BP to sign £11.8bn gas deal with China's CNOOC

BP is to sign a deal with China National Offshore Oil Corporation worth about $20bn (£11.8bn).

The oil giant will supply its Chinese peer with liquefied natural gas (LNG), BP chief executive Bob Dudley said at a conference in Moscow.

Mr Dudley said the deal would be signed in London.

Prime Minister David Cameron will announce trade deals to coincide with a three-day visit by Chinese Premier Li Keqiang.

"It is a 20-year supply agreement on LNG. It is a fair price for them and a fair price for us. It is a good bridge between the UK and China in terms of trade," Mr Dudley said.

BP already supplies CNOOC with LNG from Indonesia.