BP and Apollo finalized the agreements for the funds managed by Apollo-Pour acquire non-controlling participation of 25% in BP Pipelines (Tanap), called BP Tanap.
BP Tanap is a BP subsidiary which has a 12% interest in the Tanap pipeline, which is crucial for the transport of natural gas from Azerbaijan through Türkiye.
The Apollo funds will buy uncontrolling participation in BP Tanap for around 1 billion dollars. The product will contribute to the $ 20 billion dollars dollars of BP.
Despite the monetization of its interests, BP will remain the control shareholder, retaining strategic interests and governance rights in the pipeline.
The transaction should end in the second quarter of 2025, pending regulatory and shareholders of the Tanap.
The executive vice-president of BP Gas & Low Carbone Energy, William Lin, said: “We are happy to extend our partnership with Apollo and to deepen our partnership in this key energy infrastructure for Europe.
“This unlocks the capital from our global portfolio while retaining our role in this strategic asset to bring gas to Azerbaijan in Europe. BP and Apollo will continue to explore additional strategic cooperation and mutually beneficial opportunities. ”
The Tanap, extending over about 1,800 km through Türkiye, is the central section of the pipeline system of the South Gas Corridor (SGC).
The SGC carries the gas from the gas field of Shah Deniz to the Azerbaijani sector from the Caspian Sea to European markets, notably Italy and Greece.
In November 2024, Apollo and BP concluded a previous agreement for Apollo to join BP on appearance, the last stage of the SGC.
BP and Apollo continue to explore other cooperation opportunities in infrastructure, gas and low carbon energy assets.
Apollo’s partner, Skardon Baker, said: “We see significant potential with our long -term capital on a scale to associate with BP, in accordance with their strategic objectives. We are satisfied with the very successful partnership to date.”
In addition, the Saudi Aramco Acquire the Castrol BP lubricant activitiespotentially valuing the division at around $ 10 billion.
BP assesses the options of its Castrol division, including a potential sale, within the framework of a broader strategic examination.
“BP and Apollo agree on the $ 1 billion agreement for a 25% participation in BP Tanap” was created and published by Offshore technologyA brand belonging to GlobalData.
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