BP indicated in late April 2020 that it has agreed to revise the terms of the supermajor's Alaskan asset portfolio sale to Hilcorp Energy. The total consideration of US$ 5.6 billion will remain the same, however the deal structure and payment phasing will be altered to take into consideration the present oil market downturn. Commenting on the sale revision, BP said "The revised agreement adjusts the structure and phasing of the remaining consideration to include lower completion payments in 2020, new cash flow sharing arrangements over the near term, interest-bearing vendor financing and, potentially, an increase in the proportion of the consideration subject to earn-out arrangements." In late August 2019, BP entered into an agreement to divest its Alaskan asset portfolio to Hilcorp Energy. BPâs divestment of its Alaskan assets is part of the companyâs plan to raise US$ 10 billion over the next two years, following its acquisition of BHPâs US shale assets in 2018. BPâs current Alaskan portfolio encompasses some 178 ADLs, all located in the North Slope region, and includes equity stakes in Prudhoe Bay, Point Thomson, as well as the 1,300km Trans Alaska Pipeline System (TAPS). BP has been active in Alaska for more than 60 years, including at the Prudhoe Bay oilfield, which is the most prolific oil field in US history, having produced over 13 Bbo, with forecasts suggesting that it has the potential to produce more than one billion further barrels.
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