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BP Successfully Completes Nikiski GTL Demonstration Project

ANCHORAGE, Alaska - (Sept. 2, 2009) BP today announced that it has successfully completed its gas-to-liquids (GTL) demonstration project in Nikiski, Alaska, and plans to close the facility by the end of 2009 after seven years of operation.

The project has proved that BP's GTL process to make diesel and jet fuel from natural gas can be scaled-up from the laboratory and operated safely and reliably.

"We have learned a great deal from the Nikiski test facility," said BP Alaska President John Mingé. "The technologies developed and improved there will eventually play a role in meeting the world's growing demand for cleaner fuels."

BP's GTL development program will continue in Europe, where the company is working with partner Davy Process Technology on the engineering design of full scale GTL units.

The decision affects about 15 BP employees, who will be offered positions elsewhere with BP.

BP has more than 250 Alaska employees who call Nikiski and other areas of the Kenai Peninsula home. Most are based on the North Slope.

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