Saudi Aramco: We will retain ownership of gas pipeline network of Aramco Gas Pipelines

Saudi Arabian Oil Company (Saudi Aramco) announced on Thursday that it will retain ownership and operational control of the gas pipeline network in the Aramco Gas Pipelines Company, after completing a share sale and purchase agreement on Wednesday with an entity owned by an investor consortium led by affiliates of BlackRock Real Assets and Hassana Investment Company, to sell an equity stake in Aramco Gas Pipelines Company (a recently formed wholly-owned subsidiary of Saudi Aramco for a value of USD15.5 billion (SR 58.1 billion).

As part of the transaction, Aramco Gas Pipelines Company and Saudi Aramco entered into a lease and leaseback arrangement in connection with Saudi Aramco’s gas pipeline network for a 20-year period.

The consortium consists of a number of institutional investors including, amongst others, Keppel Infrastructure Trust, Silk Road Fund and China Merchants Capital.