Aramco ready to splash cash upstream
Soaring annual profits to be channelled into unapologetic expansion of output capacity
The headline figures from Saudi Aramco’s unveiling of its annual results in the eastern city of Dhahran in March were both dramatic and predictable. A year-long market recovery from the depredations of the coronavirus pandemic delivered profits more than double those seen in 2020. Of greater long-term significance were the indications given as to what the company—producer of around a tenth of the world’s oil—intends to do with its replenished war chest. And the key message is that it will hike capital spending, primarily to double down on upstream expansion. The direction of the main financial metrics was overwhelmingly positive. Net income soared by 124pc, to $110bn, chiefly on average oil
Also in this section
1 May 2024
Energean CEO Mathios Rigas looks to results of critical Anchois appraisal well
30 April 2024
While its regional neighbours reap the rewards of oil and gas success, Iraq’s hydrocarbons sector is lagging behind
29 April 2024
Although recent, firmer gas prices have blunted some price-sensitive demand, the overall growth outlook remains robust
26 April 2024
While the US has been breaking records for its premium grade crude, there are doubts over whether you can have too much of a good thing