• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 2 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 3 days The United States produced more crude oil than any nation, at any time.
  • 9 days e-truck insanity
  • 4 days How Far Have We Really Gotten With Alternative Energy
  • 8 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 7 days James Corbett Interviews Irina Slav of OILPRICE.COM - "Burn, Hollywood, Burn!" - The Corbett Report
  • 7 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 9 days Biden's $2 trillion Plan for Insfrastructure and Jobs
  • 8 days "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
  • 12 days Bankruptcy in the Industry
Russia’s Crude Is Trading at $15 Above the Price Cap

Russia’s Crude Is Trading at $15 Above the Price Cap

Russia’s flagship crude grade is…

Morgan Stanley Hikes Its Summer Oil Price Forecast to $94

Morgan Stanley Hikes Its Summer Oil Price Forecast to $94

Geopolitical tensions and tighter supply…

Iraq Has No Intention of Restarting Kurdish Oil Pipeline

Iraq Has No Intention of Restarting Kurdish Oil Pipeline

Baghdad is repairing the Kirkuk-Ceyhan…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

Attacks On Saudi Oil To Once Again Delay Aramco IPO

Aramco storage tanks

The attacks on vital Saudi oil infrastructure that took offline more than half of Aramco’s oil production would likely mean that the Kingdom will not list its oil giant this year, two sources with direct knowledge of Aramco’s thinking told Reuters.

The attacks on the Abqaiq facility and the Khurais oil field in Saudi Arabia on September 14 had investors anxious as the Kingdom had just accelerated plans to list Saudi Aramco in what would be the world’s largest initial public offering (IPO) ever. The heightened security risks following the attacks and Aramco’s actual ability to restore production could undermine the valuation of the company at this time, analysts believe.

Saudi Aramco now needs to build up confidence among potential investors, on top of fully restoring production, one of the sources told Reuters.

Saudi Arabia has been consistently claiming that production would be restored in a matter of weeks rather than months, with the oil production lost in the attacks fully restored by early next week.

Before the attacks, the Saudi oil giant was saying it was ready to list on international markets alongside its primary listing on the Saudi stock exchange.

The top managers of the Saudi state oil firm reiterated that it’s up to the sole shareholder of the company—the Kingdom of Saudi Arabia—to decide when the listing will take place.  

Even after the attacks, Aramco’s CEO Amin Nasser continued to claim that “We have said we are ready and will proceed with the IPO when our shareholder takes the decision.”

Aramco is also said to be holding meetings this week with more than a dozen junior underwriters as part of the IPO process.

Before the attacks, reports had it that Aramco could list shares on its domestic stock exchange as early as in November 2019. Following the attacks, it looks like international investors and analysts have started to account for major supply risks in Aramco’s valuation and brand.  

By Tsvetana Paraskova for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Mamdouh Salameh on September 24 2019 said:
    Attacks or no attacks, Saudi Aramco IPO will never see the light of day now or ever because of persistent question marks about the real size of Saudi proven oil reserves and the US Congress-approved legislation regarding 9/11.

    There will be no IPO without a truly independent auditing of Saudi reserves.

    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