US$65B POTENTIAL DEALS
World’s largest oil producer eyes more investment opportunities with China
AUDI Arabia’s King Salman oversaw the signing of deals worth potentially US$65 billion (RM288 billion) as he began a visit to Beijing yesterday, as the world’s largest oil producer looks to cement ties with the world’s second-largest economy.
The octogenarian monarch, who has overseen the launch of an ambitious economic reform plan since his accession two years ago, is on a month-long Asian tour.
The visits to countries that are some of world’s fastest growing importers of Saudi oil aim to promote investment opportunities in the kingdom, including the sale of a stake in its giant state firm Saudi Aramco.
Saudi Arabia has sought to boost oil sales to China, the world’s second-largest oil market, after losing market share to Russia last year, by working mostly with China’s top three state oil firms.
Chinese President Xi Jinping told Salman in Beijing’s cavernous Great Hall of the People that his visit showed the importance he attached to relations with China.
“This visit will push forward and continue to improve the quality of our relations and bear new fruit,” said Xi.
China’s in talks with Saudi Arabia for its sovereign wealth fund and largest energy company to invest in the initial public offering of the Middle East nation’s state oil producer, said sources with knowledge of the matter.
China Investment Corp would be the Asian nation’s principle investor in the planned flotation by Saudi Arabian Oil Co, said sources.
China National Petroleum Corp (CNPC) may also invest in the initial public offering, they said. No formal agreement has been reached, the sources added. Agencies
Saudi King Salman
(right) and China President Xi Jinping at the Road to the Arab Republic event in Beijing yesterday.