BP has agreed to sell its interest in four Alaskan oilfields to concentrate on Prudhoe Bay, the largest field in North America, following changes to the state’s tax laws.The British company revealed on Tuesday night that it will offload the Endicott and Northstar oilfields and a 50pc interest in each of the Liberty and the Milne Point fields, on the North Slope of Alaska, to independent US energy firm Hilcorp.
The sale also includes BP’s interests in the oil and gas pipelines associated with these fields.
The assets represent about 19,700 barrels of oil equivalent per day of net production for BP, less than 15pc of the company’s total net production on the North Slope.
Financial details of the deal, which is expected to be completed by the end of the year, were not disclosed. About 250 jobs are affected by the sale, with the company “committed to providing clarity about their future as soon as possible”.

“This agreement will help build a more competitive and sustainable business for BP in Alaska” said BP Upstream chief executive Lamar McKay.“It will allow us to play to two of our great strengths, managing giant fields and gas value chains.

“We will now concentrate on continuing development and production from the giant Prudhoe Bay field and working to advance the future opportunity of Alaska liquefied natural gas.”

The move comes less than a year after Alaskan Governor Sean Parnell scrapped a system that tied oil producers’ taxes to the price of crude. It triggered investments from BP and Conoco that could boost the state’s oil output by 90,000 barrels a day within four years and renew exploration in an area estimated to hold 3.82bn barrels.

In December, Alaska’s Department of Revenue raised its forecast for oil output by 1.6pc in 2017 to 492,200 barrels a day and by 3.9pc in 2018 to 468,300.

BP plans to build two drilling rigs, one in 2015 and a second in 2016, at a total cost of $1bn in Prudhoe Bay, one of the 20 largest oil fields ever discovered. It is also looking at launching a further $3bn-worth of projects in the area.

http://www.telegraph.co.uk/finance/newsbysector/energy/oilandgas/10781469/BP-to-sell-Alaskan-oilfields-after-change-to-tax-laws.html