Money exchange houses and bankers expect the coming years would be critical for the rupee
business6 hours ago
An international investor consortium including UAE sovereign wealth fund Mubadala Investment Co and Washington-based energy sector investor EIG has acquired a 49 per cent stake in Aramco Oil Pipelines Co., a unit of Saudi Aramco for $12.4 billion, the company said on Sunday.
As part of the transaction, first announced in April 2021, Aramco and its subsidiary entered into a 25-year leaseback agreement for the oil giant’s stabilised crude oil pipelines network.
Mubadala, which manages $243 billion in assets, didn’t disclose its stake size in a June 8 statement.
Aramco Oil Pipelines will receive a tariff payable by Aramco for stabilised crude oil flows, backed by minimum volume commitments.
Aramco continues to hold a 51 per cent majority stake in the subsidiary and retains full ownership and operational control of its stabilised crude oil pipeline network.
The transaction does not impose any restrictions on Aramco’s actual crude oil production volumes, which are subject to production decisions made by the kingdom.
“The interest we have received from investors shows strong confidence in our operations and the long-term outlook for our business,” Aramco president and CEO Amin H. Nasser said in a statement.
He said his company would continue to explore opportunities to capitalise on the industry-leading capabilities and attract the right type of investment to Saudi Arabia.
“We believe this is the marquee infrastructure transaction globally and we are pleased to see that so many leading international investors agree with us,” said R. Blair Thomas, EIG’s chairman and CEO.
According to S&P, Aramco’s pipeline asset sale is similar to transactions struck by Abu Dhabi National Oil Co. in the last two years. Adnoc inked in June 2020 a deal worth more than $10 billion with a group of investors to sell a 49 per cent stake in its gas pipelines a year after striking a similar transaction for its oil pipelines.
Adnoc also clinched a $5 billion deal in 2019, with a consortium that includes GIC, BlackRock Inc., KKR & Co and Abu Dhabi Retirement Pensions and Benefits Fund, to sell select pipeline infrastructure and collectively hold a 49 per cent stake in Adnoc Oil Pipelines, a subsidiary of the parent company.
— issacjohn@khaleejtimes.com
Money exchange houses and bankers expect the coming years would be critical for the rupee
business6 hours ago
The logistics major has invested more than $11 billion in port infrastructure
business6 hours ago
The retailer, which is also a popular choice among UAE residents, announced the closure on its official Instagram and Facebook page
business6 hours ago
The Galaxy Unpacked launch will take place in San Jose, California
tech7 hours ago
This is our first flight and we've prepared rigorously for it, says New Glenn's senior vice-president Jones
world7 hours ago
'Lim Kimya... died at the scene. Officers with the Metropolitan Police Bureau have launched a manhunt for the assassin,' the Bangkok Post reported
asia7 hours ago
AVATR, supported by industry giants Huawei and Lenovo, introduces a range of premium EVs crafted with the highest specifications and cutting-edge technology
kt network7 hours ago
The 15-year-old Czech golf star fires a final-round 64 to seal a 12-shot victory at The Els Club, Dubai
sports7 hours ago