- BP collected ~$38B last year in its divestiture plan - mostly to help pay for oil spill costs - and has signaled it wants to keep lightening its load, but analysts say BP can afford to take more time, be more deliberate and negotiate for more lucrative deals.
- BP also may prefer to strike deals that are smaller than the $5B-and-up sales it pursued in the past two years, and it may sell smaller interests in projects it wants to retain rather than sell off entire prospects, Edward Jones analyst Brian Youngberg says.
- The oil giants have struggled to grow, Youngberg says, noting that Chevron (CVX) produced less oil in 2013 than it did in 2003; the oil spill may have been a blessing in a sense, since otherwise BP’s portfolio may have remained stagnant for years - “Sometimes it takes an emergency for someone to take action."
BP's multibillion-dollar asset selloff enters new phase
Feb 12 2014, 14:43 ET