PA
is seeking buyers for a stake in its U.S. gas pipeline network, four people with knowledge of the matter said.

The British energy company could raise up to $3 billion from the sale, two of the people said, with one adding that BP could sell up to a 49% stake in the business.

The sale process is part of BP Chief Executive Murray Auchincloss’s push to reduce the company’s debt levels, which have risen over the past year, two other people said.

BP declined to comment. The four people spoke on condition of anonymity because they were not authorized to speak publicly.

With its share price languishing, BP faces pressure from investors to improve performance and profitability amid concerns about the company’s energy transition strategy.

It plans to sell stakes in its Lightsource BP solar business, as well as its onshore wind division and offshore wind operations in the United States. Auchincloss, which is looking to increase cash flow and reduce debt, will update the company’s strategy in February.

Net debt rose to $24.3 billion at the end of September, from $22.3 billion a year earlier, due to lower-than-planned asset disposals, BP said in its third-quarter results.

The company’s shares have lost more than 18% of their value so far this year, a worse performance than any of its rivals. Shell shares are down 3% so far this year, while Exxon Mobil
is up 14% and Chevron
It is almost 7% higher.

The U.S. oil and gas pipeline sector has seen increasing consolidation in recent years as production grows and problems obtaining permits for new pipelines make existing assets more valuable.

BP owns about 1,500 miles (2,414 kilometers) of pipelines that transport 1.1 million barrels of crude oil, natural gas and fuels per day across the United States, according to its website.