• Investing
  • Stock
  • Editor’s Pick
  • Economy
The Significant Deals
Stock

BP seeks buyers for US gas pipeline stake – Reuters

by December 6, 2024
written by December 6, 2024

In a move to address its rising debt levels, BP (NYSE:BP) is actively looking for buyers interested in acquiring a portion of its U.S. natural gas pipeline network, Reuters reported. Sources familiar with the situation have reported that the company might secure up to $3 billion from the transaction. One source indicated that BP is considering selling up to a 49% stake in the network.

The decision to sell assets is part of a broader strategy by BP’s CEO, Murray Auchincloss, to reduce the company’s debt, which has escalated over the past year. The sale is one of several planned divestitures, including stakes in Lightsource BP, its solar segment, and both its onshore and offshore wind operations in the U.S. Auchincloss aims to bolster cash flow and cut down the company’s debt, with a strategic update expected to be provided in February.

BP’s net debt increased to $24.3 billion by the end of September, up from $22.3 billion the previous year, partly due to asset sales falling short of expectations, as revealed in the company’s third-quarter results.

The company’s stock has not been performing well, with a decline of over 18% in value this year, a sharper drop than its industry counterparts. In comparison, Shell (LON:SHEL)’s stock has decreased by 3%, while ExxonMobil (NYSE:XOM) has seen a 14% rise, and Chevron (NYSE:CVX) has experienced a nearly 7% gain.

The U.S. oil and gas pipeline industry has seen a trend of consolidation in recent times, driven by growing production and challenges in obtaining permits for new pipelines, which has made existing infrastructure increasingly valuable.

BP’s U.S. pipeline assets encompass approximately 1,500 miles and are responsible for transporting 1.1 million barrels per day of crude oil, natural gas, and other fuels across the country. The company has refrained from commenting on the sale, and the individuals who disclosed this information did so on the condition of anonymity, as they were not authorized to speak publicly on the matter.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

This post appeared first on investing.com
0 comment
0
FacebookTwitterPinterestEmail

previous post
Jefferies reshuffles machinery, industrial stocks: DE, PCAR, KMT downgraded
next post
OpenAI aims to attract more investment by removing ‘AGI’ clause with Microsoft, FT reports

You may also like

BASF results down on impairments, restructuring

January 27, 2025

European chipmakers slump as traders gauge DeepSeek AI...

January 27, 2025

Nasdaq futures tumble as China’s AI push rattles...

January 27, 2025

China Vanke’s CEO, chairman resign amid growing liquidity...

January 27, 2025

Fuji Media, rocked by sexual misconduct allegations, says...

January 27, 2025

Italy’s MPS shares fall ahead of Mediobanca board...

January 27, 2025

British Land stock drops following stake sale

January 27, 2025

UMG shares rally after new multi-year pact with...

January 27, 2025

BASF shares indicated 3% lower as impairments drag...

January 27, 2025

Ryanair cuts 2026 traffic forecast amid ongoing Boeing...

January 27, 2025
Fill Out & Get More Relevant News








    Stay ahead of the market and unlock exclusive trading insights & timely news. We value your privacy - your information is secure, and you can unsubscribe anytime. Gain an edge with hand-picked trading opportunities, stay informed with market-moving updates, and learn from expert tips & strategies.

    Recent Posts

    • Divided Fed proposes rule to ease capital requirements for big Wall Street banks

      June 26, 2025
    • Women’s Tennis Association extends media rights deal with Tennis Channel through 2032

      June 26, 2025
    • Bumble shares jump 26% as dating company plans to axe 30% of workforce

      June 26, 2025
    • Small-business AI use is lagging, but one firm is channeling Sherlock Holmes and knocking out ‘grunt work’

      June 25, 2025

    Categories

    • Economy (245)
    • Editor's Pick (3,646)
    • Investing (534)
    • Stock (6,426)

    Latest News

    • Divided Fed proposes rule to ease capital requirements for big Wall Street banks
    • Women’s Tennis Association extends media rights deal with Tennis Channel through 2032

    Popular News

    • Bank of England set to cut in February – UBS
    • Canada stocks lower at close of trade; S&P/TSX Composite down 0.96%

    About The Significant deals

    • Privacy Policy
    • Terms & Conditions

    Copyright © 2025 thesignificantdeals.com | All Rights Reserved

    The Significant Deals
    • Investing
    • Stock
    • Editor’s Pick
    • Economy