BP's acquisition of Gusheng Energy accelerates its expansion in the bioenergy sector

According to Axis Energy on October 17, BP announced that it has agreed to acquire Gusheng Energy, a leading renewable natural gas (RNG) producer in the United States, a move that will expand and accelerate the growth of
its strategic bioenergy business.

The agreement will be subject to regulatory and shareholder approvals from regulators and Gusheng Energy shareholders with $3.
3 billion in cash and
approximately $8 million in net debt.

Bioenergy is one of
the five strategic transformational growth engines BP plans to grow rapidly this decade.
BP expects investment in transformational growth businesses to reach more than 40% of its total annual capital expenditure by 2025 and plans to increase that to around
50% by 2030.

The acquisition of Gusheng Energy will expand BP's presence in the U.
S.
biogas industry, strengthen its ability to support customers' decarbonization goals, and advance its goal of
reducing the average carbon intensity of the energy products it sells.
BP aims to reduce carbon intensity to net zero
by 2050 or sooner.