It may be encrypted, but OP's problem is that he's using Windows, which by default hides file name extensions of known file types. In this case, .txt.
In actuality, the wallet file is not. .dat file, but. .txt file, and the name of the file is wallet.dat.
" If you want, encrypt the file with a password and send it to me with the password and I'll work on unlocking it for you. I'll do it for free, I don't want someone else's Bitcoin. "
Press your windows search button, and type in "Folder Options". Something along those lines should come up, then click "View", then uncheck "Hide extensions for known file types".
Your file should now be named wallet.dat.txt.
Make a copy of it now. You don't want to accidentally corrupt it.
Now rename it to wallet.dat, accept the warning, and you're done. Unless your friend trolled you and he gave you a text file on purpose, you can now go back to blockchain.Info and import the wallet.dat file.
If you want, encrypt the file with a password and send it to me with the password and I'll work on unlocking it for you. I'll do it for free, I don't want someone else's Bitcoin.
Hey sir!
I won't discuss this part:
" If you want, encrypt the file with a password and send it to me with the password and I'll work on unlocking it for you. I'll do it for free, I don't want someone else's Bitcoin. "
as I think you should be someone "highly reputable " ... but.. : the deontology said: never ever propose something like this .... just in case a problem happens...
Examples: recently, I was talking about an issue an electrum user got with his wallet, with ThomasV ( who coded electrum wallet & server ..)
he was possibly able to solve the user issue ( with his electrum 2fa seed ) but he had formerly REFUSED to accept the user send him his seed .... ( who knows what could happen.... ..you see ?

)
in the case of a problem, it would be difficult to be involved afterwards.
just my two satoshis...
kind regards