Kuwait signs $16 billion oil pipeline lease‑back deal with Blackstone, Brookfield and KKR

Kuwait Oil Company Blackstone Brookfield KKR $16 billion pipeline deal

Kuwait Petroleum Corporation’s subsidiary Kuwait Oil Company (KOC) signed a $16 billion lease‑and‑leaseback agreement for the state’s crude‑oil pipeline network with a consortium of Blackstone, Brookfield Asset Management and KKR. The transaction, named Project Peregrine (also referred to as Project Shaheen), creates a joint‑venture in which KOC retains a 51 % majority stake while the three investors collectively hold the remaining 49 %.

The joint‑venture will lease usage rights to 13 pipelines covering about 320 km for 20.5 years, with payments based on a volume‑based tariff tied to the amount of crude transported. The deal is expected to generate $7.85 billion in upfront proceeds, which KOC plans to use to fund its ambition to raise crude‑oil production capacity to four million barrels per day by 2035. It is described by KPC as the largest foreign direct investment in Kuwait’s history and comes amid heightened regional tensions and recent Iranian attacks on infrastructure in the Gulf.

Entities: Blackstone · Brookfield Asset Management · KKR · KKR (Kohlberg Kravis Roberts) · Kuwait Oil Company · Kuwait Oil Company (KOC) · Kuwait Petroleum Corporation · Kuwait Petroleum Corporation (KPC) · Project Peregrine

Claims

What the coverage asserts, and how well corroborated each claim is across sources.

[● 13 SOURCES] The consortium holds a 49 % stake in the joint venture, while Kuwait Oil Company retains a 51 % majority stake. (KPC statement)
[● 13 SOURCES] The joint venture will lease usage rights to 13 pipelines covering about 320 km. (KPC announcement)
[● 13 SOURCES] KPC described the transaction as the largest foreign direct investment in Kuwait’s history. (KPC statement)
[● 13 SOURCES] The agreement runs for 20.5 years and uses a volume‑based tariff for payments. (KPC announcement)
[● 13 SOURCES] The proceeds will support KPC’s plan to raise crude oil production capacity to four million barrels per day by 2035. (KPC statement)
[● 13 SOURCES] Kuwait Oil Company signed a $16 billion lease‑and‑leaseback agreement for its crude oil pipeline network. (KPC announcement)
[● 13 SOURCES] The project is called Project Peregrine (also referred to as Project Shaheen). (KPC announcement)
[● 13 SOURCES] The deal is expected to generate $7.85 billion in upfront proceeds for Kuwait Oil Company. (KPC statement)