The deal did not emerge in a vacuum. KPC began exploring a pipeline stake sale in September 2025, months before the war, and by June 2026 had shortlisted BlackRock’s Global Infrastructure Partners, Brookfield, EIG, Apollo, and KKR for a roughly $7.5 billion lease of 13 crude pipelines over 25 years. The process continued even as Kuwait’s output collapsed from about 2.7 million barrels per day in February to 1.2 million in March, and as Hormuz flows plunged from over 20 million barrels per day to 3.8 million by early April. The final $16 billion headline figure reported by Investing.com suggests the scope may have expanded beyond the earlier $7–7.5 billion estimates, though the precise asset perimeter has not been disclosed.
KPC’s push for consortium bids was deliberate. By asking bidders to consolidate offers, the state firm spread risk and embedded a coalition of global investors into its energy infrastructure. Blackstone’s entry is notable: this is the first time the American group has participated in the wave of infrastructure asset sales initiated by Gulf national oil companies, joining rivals BlackRock, Brookfield, and KKR that have already completed similar deals in Saudi Arabia and the UAE.