On June 18th, 2021, a global investor consortium led by EIG and composed of leading institutional investors including, amongst others, Silk Road Fund, announced the successful completion of the consortium’s acquisition of a 49% stake in Aramco Oil Pipelines Company from Saudi Arabian Oil Co. (“Aramco”) for $12.4 billion. The deal denotes a total equity value of approximately $25.3 billion for Aramco Oil Pipelines Company, a newly formed entity with rights to 25 years of tariff payments for oil transported through Aramco’s stabilized crude oil pipeline network. Aramco continues to hold the remaining 51% stake in Aramco Oil Pipelines Company.
The transaction is one of the largest energy infrastructure transactions globally. Silk Road Fund believes its participation in the consortium and investment in this milestone transaction will help promote further synergy between the Belt and Road Initiative and Saudi Arabia’s Vision 2030.
Aramco is a global integrated energy and chemicals company driven by its core belief that energy is opportunity. From producing approximately one in every eight barrels of the world’s oil supply to developing new energy technologies, Aramco’s global team is dedicated to creating impact in all that it does. The Company focuses on making its resources more dependable, more sustainable and more useful. This helps promote stability and long-term growth around the world. [www.aramco.com]
EIG is a leading institutional investor to the global energy sector with $21.7 billion under management as of March 31, 2021. EIG specializes in private investments in energy and energy‐related infrastructure on a global basis. EIG is headquartered in Washington, D.C., with offices in Houston, London, Sydney, Rio de Janeiro, Hong Kong and Seoul. [www.eigpartners.com]
About Silk Road Fund
Silk Road Fund is a medium-to-long term investment fund mandated to help implement the Belt and Road Initiative. Following a philosophy of openness, inclusiveness and mutual benefit, Silk Road Fund operates its business based on market principles, international practice and professional standard. The fund has a total capital of USD 40 billion and RMB 100 billion. As of December 31, 2020, Silk Road Fund has spread its investment footprints to more than 40 countries around the world. [www.silkroadfund.com.cn]