Abu Dhabi May Make BP Investment, Crown Prince Says - Bloomberg

Abu Dhabi’s crown prince, a member of the board of one of the world’s largest sovereign wealth funds, said the emirate is considering an investment in BP Plc after the company lost half its value following the worst oil spill in U.S. history.

“We are still thinking about it,” Sheikh Mohammed bin Zayed Al Nahyan said in an interview in Abu Dhabi today, when asked about potentially buying a stake in the London-based oil producer. “We are looking across the board. We have been partners with BP for years.”

BP Chief Executive Officer Tony Hayward said on July 7 that he had a “very good” meeting with the crown prince as analysts said the oil producer may be looking for support from Middle East investors. Hayward pledged last month to set aside $20 billion for spill victims and cleanup, to be paid for by scrapping the dividend, reducing investment and asset sales.

“Lots of people would like to get into BP now,” said Christine Tiscareno, an analyst at Standard & Poor’s in London. “Hayward has assured people that things are under control. If Abu Dhabi increases its stake, it is saying that there is a future for BP, it’s not a dying company.”