The net proceeds of the transaction are expected to be divested in developing other high value assets.
The deal is a business strategy of the company to realize the value of the non-core assets and develop high value assets.
Shell operated BP production in the Draugen field is about 6,000 barrels per day.
BP has started the redevelopment program of the Skarv and Valhall fields and is expecting to double its Norway production to over 60,000 barrels of oil equivalent per day.
BP Norway managing director Rebecca Wiles said the company is completing two major projects and is expecting to increase its production in the country.
"These investments, together with our continuing operation of the Ula field, underline our long term commitment to Norway," Wiles said.
The deal subject to certain regulatory approvals is expected to close by the end of 2012.
