Saudi Arabia’s oil giant Aramco reported a net income of $29.07 billion in the second quarter, a slight drop due to lower crude oil volumes sold and weakening refining margins. Despite being the world’s biggest crude exporter, Saudi Arabia is currently producing below its capacity of 12 million barrels per day. This decrease in production can be attributed to ongoing cuts announced by the OPEC+ bloc to boost prices.
Although output will remain stable until at least October, there are plans for gradual monthly increases thereafter. Aramco, the main revenue source for Crown Prince Mohammed bin Salman’s Vision 2030 reform agenda, plays a crucial role in the Saudi economy. The government holds an 81.5% stake in Aramco, making it one of the world’s biggest companies by market capitalization.
Notably, Aramco’s initial public offering in 2019 raised $29.4 billion, and a recent secondary offering garnered $12.35 billion. Despite challenges in the oil market, Aramco’s strategic decisions and financial performance continue to position it as a key player in the global energy landscape.