bp has agreed to sell its non-operated interest in the Bay du Nord project offshore Newfoundland and Labrador, Canada, to Equinor.

The transaction is consistent with bp’s continued focus on portfolio simplification and disciplined capital allocation.

Gordon Birrell, executive vice president, Upstream, said: “We’re proud of our partnership with Equinor and the work we’ve done together to develop the Bay du Nord project. However, bp is exercising strict capital discipline, allocating it to the opportunities that create the most value for bp.”

bp will work with Equinor and relevant stakeholders to support the orderly transfer of its interest.