Shell ‘in the conversation to get BP’

Wednesday 25 June 2025 17:58
| Updated:

Wednesday 25 June 2025 17:59

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Oil giant shell has denied the report that they were involved in the conversation to obtain a rival BP.

BP shares jumped as much as eight percent after the report on the potential agreement was revealed.

But Shell’s spokesman has now refused the rumors as “market speculation” and said “no talks occur”.

The executive at Shell is said to be in the initial stage of negotiations over an agreement that will represent one of the biggest acquisitions ever in the UK, the Wall Street Journal initially reported.

BP officials are reportedly open to prospects, a step that will allow Shell to challenge larger oil manufacturers such as Exxon Mobil and Chevron.

Shell’s interest report had boiled for the best part in a month, with Bloomberg reporting last month that the executives in the oil giant saw the value of the agreement.

BP has performed badly in recent years, reflecting his struggle to move to low carbon technology while his rival focused on hydrocarbons.

It posted a lower profit than estimates in April and cut salaries for the peak executive.

In February this year, BP said that he would pump £ 7.9 billion to oil and gas production while cutting investment in renewable energy because it ruled out its net zero commitment.

The British company has looked back at fossil fuels, with its executive head Muray Auchincloss rearranges the strategy to cut costs and increase returns.

Shell shock

Shell takes a different view of fossil fuels, although there is pressure from climate groups, with oil giants to perform far better in recent years.

The agreement that struck Shell and BP will send shock waves throughout the city of London and will be politically very sensitive.

The biggest Merger and Acquisition (M&A) agreement in the UK is the purchase of Vodafone from the German industry conglomerate Mannesmann in 2000, according to the Institute for Mergers, Acquisitions, and Alliances.