Saudi oil giant Aramco is ready to list on global markets alongside its primary listing on the Saudi stock exchange, Aramco's chief executive officer Amin Nasser said on Tuesday, as the Kingdom has noticeably sped up the timeline for what would be the world's biggest-ever IPO.
We continue to expect OPEC will sacrifice market share in line with leadership commentary at its June meeting, which we believe will lead to Brent prices of around $60/bbl. Reports have emerged that 1% of the company could be sold locally later this year before more is sold on an global market.
Aramco is "ready" for the giant stock market debut but the timing is a "government decision", Amin Nasser told reporters on the sidelines of the World Energy Congress.
Prince Abdulaziz bin Salman can be seen embracing his brother, Crown Prince Mohammed bin Salman, after giving his oath at the Red Sea port of Jedda.
Aramco's board last month determined that listing in NY would carry too many legal risks, sources told Reuters.
Aramco's upstream carbon intensity is one of the lowest in the world, at about 10 kilograms of CO2 per barrel of oil equivalent, and based on third party verification of greenhouse gas emissions, its methane intensity in 2018 was 0.06% - one of the lowest in the industry, Nasser said.
Rising costs of crude typically result in higher prices at the pump, with the effect usually felt by consumers six weeks after the initial oil hike.
The 34-year-old crown prince has struggled to attract foreign investors, however, which analysts say is key to diversifying the economy and creating millions of jobs for young Saudis entering the workforce.
Still, that's considerably below the $80-$85 a barrel that analysts say is needed to balance Saudi Arabia's budget.
Al-Falih was removed just days ago from his post as board chairman of Aramco, a company that he once ran as chief executive. Al-Rumayyan heads the country's sovereign wealth fund and is a close adviser of the crown prince.
Bin Salman's remarks, which marked his debut since being named to one of the most important positions in the kingdom the previous day, have spooked nonproliferation experts, who warn such technology could allow Saudi Arabia to pursue a nuclear weapon amid heightened tensions between Iran and the U.S. over Tehran's program.
While the improved risk sentiment amid Chinese policy easing has underpinned prices in recent sessions, the latest catalyst had stemmed from the appointment of the Saudi King's son, Prince Abdulaziz bin Salman, as the new energy minister.
Dan Brouillette, a deputy USA energy secretary who attended Monday's event, said he hoped Saudi Arabia would instead choose to go with a so-called "123 Agreement" like the United Arab Emirates.