Disposal

BP Amoco PLC
31 July 2000


BP SELLS GAS ASSETS TO TULLOW OIL

BP announced today that it has agreed to sell some UK Southern North Sea gas
assets to Tullow Oil for £201 million ($305 million) in a cash-only
transaction. The sale has an effective date of January 1, 2000 and is subject
to the approvals of the UK Government, the European Commission, licence
partners and Tullow shareholders.

The sale is of Atlantic Richfield's (ARCO) share in several gas pipelines,
processing facilities and associated fields and is designed to meet the
undertaking given by BP to secure approval by the European Commission for BP's
takeover of ARCO. Details of the transaction are listed below.

Steve Marshall, BP's Regional President in charge of its UK upstream
(exploration and production) assets said: 'We are pleased to have reached this
agreement with Tullow. It will mark the completion of the required North Sea
assets sale. The deal gives Tullow entry to UK offshore waters where they will
bring a new perspective, as other new entrants have done successfully before
them. This can only benefit the North Sea as it matures further. We have a
transition plan in place and will provide all necessary assistance to Tullow
and the co-venturers to ensure a safe and smooth handover.'

Aidan Heavey, Managing Director of Tullow, said: 'We are delighted with this
acquisition which in a single transaction, meets all the targets identified in
our recent major strategic review. It will transform Tullow, provide
sufficient production revenue to fund all our foreseeable international
exploration projects and unlock significant upside potential offshore UK. We
believe the asset packages to be acquired will not only provide Tullow with
cashflow to advance activities in an optimal manner but also provide the
platform for significant economic upside in existing producing fields in the
near term, and good longer term appraisal and exploration potential.'

Further enquiries:

BP: Tel: [phone]
Ian Stewart, press office, London

Tullow: Tel: [phone]
Aidan Heavey, Managing Director
Graham Martin, Legal and Commercial Director
Tom Hickey, Finance Director

Binns PR: Tel: [phone]
Peter Binns
Mike Tate

Notes to Editors:

The sale is made up of two packages and includes ARCO's equity in three
pipelines and  associated gas fields, as well as in an associated onshore
processing terminal.

- ARCO's equity in the Murdoch and Boulton gas fields and the Caister-
 Murdoch System pipeline and;
- ARCO's equity in the Thames gas field with surrounding satellites, the
Hewett gas field, and the associated pipeline and terminal interests.

ARCO's equity in the following gas fields will transfer to Tullow Oil: Thames,
Wensum, Yare, Bure, Bure West, Deben, Welland, Orwell, Gawain, Hewett and its
associated fields,   Murdoch and Boulton, as well as undeveloped satellite
fields and some exploration acreage. Also included in the sale is the interest
in the Thames field pipeline, the Hewett field pipeline and the
Caister-Murdoch System pipeline, as well as the interest in the
Phillips-operated gas processing terminal at Bacton.

Tullow has also indicated a wish to take over from ARCO the operatorship of
the Thames field and its associated satellites, subject to the agreement of
Government and licence partners. The Thames area assets operated by ARCO
currently employ 22 staff based in Great Yarmouth and offshore, with a further
65 contractors' employees. It will take some months to obtain all of the
necessary approvals for the changes in ownership and operatorship. No job
losses are anticipated as a result of the sale. It is expected that ARCO staff
transferred to the new operator will do so under the terms of the Transfer of
Undertakings (Protection of Employment) Regulations 1981, which means that
they will be employed on the same terms and conditions as they currently
enjoy.  Existing contracts supporting the operation are not expected to be
affected by the sale.

The sale was handled on behalf of ARCO and BP by Schroders Salomon Smith
Barney of London.

Net ARCO production from the producing fields in the sale to Tullow amounts to
a current average of almost 150 million cubic feet of gas a day with net
remaining proved developed reserves at the end of 1999 of 228 billion cubic
feet. BP produces about 1.6 billion cubic feet a day of gas (cfdg) in the UK
and more than 8 billion cfdg worldwide. BP's UK gas reserves are about 5.5
trillion cubic feet (tcf) and worldwide around 43 tcf.

Tullow Oil is an Irish-based independent oil and gas company which has
interests worldwide, including onshore UK. Some time ago, the company
announced its intention to domicile its registration and headquarters in the
UK. Its market capitalisation prior to this announcement was about £125
million and its shares are traded in London and Dublin. At the end of 1999,
its reserves were 33.4 million barrels of liquids and 270 billion cubic feet
of gas. Tullow's assets cover more than 30 licences. In the UK, its major
existing assets are operatorship (and 60 per cent) of the Ryedale gas-to-power
project which includes three producing gas fields in North Yorkshire and the
Knapton Electricity Generating Station. Tullow has also taken over the
operatorship of the facilities for the nearby Hatfield Moor gas storage
system. Tullow also has assets overseas, in Bangladesh, India, Ivory Coast and
operated-interests in Pakistan.