The companies that manage Kuwait's oil sector signed a $16 billion lease agreement with a group of investors led by Blackstone, Brookfield and KKR. The deal, which involves all of the country's domestic and export pipelines, represents the biggest foreign direct investment in Kuwait's history, Kuwait Petroleum said.

Kuwait Petroleum Corp., the state-owned firm overseeing the sector, and its subsidiary Kuwait Oil Co., which explores and produces oil on behalf of the state, both signed the deal.

The pact comes after President Trump said earlier this month that he reversed his Strait of Hormuz tariff plan following talks with Middle Eastern countries to invest more in the U.S.