BP’s pledge to sell off billions of dollars of assets to cover compensation for the Gulf of Mexico oil disaster was dealt a blow today after a major deal in Argentina was scrapped.

Oil giant BP has now sold $20bn worth of assets to help pay for the Gulf of Mexico oil disaster after offloading its majority stake in an Argentina-based company.

BP is reported to be in talks with China's third-largest oil company over the sale of its Argentinian business for £6.3bn (€7.2bn).

Oil giant BP is in talks over an £8bn (€9.5bn) asset sell-off to help meet the costs of tackling the Gulf of Mexico oil spill, it was reported today.

Protesters shut down a pipeline delivering Bolivian gas to Argentina last night as two rival Bolivian provinces struggled for control of a valuable natural gas field, officials said.