BP to acquire US biogas producer for US$4bil

Right direction: The BP logo and stock graphs light up a monitor. The company’s acquisition of Archaea Energy will help it position itself at the forefront of major oil companies’ efforts to curtail greenhouse gases and transition to cleaner forms of energy. — Reuters

NEW YORK: BP Plc agrees to acquire biogas producer Archaea Energy Inc for about US$4.1bil (RM19.4bil), including debt, the latest step in the UK energy giant’s expansion into lower-carbon fuels.BP will pay US$26 (RM122.72) per share, a 38% premium to the average share price in the 30 days to Oct 14, Archaea said.

The Houston-based company, which captures waste-gas emissions from landfills and farms, will become a key part of BP’s bioenergy business and accelerate its growth, according to the statement.