(Reuters) – BHP Group said on Tuesday it will sell its petroleum assets to Woodside Petroleum in an all-stock deal as the world’s biggest listed miner posted its best annual profit in nearly a decade.
BHP has been under increasing pressure to trim its fossil fuel exposure, and has already sold some coal assets while looking to sell more.
Following the large share issue associated the deal, Woodside will be owned 52% by existing shareholders and 48% by BHP shareholders.
The companies expect annual savings more than $400 million a year.
BHP’s underlying profit attributable for the year ended June rose to $17.01 billion from $9.06 billion last year, missing a consensus of $17.46 billion from 17 analysts compiled by Vuma.
The company said it will pay a final dividend of $2 per share, higher than the 55 cents paid last year.
(Reporting by Nikhil Kurian Nainan and Anushka Trivedi in Bengaluru; Editing by Shounak Dasgupta)
