• 6 minutes WTI @ 67.50, charts show $62.50 next
  • 11 minutes Saudi Fund Wants to Take Tesla Private?
  • 17 minutes Why hydrogen economics is does not work
  • 5 mins The EU Loses The Principles On Which It Was Built
  • 3 hours Starvation, horror in Venezuela
  • 6 hours Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 9 hours Crude Price going to $62.50
  • 1 day Anyone Worried About the Lira Dragging EVERYTHING Else Down?
  • 5 hours WSJ *still* refuses to acknowledge U.S. Shale Oil industry's horrible economics and debts
  • 19 hours Chinese EV Startup Nio Files for $1.8 billion IPO
  • 5 mins Again Google: Brazil May Probe Google Over Its Cell Phone System
  • 1 day Oil prices---Tug of War: Sanctions vs. Trade War
  • 1 day Russia retaliate: Our Response to U.S. Sanctions Will Be Precise And Painful
  • 1 day Monsanto hit by $289 Million for cancerous weedkiller
  • 1 day Correlation does not equal causation, but they do tend to tango on occasion
  • 22 hours < sigh > $90 Oil Is A Very Real Possibility
Who Profits From Iran’s Oil Major Exodus?

Who Profits From Iran’s Oil Major Exodus?

As sanctions on Iran move…

Dollar Strength Is Likely To Cap Oil Price Gains

Dollar Strength Is Likely To Cap Oil Price Gains

An exceptionally strong dollar and…

Conflicting News Spurs Doubt On Aramco IPO

London

Aramco has asked FTI Consulting to suspend investor relations work on its upcoming initial public offering, according to unnamed sources who spoke to Reuters. The sources did not elaborate on the reasons the Saudi state energy company made the move, but one of them said this could now extend the responsibilities of another advisory firm, Brunswick.

Aramco appointed FTI Consulting to advise it on the IPO in March this year and Brunswick joined it a couple of months later, to be in charge of external and media relations, while FTI was tasked with investor relations.

The news comes amid growing doubts about whether the IPO will take place as scheduled and whether it will involve an international listing. Yesterday, Saudi Energy Minister Khalid al-Falih told Bloomberg that the IPO preparations were going according to plan, and that the listing would take place in the second half of 2018 as scheduled. As for the international listing, Al-Falih said it will happen and that he will announce the venue “in due course”.

The reassurance comes after reports that Aramco was preparing contingency plans in case of a delay in the offering, which Saudi officials dismissed, and, more recently, a warning that Aramco may delay the international portion of the listing until 2019. The report came out as the UK FCA’s head admitted he had held talks with Aramco officials several months before the watchdog proposed changes in the listing rules to accommodate the Aramco listing. The proposal sparked outrage and a legislative probe.

The plot around the biggest IPO in history thickened further this week with a report that China’s PetroChina and Sinopec had offered Aramco to buy directly the 5 percent it plans to list. Unnamed sources told Reuters that the Chinese state companies were eager to secure future oil supplies and were even willing to buy more than 5 percent in Aramco. Khalid al-Falih, however, declined to respond to questions about this information.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News