Aramco and an international investor consortium agreed share sale and purchase agreement, in which the consortium has acquired a 49% stake in Aramco Oil Pipelines Company, a subsidiary of Aramco, for $12.4 billion.
According to the statement, the international investor consortium, including EIG and Mubadala, consists of a broad cross-section of investors from North America, Asia and the Middle East.
As part of the transaction, first announced in April 2021, Aramco Oil Pipelines Company and Aramco entered into a 25-year lease and leaseback agreement for Aramco's stabilized crude oil pipelines network.
Aramco continues to hold a 51% majority stake in Aramco Oil Pipelines Company and retains full ownership and operational control of its stabilized crude oil pipeline network.
Commenting on the agreement Aramco President & CEO, Amin H. Nasser, said that it is a significant milestone that reflects the value of the assets and paves the way forward for the portfolio optimization strategy.
"We plan to continue to explore opportunities to capitalize on our industry-leading capabilities and attract the right type of investment to Saudi Arabia," he added.
Aramco Oil Pipelines attracted a global group of leading institutional investors from China, the Kingdom of Saudi Arabia, Korea, the United Arab Emirates and the United States including, amongst others, Mubadala Investment Company, an Abu Dhabi Sovereign Investor, Silk Road Fund, Hassana and Samsung Asset Management and EIG.
By Gulsen Cagatay