2 weeks Ago
FreshfieldsBruckhaus Deringer has advised bp on the sale of a non-controllingstake in its subsidiary, bp Pipelines TAP Limited, to funds managedby Apollo, reports via Freshfields. The bp subsidiary holds a 20 percent interest in Trans AdriaticPipeline AG. The transaction, valued at approximately $1 billion,is expected to close in the fourth quarter of 2024, pendingregulatory and partner approvals.
bp and Apollo recently announced an agreement for Apollo-managedfunds (the “Apollo Funds”) to purchase a non-controlling stake inbp Pipelines TAP Limited, the bp subsidiary that holds a 20 percentshare in Trans Adriatic Pipeline AG (TAP) in a transaction valuedat approximately $1 billion. Upon completion, bp will remain thecontrolling shareholder of bp Pipelines TAP Limited. bp and Apollo will also look to partner on additional investmentopportunities, including potential co-operation in both gas and lowcarbon energy assets, and infrastructure.
TAP transports natural gas from the giant Shah Deniz field inthe Azerbaijani sector of the Caspian Sea to Europe. The 877 kmlong pipeline connects with the Trans Anatolian Pipeline (TANAP) atthe Turkish-Greek border in Kipoi, crosses Greece and Albania andthe Adriatic Sea, before coming ashore in Southern Italy. TAP facilitates gas supplies to Southeastern European countriesthrough existing and prospective interconnectors.
TAP is connectedto Interconnector Greece Bulgaria (IGB) which started itscommercial operations in October 2022, providing Caspian gas toBulgaria, thereby enhancing the security of energy supplies in onemore European country. TAP’s exit points in Greece and Albania,together with the landfall in Italy provide multiple opportunitiesfor further transport of gas from Azerbaijan to the wider Europeanmarkets..
