BP completes refinery sale targeting $1 billion savings

• BP completed the sale of its Gelsenkirchen refinery and related German businesses to Klesch Group for undisclosed terms.
• BP shares were down 1.50% at 544.20 pence during London trading.
• BP said the transaction should reduce underlying operating expenditure by around $1 billion and improve free cash flow.

BP (NYSE:BP) completed the sale of its Gelsenkirchen refinery and related German businesses to Klesch Group, targeting around $1 billion in lower underlying operating expenditure.

The transaction was announced in March 2026, and BP withheld the financial terms but said it should improve free cash flow based on historical performance.

“The deal strengthens our balance sheet and simplifies our portfolio,” said BP interim executive vice president of Downstream Richard Harding.

The sale includes the Horst and Scholven sites, Bottrop tank farm, 265,000-barrel-per-day capacity, employees and associated liabilities, including pension obligations.

Following the announcement, BP's share price was down 1.50% at 544.20 pence.

BP’s remaining refining portfolio comprises Cherry Point and Whiting in the United States, alongside Castellón, Lingen and Rotterdam in Europe.

Klesch previously acquired Germany’s Heide refinery from Shell in 2010 and Denmark’s Kalundborg refinery from Equinor in 2022.