Apache to buy $7 billion worth of fields from cash-seeking BP
Apache Corp. said it agreed to buy a handful of BP’s oil and natural gas fields throughout North America and Egypt for $7 billion, though the oil giant’s Prudhoe Bay operations in Alaska were not part of the deal.
Known for purchasing mature oil and gas properties and wringing more value out of them, Apache will scoop up BP properties in Alberta and British Columbia, as well as the Permian Basin of West Texas and New Mexico. All told, the Houston oil and gas company will add estimated proven reserves of 385 million barrels of oil equivalent to its portfolio.
BP will get $7 billion in cash — a big chunk of its goal of raising at least $10 billion this year for its cleanup effort in the Gulf of Mexico. The U.K. oil giant laid out plans last month for a $20 billion victim fund after one of the worst spills in U.S. history.