The Arab Energy Fund and U.S.-based infrastructure investor Stonepeak have entered a $1 billion strategic partnership to invest in energy infrastructure across the Middle East, aiming to accelerate the region’s energy transition and economic diversification.
The partnership will focus on critical energy assets and businesses, targeting projects that support long-term energy security and resilience.
It marks a significant push to channel global capital into Middle Eastern infrastructure, as countries across the region, including Saudi Arabia, ramp up investment in low-carbon and energy transition initiatives.
The Arab Energy Fund, formerly APICORP, is a multilateral financial institution with a $5.8 billion loan portfolio, 20% of which is linked to ESG-focused projects. It is the only MENA-based energy finance institution rated Aa2/AA/AA- by Moody’s, Fitch, and S&P.
Stonepeak, with $73 billion in assets under management, brings a global track record in energy, transport, and digital infrastructure.
The firm has expanded its regional footprint with offices in Abu Dhabi and Riyadh and is actively investing in energy transition opportunities globally.
The deal positions both entities to capitalize on the Middle East’s growing demand for scalable, sustainable infrastructure, while aligning with broader regional and global decarbonization goals.
Business News Asia