BP PLC has announced the sale of its North Sea business, marking the end of its production history in the basin that spans more than six decades.

The company currently operates five hubs in the southern North Sea, employing around 1,100 staff and producing nearly 100,000 barrels of oil equivalent per day. Chief Executive Officer Meg O'Neill stated that while the North Sea remains a vital part of the UK energy system, the business could be more promising under different ownership as the company focuses its portfolio on high-value opportunities. She emphasized that BP PLC's global headquarters will remain in the UK, and the country, as the company's home for over a century, will continue to play a significant role.

Earlier this year, BP PLC held advanced talks with Ithaca Energy for a deal worth nearly 2 billion pounds, but the negotiations did not result in an agreement. BP PLC is one of the last major oil companies with a significant independent presence in the region, as many of its peers have already merged their assets or put them up for sale.

The decision to sell comes shortly after UK Prime Minister Andy Burnham, following a phone call with US President Donald Trump, pledged a "pragmatic" approach to North Sea drilling. Burnham stated this week that the North Sea holds resources that cannot be ignored amid the difficulties facing the public.

BP PLC noted that initiating the formal sale process reflects its rigorous capital allocation principles. The CEO had previously expressed that she sees "untapped potential" in the North Sea, but the company's current decision is based on a shift in strategic priorities.