By OGJ editors
HOUSTON, Sept. 1 -- Petronas agreed to buy BP PLC’s Malaysian ethylene and polyethylene production for $363 million in a transaction expected to close by yearend, subject to certain conditions.
"The agreement concerns BP's 15% interest in Ethylene Malaysia Sdn. Bhd. and 60% interest in Polyethylene Malaysia Sdn. Bhd., both of which are operated by Petronas," BP said in a Sept. 1 news release.
Both production plants are at Kertih on the eastern coast of Malaysia. BP said the transaction will not affect its other businesses in Malaysia.
BP is in the process of divesting various assets to help generate cash to meet financial obligations likely to arise from the Gulf of Mexico oil spill, BP Chairman Carl-Henric Svanberg has said (OGJ Online, July 22, 2010).
Previously, BP agreed to sell its wholly owned BP Exploration Co. (Colombia) Ltd. for $1.9 billion to a consortium of Talisman Energy Inc. and Colombia’s Ecopetrol SA. Subject to regulatory and other approvals, the sale is expected to be completed by yearend.