Aramco closes $12.4 billion infrastructure deal with global investor consortium

Aramco closes $12.4 billion infrastructure deal with global investor consortium

DHAHRAN “” Aramco and an international investor consortium, including EIG and Mubadala, announced the successful closing of the 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. The consortium consists of a broad cross-section of investors from North America, Asia and the Middle East. This long-term investment by the consortium underscores the compelling investment opportunity presented by Aramco's globally-significant pipeline assets, the company's robust long-term outlook and the attractiveness of Saudi Arabia to institutional investors. 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 Oil Pipelines Company will receive a tariff payable by Aramco for stabilized crude oil flows, backed by minimum volume commitments. 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. 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 of Saudi Arabia. On this