Energean, a London-based independent exploration and production company, is in exclusive talks to acquire some of British Petroleum (bp)’s upstream oil and gas assets in Egypt in a deal that could reach $1 billion, Reuters reported, citing two people involved in the process.

The transaction includes bp’s stakes in the producing offshore West Nile Delta assets, which are jointly owned with Harbour Energy, the independent oil and gas company listed on the London Stock Exchange.

It also includes bp’s 50% interest in the Temsah concession in the Eastern Mediterranean, according to the news agency. The Temsah concession is also operated by Italy’s Eni with a 50% interest. It announced a gas discovery earlier this year estimated at around 2 trillion cubic feet (tcf) following drilling at the Denise West well.

bp, however, wants to retain its Egyptian assets held through Arcius Energy, its joint venture with the UAE-based XRG. These assets include a stake in the giant Zohr gas field.

bp has been operating in Egypt for more than six decades, investing over $35 billion, with joint ventures in the East and West Nile Delta accounting for around 60 % of the nation’s gas output.

Under the management of its new CEO, Meg O’Neill, bp is embarking on a plan to streamline its portfolio, cut debt, and shift capital toward higher‑value projects.

The company has recently agreed to sell its Austrian retail business, completed the divestment of its Gelsenkirchen refinery in Germany, launched the sale of its UK North Sea business, and announced plans to market Archaea Energy, its US biogas subsidiary.

It has reduced its net debt by more than 11% quarter-on-quarter (QoQ) to $22.25 billion in the second quarter(Q2)  of 2026 and now targets $8 billion to $9 billion in total divestment proceeds for full-year 2026.