BP Scraps Planned Exploration of Great Australian Bight Offshore Oil Field as It Diverts Funds Elsewhere

BP (BP) scrapped a plan to explore the Great Australian Bight (GAB,) offshore South Australia as the company seeks to deploy its capital resources elsewhere.

“The decision follows the review and refresh of BP’s upstream strategy earlier this year, which included focusing exploration on opportunities likely to create value in the near to medium term, primarily building on BP’s significant existing upstream positions,” the company said. “BP has determined that the GAB project will not be able to compete for capital investment with other upstream opportunities in its global portfolio in the foreseeable future.”

This decision isn’t a result of a change in its “view of the prospectivity of the region,” nor of regulatory processes, BP said.

The American depositary shares traded 2.3% lower on Monday morning in New York.

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