BP acquires additional share of Claire field, divests shares in Kuparuk field

BP has reached an agreement with ConocoPhillips to “significantly” increase BP holdings in the Clair field west of Shetland, United Kingdom, and BP has announced plans to sell non-operating shares in the Kuparuk field in Alaska.

Under the BP-ConocoPhillips agreement, BP will acquire a 16.5 percent interest in the Clair field by purchasing a subsidiary of ConocoPhillips. Following the transaction, BP will hold 45.1 percent interest, and ConocoPhillips will retain 7.5 percent interests.

“This is a further step in focusing our portfolio around core assets and developments which have the potential for significant growth,” BP Upstream Chief Executive Bernard Looney said. “Clair is a key advantaged oilfield for our North Sea business, a giant resource whose second phase is about to begin production and which holds great potential for future developments.”

There are an estimated 7 billion barrels of hydrocarbons in the complex fractured reservoir Clair field. BP currently operates the area and holds a 28.6 percent interest, with production from the first phase of development beginning in 2005.

The Greater Kuparuk Area, meanwhile, is operated by ConocoPhillips Alaska. In addition to the Kuparuk oil field, it includes satellite fields in Tam, Tabasco, Meltwater and West Sak. Average daily gross production was approximately 108,000 barrels per day in 2017.

“In Alaska, this transaction will increase our focus on managing our deep resource base at the massive Prudhoe Bay oilfield and help enable a more competitive and sustainable business for BP,” Looney said.