Blackstone, KKR and Brookfield have agreed a $16bn deal to take a 49 per cent stake in a joint venture with Kuwait Petroleum Company that will lease the country’s 320km oil pipeline network and rent back usage rights.

The transaction will deliver nearly $8bn in upfront proceeds for Kuwait and support KPC’s goal of reaching 4mn barrels per day of crude capacity by 2035. Shaikh Nawaf Saud Al‑Sabah, deputy KPC chair, called the deal a vote of confidence in Kuwait’s long‑term economic potential despite ongoing Iranian missile and drone attacks that have hit the airport, oil facilities and water plants.

Kuwait has faced nearly 1,400 attacks since February and recently raised $6bn via bonds to fund repairs. The deal mirrors similar infrastructure sales by Saudi Arabia and Abu Dhabi. Blackstone CEO Stephen Schwarzman said Kuwait is a “compelling destination for international capital” thanks to its wealth and diversification push.