(Corrects paragraph 6 to show capital expenditure in 2015 seenbelow $20 billion, not below $22 billion)
MONTEVIDEO, Aug 3 (Reuters) - British oil major BP has halted its deepwater exploration activities off Uruguay asit prioritizes lower-risk projects at a time of lowinternational prices, an official at Uruguay's state-owned oilcompany Ancap said on Monday.
BP confirmed its exit from the South American country, threeyears after it won rights to explore blocks 11 and 12 inUruguay's Pelotas basin and block 6 in the Punta del Este basin.The acreage covers an area of almost 26,000 square kilometers inwaters ranging from 50 to 2,000 meters deep.
"BP has other exploration projects in other parts of theworld that are lower risk. In today's environment, there is alimit to investments," Hector de Santa Ana, head of Explorationand Production at Ancap, told Reuters.
He said BP would give control of the three blocks to Ancapin October.
BP holds a 100 percent interest in the blocks and Ancap hasthe right to take up to a 30 percent share in any discoveries.
BP's second-quarter profit slumped by nearly two-thirds asit grappled with lower oil prices. Late last month it cut itscapital spending plans for the year for a second time this yearto below $20 billion from $22.9 billion last year.
"BP's analysis concluded that the chances of success inidentifying commercially exploitable hydrocarbons in the blocksdid not compete with opportunities elsewhere in BP's globalexploration portfolio," BP said in a statement.
"We will consider future opportunities in the country, ifand when they arise," it said.
On Monday Brent crude oil fell below $50 per barrel, hittingsix-month lows. (Reporting by Malena Castaldi; Writing by Richard Lough;Editing by Dan Grebler)
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