Disposal

BP Amoco PLC
29 January 2001

January 29, 2001





BP MONETISING STAKE IN LUKOIL



BP announced today that it is aiming to monetise its seven per cent equity
stake in Russia's leading oil company, Lukoil.



Valued at last Friday's closing market price in New York, the stake is worth
around US$ 650 million. BP originally acquired the equity stake, which is held
in the form of American Depository Receipts (ADRs), through its acquisition of
ARCO in April 2000.



BP intends to dispose of its stake by a book built offering of Lukoil ADRs and
of bonds guaranteed by BP and exchangeable into Lukoil ADRs.



Ralph Alexander, group vice president, Upstream said: 'BP plans to remain as a
leading foreign investor in Russian energy ventures, both upstream and
downstream. This inherited stake is too small to give us any say in the
management of LukOil and disposing of it in this way allows us to monetise the
stake and provide funds which can be deployed on attractive investment
opportunities elsewhere.



'The disposal of the equity stake does not include and does not affect the
joint ownership by BP and Lukoil of LukArco, which has interests in
Kazakhstan's Tengiz field and the Caspian Pipeline transporting Tengiz oil to
Novorossiysk on Russia's Black Sea coast. We also remain as co-venturers with
Lukoil in the Azerbaijan International Operating Company which currently
produces around 100,000 barrels a day of oil in the Caspian, as well as in the
Shah Deniz gas prospect in Azerbaijan.  Recently, Lukoil took over Getty
Petroleum Marketing in the USA and BP has reached a product supply agreement
which will start later this year.'



Credit Suisse First Boston and UBS Warburg are acting as joint bookrunners on
the equity sale and exchangeable Bond offering.



Notes to Editors:



ARCO originally acquired its interest in LukOil in 1995 and 1996 through the
purchase of bonds which have been since converted into Lukoil equity.



BP's Russian assets include an equity interest in Rusia which operates the
Kovyktinskoye field in eastern Siberia, currently being appraised and which
has the potential to export gas to China and Korea. A feasibility study into
the development of and markets for Kovyktinskoye gas is currently being
carried out by an international group and is expected to be completed in 2002.
BP also holds a 10 per cent interest in Russian oil company Sidanco.



Downstream, BP's retail service station presence in Moscow has risen to the
current 27 sites and is expected to continue to expand over the next three
years.



Further enquiries:



BP:

Press: Ian Stewart, press office, London: [phone]

Analysts: Peter Hall, Investor Relations, London: [phone]



CSFB:

 Press: Maria Marinos, press officer: [phone]

Analysts: Simon Menneer, Managing Director,

European Natural Resources: + 44 (020) 7888 1873



UBS Warburg:

Press: Iona Lawson, Media Communications: [phone]

Analysts: Peter Thompson, Co-Head, European M&A: [phone]



This press release is not an offer of Securities for sale in the United
States.  Securities may not be offered or sold in the United States absent
registration or an exemption from registration.



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