• 3 minutes Tesla is the Most American Made Car!
  • 7 minutes Should the US government be on the hook for $15 billion?
  • 11 minutes Forecasts for oil stocks.
  • 3 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 1 hour U.S. Presidential Elections Status - Electoral Votes
  • 16 hours China Producing Half of the Worlds Electrical Vehicle Batteries is Experiencing Explosive Pollution
  • 17 hours California breaks 1 GW energy storage milestone
  • 2 days Colonial pipeline hack
  • 3 days Severe Drought in the West Will Greatly Reduce Electrical Production from Hydroelectric Turbines.
  • 24 hours Beware the Left's 'Degrowth' Movement (i.e. why Covid-19 is Good)
  • 4 days Survival of Oil and Gas industry.
A Terrible Time For OPEC+ To Resolve Differences

A Terrible Time For OPEC+ To Resolve Differences

It seems that Saudi Arabia…

5 Wild New Ways To Generate Energy

5 Wild New Ways To Generate Energy

What we have long considered…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Aramco Could Sell 1% Stake To ''Leading Global Energy Company''

The government of Saudi Arabia is negotiating the sale of a 1-percent stake in Aramco to a "leading global energy company", according to Crown Prince Mohammed, as quoted by Bloomberg.

The deal, according to the Crown Prince, could fetch up to $19 billion and would help Aramco to secure future demand for its crude.

"I don't want to give any promises about deals finalizing, but there are discussions happening right now about a 1 per cent acquisition by one of the leading energy companies in the world," Mohammed said. "This deal could be very important in strengthening Aramco's sales in the country where this company resides."

The news comes days after another Bloomberg report, that one quoting unnamed sources, who said Aramco was also mulling over the potential sale of stakes in some non-strategic oil fields to external investors.

It also comes soon after Aramco finalized a deal for the sale of 49 percent in its pipeline operations to a consortium led by EIG Global Energy Partners, which fetched $12.4 billion.

These deals highlight the struggle Aramco is locked in against persistently low oil prices and still hesitant oil demand recovery. The Kingdom needs the billions these deals are bringing in to finance its ambitious Vision 2030 that aims to reduce its dependence on oil revenues.

At the same time, Aramco is working on boosting its oil production capacity, which goes counter to its plans to reduce its overwhelming reliance on oil. According to an Argus report from earlier this month, the company had resumed tendering and development work on major offshore oil expansion projects that would give Saudi Arabia another 1.15 million barrels per day (bpd) of production capacity by 2024.

The expansion will come from three offshore fields, whose capacity will be boosted by between 250,000 bpd and 600,000 by 2024, clearly anticipating a return to growth for oil demand.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Mamdouh Salameh on April 28 2021 said:
    Any deal involving production assets of Saudi Aramco won’t go through without an independent audit of Saudi proven oil reserves. No company will pay $19 bn for a 1% stake in Saudi Aramco without such an audit.

    If the proposed deal relates to the sale of visible assets like refineries, petrochemical plants and pipelines, then it could go through but not at $19 bn.

    Dr Mamdouh G Salameh
    International Oil Economist
    Visiting Professor of Energy Economics at ESCP Europe Business School, London

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News