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BP Sells U.S. Refinery, Arco Retail to Tesoro

BP says it has agreed to sell its refinery in Carson, California and other West Coast assets to Tesoro Corp.

LONDON (AP) — BP says it has agreed to sell its refinery in Carson, California and other West Coast assets to Tesoro Corp.

BP said Monday that Tesoro is paying $2.5 billion cash for the refinery, pipelines, storage terminals and Arco-branded retail outlets in southern California, Arizona and Nevada. BP is also selling the Arco brand rights for northern California, Oregon and Washington and will lease them back from Tesoro.

BP also announced it was selling two gas processing plants in Texas.

The company says it has now sold or agreed to sell assets worth $26.5 billion since 2010. The company has a target of $38 billion in disposals by the end of next year to help pay the costs of the Macondo well blowout in the Gulf of Mexico.