BP wins £50million deal to supply fuel for 2012

BP has signed a £50 million deal to become the official fuel supplier to the London Olympics.

The company beat off competition from Shell, British Nuclear Fuels Limited and Russian energy giant Gazprom to become a commercial partner of the London Olympics - and will supply petrol for cars and buses and liquefied petroleum gas for catering and washing services.

The announcement was made today in the Great Court of the British Museum with a display of sports including gymnastics, archery and judo.

As part of the deal BP, which funds arts programmes at Tate Britain, the British Museum and the Royal Opera House, will also back the nationwide "cultural Olympiad" which begins later this year and runs until 2012.

The company becomes the sixth "tier one" sponsor alongside Lloyds TSB, EDF Energy, adidas, British Airways and BT. It will have extensive marketing rights using the 2012 logo.

Olympics chiefs have now raised more than half of the £700 million target for sponsorship to offset the £2billion cost of the Games.