bp has announced an agreement to sell its US onshore wind business, BP Wind Energy North America Inc., to LS Power, a prominent energy infrastructure company. The business will be integrated into LS Power’s portfolio company, Clearlight Energy, expanding its operational capacity to approximately 4.3GW.
BP Wind Energy includes interests in 10 operating wind farms across seven US states, with nine sites under its operation. These assets, already supplying power to over 15 off-takers, have a total gross capacity of 1.7GW (1.3GW net to bp). The company’s skilled workforce is expected to transition to LS Power upon deal completion.
The sale aligns with bp’s strategy to streamline its low carbon energy portfolio while maximizing shareholder value. William Lin, EVP for gas & low carbon energy at bp, stated: “The onshore US wind business has great assets and fantastic people, but we have concluded we are no longer the best owners to take it forward.”
LS Power, which already manages 21GW of energy assets and more than 780 miles of high-voltage transmission lines, sees this acquisition as a step to bolster its renewable energy footprint. CEO Paul Segal commented: “These well-located assets with structured contracts will help us meet growing US energy demand and drive value for our stakeholders.”
The transaction, part of bp’s $20 billion divestment programme, is expected to close by year-end, pending regulatory approval.
