Blackstone, Brookfield, and KKR have closed a $16 billion lease agreement with Kuwait Petroleum Corporation for a 20.5-year lease on Kuwait’s crude oil pipeline network. The three firms collectively hold a 49% stake in a newly created Kuwait-based joint venture, with Kuwait Oil Company retaining 51% ownership and full operational control. An upfront payment of $7.85 billion was made at closing, with the remaining value structured through a volume-based tariff model tied to crude oil throughput. Known as Project Peregrine, the deal represents the largest foreign direct investment in Kuwait’s history. To finance the transaction, all three firms tapped their insurance affiliates: Blackstone used Everglades Re and Resolution Life, Brookfield deployed Brookfield Reinsurance, and KKR utilized Global Atlantic.
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