SAUDI ARAMCO TO GO PUBLIC?
State-owned Saudi Aramco has crude reserves of about 265 billion barrels, over 15% of all global oil deposits and now there are reports of making Aramco public.
If it went public, it could become the first listed company valued at $1 trillion, analysts have estimated. Saudi Arabia's government will keep a controlling interest in Saudi Aramco if it decides on a share offering of the world's largest oil firm, its chief executive said.
“A range of options are being considered, including the listing in the capital markets of an appropriate percentage of Saudi Aramco shares with the government retaining a controlling interest, as well as the option to list a bundle of downstream businesses and interests,” Amin Nasser wrote in a letter published in Aramco's weekly magazine The Arabian Sun.
Aramco is worth, officials say, “trillions of dollars”, making it easily the world's biggest company. It says it has hydrocarbon reserves of 261 billion barrels, more than ten times those of ExxonMobil, the largest private oil firm, which is worth $323 billion.
It pumps more oil than the whole of America, about 10.2 million barrels a day ( b/d), giving it unparalleled sway over prices.
If just a sliver of its shares were placed on the Saudi stock exchange, which currently has a total market value of about $400 billion, they could greatly increase its size.
Nasser, who is chairing a steering committee overseeing the process, cited the government's privatisation initiative and broader economic reforms as the two key drivers behind the move.
The LNG cargo was delivered to Dahej LNG Terminal in India on January 13, 2016, marking the commencement of the new one million ton per annum (MTA) SPA.
The new SPA, together with the long term SPA between Petronet and RasGas signed in 1999 for 7.5 MTA, raises the total annual long-term commitment between the two companies to 8.5 MTA. RasGas has been supplying LNG reliably to India and Petronet, a key long-term partner and customer of RasGas, since 2004.
RasGas has delivered, to date, nearly 81 MTA of LNG to India to meet the country's growing demand for cleaner fuel and energy.