KEY POINTS
- BP is considering selling some Egyptian gas assets as part of a broader company restructuring drive.
- BP has invested over $35 billion in Egypt across six decades and produces 60 percent of its gas.
- New CEO Meg O’Neill is pushing BP toward faster growth in core oil and gas production globally.
BP is considering selling some of its natural gas assets in Egypt as new chief executive Meg O’Neill pushes the British supermajor through a restructuring aimed at refocusing the company on core oil and gas production.
Multiple sources familiar with the plans confirmed the potential sale to Reuters on Friday. BP has not made any final decision. A company spokesperson said BP does not comment on market speculation.
The timing is notable. BP has operated in Egypt for more than 60 years and invested over $35 billion in the country over that period. Through joint ventures with the Pharaonic Petroleum Company and Petrobel in the East Nile Delta, as well as BP-operated fields in the West Nile Delta, BP and its partners currently produce roughly 60 percent of Egypt’s total natural gas output.
A fresh discovery and a shift in strategy
Last month, BP announced a gas and condensate discovery offshore Egypt following the successful drilling of the Denise W-1 exploration well in the Temsah Concession in the Eastern Mediterranean. The find lies less than 10 kilometers from existing infrastructure, creating strong potential for fast-track development. It was BP’s second exploration discovery this year, following 12 in 2025.
The announcement came days after O’Neill took over as CEO and pledged to restructure BP to position it for long-term profitable growth in oil and gas. She is pushing harder and faster than her predecessor to return the company to its core business after a turbulent first half of the decade.
Egypt in context and what comes next
Two years ago, BP and ADNOC’s international energy investment arm, XRG, formed a joint venture called Arcius Energy, initially focused on developing gas assets in Egypt. That partnership adds complexity to any potential asset sale and will likely shape how any transaction is structured.
Beyond Egypt, BP’s pivot is moving on multiple fronts. Earlier this week the company acquired a 40 percent stake in a production sharing agreement covering six oil and gas blocks in Uzbekistan, marking its entry into Central Asia as it hunts profitable opportunities to grow its upstream portfolio.
Whether the Egyptian gas sale moves forward will depend on buyer interest, asset valuations and how O’Neill chooses to sequence a restructuring that is still in its early stages. Egypt remains one of BP’s most significant long-term positions, and any decision to sell will be watched closely across the energy sector.
