bp has agreed to sell minority stakes in some of its U.S. onshore pipeline assets in the Permian and Eagle Ford basins to investment firm Sixth Street for $1.5 billion.
The sale is part of a $20 billion divestment program aimed at bringing debt levels down that the group is running to end-2027, and comes as bp reviews its oil and gas portfolio and cuts costs.
UBS analyst Josh Stone called the announcement a "small positive," which is expected to bring bp's leverage ratio down about 1%, with a net income impact of around $100 million to $200 million.
bp has been under pressure from investors and became the target of activist investor Elliott after an ill-fated foray into renewables hit profitability.
Once the sale is completed, bp's U.S. onshore oil and gas business, bpx energy, will hold a 51% stake in the Permian assets and 25% in the Eagle Ford assets.
bp is scheduled to report third-quarter results on November 4.
