gas Unit for $1.67 Billion

The deal comes as BP seeks to unlock $30 billion to meet compensation costs linked to last year's Gulf of Mexico oil spill.

BP said on Dec. 1 that it had agreed to sell its Canadian natural gas liquids business to Plains Midstream Canada ULC for US$1.67 billion in cash.

The deal comes as BP seeks to unlock $30 billion to meet compensation costs linked to last year's Gulf of Mexico oil spill caused by a blast on the BP-leased Deepwater Horizon platform.

Despite the latest sale, BP chief executive Bob Dudley said "Canada remains an important part" of BP's "portfolio of growth opportunities to meet North America's energy needs."

BP said the sold business employs 450 people who will transfer to Plains Midstream upon completion of the deal. Plains Midstream Canada ULC is a wholly-owned subsidiary of Plains All American Pipeline.

Copyright Agence France-Presse, 2011

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