UAE – Mubasher: The Abu Dhabi National Oil Company (Adnoc) on Thursday announced that it closed a $4 billion pipeline infrastructure investment agreement BlackRock and KKR, according to the Emirates News Agency (WAM).
Under the agreement, BlackRock and KKR will hold a combined 40% stake in the new entity, while Adnoc Oil Pipelines and the Abu Dhabi Retirement Pensions and Benefits Fund (ADRPBF) will hold 3% stake and Adnoc Holding acquires the remaining 57%.
"The successful closing of this pioneering transaction and the oversubscribed financing is a clear vote of confidence by the global investment and finance community in both the UAE and ADNOC as an attractive investment destination,” group director finance and investment at Adnoc, Ahmed Jasim Al Zaabi, said.
Adnoc Oil Pipelines will lease Adnoc’s interest in 18 pipelines and will transport stabilised crude oil and condensate across Adnoc’s offshore and onshore upstream concessions for 23 years, WAM reported.
“[The recent deal] highlights the quality of Adnoc’s midstream pipeline assets and our innovative approach to structuring value-creating investment opportunities for our partners and investors,” Al Zaabi commented.
Leased by Adnoc Oil Pipelines, the collection of 18 pipelines’ total length reaches over 750 kilometres, while its total aggregate capacity stood at 13 million barrels per day.
In February, Adnoc uncovered a $4 billion midstream pipeline infrastructure partnership with KKR and BlackRock.
