28 September 2018
BHP has completed the sale of its Fayetteville Onshore US gas assets to a wholly owned subsidiary of Merit Energy Company (Merit). Merit acquired 100% of the issued share capital of BHP Billiton Petroleum (Arkansas) Inc. and 100% of the membership interests in BHP Billiton Petroleum (Fayetteville) LLC, which hold the Fayetteville assets, for a total consideration of US$0.3 billion.
Completion of the sale of BHP’s interests in the Eagle Ford, Haynesville and Permian Onshore US oil and gas assets to BP American Production Company (a subsidiary of BP Plc) is expected to occur by the end of October 2018. Completion of that sale is subject to the satisfaction of customary regulatory approvals and conditions precedent.
About the Fayetteville Onshore US assets
The Fayetteville production operation is located in north central Arkansas and consists of approximately 258,000 net acres1. In the 2018 financial year Fayetteville produced 13.3 million barrels of oil equivalent (79.9 billion cubic feet of gas).
1 BHP Annual Report 2018