Abu Dhabi Funds to Invest in Adnoc Gas Pipes

Abu Dhabi National Oil Company (Adnoc) announced October 15 that Abu Dhabi Pension Fund (ADPF) and state holding company ADQ, will invest $2.1bn into its select gas pipeline infrastructure assets. 

As per the deal, Adnoc will divest 20% in Adnoc Gas Pipelines to ADPF and ADQ. Adnoc Gas Pipelines has lease rights to 38 gas pipelines spanning 982 km in length.

In July a consortium of global investors, comprising Global Infrastructure Partners, Brookfield Asset Management, Singapore’s sovereign wealth fund GIC, Ontario Teachers’ Pension Plan Board, NH Investment & Securities and Snam, invested $10.1bn for a collective 49% stake in the same gas pipeline infrastructure assets. 

With the addition of these domestic investors, Adnoc said it can also tap new pools of long-term equity capital, while still maintaining operating and ownership control over the assets included as part of the investment agreement.