Mubadala takes stake in Aramco pipelines venture

Mubadala takes stake in Aramco pipelines venture

Mubadala, the Abu Dhabi-based sovereign investment company, on Wednesday announced that it has joined the EIG-led consortium which has entered into a transaction with Saudi Arabian Oil Co (Aramco) to acquire a 49 percent equity stake in the newly formed entity Aramco Oil Pipelines Company. Mubadala said in a statement that Aramco will retain the remaining 51 percent stake in the new entity. The new entity has rights to 25-years of tariff payments for oil transported through Aramco's stabilised crude oil infrastructure network, backed by minimum volume commitments. Aramco will continue to retain title to, and operational control of, the network, and the transaction will not impose any restrictions on Aramco's actual crude oil production volumes (which are subject to production decisions issued by the Kingdom of Saudi Arabia).