BP mulls sale of stakes in Canadian oil sands assets -sources

BP Plc is
considering the sale of its stakes in three Canadian oil sands
projects, people familiar with the matter told Reuters this
week, as part of the British oil company’s strategy of
retreating from noncore businesses.

BP’s 50 percent stake in the Sunrise project near Fort
McMurray in Alberta, where Husky Energy Inc owns the
rest and is the operator, is the most valuable of the three

It also owns a 50 percent stake in Pike, operated by Devon
Energy Corp, which is still awaiting a final investment
decision, and is majority-owner of the Terre de Grace oil sands
pilot project.

A BP spokesman declined to comment. Sources declined to be
named as the information is confidential.

The three projects are located in northeastern Alberta.

BP has discussed with advisers the possibility of selling
the stakes, though no final decision has been made, the people

If the sale proceeds, BP would deploy capital in more
attractive regions, such as the Permian basin in the United
States, where the rate of return tends to be higher, one of the
people said.

(Reporting by John Tilak in Toronto and Nia Williams in
Calgary; Additional reporting by Ron Bousso in London, Ethan Lou
in Calgary, Alberta; and David French in New York; Editing by
Denny Thomas and Matthew Lewis)