British Petroleum (bp) has sold 15% of its working interest in its subsidiary in Iraq, BP Energy Company of Kirkuk Limited (BP ECKL), which operates a series of oil and natural gas fields, to Türkiye Petrolleri Anonim Ortaklığı (TPAO).
The agreement was signed during the official visit of Iraqi Prime Minister Ali Al-Zaidi to Türkiye and builds on the Memorandum of Understanding (MoU) signed by bp and TPAO in February 2026. It also follows ConocoPhillips’ previously announced acquisition of a 42% interest in BP ECKL.
Following completion of the transaction, bp will remain the majority shareholder and a key participant in BP ECKL (bp 43%, ConocoPhillips 42%, TPAO 15%).
bp said that the transactions reflect its disciplined approach to capital allocation, bringing together partners with complementary capabilities and expertise to support the next phase of redevelopment in the Kirkuk region.
“Kirkuk is a world-class resource base that can support Iraq’s long-term energy ambitions, and we look forward to working closely with the Government of Iraq and our partners to deliver the next phase of redevelopment,” said Meg O’Neill, CEO of bp.
The development covers an initial phase of oil and gas production of more than 3 billion barrels of oil equivalent (bboe) from the Baba and Avanah domes of the Kirkuk oil field. It also features the adjacent Bai Hassan, Jambur and Khabbaz fields, operated by Iraq’s state-owned Northern Oil Company.
bp reached on July 16 an agreement with investment firm Verdane to divest bp Ventures’ minority stakes in more than 10 portfolio companies.
In addition, the company is in talks with Ithaca Energy, a North Sea oil and gas operator and producer, regarding the sale of its UK North Sea assets in a deal worth nearly $2.69 billion.
Since early 2025, bp has been reshaping its portfolio by reducing spending on lower-priority activities, increasing investment in its core oil and gas operations, and pursuing asset sales to strengthen its balance sheet.
In June, bp signed a concession agreement with Abu Dhabi National Oil Company (ADNOC) and other partners to develop the Bab Gas Cap project in the United Arab Emirates (UAE), in which it will hold a 10% interest.
The project comprises three reservoirs in the onshore Bab Field, where bp will serve as the asset lead for the field. It is expected to produce up to 1.5 billion cubic feet of natural gas per day (bcf/d).
