Kuwait Oil Company has secured a 16.0 billion US dollar agreement covering its domestic and export crude oil pipelines alongside a group of major international institutional investors.

The deal involves global investment firms Blackstone, Brookfield and KKR forming a joint venture with Kuwait Oil Company, a subsidiary of Kuwait Petroleum Corporation. The newly created entity will lease usage rights to 13 pipelines covering approximately 320 kilometres of the national network over a 20.5-year period.

In exchange, Kuwait Oil Company will receive exclusive use, maintenance and operational control of the assets based on a volume-based tariff. The state producer retains full ownership and a 51 per cent majority stake in the joint venture, while the three consortium partners will share the remaining 49 per cent equally.

The agreement represents the largest foreign direct investment ever recorded in Kuwait. It will generate upfront proceeds of 7.85 billion US dollars upon closing. These funds will support state investment targets, including reaching a crude oil production capacity of 4 million barrels per day by 2035.

Shaikh Nawaf Saud Al-Sabah, Deputy Chairman and CEO of KPC, said: “Project Peregrine represents the largest foreign direct investment in Kuwait’s history and a defining milestone for our country’s economic development. It delivers on the commitment announced by His Highness the Prime Minister Shaikh Ahmad Abdullah Al-Ahmad Al-Sabah at the Kuwait Oil & Gas Show (KOGS) in February 2026 to attract world-class international investors into Kuwait’s strategic infrastructure while preserving full national ownership and operational control.”

“We are pleased to welcome Blackstone, Brookfield and KKR as long-term partners in this landmark transaction. Their investment reflects confidence in Kuwait’s resilience, the quality of KPC’s assets and our long-term vision for the country’s energy sector.”

“This transaction sends a powerful signal that Kuwait continues to rise as an attractive destination for global capital, even amid a challenging regional environment.”

Joe Bae and Scott Nuttall, Co-CEOs of KKR, said: “Kuwait has established itself as one of the world’s leading energy producers through decades of disciplined investment and prudent stewardship. We have greatly valued our partnership with Shaikh Nawaf and his team. This investment reflects our confidence in Kuwait and our commitment to providing long-term capital in support of strategic infrastructure, and we look forward to deepening our partnership and identifying further opportunities to invest alongside Kuwait in the years ahead.”

Bruce Flatt, CEO of Brookfield Corporation, said: “Kuwait is a long-standing and highly valued partner of Brookfield’s, and we have long admired the way it has built a globally leading energy industry. We are proud to support Kuwait as it continues to build out its vital energy infrastructure, and honored to invest alongside our partners for the long term.”

Stephen Schwarzman, Chairman, CEO and Co-founder of Blackstone, said: “Kuwait’s leadership, vision and resources have made it a compelling destination for international capital, built on its strength in the energy sector and remarkable efforts to diversify its economy. We are proud to support this critical infrastructure, helping meet rising global energy demand while deepening Blackstone’s nearly four-decade partnership with Kuwait.”

The transaction is subject to regulatory approvals and customary closing requirements under Kuwaiti law. Centerview Partners, HSBC and J.P. Morgan acted as financial advisors to KPC.