Deals
Saudis to Control Crude Reserves, Output After Aramco IPO
- Government will still own oil wells, deputy crown prince says
- Kingdom to offer minority stake in Aramco’s concession in 2018
Deputy Crown Prince Mohammed bin Salman.
Photographer: FAYEZ NURELDINE/AFP/Getty ImagesThis article is for subscribers only.
Saudi Arabia’s giant oil and gas reserves and any decisions about producing from them will remain solely in government hands after Saudi Aramco’s initial public offering, Deputy Crown Prince Mohammed bin Salman said on state television.
The world’s largest oil exporter known formally as Saudi Arabian Oil Co. holds a concession to pump the kingdom’s oil and gas, and a stake in that business is what the government will sell in an offering of “not far from 5 percent” of company shares in 2018, the prince said Tuesday in a TV interview. Analysts at Sanford C. Bernstein & Co. and Rystad Energy AS said in March that the IPO has a potential market value of more than $1 trillion.