BP makes first venture into offshore wind power

Oil giant BP, which announced a seismic strategy shift last month, made its first venture into offshore wind power with a $1.1 billion (€928 million) purchase of US assets from Norway's Equinor.

The deal marks the start of an offshore-wind investment partnership in the region for the two companies, which have been at the forefront of the rapid changes in the oil industry as companies seek to adapt to the realities of climate change.

BP has taken the boldest steps so far in abandoning the oil-supermajor business model. Just six months after taking the helm, chief executive Bernard Looney said in August he would shrink oil and gas output by 40 per cent over the next decade and spend as much as $5 billion (€4.22 billion) a year building one of the world's largest renewable-power businesses.

BP will receive a 50 per cent stake in the Empire Wind and Beacon Wind developments off New York and Massachusetts, respectively, the companies said in two separate statements on Thursday. Equinor will retain 50 per cent in both, and continue to be the operator. – Bloomberg