TotalEnergies strikes $1.8 billion deal with BlackRock's GIP for African assets

TotalEnergies has announced a $1.8 billion agreement with Global Infrastructure Partners (GIP), a fund managed by BlackRock, to invest in specific oil and gas infrastructure assets in Africa.

Under the terms of the deal, TotalEnergies will pay GIP a throughput-based tariff for a period of up to 15 years. While the company did not specify the exact projects covered by the agreement, the deal highlights the value of its midstream infrastructure assets in the region.

TotalEnergies maintains significant energy production interests in Africa, including the East Africa Crude Oil Pipeline (EACOP). This multi-year project aims to develop oil reserves in landlocked Uganda and transport crude oil via pipeline to the coast of Tanzania for international export. The EACOP project has faced criticism from environmental organizations seeking to discourage financial institutions from participating in its $5.6 billion funding.