British Petroleum to sell its biggest asset in China

Almaty. August 9. Silkroadnews – The UK’s largest oil and gas company British Petroleum is seeking buyers for its 50% stake in the Chinese major petrochemical plant SECCO, RBC writes.

The deal is estimated at $2-3 billion. To sell its stake in SECCO BP has already hired an investment bank. The reason for the shares sale is a drive to cash out of business where BP lacks a control.

“A successful deal would mark BP’s first significant exit from a business in China”, Reuters wrote.

SECCO is the largest petrochemical plant in China, built at a cost of $2.7 billion. Among the other shareholders there are China’s state petrochemical company Sinopec and one of its subsidiaries.

Though Sinopec has a right of first refusal on the potential sale, according to Reuters information, the company is unlikely to step in to buy the stake.