TotalEnergies has entered into a formal partnership agreement with Global Infrastructure Partners (GIP), a part of BlackRock, covering select oil and gas infrastructure assets across Africa in exchange for a capital contribution of US$1.8 billion.
The agreement centers on TotalEnergies’ interests in certain midstream oil and gas infrastructure assets on the African continent, and it represents a meaningful step in how the company is structuring the long-term value of those holdings.
Deal Structure and Financial Terms
Under the terms of the partnership, GIP will provide the US$1.8 billion capital contribution to TotalEnergies. In return, TotalEnergies will pay GIP a throughput-based tariff over a period of up to 15 years, directly tied to the performance of its midstream infrastructure assets in Africa. The throughput-based model links tariff payments to actual usage of the infrastructure, aligning financial returns with operational activity over the agreed term.
This Africa infrastructure deal reflects a structured approach to unlocking capital from existing midstream holdings while maintaining operational continuity through the tariff arrangement.
Jean-Pierre Sbraire, Chief Financial Officer of TotalEnergies, commented on the agreement: “We are pleased to strengthen our relationship with GIP through this infrastructure agreement which crystallizes the value of some of our midstream infrastructure assets in Africa.”
About the Partnership
Global Infrastructure Partners, now operating as part of BlackRock, brings substantial experience in infrastructure investment globally. The partnership with TotalEnergies on this Africa infrastructure deal adds to GIP’s growing portfolio of energy infrastructure interests across key producing regions.
TotalEnergies, headquartered in Paris, is a global integrated energy company with a significant operational presence across the African continent, where it holds a range of upstream and midstream energy assets.