Saudi Arabia’s oil giant has reported profits of around £26.3bn for the last quarter, despite the drop in energy prices.
Saudi Aramco has posted net income of 112.8bn riyal for April-June, or around $30bn.
That’s a 38% drop, year-on-year, reflecting the drop in crude oil and gas prices in 2023 compared to the surge after the Ukraine war.
Aramco President & CEO Amin H. Nasser, says the results are “strong”, and shareholders (who are mainly the Saudi government) will benefit through new “performance-linked dividends” over the next six quarters:
We continue to demonstrate our long-standing ability to meet the needs of customers around the world with high levels of reliability. For our shareholders, we intend to start distributing our first performance-linked dividend in the third quarter.
Aramco intents to keep investing in raising its oil and gas production, despite warnings from environmental campaigners that fossil fuels must be kept in the ground to achieve net zero.
Nasser says: “At Aramco, our mid to long-term view remains unchanged. With a recovery anticipated in the broader global economy, along with increased activity in the aviation sector, ongoing investments in energy projects will be necessary to safeguard energy security.
“We are maintaining the largest capital spending program in our history, with the aim of increasing our oil and gas production capacity and expanding our Downstream business — with petrochemicals projects, such as our $11.0 billion expansion of the SATORP refinery with TotalEnergies, essential to meet future demand.”