March 24, 2025 [Storage Terminals Magazine]- bp and Apollo have announced an agreement for Apollo-managed funds to acquire a 25 percent non-controlling stake in BP Pipelines Ltd – bp TANAP, the bp subsidiary holding bp’s 12 percent interest in TANAP. The Trans-Anatolian Natural Gas Pipeline transports natural gas from Azerbaijan across Türkiye, forming a crucial link in the Southern Gas Corridor.
Under the agreement, Apollo-managed funds will purchase the non-controlling shareholding in bp TANAP for approximately $1.0 billion. The proceeds from this transaction will contribute towards bp’s broader programme to generate $20 billion in divestments and other proceeds.
While the deal enables bp to monetise a portion of its TANAP interest, the company will retain its controlling shareholding in bp TANAP and maintain a long-term strategic and commercial role, including governance rights in the pipeline. The transaction is expected to close in the second quarter of 2025, subject to regulatory and TANAP shareholder approvals.
Strengthening a Strategic Partnership
William Lin, bp executive vice president, gas & low carbon energy, welcomed the deepening collaboration with Apollo:
“We are pleased to extend our partnership with Apollo and to deepen our collaboration in this key piece of energy infrastructure for Europe. This transaction unlocks capital from our global portfolio while ensuring our continued role in a strategic asset that facilitates the delivery of Azerbaijani gas to Europe. bp and Apollo will continue to explore further opportunities for cooperation and mutually beneficial partnerships.”
TANAP’s Role in Europe’s Energy Infrastructure
TANAP, which extends approximately 1,800 km across Türkiye, forms the central section of the Southern Gas Corridor. The pipeline transports gas from the bp-operated Shah Deniz gas field in the Azerbaijan sector of the Caspian Sea to European markets, including Italy and Greece.
This agreement follows bp and Apollo’s previous collaboration on the Trans Adriatic Pipeline (TAP)—the final leg of the SGC, which was completed in November 2024. The two companies are actively exploring additional partnership opportunities across infrastructure, gas, and low-carbon energy assets.
Apollo’s Long-Term Investment in Energy Infrastructure
Apollo partners Skardon Baker and Leslie Mapondera highlighted the strategic importance of this investment:
Skardon Baker, Apollo Partner, stated: “We see significant potential with our scaled, long-term capital to partner with bp in alignment with their strategic objectives. We are pleased by the highly successful partnership to date.”
Leslie Mapondera, Apollo Partner, added: “We value the opportunity for our funds to further collaborate with bp on this critical European infrastructure asset. This investment underscores Apollo’s commitment to high-quality, large-scale infrastructure opportunities in Europe.”
Looking Ahead
With this latest transaction, bp and Apollo continue to build on their successful partnership, reinforcing their shared commitment to supporting essential energy infrastructure. As the global energy landscape evolves, both companies remain focused on exploring further strategic opportunities in natural gas, low-carbon energy, and infrastructure investments.
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