Equinor has agreed to acquire BP’s interest in the Bay du Nord project offshore Canada, increasing its ownership to 100% as it advances the development towards a final investment decision (FID) planned for early 2027.
The transaction reflects BP’s ongoing portfolio simplification and gives Equinor increased flexibility to continue maturing the project.
Bay du Nord is located in the Flemish Pass basin, about 500 km east of St. John’s, Newfoundland and Labrador, in water depths ranging from 600 to 1,170 meters.
The development concept is based on a phased subsea development tied back to a floating production, storage and offloading vessel (FPSO).
The initial phase includes the Bay du Nord and Cambriol discoveries and has estimated recoverable resources of more than 400 million barrels of oil. Cappahayden, Harpoon and Baccalieu have been identified as potential future tiebacks.
The project has advanced to front-end engineering and design (FEED), with ongoing work focused on capital efficiency, execution planning and overall project robustness.
To remind, BW Offshore signed a FEED agreement with Equinor back in April 2026 for the Bay du Nord development, which followed its selection as preferred bidder for FPSO unit for the project.
Investment in the project is estimated at about $9.85 billion (C$14 billion), with first oil expected in 2031.
Equinor said it would continue maturing Bay du Nord towards a FID currently targeted for early 2027, subject to market conditions, regulatory approvals and internal approvals.
“Over the past few years, we have strengthened Bay du Nord by improving the business case and reducing key risks. This transaction reflects our confidence in the project as we continue maturing it towards a final investment decision. We will seek opportunities to bring in partners as part of the project's further development”, said Philippe Mathieu, Executive Vice President for Exploration and Production International.