Kuwait signs $16 billion pipeline deal with Blackstone, KKR and Brookfield

On 25 July 2026, Kuwait Petroleum Corporation said its oil subsidiary had signed a $16 billion pipeline infrastructure deal with an international consortium involving Blackstone, KKR and Brookfield. The state-owned petroleum firm said the lease-and-lease-back agreement covers Kuwait's entire domestic and export pipeline network.

Under the deal, which is set to last more than two decades, the consortium led by New York-based Blackstone, Canada's Brookfield and US investors KKR will take a 49 percent share of Kuwait's 320-kilometre pipeline network. The Kuwaiti firm will retain 51 percent.

Kuwait Petroleum Corporation chief executive Nawaf Saud Al-Sabah said the joint venture represents the largest foreign direct investment in Kuwait's history and a milestone for the country's economic development. He said the involvement of the three investment groups reflects confidence in Kuwait's resilience, KPC's assets and its long-term plans for the energy sector.

The deal is expected to generate upfront proceeds of $7.85 billion for Kuwait Oil Company. KOC is seeking to expand crude oil production capacity to four million barrels per day by 2035. The report said the investment comes as hydrocarbon-rich Gulf nations try to increase output after Iranian attacks and the closure of the Strait of Hormuz, an important route for energy exports.