BP Bolsters Clean Energy Push With U.S. Solar Deal

(Bloomberg) —

BP Plc made a big stride in reaching its low-carbon generation target with a brace of solar power deals unveiled Tuesday.

The oil and gas giant agreed to buy 9 gigawatts of solar projects in the U.S. from 7X Energy, London-based BP said in a statement. It’s joint venture Lightsource BP is also entering the Greek market with a 640-megawatt solar development it won at auction in partnership with local company Kiefer TEK.

“When you consider the 20-gigawatt target we’ve laid out until 2025, it’s a significant move forward,” Dev Sanyal, BP’s head of gas and low-carbon energy, said in an interview.

BP’s solar expansion is part of a strategy to produce more power from the wind and sun and to extract fewer hydrocarbons as it seeks to slash its greenhouse-gas emissions by the middle of the century. It expects to have 20 gigawatts of low-carbon energy under final investment decision by 2025, reaching 50 gigawatts by the end of the decade.

BP Starts Offshore Wind Recruitment Push as Green Ambitions Grow

BP will pay $220 million for the U.S. projects and 1 gigawatt of “safe harbor” equipment eligible for tax credits, with the deal expected to complete in 30 days. The assets, which are not currently generating solar power, boost BP’s total pipeline of renewables projects to 23 gigawatts.

The transaction “represents a major statement for the company’s accelerating energy-transition strategy, in our view, alongside a 40% decline in oil and gas volume by 2030,” according to Will Hares, a Bloomberg Intelligence analyst.

BP expects to generate at least 8% to 10% returns from the projects, although “the market is definitely becoming more competitive, the market is also growing” Sanyal said. But as an integrated energy company, BP can still meet its return threshold thanks to its extensive customer base, it’s operating experience and trading capabilities, he said.

The U.S. assets are BP’s first wholly-owned projects since the company re-entered the solar market in 2017, a company spokesman said.

While the major’s venture Lightsource BP also announced its entry into the Greek solar market on Tuesday, BP is “not looking to place a flag on every mountain,” Sanyal says. The U.S. is an important, growing market for BP, but it will continue to look at other parts of the world for potential assets.

The U.S. assets are whole owned by BP, but will be run by Lightsource BP, in which the major has a 50% stake.

***

By Laura Hurst

 

Follow us on social media for the latest updates in B2B!

Twitter – @MarketScale
Facebook – facebook.com/marketscale
LinkedIn – linkedin.com/company/marketscale

 

Follow us on social media for the latest updates in B2B!

Image

Latest

Mike Dermont Diversified talks AV and healthcare experience
AV’s Critical Role in the Future of Healthcare Experience
July 15, 2025

As healthcare organizations face growing pressure to improve healthcare experience, patient outcomes, streamline operations, and address chronic staffing shortages, audiovisual (AV) technologies are becoming essential tools in delivering high-quality care. From in-room monitoring to patient communication systems, the AV industry is stepping up to meet the evolving demands of a sector that touches every life….

Read More
Applied Digital
Workforce, Housing, and Growth: How Applied Digital Is Revitalizing a Rural Town Through AI Infrastructure
July 15, 2025

As AI infrastructure spreads beyond tech hubs and into America’s heartland, companies face a new imperative: not just to build facilities—but to build trust, local partnerships, and long-term value for the communities that host them. In Ellendale, North Dakota, Applied Digital’s Polaris Forge 1 campus has become a case study in what rural revitalization…

Read More
Sepsis
Challenges of Identifying and Reducing Sepsis Mortality – Episode 2
July 15, 2025

Michael Rothman explores the complexities of sepsis identification and management, highlighting the challenges posed by varying definitions and clinical pathways. He discusses the ineffectiveness of current sepsis screening protocols, which often yield high false-positive rates and fail to reduce mortality meaningfully. The episode concludes by questioning the focus on sepsis-specific initiatives and suggesting that more…

Read More
engineering community
The Future of the Engineering Community: Equity, AI, and Real Connection
July 15, 2025

The Engineer Who Builds Communities, Not Just Systems! Angelie Vincent has spent more than two decades in aerospace engineering, but her real legacy might be the communities she’s built along the way. Now an AI Integration Engineer at Boeing, Angelie joins Professional Quotient host Jason Winningham for a wide-ranging conversation on neurodivergent leadership, workplace…

Read More