BlackRock and KKR clinch deals with ADNOC

Investment of the giants BlackRock and KKR on Sunday signed a $ 4 billion deal with the Abu Dhabi National Oil Company (ADNOC) to become the first institutional investors to join a national oil producer in the Middle East.

The agreement represents a landmark partnership in the development of the ADNOC pipeline infrastructure, which is also the last step in its efforts to diversify revenue sources and bring private capital more commercial management into the company.

The agreement forms a new unit called ADNOC Oil Pipelines, which will "lease ADNOC's interest in 1[ads1]8 pipelines, transport stabilized crude oil and condensate over ADNOC's offshore and onshore upstream concessions" for 23 years, according to the company press release Sunday

ADNOC will retain a 60 percent stake, with BlackRock and KKR holding a total of 40 percent interest in the consortium, the company said.

B Larry Fink, lackRock's CEO, described what he saw as Abu Dhabi's pressure for To attract more foreign capital and the potential of global financial markets.

"Abu Dhabi wanted to play world class … and it wasn't us as pre Set them, if anything they were already there, as to what kind of transparency was needed to attract foreign investors, he told CNBC's Hadley Gamble on Sunday. "For a transaction like this, it came very quickly."

Source link

Back to top button