Azerbaijan's State Oil Fund invests in UAE gas pipeline asset
BAKU. May 29 (Interfax) - The State Oil Fund of the Azerbaijani Republic (SOFAZ) has invested $50 million in ADNOC Gas Pipeline Assets LLC (AGPA, a subsidiary of Abu Dhabi National Oil Company, ADNOC), which operates the UAE's gas pipeline network.
The investment aligns with the fund's strategy to diversify its portfolio through investment in sustainable and profitable infrastructure assets, while also expanding economic ties with the Gulf Cooperation Council (GCC) region, SOFAZ's press service said.
AGPA's 982 km network comprises 38 pipelines, including 12 for commercial gas transportation, 15 for gas injection and 11 for liquefied gas transportation.
ADNOC Gas Pipeline Assets is one of the UAE's most critical energy infrastructure facilities, playing a key role in the country's sustainable energy ecosystem, the press service said. A long-term operating agreement between AGPA and ADNOC ensures stable, predictable revenue based on established gas transportation volumes, it said.
"Even during periods of volatility in global energy markets, AGPA has maintained strong financial and operational performance," it said.
SOFAZ made the investment in AGPA through a specialized infrastructure fund managed by Lunate Capital, an Abu Dhabi-based alternative investment manager.
"AGPA represents a high-quality, strategically important infrastructure asset with strong long-term return potential. We are pleased to partner with Lunate and welcome this investment opportunity that expands our presence in the Gulf region," Farhad Zeynalov, the head of SOFAZ's Investment Department, was quoted as saying.
The State Oil Fund of the Azerbaijani Republic accumulates the state's revenues from oil contracts, particularly from the sale of profitable oil and gas, from tariffs on oil and gas transportation across the country, and from state property rentals.
As of Q1 2025, SOFAZ's assets totaled $62.740 billion, up 4.5% from the start of the year. Its investment portfolio is valued at $62.45 billion. The Gulf Cooperation Council, established in May 1981, includes Bahrain, Qatar, Kuwait, the UAE, Oman and Saudi Arabia. Its primary goal is coordinating economic, financial, social, legislative and administrative integration among member states.
