BP is selling its U.S. shale gas assets for 1.5 billion dollars.

BP Sells Assets to Regain Investor Confidence

The British energy giant BP has agreed to sell its U.S. shale gas assets for $1.5 billion to Sixth Street in a bid to strengthen its financial stability and regain investor confidence.

Details of the Assets and the Sales Process

According to BP's announcement, this transaction includes non-controlling stakes held by funds managed by Sixth Street in the Permian and Eagle Ford basins. BP's CEO Murray Auchincloss is determined to take steps to address the poor performance of the company's assets in recent years.

New CEO Albert Manifold stated on his first day that the company must take action to reduce costs, sell assets, and increase profitability. The deal will be executed in two phases; approximately $1 billion will be paid in the first phase, with the remaining amount expected to be paid by the end of the year.

Asset Management of BP

Meanwhile, BP's Bpx Energy, which operates its U.S. onshore oil and gas business, will continue to be the operator of all assets. This situation may help to enhance the effectiveness of the company's strategic moves.