BP agreed to sell its equity in the Central Area Transmission System (CATS) business in the UK North Sea to Antin Infrastructure Partners for US$486million. BP is currently the operator of CATS.
The sale of CATS will be as a fully operational business, with staff expected to transfer to the new employer with contractual terms and conditions protected under UK TUPE regulations.
Subject to the receipt of regulatory and other third party approvals, BP aims to complete the sale and transfer of operatorship before the end of 2015.
The agreement comprises a payment on completion of $453 million and a deferred amount of $33 million, subject to certain post-closing adjustments.
“CATS has been a great business for BP but, aligned to the recommendations of the Wood Review, we believe securing this new owner will ensure a better long-term future for this key piece of North Sea infrastructure,” Trevor Garlick, regional president BP North Sea said.
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