Subscribe to the BlogOil giant BP has announced a deal that will allow it to begin exploring off the coast of Brazil. It will pay US firm Devon Energy $7bn (£4.7bn) in cash for its Brazilian assets, as well as US deepwater sites in the Gulf of Mexico.
The deal includes 10 exploration "blocks" in Brazil, which has some of the world's largest deepwater oil fields.
BP is also selling Devon half its stake in some Canadian oil fields for $500m."Through our entry into Brazil, BP will add a major position in another attractive deepwater basin," said Andy Inglis, BP's head of exploration and production.
They are clearly betting is real big.