According to the documents from the largest oil company in the world, Aramco earns only derives a limited proportion of its profit from foreign refining ventures, an area in which the company plans huge investment.
According to sources, Aramco has delayed the planned launch of its initial public offering in hopes that pending third-quarter results will bolster investor confidence.
A subsidiary that holds Aramco stakes in South Korean refiner S-Oil and Showa Shell of Japan made a net income of $319 million in 2018, accounts seen by Reuters show. Saudi Refining Inc, through which Aramco operates the largest U.S. oil refinery, made $423 million last year, separate accounts showed. The documents, seen by Reuters, do not appear to be in the public domain.
Aramco is making huge investments in overseas downstream operations. With Indian companies and Abu Dhabi National Oil Co, it plans to build a giant refinery and petrochemical project that sources say will cost $60 billion. Aramco declined to comment.
Selling a stake in Aramco has been a centerpiece of Vision 2030, a plan championed by Crown Prince Mohammed bin Salman to diversify the Saudi economy away from oil.
Aramco seems to derive a small portion of its refining profits from peers on the list. Royal Dutch Shell, for example, generated $ 7.57 billion in downstream activities in 2018, almost a quarter of its $ 23.83 billion in annual profits.
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