Kuwait Petroleum company (KPC), a state- owned oil company, has extended the deadline for preliminary bids on its crude oil pipeline network to April 28, citing disruptions from the US–Israeli war on Iran, according to Reuters. The deadline was originally set for April 7 but was pushed back after investors said they needed more time due to the fast-evolving conflict.

JPMorgan, HSBC, and two Kuwaiti lenders, National Bank of Kuwait (NBK) and Kuwait Finance House (KFH), are arranging a $6 billion financing syndicate for prospective buyers of the stake, which is estimated to be worth around $7 billion.

Meanwhile, the process has been clouded by uncertainty after KPC confirmed it suffered “severe material damage” at some operating units following drone attacks, though it did not specify which facilities were affected. The pipeline network transports crude oil and refined products across Kuwait, linking the country’s oilfields to ​export terminals on the Arabian Gulf.

The financing package carries a 20‑year tenure with indicative pricing of 170 basis points over Secured Overnight Financing Rate (SOFR), terms described as competitive given current market conditions as Reuters reported. SOFR refers to a benchmark interest rate for dollar-based derivatives and loans, measuring the cost of borrowing cash overnight.

In response to the conflict, Kuwait’s Central Bank has implemented measures to ease a series ​of regulatory requirements ⁠on local lenders, loosening liquidity standards including the coverage ratio and net stable funding ratio and raising lending limits, in a bid to keep credit flowing and support economic stability.

In March 18, Australia’s Macquarie Group withdrawn from the  bid for a stake in pipeline network due to the heightened geopolitical tensions.